CONFIDENTIAL, BM/JUN 2016/ENT300/ETR300 UNIVERSITI TEKNOLOGI MARA FINAL EXAMINATION course FUNDAMENTALS OF ENTREPRENEURSHIP COURSE CODE ENT300/ETR300 EXAMINATION : JUNE 2016 TIME : 3 HOURS INSTRUCTIONS TO CANDIDATES 4. This question paper consists of four (4) parts: PART A (20 Questions) PART B (20 Questions) PART C (5 Questions) PART D (2 Questions) 2. Answer ALL questions from PART A, B, four (4) questions from PART C, and one (1) question from PART D. i) Answer PART A in the True/False Answer Sheet ii) Answer PART B in the Objective Answer Sheet iii) Answer PART C and PART D in the Answer Booklet. Start each answer on a new page 3. Do not bring any material into the examination room unless permission is given by the invigilator. Please check to make sure that this examination pack consists of : i) the Question Paper ii) an Answer Booklet - provided by the Faculty iii) a True/False Answer Sheet — provided by Faculty jv) an Objective Answer Sheet — provided by the Faculty 5. Answer ALL questions in English. DO NOT TURN THIS PAGE UNTIL YOU ARE TOLD TO DO SO This examination paper consists of 9 printed pages (© Hak Cipta Universiti Teknologi MARA CONFIDENTIAL,CONFIDENTIAL 2 BM/JUN 2016/ENT300/ETR300 PART A (20 marks) 1. Need for achievement is also known as an urge to improve. 2. High achievers take failure as a learning experience. 3. _ Entrepreneurs tend to take high risk in their business ventures. 4. Many successful entrepreneurs believe that they learn more from their earlier success than from their earlier failure. 5. Entrepreneur with integrity and reliability tends to seek and use feedback to know how well they are doing and how to improve their performance. 6. Entrepreneurship is the commercialization of creativity. 7. Problem reversal is seeking to solve problems by unorthodox or apparently illogical methods. 8. Opportunities can be recognised by observing the challenges that people encounter in their daily lives. 9. The evaluation and selection process involves judging the viability of the opportunity and assessing its problem. 10. Sole proprietorship is owned by one person, where management rests on that person whose liability is limited 11. Professional businesses (legal firms, architect, and accounting firms), the members could number up to 100 persons. 12. The Malaysian Government under The Industrial Coordination Act (ICA)1975 requires Person (s) engaging in any manufacturing activity to obtain a permit 13. Every plan, drawing or calculation related to a new building must be submitted by a qualified person such as an architect, a draughtsman or an engineer. 14. Local authority is responsible to issue license for advertising signage. 15. Government Sales Tax (GST) is under the jurisdiction of the Royal Customs Malaysia. 16. Business plan acts as an assessment to business performance. 17. Employees are not the readers of the business plan. 18. Itis mandatory for all businesses in Malaysia to have a business plan. (© Hak Cipta Universiti Teknologi MARA, CONFIDENTIAL,CONFIDENTIAL 5 BM/JUN 2016/ENT300/ETR300 19. An example of a perceptual block is thinking outside the box. 20. The term ‘wants’ refers to an individual desire for something that is more than a basic need. (© Hak Cipta Universiti Teknologi MARA CONFIDENTIALCONFIDENTIAL, 4 BM/JUN 2016/ENT3OO/ETR300 PART B (40 marks) 1. Entrepreneurs are individuals who actively form or their own business and nurture them for growth and prosperity. supervise plan lead organize control moom> 2. Prophet Muhammad S.A.W. outlined some of the basic conducts of a good Muslim entrepreneurs. Which of the following is not one of those conducts? Pursues a moderate way of life Fears the accumulation of wealth Uses influential strategies for self interest Exhibits leadership qualities in all aspects of work Business is secondary when being called for other form of crusade moow> 3. Which of the following is not true about competence motivated entrepreneur? ‘Seek mastery in job or tasks that they undertake Develop problem solving skills Strive to be innovative Perform good work Low self-esteem they gain from others due to their competence moow> 4. “The entrepreneur should be able to take actions that go beyond his job requirements and to act faster’. This statement refers to the following entrepreneurial competency. Initiative Persistence Commitment to work contract Problem solving Drive to achieve moow> 5. The statement, “a successful entrepreneur identifies new and potential ideas to achieve his goals", is associated with commitment to work contract concern for high quality of work efficiency orientation systematic planning problem solving moow> (© Hak Cipta Universiti Teknologi MARA CONFIDENTIALCONFIDENTIAL 5 BM/JUN 2016/ENT300/ETR300 6. Which of the following is not a cultural block? Dislike new challenges Tradition is to be maintained Playfulness is only for children Fantasies or dreams are for crazy people To be in a comfort zone moow> 7. Which of the following is a source of innovation within the social environment? ‘A Unexpected occurrence B_ Incongruities C Process needs D New knowledge E Market change 8. Which of the following is the correct sequence in phases of creativity process? |. Background or knowledge accumulation Il, Idea experience Ill, Evaluation and implementation IV. Incubation process LIVI TMLIV, LIV AHIV,I MILI moou> 9. Which of the following scholars described an entrepreneur as a person who acts as an agent in transforming demand into supply? Joseph Schumpeter ‘Adam Smith, Jean Babtiste Say Carl Menger lbnu Khaldun moow> 10. Which of the following is not an external environment? Economic forces Social forces ‘Technological advances Political and regulatory statues Product and service moow> © Hak Cipta Universiti Teknologi MARA CONFIDENTIALCONFIDENTIAL, 6 BMIJUN 2016/ENT300/ETR300 11. The followings represent the entrepreneur's abilities to search and discover business opportunities except A B c} D E Systematic planning Experience and exposure Knowledge and skills “Special alertness” Vigilant 12, Mechanism to identify opportunities are as follows except moow> Employer Customers Retailers and distributors Business associates Bankers 13. Which of the following is not a criteria for evaluation and selection business opportunity? moou> ‘Can make money and has potential for growth. Less competition. Against the norms and values of the community. Has competitive advantage. Conform with laws and regulations. 14, Which of the following is not true about the advantages of a partnership? A B cy D E Income tax is imposed on the partnership itself but not on the owners as individuals. A lot of ideas, talents and skills can be pooled together for better management. The responsibility of managing and handling the business can be divided equally among partners. Business risks can be reduced and distributed among partners. Equity can be increased through enlisting additional partners. 15. Characteristics of private limited company include the following except moou> Membership Liabilities Life span Right and responsibilities Memorandum of Association (© Hak Cipta Universiti Teknologi MARA CONFIDENTIAL,CONFIDENTIAL 7 BMIJUN 2016/ENT300/ETR300 16. One of these statements is not an advantage of starting a business from scratch, A Entrepreneurs are free to make decision. B Entrepreneurs can try and implement his own ideas. C Entrepreneurs are free to develop his own image. D__ Time spent to start the business is faster than buying other business. E Entrepreneurs are free to choose his location. 17. Challenges of family business are as follows except A Financing — debt financing versus equity financing B _Liquidity/Cash — family’s need for cash versus business's needs for cash C__ Transition period — older generation versus new generation D Succession ~ finding the right successor E Emotion — freedom and flexibility in decision making 18. Types of financing available in Malaysia are as follows except: A Guarantee scheme B_ Venture capital C Equity financing D_ Trust fund E Tax incentive 19. Manpower development and training facilities are provided by the following agencies except ‘A Majlis Amanah Rakyat B_ Perbadanan Usahawan Nasional Berhad C Human Resource Development Fund D_ Multimedia Development Corporation E National Vocational Training Council 20. The following are the activities provided by Malaysian Academy of SME and Entrepreneurship Development (MASMED) except: mooo> Training Education Loan Research Consultancy (© Hak Cipta Universiti Teknologi MARA CONFIDENTIALCONFIDENTIAL 8 BM/JUN 2016/ENT3OO/ETR300 PART C. QUESTION 1 Briefly differentiate the definition of entrepreneurs as suggested by David McClelland and Ibnu Khaldun. (6 marks) QUESTION 2 List five (6) items in a business plan format. (6 marks) QUESTION 3 List five (5) purposes of setting marketing objectives. (6 marks) QUESTION 4 List five (5) types of organisational structure. (5 marks) QUESTION 5 List the components in an operations system. (6 marks) © Hak Cipta Universiti CONFIDENTIALCONFIDENTIAL 9 BM/JUN 2016/ENT3O0/ETR300 PART D QUESTION 1 a) Explain the marketing strategies for services. (10 marks) b) Give five (5) reasons for preparing a financial plan (5 marks) ) Determine the factors to be considered in purchasing machine and equipment. (6 marks) QUESTION 2 Given the following information you are required to prepare the project implementation cost. Renovation Rental of premise Rental deposits Furniture Fittings Salary Inventory Requirement Website Business registration Utilities Additional information: Working capital Contingency (© Hak Cipta Universiti Teknologi MARA = 70,000 = 10,000 = 3 months 50,000 = RM6,000 = RM80,000 = RM2,000 RM100 = RM800 = 1 month = 10% (20 marks) END OF QUESTION PAPER CONFIDENTIAL