1. Lily operates a gift shop and has a lot of inventory to manage. She counts inventory once every 4 weeks. Preparing and placing orders (the order cycle) takes 2 weeks. The orders take 6 weeks to arrive. What is her needs period?

A) 8
B) 10
C) 12
D) 14

2. If a location offers incentives for moving in, it may be a sign of:

A) a thriving business.

B) gentrification.

C) problems.

D) bad plumbing.

3. Which of the following is a 100% deductible business expense for self-employed persons?


A) Health insurance

B) Life insurance

C) Homeowner's insurance

D) None of the above