1
bus110 Final Exam Questions and
Answers (100% Correct Answers)
Already Graded A+
1. The ability to produce a specific product at a
lower cost per unit than the cost at which any
other entity produces that good is called
comparative advantage. Ans: True
© 2025 Assignment
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2.The balance of trade is the total value of a
country's exports less the total value of its
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imports over some period of time. Ans: True
3.A policy of considering only nonminority
applicants for job openings is called reverse
discrimination. Ans: False
4.Free enterprise is a system of business in
which individuals decide what to produce and
how to produce it. Ans: True
5. Profit is the payment that business owners
receive for assuming the considerable risks of
ownership. Ans: True
6. In a command economy the consumer decides
(commands) what products will be produced.
Ans: False
, 2
7. The ultimate objective of every firm is to
satisfy the needs of all stakeholders. Ans: False
8. Stockholders are all of the people who are
affected by the policies and decisions made by a
company. Ans: False
9. An individual's income rate is a measure of
economic performance. Ans: False
© 2025 Assignment
Guru01 - Stuvia
10. The Sarbanes-Oxley Act is a government act
created to assist minority employees. Ans: False
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11. Taking an online course gives you ownership
utility Ans: False
12. A niche is a narrowly defined group of
potential customers with a fairly specific set of
needs. Ans: True
13. After identifying a group of potential
customers your next step is to find out what
they think of your product idea. Ans: True
14. Fixed costs are those that vary in total as the
quantity of goods sold changes but stay constant
on a per unit basis. Ans: False
, 3
15. A product concept describes what the
product looks like and how it might work. Ans:
True
16. To be protected from patent infringement in
several countries outside of the U.S. you have to
apply for a U.S. patent as well as an international
patent. Ans: False
© 2025 Assignment
17. Determining the quantity of products the
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company will produce is the first step in the
production process. Ans: True
Expert
18. Once you have forecasted the demand for a
product you can calculate the capacity
requirements of your production facility. Ans:
True
19. If a company is the only source of a
particular product or it can make more of a
product using the same amount of or fewer
resources than other counties we say that the
country has a comparative advantage in
economic terms. Ans: False
20. With penetration pricing a company tries to
cover its initial costs by setting the highest price
that interested customers will pay. Ans: False
bus110 Final Exam Questions and
Answers (100% Correct Answers)
Already Graded A+
1. The ability to produce a specific product at a
lower cost per unit than the cost at which any
other entity produces that good is called
comparative advantage. Ans: True
© 2025 Assignment
Guru01 - Stuvia
2.The balance of trade is the total value of a
country's exports less the total value of its
Expert
imports over some period of time. Ans: True
3.A policy of considering only nonminority
applicants for job openings is called reverse
discrimination. Ans: False
4.Free enterprise is a system of business in
which individuals decide what to produce and
how to produce it. Ans: True
5. Profit is the payment that business owners
receive for assuming the considerable risks of
ownership. Ans: True
6. In a command economy the consumer decides
(commands) what products will be produced.
Ans: False
, 2
7. The ultimate objective of every firm is to
satisfy the needs of all stakeholders. Ans: False
8. Stockholders are all of the people who are
affected by the policies and decisions made by a
company. Ans: False
9. An individual's income rate is a measure of
economic performance. Ans: False
© 2025 Assignment
Guru01 - Stuvia
10. The Sarbanes-Oxley Act is a government act
created to assist minority employees. Ans: False
Expert
11. Taking an online course gives you ownership
utility Ans: False
12. A niche is a narrowly defined group of
potential customers with a fairly specific set of
needs. Ans: True
13. After identifying a group of potential
customers your next step is to find out what
they think of your product idea. Ans: True
14. Fixed costs are those that vary in total as the
quantity of goods sold changes but stay constant
on a per unit basis. Ans: False
, 3
15. A product concept describes what the
product looks like and how it might work. Ans:
True
16. To be protected from patent infringement in
several countries outside of the U.S. you have to
apply for a U.S. patent as well as an international
patent. Ans: False
© 2025 Assignment
17. Determining the quantity of products the
Guru01 - Stuvia
company will produce is the first step in the
production process. Ans: True
Expert
18. Once you have forecasted the demand for a
product you can calculate the capacity
requirements of your production facility. Ans:
True
19. If a company is the only source of a
particular product or it can make more of a
product using the same amount of or fewer
resources than other counties we say that the
country has a comparative advantage in
economic terms. Ans: False
20. With penetration pricing a company tries to
cover its initial costs by setting the highest price
that interested customers will pay. Ans: False
