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Other Measures Of Business Activity
Test Description: Review for First Semester Final
Instructions: Answer all questions to get your test result.
1) Money spent by a business for an item that will be used over a long period
A
capital projects
B
capital equipment
C
Capital spending
D
capital research
2) Represents ownership in a corporation.
A
Bond
B
Note
C
CD
D
Stock
3) represents a DEBT for an organization
A
Bond
B
Credit Card
C
Gift Card
D
Stock
4) Our government currently has a
A
Budget Deficit
B
Profit
C
Budget Surplus
D
National Debt
5) When a government spends less than it takes in, it is called a
A
Miracle
B
Budget Deficit
C
Budget Surplus
D
Crisis
6) Common borrowing methods of a business are
A
loans
B
All of the above
C
mortgages
D
bonds
7) People commonly use the following to finance their purchases
A
credit cards
B
home mortgages
C
All of the above
D
auto loans
8) The total amount owed by the federal government is the
A
National Debt
B
Budget Surplus
C
Consumer Debt
D
Budget Deficit
9) Equity refers to
A
increased government taxes
B
reduced spending by government
C
ownership in a company or other asset
D
borrowing to finance a capital project
10) Which of the following would most likely cause a budget surplus for government?
A
lower taxes
B
higher spending
C
higher borrowing
D
lower spending
*select an answer for all questions
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