Question 1

What occurs when the quantity demanded exceeds the quantity supplied?

Accepted Answer

A)  demand deficit 
B)  surplus 
C)  equilibrium point 
D)  shortage 
E)  supply schedule 
A)  demand deficit 
B)  surplus 
C)  equilibrium point 
D)  shortage 
E)  supply schedule D

Question 2

The primary measure of growth in the business cycle is inflation.

Accepted Answer

A) True 
 B)False  False

Question 3

In the city of Westminster,Christmas trees are being sold for $25.At this price,buyers are able to satisfy their demand,though some trees remain unsold.What is the term used to describe this market condition?

Accepted Answer

A)  surplus 
B)  stoppage 
C)  shortage 
D)  demand deficit 
E)  equilibrium price 
A)  surplus 
B)  stoppage 
C)  shortage 
D)  demand deficit 
E)  equilibrium price A

Question 4

The main measure of growth in the business cycle is aggregate output.

Accepted Answer

A) True 
 B)False

Question 5

What is the process for converting government enterprises into individually owned firms known as?

Accepted Answer

A)  production allocation 
B)  privatization 
C)  entrepreneurship 
D)  demand assessment 
E)  profit maximization 
A)  production allocation 
B)  privatization 
C)  entrepreneurship 
D)  demand assessment 
E)  profit maximization

Question 6

How does a planned economy differ from a market economy?

Accepted Answer

A planned economy relies on a centralize

Question 7

Explain the roles of demand and supply in a market economy.

Accepted Answer

On all economic levels of a market econo

Question 8

What term denotes a nation's basis for allocating its resources among its citizens?

Accepted Answer

A)  capital structure 
B)  economic system 
C)  ownership processes 
D)  distribution network 
E)  national regulations 
A)  capital structure 
B)  economic system 
C)  ownership processes 
D)  distribution network 
E)  national regulations

Question 9

Explain what is meant by the term profits.

Accepted Answer

Profits are what is left over

Question 10

Based on the information above,Tata most likely believed that as a result of recent changes in India's economy,what would be true of a growing number of Indian consumers?

Accepted Answer

A)  They had become even more cost-conscious than ever before. 
B)  They would be willing and able to spend 150,000 rupees on a car. 
C)  They would choose a vehicle with high fuel efficiency primarily because of concern about the natural environment. 
D)  They will eventually prefer models similar to those currently available in the U.S. and Europe. 
E)  They will place a higher value on car safety than fuel economy. 
A)  They had become even more cost-conscious than ever before. 
B)  They would be willing and able to spend 150,000 rupees on a car. 
C)  They would choose a vehicle with high fuel efficiency primarily because of concern about the natural environment. 
D)  They will eventually prefer models similar to those currently available in the U.S. and Europe. 
E)  They will place a higher value on car safety than fuel economy.

Question 11

If Expert Electronics cuts the prices for its computer system,how will competitors respond?

Accepted Answer

In an oligopoly,when one firm

Question 12

Natural monopolies exist partly because duplication of effort and resources would be wasteful in some cases.

Accepted Answer

A) True 
 B)False

Question 13

New Vermont underwent a recession two years ago.How might New Vermont's aggregate output have been affected?

Accepted Answer

A recession is defined as a pe

Question 14

What is the price at which the quantity of goods demanded and the quantity of goods supplied are equal?

Accepted Answer

A)  the going rate 
B)  the margin rate 
C)  the market price 
D)  the optimum price 
E)  the cost price 
A)  the going rate 
B)  the margin rate 
C)  the market price 
D)  the optimum price 
E)  the cost price

Question 15

Which environment is NOT an important dimension of a business organization's external environment?

Accepted Answer

A)  the political-legal environment 
B)  the sociocultural environment 
C)  the technological environment 
D)  the corporate cultural environment 
E)  the global business environment 
A)  the political-legal environment 
B)  the sociocultural environment 
C)  the technological environment 
D)  the corporate cultural environment 
E)  the global business environment

Question 16

Explain what is meant by purchasing power parity.

Accepted Answer

Purchasing power parity is the principle

Question 17

What does a planned economy rely on a centralized government to do?

Accepted Answer

A)  support free enterprise in every way possible 
B)  allocate all or most factors of production 
C)  encourage citizens to buy shares of stock in small companies 
D)  keep its control activities to a minimum 
E)  direct workers to start their own small businesses. 
A)  support free enterprise in every way possible 
B)  allocate all or most factors of production 
C)  encourage citizens to buy shares of stock in small companies 
D)  keep its control activities to a minimum 
E)  direct workers to start their own small businesses.

Question 18

What is the economic condition characterized by widespread increased prices without increased purchasing power?

Accepted Answer

A)  unemployment 
B)  inflation 
C)  expansion 
D)  deflation 
E)  recession 
A)  unemployment 
B)  inflation 
C)  expansion 
D)  deflation 
E)  recession

Question 19

Which of the following,if true,would MOST strongly support Jonathan's contention?

Accepted Answer

A)  AB Distributor is a relatively new company. 
B)  AB Distributor is a for-profit company. 
C)  AB Distributor's costs have decreased from the previous year. 
D)  AB Distributor's competitors have had increased revenue. 
E)  AB Distributor has hired more employees recently. 
A)  AB Distributor is a relatively new company. 
B)  AB Distributor is a for-profit company. 
C)  AB Distributor's costs have decreased from the previous year. 
D)  AB Distributor's competitors have had increased revenue. 
E)  AB Distributor has hired more employees recently.

Question 20

What is a recession?

Accepted Answer

A recession is a period during

What occurs when the quantity demanded exceeds the quantity supplied?

The primary measure of growth in the business cycle is inflation.

In the city of Westminster,Christmas trees are being sold for $25.At this price,buyers are able to satisfy their demand,though some trees remain unsold.What is the term used to describe this market condition?

The main measure of growth in the business cycle is aggregate output.

What is the process for converting government enterprises into individually owned firms known as?

How does a planned economy differ from a market economy?

Explain the roles of demand and supply in a market economy.

What term denotes a nation's basis for allocating its resources among its citizens?

Explain what is meant by the term profits.

Based on the information above,Tata most likely believed that as a result of recent changes in India's economy,what would be true of a growing number of Indian consumers?

If Expert Electronics cuts the prices for its computer system,how will competitors respond?

Natural monopolies exist partly because duplication of effort and resources would be wasteful in some cases.

New Vermont underwent a recession two years ago.How might New Vermont's aggregate output have been affected?

What is the price at which the quantity of goods demanded and the quantity of goods supplied are equal?

Which environment is NOT an important dimension of a business organization's external environment?

Explain what is meant by purchasing power parity.

What does a planned economy rely on a centralized government to do?

What is the economic condition characterized by widespread increased prices without increased purchasing power?

Which of the following,if true,would MOST strongly support Jonathan's contention?

What is a recession?

Understanding Business Ethics and Social Responsibility

Entrepreneurship, New Ventures, and Business Ownership

Understanding the Global Context of Business

Managing the Business

Organizing the Business

Operations Management and Quality for Producing Goods and Services

Employee Behavior and Motivation

Leadership and Decision Making

Human Resource Management and Labor Relations

Marketing Processes and Consumer Behavior

Developing and Pricing Products

Distributing and Promoting Products

Information Technology (IT)for Business

The Role of Accountants and Accounting Information

Understanding Money and the Role of Banking

Managing Business Finances

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Exam 1: The U.S.Business Environment

What occurs when the quantity demanded exceeds the quantity supplied?

The primary measure of growth in the business cycle is inflation.

In the city of Westminster,Christmas trees are being sold for $25.At this price,buyers are able to satisfy their demand,though some trees remain unsold.What is the term used to describe this market condition?

The main measure of growth in the business cycle is aggregate output.

What is the process for converting government enterprises into individually owned firms known as?

How does a planned economy differ from a market economy?

Explain the roles of demand and supply in a market economy.

What term denotes a nation's basis for allocating its resources among its citizens?

Explain what is meant by the term profits.

Based on the information above,Tata most likely believed that as a result of recent changes in India's economy,what would be true of a growing number of Indian consumers?

If Expert Electronics cuts the prices for its computer system,how will competitors respond?

Natural monopolies exist partly because duplication of effort and resources would be wasteful in some cases.

New Vermont underwent a recession two years ago.How might New Vermont's aggregate output have been affected?

What is the price at which the quantity of goods demanded and the quantity of goods supplied are equal?

Which environment is NOT an important dimension of a business organization's external environment?

Explain what is meant by purchasing power parity.

What does a planned economy rely on a centralized government to do?

What is the economic condition characterized by widespread increased prices without increased purchasing power?

Which of the following,if true,would MOST strongly support Jonathan's contention?

What is a recession?

Understanding Business Ethics and Social Responsibility

Entrepreneurship, New Ventures, and Business Ownership

Understanding the Global Context of Business

Managing the Business

Organizing the Business

Operations Management and Quality for Producing Goods and Services

Employee Behavior and Motivation

Leadership and Decision Making

Human Resource Management and Labor Relations

Marketing Processes and Consumer Behavior

Developing and Pricing Products

Distributing and Promoting Products

Information Technology (IT)for Business

The Role of Accountants and Accounting Information

Understanding Money and the Role of Banking

Managing Business Finances

Filters