Principles Of Business - Mid Term Review - Fall 2014 Question Preview (ID: 21133)


Mid Term Review. TEACHERS: click here for quick copy question ID numbers.

In a _____________ the resources are owned and controlled by the people.
a) command economy
b) traditional economy
c) market economy
d) mixed economy

Market price is determined by all of the following except _______________.
a) opportunity cost
b) competition
c) demand
d) supply

The primary reason why businesses invest resources and take risks is to ______________.
a) provide jobs
b) improve their products
c) produce goods and services
d) earn a profit

The easiest form of a business to start is a
a) corporation
b) proprietorship
c) partnership
d) nonprofit group

Profit is __________________________________________________.
a) the money made after the sale of a product
b) the money made after taxes are paid
c) the money left from sales after all of the costs of operating a business have been paid
d) the rivalry among businesses to sell goods and services

Max has two hours before having to go to his part-time job. He is deciding between picking vegetables from his garden or taking a nap. If Max chooses to take a nap, the opportunity cost of his decision is
a) the rest that he is getting
b) the wages from his part-time job
c) the vegetables could rot
d) none of the above

The management team for Apple is considered what type of resource for that company?
a) human resources
b) natural resources
c) capital resources
d) unlimited resources

________ is a period in which demand begins to decrease, businesses lower production, unemployment begins to rise, and GDP growth slows for two or more quarters of the calendar year.
a) Depression
b) Deflation
c) Recession
d) Recovery

The basic economic problem is
a) too much control by government.
b) too many needs; not enough resources.
c) the value of the next best alternative that you were not able to choose.
d) high unemployment.

An increase in the general level of prices.
a) market price
b) opportunity cost
c) inflation
d) deflation

If I had to choose to go eat pizza with friends or study for an exam and I chose to go with friends. The ________________ would be that I may not do well on my exam.
a) economic problem
b) trade off
c) opportunity cost
d) deflation rate

Which style of management is best to use when: managing a group of new employees who don't have any relevant job experience?
a) tactical
b) strategic
c)
d)

The following standards should all be met when thinking of ethical behavior in the office EXCEPT:
a) it should be lawful.
b) it should follow the company's values and policies.
c) it should make money.
d) it should not be an embarrassment to the company if the actions were to become public.

The way people get along with each other is called _____________.
a) human resources
b) human relations
c) core values
d) ethical behavior

Who decides the supply in the market?
a) consumers
b) producers
c) government
d) corporations

Who decides the demand for products?
a) Consumers
b) Producers
c) Government
d) Corporations

Cuba and North Korea are examples of this type of government
a) traditional
b) command
c) market
d) capitalism

The period where unemployment is highest in the business life cycle is _______.
a) recession
b) depression
c) recovery
d) prosperity

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