Passage Reference: In order to sell your business officially, you will need to prepare a sales agreement.

Common Mistake: Students sometimes write contract because it sounds similar, but that word is not used in the passage. You must copy the exact words. This is a synonym trap.

Paraphrasing: Passage: 'prepare a sales agreement' = Summary: 'The main document if you want to sell your business'

Tips: When a question asks for a document, scan for words like 'need' or 'will need to prepare'.

Key Vocabulary:

• agreement = formal contract
• officially = legally

Question Focus: Action taken when there are no other options

Correct Answer: file for bankruptcy

Passage Reference: Deciding to file for bankruptcy can be a painful decision, but you may find yourself in a position with no other options. To protect yourself and your business, educate yourself about this course of action before making the decision

Why this is correct: The summary says when there are no other options available. The passage explains that in this situation, you may need to file for bankruptcy.

Common Mistake: Some students write bankruptcy only, but the passage uses the full phrase. Missing words makes the answer incomplete. This is a partial truth trap.

Paraphrasing: Passage: 'file for bankruptcy' = Summary: 'When there are no other options available'

Tips: Look for cause and result wording like 'no other options' leading to an action.

Key Vocabulary:

• bankruptcy = legal inability to pay debts
• options = choices

Question Focus: Legal requirement when exiting a business

Correct Answer: to comply with

Passage Reference: There are many resources available to help you comply with the basic laws for conducting and exiting a business.

Why this is correct: The summary mentions the legal system. The passage says you must comply with the basic laws, which matches exactly.

Common Mistake: Students may write follow instead of comply, but that word is not in the passage. This is a synonym trap.

Paraphrasing: Passage: 'comply with the basic laws' = Summary: 'the legal system'

Tips: When you see 'legal', scan for words like law, rules, or comply.

Key Vocabulary:

• comply = obey
• legal system = laws

Question Focus: Who can decide alone to close a business

Correct Answer: sole proprietors

Passage Reference: Decide to close a business - sole proprietors can decide by themselves that they should close.

Why this is correct: The summary says people who do not need to consult with others. The passage states that sole proprietors can decide by themselves.

Common Mistake: Some students write owners, but that is too general and not in the passage. This is a paraphrase trap.

Paraphrasing: Passage: 'can decide by themselves' = Summary: 'do not need to consult with others'

Tips: Pronouns like 'by themselves' often match summaries about acting alone.

Key Vocabulary:

• sole proprietor = single owner
• consult = ask for advice

Question Focus: Term for handing a business to another person

Correct Answer: transfer of ownership

Passage Reference: Transfer of Ownership As they say, all good things must come to an end. Maybe you'd like to retire, or maybe it's time to pass the family business to the next generation.

Why this is correct: The summary defines the action of handing your business over. The passage names this exactly as transfer of ownership.

Common Mistake: Students sometimes write selling, but that is a different process. This is a context shift trap.

Paraphrasing: Passage: 'Transfer of Ownership' = Summary: 'Handing your business over to another person'

Tips: Headings in the passage often contain exact answers for definition questions.

Key Vocabulary:

• transfer = give to someone else
• ownership = possession

Question Focus: Reality of going public

Correct Answer: a dream

Passage Reference: You may have a dream of going public, selling to the highest bidder, or retiring and handing over your business legacy to your family.

Why this is correct: The summary says going public is often no more than something. The passage says it is a dream for many people.

Common Mistake: Students may write goal, but that changes the meaning. This is a paraphrase trap.

Paraphrasing: Passage: 'a dream of going public' = Summary: 'often no more than'

Tips: Phrases like 'no more than' usually point to something limited or unrealistic.

Key Vocabulary:

• dream = hope
• going public = selling shares

Question Focus: Requirement for any exit strategy

Correct Answer: to plan

Passage Reference: Whatever the reason, be smart about how you make your exit.

Why this is correct: The summary says whichever exit strategy you choose. The passage advises you to think ahead and be smart, meaning to plan it.

Common Mistake: Some students write prepare, but that word is not used here. This is a synonym trap.

Paraphrasing: Passage: 'be smart about how you make your exit' = Summary: 'Whichever exit strategy you choose'

Tips: Advice language like 'be smart' often paraphrases to planning.

Key Vocabulary:

• exit strategy = way to leave
• plan = think ahead

General Tips:

• Summary completion questions follow passage order. Use the location of the last answer to find the next.
• Always copy the exact words from the passage. Do not use your own synonyms.
• Check grammar clues around the gap. They tell you if you need a noun or a verb.
• Watch the word limit carefully. Extra words make the answer wrong.