Exam 1: Exploring the World of Business and Economics

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

____ is a market situation (or industry)in which there are few sellers.

Which of the following statements does not describe the U.S.economy as we finish the first decade of the new millennium?

Rebekah is opening her own bakery.In order to bake the cookies,pie,cakes,and bread she will be selling,she will need money to purchase an oven,baking pans,various kitchen tools,thermometers,sugar,yeast,salt,flour,oil,milk,water,spices,and other ingredients.She will also need people to work in the business baking the goods,drivers to deliver them to the stores,accountants to keep track of the income and costs,and a computer with software to track how effectively she is using the ingredients.Which of the following best describes the resources used by Rebekah's bakery.

Command economies include capitalism,socialism,and communism.

Raw materials,buildings,and machinery are ____ resources.

George would like to start his own lawn maintenance business but is not quite sure where to begin or what to do to start a business.He has come to you for advice.What would you recommend for him to do?

A working knowledge of our business system combined with technical skills can give an applicant an advantage in looking for a job.

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.

Xavier and Yvette are discussing starting a business that will take little start-up capital but,nonetheless,meets the needs of customers.They have reviewed a variety of economic and business publications and found one business area that seems to fit their capital requirements.Businesses in this area employ 86 percent of the nation's workforce.They now just need to determine which specific type of business in this area they will open.What type of business will they open?

The equilibrium or market price exists when the supply of a product exceeds the amount that consumers are willing to purchase.

When did the U.S.government become more deeply involved in business than it had been previously?

Satellite Communications??Steven worked for Satellite Communications for twenty years.In the time that he worked there,he learned a lot about the company and how it operated.The company met its sales and revenue goals every year.However,most of the employees had similar educational and cultural backgrounds.He believed that the company could do much better if it cultivated an environment that promoted many different ideas.Additionally,Satellite Communications was mostly focused on how much revenue it earned in a given year.Steven felt that the most important goal should be to satisfy customers.He believed financial success would result from focusing on customers.??After a lot of consideration,Steven decided to open his own business called Universal Communications and hire employees that reflected a more diverse customer base.He was happy to have this opportunity because it was a dream that he had always had.He had always wanted to make his own decisions about what his company would produce and how.The only aspect of the business he was unsure of was pricing,yet he knew this would be important for his ultimate success. -Refer to Satellite Communications.When hiring people,Steven thinks it is important to consider

What resource tells the managers of a business how effectively the other three resources are being combined and used?

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

A person who risks his or her time,effort,and money to start and operate a business is called a(n)

Because of technology and the Internet,the use of information by business managers has increased.

Which of the following is not one of the four states included in a typical business cycle?

An example of a command economy is

Satellite Communications??Steven worked for Satellite Communications for twenty years.In the time that he worked there,he learned a lot about the company and how it operated.The company met its sales and revenue goals every year.However,most of the employees had similar educational and cultural backgrounds.He believed that the company could do much better if it cultivated an environment that promoted many different ideas.Additionally,Satellite Communications was mostly focused on how much revenue it earned in a given year.Steven felt that the most important goal should be to satisfy customers.He believed financial success would result from focusing on customers.??After a lot of consideration,Steven decided to open his own business called Universal Communications and hire employees that reflected a more diverse customer base.He was happy to have this opportunity because it was a dream that he had always had.He had always wanted to make his own decisions about what his company would produce and how.The only aspect of the business he was unsure of was pricing,yet he knew this would be important for his ultimate success. -Refer to Satellite Communications.Now that Steven plans to open his own business,he needs to look at the factors of production.Which of the following is not a factor of production?