Question 1

Global trade has suffered because of increased problems with the Internet.

Accepted Answer

A) True 
 B)False  False

Question 2

Since the beginning of the 1900s, the agricultural sector of the United States has:

Accepted Answer

A)  seen the number of family farms more than double. 
B)  become less and less competitive in the global economy. 
C)  produced a consistent output per farm. 
D)  experienced a significant drop in employment, mainly because of tremendous improvements in efficiency. 
A)  seen the number of family farms more than double. 
B)  become less and less competitive in the global economy. 
C)  produced a consistent output per farm. 
D)  experienced a significant drop in employment, mainly because of tremendous improvements in efficiency. D

Question 3

Which of the following is the most accurate statement about the impact of business on society?

Accepted Answer

A)  When businesses earn a profit for their owners, they usually do so at the expense of the rest of society, which proves it is never a win-win situation. 
B)  While businesses often improve the standard of living within a society, they can do little to improve the quality of life. 
C)  Businesses often improve the quality of life, but can do little to improve the standard of living of most people due to inflation. 
D)  Businesses can have a positive impact on both the standard of living and the quality of life within a society. 
A)  When businesses earn a profit for their owners, they usually do so at the expense of the rest of society, which proves it is never a win-win situation. 
B)  While businesses often improve the standard of living within a society, they can do little to improve the quality of life. 
C)  Businesses often improve the quality of life, but can do little to improve the standard of living of most people due to inflation. 
D)  Businesses can have a positive impact on both the standard of living and the quality of life within a society. D

Question 4

Competition among businesses has never been greater. Identify and describe two ways that businesses can become more competitive.

Accepted Answer

Businesses can compete by exceeding cust

Question 5

Tools, machinery, and buildings are examples of capital resources.

Accepted Answer

A) True 
 B)False

Question 6

Companies have responded to a diverse customer base by hiring a more diverse workforce.

Accepted Answer

A) True 
 B)False

Question 7

Airline companies around the world are experiencing increased costs in part due to

Accepted Answer

A)  decreases in the cost of fuel. 
B)  decreasing world trade. 
C)  the threat of terrorism. 
D)  lack of interest in flying. 
A)  decreases in the cost of fuel. 
B)  decreasing world trade. 
C)  the threat of terrorism. 
D)  lack of interest in flying.

Question 8

For-profit businesses and nonprofit organizations are similar in that they both:

Accepted Answer

A)  contribute to the welfare of society. 
B)  seek to earn a profit. 
C)  have a limited life. 
D)  must be controlled by a board of directors. 
A)  contribute to the welfare of society. 
B)  seek to earn a profit. 
C)  have a limited life. 
D)  must be controlled by a board of directors.

Question 9

Julia finds it easy to do all her holiday shopping online. She can take comfort in the fact that new technologies if installed properly are seldom used in unethical ways.

Accepted Answer

A) True 
 B)False

Question 10

Opportunities and advancements in the technological environment during the past 20 years have opened the doors for a number of products that enhance the lives of consumers. Identity theft and other forms of cybercrime are also by-products of these technological advancements. Which of the following statements describes a form of identity theft?

Accepted Answer

A)  Smartphone apps that permit the consumer to price compare by scanning the barcode of a product, such as a cell phone. 
B)  Hacking into a business's database to obtain customer credit card numbers, and then selling those numbers to others for use. 
C)  GPS technology that permits you to find the exact location of a person, by entering that person's phone number into your application. 
D)  The application of cookies to a consumer's computer system that identify his/her purchasing patterns. 
A)  Smartphone apps that permit the consumer to price compare by scanning the barcode of a product, such as a cell phone. 
B)  Hacking into a business's database to obtain customer credit card numbers, and then selling those numbers to others for use. 
C)  GPS technology that permits you to find the exact location of a person, by entering that person's phone number into your application. 
D)  The application of cookies to a consumer's computer system that identify his/her purchasing patterns.

Question 11

Wars are costly to all companies.

Accepted Answer

A) True 
 B)False

Question 12

Unlike businesses, employees of nonprofit organizations are not required to learn the business skills of information management, marketing, or financial management.

Accepted Answer

A) True 
 B)False

Question 13

An entity that seeks to earn a profit by providing a good or service is known as a(n)

Accepted Answer

A)  industry. 
B)  corporation. 
C)  business. 
D)  service. 
A)  industry. 
B)  corporation. 
C)  business. 
D)  service.

Question 14

Eve and her three college friends enjoy perfumes. As a special gift to each of them last holiday season, she found a way to make scented candles with each friend's favorite perfume scent. The three friends loved her gift idea and encouraged Eve to create more and sell them online. Recently, she is filling orders from her website, and turning a profit. Eve is proof that:

Accepted Answer

A)  me-too businesses work. 
B)  when you successfully fill a market need, you can make money. 
C)  the Internet is a way to distribute just about anything. 
D)  the cost of supplies to make candles is relatively cheap. 
A)  me-too businesses work. 
B)  when you successfully fill a market need, you can make money. 
C)  the Internet is a way to distribute just about anything. 
D)  the cost of supplies to make candles is relatively cheap.

Question 15

Effectiveness means producing goods and services using the least amount of resources.

Accepted Answer

A) True 
 B)False

Question 16

Customer-driven organizations require managers to closely direct and control their employees.

Accepted Answer

A) True 
 B)False

Question 17

Lux Ladies, Inc., is a company that specializes in expensive and unusual gifts for all occasions. It keeps a large file of information on all of its regular customers, including names, addresses, and type of gifts they have ordered in the past, and the size and frequency of their orders. The electronic file which stores this information is a(n)

Accepted Answer

A)  spreadsheet. 
B)  MP3 file. 
C)  PERT file. 
D)  database. 
A)  spreadsheet. 
B)  MP3 file. 
C)  PERT file. 
D)  database.

Question 18

An electronic storage file where firms keep customer information is known as a(n) ________.

Accepted Answer

A)  MP3 file 
B)  management information system 
C)  database 
D)  e-mail server 
A)  MP3 file 
B)  management information system 
C)  database 
D)  e-mail server

Question 19

The continuing increase in the number of U.S. workers in the service sector means that more and more workers are employed in low-wage positions.

Accepted Answer

A) True 
 B)False

Question 20

Globalization has increased among nations.

Accepted Answer

A) True 
 B)False

Exam 1: Taking Risks and Making Profits Within the Dynamic Business Environment

Global trade has suffered because of increased problems with the Internet.

Since the beginning of the 1900s, the agricultural sector of the United States has:

Which of the following is the most accurate statement about the impact of business on society?

Competition among businesses has never been greater. Identify and describe two ways that businesses can become more competitive.

Tools, machinery, and buildings are examples of capital resources.

Companies have responded to a diverse customer base by hiring a more diverse workforce.

Airline companies around the world are experiencing increased costs in part due to

For-profit businesses and nonprofit organizations are similar in that they both:

Julia finds it easy to do all her holiday shopping online. She can take comfort in the fact that new technologies if installed properly are seldom used in unethical ways.

Wars are costly to all companies.

Unlike businesses, employees of nonprofit organizations are not required to learn the business skills of information management, marketing, or financial management.

An entity that seeks to earn a profit by providing a good or service is known as a(n)

Effectiveness means producing goods and services using the least amount of resources.

Customer-driven organizations require managers to closely direct and control their employees.

An electronic storage file where firms keep customer information is known as a(n) ________.

The continuing increase in the number of U.S. workers in the service sector means that more and more workers are employed in low-wage positions.

Globalization has increased among nations.

Understanding Economics and How It Affects Business

Doing Business in Global Markets

Demanding Ethical and Socially Responsible Behavior

How to Form a Business

Entrepreneurship and Starting a Small Business

Management and Leadership

Structuring Organizations for Todays Challenges

Production and Operations Management

Motivating Employees

Human Resource Management: Finding and Keeping the Best Employees

Dealing With Employeemanagement Issues

Marketing: Helping Buyers Buy

Developing and Pricing Goods and Services

Distributing Products

Using Effective Promotions

Understanding Accounting and Financial Information

Financial Management

Using Securities Markets for Financing and Investing Opportunities

Money, Financial Institutions, and the Federal Reserve

Working Within the Legal Environment

Using Technology to Manage Information

Managing Risk

Managing Personal Finances

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