Question 1

The monetary contributions that the owners of Intel pay for shares of the company's stock are ____ resources for Intel.

Accepted Answer

A)  Material 
B)  Financial 
C)  informational 
D)  Human 
E)  manufacturing 
A)  Material 
B)  Financial 
C)  informational 
D)  Human 
E)  manufacturing

Question 2

During which phase do high unemployment rates decline and levels of income increase?

Accepted Answer

A)  Repression 
B)  Peak 
C)  Recession 
D)  Trough 
E)  Recovery 
A)  Repression 
B)  Peak 
C)  Recession 
D)  Trough 
E)  Recovery

Question 3

Home Inspirations
Hailey works for her father in a family-owned business called Home Inspirations, a bedding company that has been in operation since the 1800s.When her father retires, Hailey plans on taking over the business.Hailey is aware of many things about the company that she likes, and a few things that she does not.She has particularly noted that when the economy has low unemployment and high total income, sales are great.However, any other time, sales are not so good.
Currently, all of the bedding items are created in one place and everyone works on various tasks every day.Hailey is thinking about streamlining the production process so that individuals would be responsible for only one task.She believes that if production would increase, she could sell her products at a lower price and increase revenue.She knows that most bedding products available in the market are very similar in nature and satisfy the same need.However, if she were able to lower prices, this might give her company the competitive advantage that it needs.She would then be able to invest money in differentiating her products by providing unique features, building the brand name, and offering services such as free delivery.She is also considering selling her products on the Internet.Hailey knows that her father does not like change very much, but she feels these changes are important for the future of the company.
-Refer to Home Inspirations.Hailey feels that for productivity to improve, the company must practice

Accepted Answer

A)  free enterprise. 
B)  work ethics. 
C)  specialisation. 
D)  cultural diversity. 
E)  pure competition. 
A)  free enterprise. 
B)  work ethics. 
C)  specialisation. 
D)  cultural diversity. 
E)  pure competition.

Question 4

The study of an individual's economic decisions would be an example of

Accepted Answer

A)  macroeconomics. 
B)  microeconomics. 
C)  fiscal policy. 
D)  monetary policy. 
E)  national economic policy. 
A)  macroeconomics. 
B)  microeconomics. 
C)  fiscal policy. 
D)  monetary policy. 
E)  national economic policy.

Question 5

Basically, there are four recognised degrees of competition: perfect competition, monopolistic competition, oligopoly, and monopoly.

Accepted Answer

A) True 
 B)False

Question 6

Karl Marx is known as the father of communism.

Accepted Answer

A) True 
 B)False

Question 7

Matt Newell, a former Air Force pilot, decides to operate a helicopter tour company to provide customers with breathtaking views of the Rocky Mountains.He obtains a loan and purchases the necessary land, facilities, advertising, and five helicopters for his business.What important factor of production has he overlooked in creating his business?

Accepted Answer

A)  Equipment 
B)  Capital 
C)  Labour 
D)  Entrepreneurship 
E)  Natural resources 
A)  Equipment 
B)  Capital 
C)  Labour 
D)  Entrepreneurship 
E)  Natural resources

Question 8

When the government spends more than it receives within a fiscal year, this is called the

Accepted Answer

A)  economic debt. 
B)  federal deficit. 
C)  fiscal debt. 
D)  national debt. 
E)  consumer debt. 
A)  economic debt. 
B)  federal deficit. 
C)  fiscal debt. 
D)  national debt. 
E)  consumer debt.

Question 9

A system where the basic economic questions are determined, at least to some degree, through centralised government planning is referred to as a ____ economy.

Accepted Answer

A)  Command 
B)  Capitalistic 
C)  Mixed 
D)  laissez-faire 
E)  communal 
A)  Command 
B)  Capitalistic 
C)  Mixed 
D)  laissez-faire 
E)  communal

Question 10

In France, income taxes are reduced so that individuals will have more income to spend, which in turn will stimulate the economy.This is an example of

Accepted Answer

A)  the business cycle. 
B)  economic stimulation. 
C)  monetary policy. 
D)  recession. 
E)  fiscal policy. 
A)  the business cycle. 
B)  economic stimulation. 
C)  monetary policy. 
D)  recession. 
E)  fiscal policy.

Question 11

Home Inspirations
Hailey works for her father in a family-owned business called Home Inspirations, a bedding company that has been in operation since the 1800s.When her father retires, Hailey plans on taking over the business.Hailey is aware of many things about the company that she likes, and a few things that she does not.She has particularly noted that when the economy has low unemployment and high total income, sales are great.However, any other time, sales are not so good.
Currently, all of the bedding items are created in one place and everyone works on various tasks every day.Hailey is thinking about streamlining the production process so that individuals would be responsible for only one task.She believes that if production would increase, she could sell her products at a lower price and increase revenue.She knows that most bedding products available in the market are very similar in nature and satisfy the same need.However, if she were able to lower prices, this might give her company the competitive advantage that it needs.She would then be able to invest money in differentiating her products by providing unique features, building the brand name, and offering services such as free delivery.She is also considering selling her products on the Internet.Hailey knows that her father does not like change very much, but she feels these changes are important for the future of the company.
-Refer to Home Inspirations.Home Inspirations currently operates in a ____ environment.

Accepted Answer

A)  purely competitive 
B)  Demand 
C)  monopolistic 
D)  Command 
E)  Supply 
A)  purely competitive 
B)  Demand 
C)  monopolistic 
D)  Command 
E)  Supply

Question 12

Productivity can best be described as

Accepted Answer

A)  a country's total output. 
B)  the efficiency of a company's operations. 
C)  economic growth in a country. 
D)  the average level of output per worker per hour. 
E)  the average level of output per worker per year. 
A)  a country's total output. 
B)  the efficiency of a company's operations. 
C)  economic growth in a country. 
D)  the average level of output per worker per hour. 
E)  the average level of output per worker per year.

Question 13

An economic system in which individuals and businesses make the decisions about what to produce and what to buy, and the market determines how much is sold and at what prices, is called a ____ economy.

Accepted Answer

A)  product 
B)  producer's 
C)  market 
D)  planned 
E)  command 
A)  product 
B)  producer's 
C)  market 
D)  planned 
E)  command

Question 14

Raw materials, buildings, and machinery are ____ resources.

Accepted Answer

A)  Human 
B)  Financial 
C)  information 
D)  Major 
E)  Material 
A)  Human 
B)  Financial 
C)  information 
D)  Major 
E)  Material

Question 15

Home Inspirations
Hailey works for her father in a family-owned business called Home Inspirations, a bedding company that has been in operation since the 1800s.When her father retires, Hailey plans on taking over the business.Hailey is aware of many things about the company that she likes, and a few things that she does not.She has particularly noted that when the economy has low unemployment and high total income, sales are great.However, any other time, sales are not so good.
Currently, all of the bedding items are created in one place and everyone works on various tasks every day.Hailey is thinking about streamlining the production process so that individuals would be responsible for only one task.She believes that if production would increase, she could sell her products at a lower price and increase revenue.She knows that most bedding products available in the market are very similar in nature and satisfy the same need.However, if she were able to lower prices, this might give her company the competitive advantage that it needs.She would then be able to invest money in differentiating her products by providing unique features, building the brand name, and offering services such as free delivery.She is also considering selling her products on the Internet.Hailey knows that her father does not like change very much, but she feels these changes are important for the future of the company.
-Refer to Home Inspirations.Hailey's goal of offering products with unique features and special services is called

Accepted Answer

A)  specialisation. 
B)  product differentiation. 
C)  barter. 
D)  a factory system. 
E)  a natural monopoly. 
A)  specialisation. 
B)  product differentiation. 
C)  barter. 
D)  a factory system. 
E)  a natural monopoly.

Question 16

Susan Montgomery works at an institutional bakery and is paid a wage dictated by the government.She does not like her job but is not allowed other options.Susan must purchase necessities for her family at fixed prices.The country Susan lives in can be described as a ____ economy.

Accepted Answer

A)  demand 
B)  command 
C)  market 
D)  free-enterprise 
E)  capitalist 
A)  demand 
B)  command 
C)  market 
D)  free-enterprise 
E)  capitalist

Question 17

Which of the following statements is false?

Accepted Answer

A)  One way to reduce costs is to increase productivity. 
B)  Increased productivity can lead to higher manufacturing costs. 
C)  Increased productivity is a concern for nations throughout the world. 
D)  Productivity is expected to improve as more economic activity is transferred to the Internet. 
E)  Productivity growth enables business firms to compete more effectively with other nations in a competitive world. 
A)  One way to reduce costs is to increase productivity. 
B)  Increased productivity can lead to higher manufacturing costs. 
C)  Increased productivity is a concern for nations throughout the world. 
D)  Productivity is expected to improve as more economic activity is transferred to the Internet. 
E)  Productivity growth enables business firms to compete more effectively with other nations in a competitive world.

Question 18

Increased competition from firms in other nations is an example of the

Accepted Answer

A)  technological environment. 
B)  global environment. 
C)  command environment. 
D)  laissez-faire environment. 
E)  mixed environment. 
A)  technological environment. 
B)  global environment. 
C)  command environment. 
D)  laissez-faire environment. 
E)  mixed environment.

Question 19

A price at which the demanded quantity is equal to the produced quantity of that product is called the ____ price.

Accepted Answer

A)  market 
B)  customer 
C)  equality 
D)  demand 
E)  supply 
A)  market 
B)  customer 
C)  equality 
D)  demand 
E)  supply

Question 20

What must a monopoly, such as a public utility, account for when setting its prices?

Accepted Answer

A)  A monopoly, because it has no competitors, can set prices as high as it likes. 
B)  A monopoly must consider customer demand, and then set prices at the most profitable level. 
C)  A monopoly must take into account what its top competitors are charging for the same product or service. 
D)  A monopoly has no say in what prices it will charge because the government sets the prices for all monopolistic industries. 
E)  A monopoly must look at the importance of each client, and then determine what respective rate each will be charged. 
A)  A monopoly, because it has no competitors, can set prices as high as it likes. 
B)  A monopoly must consider customer demand, and then set prices at the most profitable level. 
C)  A monopoly must take into account what its top competitors are charging for the same product or service. 
D)  A monopoly has no say in what prices it will charge because the government sets the prices for all monopolistic industries. 
E)  A monopoly must look at the importance of each client, and then determine what respective rate each will be charged.

The monetary contributions that the owners of Intel pay for shares of the company's stock are ____ resources for Intel.

During which phase do high unemployment rates decline and levels of income increase?

The study of an individual's economic decisions would be an example of

Basically, there are four recognised degrees of competition: perfect competition, monopolistic competition, oligopoly, and monopoly.

Karl Marx is known as the father of communism.

When the government spends more than it receives within a fiscal year, this is called the

A system where the basic economic questions are determined, at least to some degree, through centralised government planning is referred to as a ____ economy.

In France, income taxes are reduced so that individuals will have more income to spend, which in turn will stimulate the economy.This is an example of

Productivity can best be described as

An economic system in which individuals and businesses make the decisions about what to produce and what to buy, and the market determines how much is sold and at what prices, is called a ____ economy.

Raw materials, buildings, and machinery are ____ resources.

Susan Montgomery works at an institutional bakery and is paid a wage dictated by the government.She does not like her job but is not allowed other options.Susan must purchase necessities for her family at fixed prices.The country Susan lives in can be described as a ____ economy.

Which of the following statements is false?

Increased competition from firms in other nations is an example of the

A price at which the demanded quantity is equal to the produced quantity of that product is called the ____ price.

What must a monopoly, such as a public utility, account for when setting its prices?

Responsible Business

Global Business

Types of Business Ownership

Small Business, Entrepreneurship, and Franchises

Leadership and Managing a Business

Flexibility Within the Organisation

Products and Services

Recruitment and Retaining the Best Employees

Employee Motivation and Team Building

The Marketing Concept

Aproduct Development and Pricing Strategies

Marketing Channels

Marketing Communications

Social Media and E-Business

Introduction to Management Accounting

Money and the Banking System

Financial Management

Personal Finances and Investments

Filters

Exam 1: Introduction to Business

The monetary contributions that the owners of Intel pay for shares of the company's stock are ____ resources for Intel.

During which phase do high unemployment rates decline and levels of income increase?

The study of an individual's economic decisions would be an example of

Basically, there are four recognised degrees of competition: perfect competition, monopolistic competition, oligopoly, and monopoly.

Karl Marx is known as the father of communism.

When the government spends more than it receives within a fiscal year, this is called the

A system where the basic economic questions are determined, at least to some degree, through centralised government planning is referred to as a ____ economy.

In France, income taxes are reduced so that individuals will have more income to spend, which in turn will stimulate the economy.This is an example of

Productivity can best be described as

An economic system in which individuals and businesses make the decisions about what to produce and what to buy, and the market determines how much is sold and at what prices, is called a ____ economy.

Raw materials, buildings, and machinery are ____ resources.

Susan Montgomery works at an institutional bakery and is paid a wage dictated by the government.She does not like her job but is not allowed other options.Susan must purchase necessities for her family at fixed prices.The country Susan lives in can be described as a ____ economy.

Which of the following statements is false?

Increased competition from firms in other nations is an example of the

A price at which the demanded quantity is equal to the produced quantity of that product is called the ____ price.

What must a monopoly, such as a public utility, account for when setting its prices?

Responsible Business

Global Business

Types of Business Ownership

Small Business, Entrepreneurship, and Franchises

Leadership and Managing a Business

Flexibility Within the Organisation

Products and Services

Recruitment and Retaining the Best Employees

Employee Motivation and Team Building

The Marketing Concept

Aproduct Development and Pricing Strategies

Marketing Channels

Marketing Communications

Social Media and E-Business

Introduction to Management Accounting

Money and the Banking System

Financial Management

Personal Finances and Investments

Filters