Business Due Diligence QuizOnline version Test your knowledge on the stages of due diligence in buying a business! by sarah ayyad 1 What is the first stage of due diligence in buying a business? a Legal issues b Financial condition c Assess valuation d Motivation 2 Which stage involves determining the worth of a business? a Assess valuation b Financial condition c Legal issues d Motivation 3 What stage focuses on potential legal complications? a Assess valuation b Motivation c Legal issues d Financial condition 4 In which stage is the financial health of the business evaluated? a Financial condition b Assess valuation c Motivation d Legal issues 5 What is the main purpose of the motivation stage? a Evaluate assets b Identify reasons for buying c Analyze cash flow d Check legal compliance 6 Which stage comes after assessing motivation? a Assess valuation b Legal issues c Negotiation d Financial condition 7 What is assessed during the financial condition stage? a Cash flow and debts b Brand reputation c Market trends d Employee satisfaction 8 Legal issues in due diligence may involve which of the following? a Employee training b Sales projections c Marketing strategies d Contracts and liabilities 9 What is a key factor in the assess valuation stage? a Employee feedback b Market comparisons c Supplier contracts d Customer reviews 10 Which stage is crucial for understanding buyer's intent? a Assess valuation b Legal issues c Financial condition d Motivation