Question

Which statement best describes how an entrepreneur is different from an employee?
Entrepreneurs often have more financial risk than employees.
Entrepreneurs often work fewer hours than employees.
Entrepreneurs often have fewer leadership skills than employees.
Entrepreneurs often have more work experience than employees.

Answer 1

"Entrepreneurs often have more financial risk than employees."

Explanation: Entrepreneurs typically invest their own capital, face variable or uncertain income, and may be personally liable for business losses, whereas employees usually receive a stable salary and bear less direct financial risk. The other options are not generally true—entrepreneurs often work more hours, and leadership skills or experience can vary widely.