Question 1

As computers gained popularity, the ____ typewriters decreased along with the price.

Accepted Answer

A)  demand for 
B)  supply of 
C)  equilibrium of 
D)  productivity of 
E)  monopoly associated with 
A)  demand for 
B)  supply of 
C)  equilibrium of 
D)  productivity of 
E)  monopoly associated with

Question 2

Specialization is meant to increase the efficiency of industrial workers.

Accepted Answer

A) True 
 B)False

Question 3

Fluctuations in a nation's economy are referred to as its _____.

Accepted Answer

A)  economic upheaval 
B)  inflation problem 
C)  depression cycle 
D)  business cycle 
E)  recession period 
A)  economic upheaval 
B)  inflation problem 
C)  depression cycle 
D)  business cycle 
E)  recession period

Question 4

Macroeconomists often study the effect of taxes, government spending, interest rates, and similar factors on a nation's economy.

Accepted Answer

A) True 
 B)False

Question 5

Public utilities are often referred to as _____.

Accepted Answer

A)  sole proprietorships 
B)  monopolistic competitors 
C)  monopolies 
D)  oligopolies 
E)  socialistic 
A)  sole proprietorships 
B)  monopolistic competitors 
C)  monopolies 
D)  oligopolies 
E)  socialistic

Question 6

In the mid-1970s, American auto manufacturers produced big gas-guzzling cars and tried to sell them to consumers who needed fuel-efficient transportation.This happened because manufacturers

Accepted Answer

A)  lost sight of consumers' needs. 
B)  attempted to satisfy consumers' needs. 
C)  followed consumers' wants too closely. 
D)  knew the economy would rise again. 
E)  did not expect a profit. 
A)  lost sight of consumers' needs. 
B)  attempted to satisfy consumers' needs. 
C)  followed consumers' wants too closely. 
D)  knew the economy would rise again. 
E)  did not expect a profit.

Question 7

Diane enjoys scrapbooking and decides to open her own scrapbooking store.She invests her money, time, and effort into making the store a success.Diane can be best described as a(n) _____.

Accepted Answer

A)  capitalist 
B)  laborer 
C)  corporate owner 
D)  entrepreneur 
E)  competitor 
A)  capitalist 
B)  laborer 
C)  corporate owner 
D)  entrepreneur 
E)  competitor

Question 8

Today, managers and employees are no longer concerned about cultural diversity.

Accepted Answer

A) True 
 B)False

Question 9

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 10

When consumers spend their money to purchase Dell computers or Sony portable CD players, or when they discontinue buying such items as compact discs, they are telling resource owners

Accepted Answer

A)  how to produce. 
B)  for whom to produce. 
C)  what to produce. 
D)  when to produce. 
E)  to avoid faddish products. 
A)  how to produce. 
B)  for whom to produce. 
C)  what to produce. 
D)  when to produce. 
E)  to avoid faddish products.

Question 11

Cultural diversity represents:

Accepted Answer

A)  a business theory that is no longer valid. 
B)  the differences among people in a workforce. 
C)  a technical skill. 
D)  a statistical method used to project sales revenues and profits for global companies. 
E)  a religious issue that doesn't affect business organizations. 
A)  a business theory that is no longer valid. 
B)  the differences among people in a workforce. 
C)  a technical skill. 
D)  a statistical method used to project sales revenues and profits for global companies. 
E)  a religious issue that doesn't affect business organizations.

Question 12

Andrew Cooper decides to become a part owner of a corporation.As a part owner, he expects to receive a profit as payment because he has assumed the risk of

Accepted Answer

A)  serious inflation eroding the purchasing power of his investment. 
B)  being paid before the suppliers and employees are paid. 
C)  losing his home, car, and life savings. 
D)  losing the money he has invested in the corporation and not receiving profits. 
E)  the company giving all of the profits to local communities. 
A)  serious inflation eroding the purchasing power of his investment. 
B)  being paid before the suppliers and employees are paid. 
C)  losing his home, car, and life savings. 
D)  losing the money he has invested in the corporation and not receiving profits. 
E)  the company giving all of the profits to local communities.

Question 13

Which of the following is not a characteristic of an oligopoly?

Accepted Answer

A)  There are few sellers. 
B)  The seller has considerable control over price. 
C)  Any duplication of facilities is wasteful. 
D)  Sizable investments are required to enter the market. 
E)  The market actions of each seller can strongly affect other sellers. 
A)  There are few sellers. 
B)  The seller has considerable control over price. 
C)  Any duplication of facilities is wasteful. 
D)  Sizable investments are required to enter the market. 
E)  The market actions of each seller can strongly affect other sellers.

Question 14

As the price of a product increases, the quantity of the product that a producer is willing to supply increases.

Accepted Answer

A) True 
 B)False

Question 15

Ways in which consumers affect American business include all the following except

Accepted Answer

A)  purchasing goods and services. 
B)  providing necessary business capital. 
C)  providing the labor necessary for production. 
D)  providing the resources necessary for production. 
E)  taxing goods and services. 
A)  purchasing goods and services. 
B)  providing necessary business capital. 
C)  providing the labor necessary for production. 
D)  providing the resources necessary for production. 
E)  taxing goods and services.

Question 16

Explain how the basic economic questions are answered in the capitalistic and command economies.

Accepted Answer

In a capitalistic economy, the basic eco

Question 17

General Mills and a few other firms dominating the American cereal market are an example of _____.

Accepted Answer

A)  pure competition 
B)  monopolistic competition 
C)  oligopoly 
D)  natural monopoly 
E)  monopoly 
A)  pure competition 
B)  monopolistic competition 
C)  oligopoly 
D)  natural monopoly 
E)  monopoly

Question 18

Target stores, which resell manufactured goods to consumers in its retail stores would most likely be classified as a(n) _____.

Accepted Answer

A)  service business 
B)  sole proprietorship 
C)  marketing intermediary 
D)  manufacturing establishment 
E)  perfect competition 
A)  service business 
B)  sole proprietorship 
C)  marketing intermediary 
D)  manufacturing establishment 
E)  perfect competition

Question 19

After getting her bachelor's degree in business, Mary Wilson realized she was much more productive at her job than she had been before.Mary's degree helped her to become a better employee.

Accepted Answer

A) True 
 B)False

Question 20

The production and operations manager at a large shoe factory in Fall River, Massachusetts, notices that the total number of hours worked by production employees has increased 12 percent, while the number of pairs of shoes ready for shipping has dropped 6 percent this year over last year.This indicates that

Accepted Answer

A)  the inflation rate is unchanged. 
B)  demand for shoes is decreasing. 
C)  the manager's calculations cannot be correct. 
D)  productivity has decreased. 
E)  the gross national product has increased by 6 percent. 
A)  the inflation rate is unchanged. 
B)  demand for shoes is decreasing. 
C)  the manager's calculations cannot be correct. 
D)  productivity has decreased. 
E)  the gross national product has increased by 6 percent.

As computers gained popularity, the ____ typewriters decreased along with the price.

Specialization is meant to increase the efficiency of industrial workers.

Fluctuations in a nation's economy are referred to as its _____.

Macroeconomists often study the effect of taxes, government spending, interest rates, and similar factors on a nation's economy.

Public utilities are often referred to as _____.

In the mid-1970s, American auto manufacturers produced big gas-guzzling cars and tried to sell them to consumers who needed fuel-efficient transportation.This happened because manufacturers

Diane enjoys scrapbooking and decides to open her own scrapbooking store.She invests her money, time, and effort into making the store a success.Diane can be best described as a(n) _____.

Today, managers and employees are no longer concerned about cultural diversity.

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 _____.

When consumers spend their money to purchase Dell computers or Sony portable CD players, or when they discontinue buying such items as compact discs, they are telling resource owners

Cultural diversity represents:

Andrew Cooper decides to become a part owner of a corporation.As a part owner, he expects to receive a profit as payment because he has assumed the risk of

Which of the following is not a characteristic of an oligopoly?

As the price of a product increases, the quantity of the product that a producer is willing to supply increases.

Ways in which consumers affect American business include all the following except

Explain how the basic economic questions are answered in the capitalistic and command economies.

General Mills and a few other firms dominating the American cereal market are an example of _____.

Target stores, which resell manufactured goods to consumers in its retail stores would most likely be classified as a(n) _____.

After getting her bachelor's degree in business, Mary Wilson realized she was much more productive at her job than she had been before.Mary's degree helped her to become a better employee.

Being Ethical and Socially Responsible

Exploring Global Business

Choosing a Form of Business Ownership

Small Business, Entrepreneurship, and Franchises

Understanding the Management Process

Creating a Flexible Organization

Producing Quality Goods and Services

Attracting and Retaining the Best Employees

Motivating and Satisfying Employees and Teams

Building Customer Relationships Through Effective Marketing

Creating and Pricing Products That Satisfy Customers

Distributing and Promoting Products

Understanding Information and E-Business

Using Accounting Information

Mastering Financial Management

Filters

Exam 1: Exploring the World of Business and Economics

As computers gained popularity, the ____ typewriters decreased along with the price.

Specialization is meant to increase the efficiency of industrial workers.

Fluctuations in a nation's economy are referred to as its _____.

Macroeconomists often study the effect of taxes, government spending, interest rates, and similar factors on a nation's economy.

Public utilities are often referred to as _____.

In the mid-1970s, American auto manufacturers produced big gas-guzzling cars and tried to sell them to consumers who needed fuel-efficient transportation.This happened because manufacturers

Diane enjoys scrapbooking and decides to open her own scrapbooking store.She invests her money, time, and effort into making the store a success.Diane can be best described as a(n) _____.

Today, managers and employees are no longer concerned about cultural diversity.

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 _____.

When consumers spend their money to purchase Dell computers or Sony portable CD players, or when they discontinue buying such items as compact discs, they are telling resource owners

Cultural diversity represents:

Andrew Cooper decides to become a part owner of a corporation.As a part owner, he expects to receive a profit as payment because he has assumed the risk of

Which of the following is not a characteristic of an oligopoly?

As the price of a product increases, the quantity of the product that a producer is willing to supply increases.

Ways in which consumers affect American business include all the following except

Explain how the basic economic questions are answered in the capitalistic and command economies.

General Mills and a few other firms dominating the American cereal market are an example of _____.

Target stores, which resell manufactured goods to consumers in its retail stores would most likely be classified as a(n) _____.

After getting her bachelor's degree in business, Mary Wilson realized she was much more productive at her job than she had been before.Mary's degree helped her to become a better employee.

Being Ethical and Socially Responsible

Exploring Global Business

Choosing a Form of Business Ownership

Small Business, Entrepreneurship, and Franchises

Understanding the Management Process

Creating a Flexible Organization

Producing Quality Goods and Services

Attracting and Retaining the Best Employees

Motivating and Satisfying Employees and Teams

Building Customer Relationships Through Effective Marketing

Creating and Pricing Products That Satisfy Customers

Distributing and Promoting Products

Understanding Information and E-Business

Using Accounting Information

Mastering Financial Management

Filters