Question 1

In a monopolistic competition setting, how can a manufacturer differentiate their product from others?

Accepted Answer

In a monopolistic competition setting, w

Question 2

If a firm's sales revenue exceeds its expenses, the firm has earned a profit.

Accepted Answer

A) True 
 B)False

Question 3

When economists study the national economy or global economy, they are using a(n) ____ approach.

Accepted Answer

A)  macroeconomic 
B)  microeconomic 
C)  fiscal 
D)  monetary 
E)  intuitive 
A)  macroeconomic 
B)  microeconomic 
C)  fiscal 
D)  monetary 
E)  intuitive

Question 4

Which of the following represents the biggest customer of American business?

Accepted Answer

A)  government 
B)  other businesses 
C)  foreign governments 
D)  consumers 
E)  the military 
A)  government 
B)  other businesses 
C)  foreign governments 
D)  consumers 
E)  the military

Question 5

What is profit and why is it important to a business?

Accepted Answer

The answer of What is profit and why is it...

Question 6

The organized effort of individuals to produce and sell, for a profit, the products and services that satisfy a society's needs through the Internet is known as _____.

Accepted Answer

A)  business 
B)  economy 
C)  entrepreneurship 
D)  e-business 
E)  e-marketing 
A)  business 
B)  economy 
C)  entrepreneurship 
D)  e-business 
E)  e-marketing

Question 7

As a farmer, Gary Forsythe is familiar with the economics of perfect competition.How is the price at which he sells his corn determined?

Accepted Answer

A)  The price is determined by Gary because he has the product that many people want. 
B)  The price is determined by combining the actions of all buyers and all sellers together. 
C)  The price he will receive is primarily determined by the buyer at the local grain bin. 
D)  The government sets the price of the corn to level the playing field for everyone. 
E)  The price will be approximately 25 percent higher than what other farmers are selling the same corn for, because Gary is an astute businessperson. 
A)  The price is determined by Gary because he has the product that many people want. 
B)  The price is determined by combining the actions of all buyers and all sellers together. 
C)  The price he will receive is primarily determined by the buyer at the local grain bin. 
D)  The government sets the price of the corn to level the playing field for everyone. 
E)  The price will be approximately 25 percent higher than what other farmers are selling the same corn for, because Gary is an astute businessperson.

Question 8

Which of the following is not a feature of laissez-faire capitalism?

Accepted Answer

A)  competition 
B)  guaranteed income 
C)  private ownership of wealth 
D)  economic freedom 
E)  limited role of government 
A)  competition 
B)  guaranteed income 
C)  private ownership of wealth 
D)  economic freedom 
E)  limited role of government

Question 9

In a monopoly situation, there is no close substitute for a product or service.

Accepted Answer

A) True 
 B)False

Question 10

The nationalization of key industries in countries such as Sweden and India is indicative of a(n) ____ economy.

Accepted Answer

A)  socialist 
B)  communist 
C)  capitalist 
D)  nationalist 
E)  industrialized 
A)  socialist 
B)  communist 
C)  capitalist 
D)  nationalist 
E)  industrialized

Question 11

Adam Smith argued that the creation of wealth is a concern of the government.

Accepted Answer

A) True 
 B)False

Question 12

A local retailer calls its customers when it receives merchandise that they may be interested in, provides individual service to each customer, provides forms and phone numbers for complaints and comments, and has a 100 percent satisfaction guarantee.Which objective is this business working hard to accomplish?

Accepted Answer

A)  making a profit 
B)  achieving low employee turnover 
C)  satisfying the needs of its customers 
D)  increasing the owner's wealth 
E)  keeping up with the current technology 
A)  making a profit 
B)  achieving low employee turnover 
C)  satisfying the needs of its customers 
D)  increasing the owner's wealth 
E)  keeping up with the current technology

Question 13

In our free-enterprise system, federal and state governments decide what products and services to provide.

Accepted Answer

A) True 
 B)False

Question 14

The Hamel family owns and operates an interior decorating business.Greg installs hardwood floors and chair rails; Stephanie reupholsters furniture and takes care of the finances; Ryan designs and makes draperies and pillows; and Allison coordinates the overall color, look, and design.The process the Hamel family uses to run its business is _____.

Accepted Answer

A)  specialization 
B)  division of service 
C)  the factory system 
D)  the domestic system 
E)  the barter system 
A)  specialization 
B)  division of service 
C)  the factory system 
D)  the domestic system 
E)  the barter system

Question 15

____ is a loose, subjective measure of how well-off an individual or society is in terms of obtaining want-satisfying goods and services.

Accepted Answer

A)  Employment success 
B)  Standard of wealth 
C)  Standard of living 
D)  Economic satisfaction 
E)  Satisfaction economic factor 
A)  Employment success 
B)  Standard of wealth 
C)  Standard of living 
D)  Economic satisfaction 
E)  Satisfaction economic factor

Question 16

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 to ensure that the necessary land, facilities, advertising, and five helicopters are available for his business.What important factor of production has he overlooked in creating his business?

Accepted Answer

A)  equipment 
B)  capital 
C)  labor 
D)  entrepreneurship 
E)  natural resources 
A)  equipment 
B)  capital 
C)  labor 
D)  entrepreneurship 
E)  natural resources

Question 17

What led the way to a new set of problems for business in the mid-1970s?

Accepted Answer

A)  a stock market crash 
B)  a shortage of crude oil 
C)  an increased standard of living 
D)  a technological revolution 
E)  high unemployment 
A)  a stock market crash 
B)  a shortage of crude oil 
C)  an increased standard of living 
D)  a technological revolution 
E)  high unemployment

Question 18

A business provides goods and services in exchange for sales revenues.

Accepted Answer

A) True 
 B)False

Question 19

Explain how an entrepreneur could use the factors of production to start a successful small business.

Accepted Answer

An entrepreneur could use the factors of

Question 20

All of the following are material resources for Toyota except _____.

Accepted Answer

A)  paint 
B)  steel 
C)  factory 
D)  tires 
E)  money 
A)  paint 
B)  steel 
C)  factory 
D)  tires 
E)  money

In a monopolistic competition setting, how can a manufacturer differentiate their product from others?

If a firm's sales revenue exceeds its expenses, the firm has earned a profit.

When economists study the national economy or global economy, they are using a(n) ____ approach.

Which of the following represents the biggest customer of American business?

What is profit and why is it important to a business?

The organized effort of individuals to produce and sell, for a profit, the products and services that satisfy a society's needs through the Internet is known as _____.

As a farmer, Gary Forsythe is familiar with the economics of perfect competition.How is the price at which he sells his corn determined?

Which of the following is not a feature of laissez-faire capitalism?

In a monopoly situation, there is no close substitute for a product or service.

The nationalization of key industries in countries such as Sweden and India is indicative of a(n) ____ economy.

Adam Smith argued that the creation of wealth is a concern of the government.

In our free-enterprise system, federal and state governments decide what products and services to provide.

____ is a loose, subjective measure of how well-off an individual or society is in terms of obtaining want-satisfying goods and services.

What led the way to a new set of problems for business in the mid-1970s?

A business provides goods and services in exchange for sales revenues.

Explain how an entrepreneur could use the factors of production to start a successful small business.

All of the following are material resources for Toyota except _____.

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

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Exam 1: Exploring the World of Business and Economics

In a monopolistic competition setting, how can a manufacturer differentiate their product from others?

If a firm's sales revenue exceeds its expenses, the firm has earned a profit.

When economists study the national economy or global economy, they are using a(n) ____ approach.

Which of the following represents the biggest customer of American business?

What is profit and why is it important to a business?

The organized effort of individuals to produce and sell, for a profit, the products and services that satisfy a society's needs through the Internet is known as _____.

As a farmer, Gary Forsythe is familiar with the economics of perfect competition.How is the price at which he sells his corn determined?

Which of the following is not a feature of laissez-faire capitalism?

In a monopoly situation, there is no close substitute for a product or service.

The nationalization of key industries in countries such as Sweden and India is indicative of a(n) ____ economy.

Adam Smith argued that the creation of wealth is a concern of the government.

In our free-enterprise system, federal and state governments decide what products and services to provide.

____ is a loose, subjective measure of how well-off an individual or society is in terms of obtaining want-satisfying goods and services.

What led the way to a new set of problems for business in the mid-1970s?

A business provides goods and services in exchange for sales revenues.

Explain how an entrepreneur could use the factors of production to start a successful small business.

All of the following are material resources for Toyota except _____.

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