Question 1

If a business's costs and expenses are greater than its revenue,it will suffer a loss.

Accepted Answer

A) True 
 B)False

Question 2

An increase in global trade will:

Accepted Answer

A)  increase prices. 
B)  decrease jobs. 
C)  increase political instability. 
D)  increase global competition. 
A)  increase prices. 
B)  decrease jobs. 
C)  increase political instability. 
D)  increase global competition.

Question 3

Corruption and illegal activities are expected in a capitalist system and can be beneficial.

Accepted Answer

A) True 
 B)False

Question 4

The new era of business is likely to be dominated by the:

Accepted Answer

A)  service sector. 
B)  information-based sector. 
C)  manufacturing sector. 
D)  continued decline in productivity. 
A)  service sector. 
B)  information-based sector. 
C)  manufacturing sector. 
D)  continued decline in productivity.

Question 5

The two main types of e-commerce are:

Accepted Answer

A)  online and offline. 
B)  EDI and EDC. 
C)  wholesale and retail. 
D)  B2B and B2C. 
A)  online and offline. 
B)  EDI and EDC. 
C)  wholesale and retail. 
D)  B2B and B2C.

Question 6

In order to compete well and gain market share,contemporary businesses are changing to be more ________________.

Accepted Answer

A)  customer-driven 
B)  cash-driven 
C)  management-driven 
D)  production-driven 
A)  customer-driven 
B)  cash-driven 
C)  management-driven 
D)  production-driven

Question 7

Risk is the chance an entrepreneur takes of losing time and money on a business that may not prove profitable.

Accepted Answer

A) True 
 B)False

Question 8

Maintaining a high quality of life requires the combined efforts of businesses,nonprofit organizations,and government agencies.

Accepted Answer

A) True 
 B)False

Question 9

Currently people between the ages of 45 and 54 are the richest group in the United States.

Accepted Answer

A) True 
 B)False

Question 10

Demographic trends suggest that businesses will benefit from offering flexible work schedules,eldercare,and childcare to help employees balance the demands of job and family.

Accepted Answer

A) True 
 B)False

Question 11

Women currently own less than ten percent of all businesses.

Accepted Answer

A) True 
 B)False

Question 12

Greg recently completed his college degree in construction management.He is heading to Mexico City to start a business developing apartment dwellings.After researching several potential areas,he chose Mexico City due to its high population.Greg felt that this factor would create a large labor pool,the most important of the five factors of production.

Accepted Answer

A) True 
 B)False

Question 13

__________ is the amount a business earns after deducting what it spends for salaries and other expenses.

Accepted Answer

A)  Profit 
B)  Revenue 
C)  Interest 
D)  Dividends 
A)  Profit 
B)  Revenue 
C)  Interest 
D)  Dividends

Question 14

Ross wants to invest some money that he just inherited.He found that his bank offers a savings account paying a guaranteed 3% rate of return.However,he would like to earn a higher return.Ross should keep in mind that to earn a higher return on his money he:

Accepted Answer

A)  will have to invest overseas. 
B)  should invest in a business that has a very stable and predictable rate of return. 
C)  will probably have to accept a higher level of risk. 
D)  will probably have to engage in illegal activities. 
A)  will have to invest overseas. 
B)  should invest in a business that has a very stable and predictable rate of return. 
C)  will probably have to accept a higher level of risk. 
D)  will probably have to engage in illegal activities.

Question 15

The number of businesses owned by Hispanics and Asians has:

Accepted Answer

A)  has decreased after the 9-11 terrorist attack. 
B)  slowly increased. 
C)  significantly increased. 
D)  remained relatively constant. 
A)  has decreased after the 9-11 terrorist attack. 
B)  slowly increased. 
C)  significantly increased. 
D)  remained relatively constant.

Question 16

In order to make an intelligent investment decision,entrepreneurs should:

Accepted Answer

A)  limit their options to those business investments that are backed by the U.S.government. 
B)  invest in businesses that have generated a stable rate of profit for at least the past ten years. 
C)  invest only in business opportunities where it is possible to take an active role in management. 
D)  compare the risks of potential investments to their expected profits and find the right balance between profit and risk. 
A)  limit their options to those business investments that are backed by the U.S.government. 
B)  invest in businesses that have generated a stable rate of profit for at least the past ten years. 
C)  invest only in business opportunities where it is possible to take an active role in management. 
D)  compare the risks of potential investments to their expected profits and find the right balance between profit and risk.

Question 17

Globalization has increased among nations.

Accepted Answer

A) True 
 B)False

Question 18

Health care,insurance,recreation and other intangible products are provided by the:

Accepted Answer

A)  global sector. 
B)  service industry. 
C)  industrial sector. 
D)  manufacturing industry. 
A)  global sector. 
B)  service industry. 
C)  industrial sector. 
D)  manufacturing industry.

Question 19

Maya is an engineer for Windy Ridge,Inc.a maker of wind turbines.Recently,a large company has shown interest in investing in this small operation.This is not surprising since firms that are creating products for alternative sources of energy are attracting the attention of governments and other businesses.

Accepted Answer

A) True 
 B)False

Question 20

A nation progresses socially when it has good schools,clean air and water,and more.Which of the following statements addresses conditions for social progress?

Accepted Answer

A)  Social progress will evolve when capital is apportioned to everyone in equal amounts. 
B)  A city,state,or nation's social progress needs the right business environment. 
C)  The foundation for social progress is a handful of wealthy entrepreneurs willing to spread the wealth. 
D)  Social progress can only improve when there is a strong labor pool to draw from. 
A)  Social progress will evolve when capital is apportioned to everyone in equal amounts. 
B)  A city,state,or nation's social progress needs the right business environment. 
C)  The foundation for social progress is a handful of wealthy entrepreneurs willing to spread the wealth. 
D)  Social progress can only improve when there is a strong labor pool to draw from.

If a business's costs and expenses are greater than its revenue,it will suffer a loss.

An increase in global trade will:

Corruption and illegal activities are expected in a capitalist system and can be beneficial.

The new era of business is likely to be dominated by the:

The two main types of e-commerce are:

In order to compete well and gain market share,contemporary businesses are changing to be more ________________.

Risk is the chance an entrepreneur takes of losing time and money on a business that may not prove profitable.

Maintaining a high quality of life requires the combined efforts of businesses,nonprofit organizations,and government agencies.

Currently people between the ages of 45 and 54 are the richest group in the United States.

Demographic trends suggest that businesses will benefit from offering flexible work schedules,eldercare,and childcare to help employees balance the demands of job and family.

Women currently own less than ten percent of all businesses.

__________ is the amount a business earns after deducting what it spends for salaries and other expenses.

Ross wants to invest some money that he just inherited.He found that his bank offers a savings account paying a guaranteed 3% rate of return.However,he would like to earn a higher return.Ross should keep in mind that to earn a higher return on his money he:

The number of businesses owned by Hispanics and Asians has:

In order to make an intelligent investment decision,entrepreneurs should:

Globalization has increased among nations.

Health care,insurance,recreation and other intangible products are provided by the:

A nation progresses socially when it has good schools,clean air and water,and more.Which of the following statements addresses conditions for social progress?

Understanding How Economics 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

Adapting Organizations to Todays Markets

Production and Operations Management

Motivating Employees

Human Resource Management: Finding and Keeping the Best Employees

Dealing With Employee-Management Issues and Relationships

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

Appendix A: Using Technology to Manage Information

Appendix B: Managing Risk

Filters

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

If a business's costs and expenses are greater than its revenue,it will suffer a loss.

An increase in global trade will:

Corruption and illegal activities are expected in a capitalist system and can be beneficial.

The new era of business is likely to be dominated by the:

The two main types of e-commerce are:

In order to compete well and gain market share,contemporary businesses are changing to be more ________________.

Risk is the chance an entrepreneur takes of losing time and money on a business that may not prove profitable.

Maintaining a high quality of life requires the combined efforts of businesses,nonprofit organizations,and government agencies.

Currently people between the ages of 45 and 54 are the richest group in the United States.

Demographic trends suggest that businesses will benefit from offering flexible work schedules,eldercare,and childcare to help employees balance the demands of job and family.

Women currently own less than ten percent of all businesses.

__________ is the amount a business earns after deducting what it spends for salaries and other expenses.

Ross wants to invest some money that he just inherited.He found that his bank offers a savings account paying a guaranteed 3% rate of return.However,he would like to earn a higher return.Ross should keep in mind that to earn a higher return on his money he:

The number of businesses owned by Hispanics and Asians has:

In order to make an intelligent investment decision,entrepreneurs should:

Globalization has increased among nations.

Health care,insurance,recreation and other intangible products are provided by the:

A nation progresses socially when it has good schools,clean air and water,and more.Which of the following statements addresses conditions for social progress?

Understanding How Economics 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

Adapting Organizations to Todays Markets

Production and Operations Management

Motivating Employees

Human Resource Management: Finding and Keeping the Best Employees

Dealing With Employee-Management Issues and Relationships

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

Appendix A: Using Technology to Manage Information

Appendix B: Managing Risk

Filters