BUIS1301 final exam study guide| 103
QUESTIONS| WITH COMPLETE SOLUTIONS
In a socialist economy, Correct Answer: competition is restricted in major industries
What was the first country to make strong economic gains by adopting capitalist approaches to
business? Correct Answer: China
Which of the following is true regarding an oligopoly? Correct Answer: Prices charged by
different firms stay fairly close because a price cut or increase by one company will trigger a
similar response from another company
____ is an economic system in which the government owns and operates basic industries Correct
Answer: socialism
Which of the following is true of product availability in a communist system Correct Answer:
consumers have a limited choice of goods and services
What is associated with a decline in spending? Correct Answer: economic contraction
When there is only one business providing a product in a given market, there exists Correct
Answer: a monopoly
who set up the first American textile factory after he memorized plans for an English factory and
emigrated to the United States Correct Answer: Samuel Slater
What is an example of an intangible product? Correct Answer: a music concert
Rachel is living on a fixed income since her retirement. She is worried that the economy is
expanding too rapidly, which could result in Correct Answer: inflation
A(n) ____ describes how a particular society distributes its resources to produce goods and
services Correct Answer: economic system
All of the following are true of workplace diversity EXCEPT Correct Answer: decreases the
financial performance of companies
_____ is the number of products that businesses are willing to sell at different prices at a specific
time Correct Answer: supply
An entrepreneur has been primarily associated with the willingness to Correct Answer: take
risks
, ___ is the prices at which the number of products that businesses are willing to supply equals the
number of products consumers are willing to purchase at a point in time Correct Answer:
equilibrium price
_____ is an element of the management activity in a business Correct Answer: operations
advertising, personal selling, coupons, and sweepstakes are forms of the _____ aspect of
marketing activities Correct Answer: promotion
When a business fails or does not make a profit, ___ have the most to lose in terms of finances
Correct Answer: owners
a firm's ____ resources are also known as labor Correct Answer: human
abusive behavior is difficult to asses and manage because of Correct Answer: diversity in
culture and lifestyle
Employees expect businesses to Correct Answer: keep them informed of what is happening in
the company
what is true about business ethics Correct Answer: ethical issues are not limited to for-profit
organizations
businesses must first be responsible to their _____, who are primarily concerned with earning a
profit Correct Answer: owners
What is true about bullying? Correct Answer: although sexual harassment has legal recourse,
bullying has little legal recourse at this time
What is associated with a hostile workplace when a person or group is targeted and is threatened,
belittled, verbally abused, or overly criticized? Correct Answer: bullying
Studies have found a direct relationship between social responsibility and ______ in business
Correct Answer: profitability
Insider Trading Correct Answer: the buying or selling of stocks by insiders who possess
material that is still not public
The warning on cigarette packages about the health implications of smoking is an example of
Correct Answer: communications
Being profitable relates to the _____ dimension of social responsibility Correct Answer:
economic
one of the most difficult things for a business to restore after an ethics scandal is Correct
Answer: trust
QUESTIONS| WITH COMPLETE SOLUTIONS
In a socialist economy, Correct Answer: competition is restricted in major industries
What was the first country to make strong economic gains by adopting capitalist approaches to
business? Correct Answer: China
Which of the following is true regarding an oligopoly? Correct Answer: Prices charged by
different firms stay fairly close because a price cut or increase by one company will trigger a
similar response from another company
____ is an economic system in which the government owns and operates basic industries Correct
Answer: socialism
Which of the following is true of product availability in a communist system Correct Answer:
consumers have a limited choice of goods and services
What is associated with a decline in spending? Correct Answer: economic contraction
When there is only one business providing a product in a given market, there exists Correct
Answer: a monopoly
who set up the first American textile factory after he memorized plans for an English factory and
emigrated to the United States Correct Answer: Samuel Slater
What is an example of an intangible product? Correct Answer: a music concert
Rachel is living on a fixed income since her retirement. She is worried that the economy is
expanding too rapidly, which could result in Correct Answer: inflation
A(n) ____ describes how a particular society distributes its resources to produce goods and
services Correct Answer: economic system
All of the following are true of workplace diversity EXCEPT Correct Answer: decreases the
financial performance of companies
_____ is the number of products that businesses are willing to sell at different prices at a specific
time Correct Answer: supply
An entrepreneur has been primarily associated with the willingness to Correct Answer: take
risks
, ___ is the prices at which the number of products that businesses are willing to supply equals the
number of products consumers are willing to purchase at a point in time Correct Answer:
equilibrium price
_____ is an element of the management activity in a business Correct Answer: operations
advertising, personal selling, coupons, and sweepstakes are forms of the _____ aspect of
marketing activities Correct Answer: promotion
When a business fails or does not make a profit, ___ have the most to lose in terms of finances
Correct Answer: owners
a firm's ____ resources are also known as labor Correct Answer: human
abusive behavior is difficult to asses and manage because of Correct Answer: diversity in
culture and lifestyle
Employees expect businesses to Correct Answer: keep them informed of what is happening in
the company
what is true about business ethics Correct Answer: ethical issues are not limited to for-profit
organizations
businesses must first be responsible to their _____, who are primarily concerned with earning a
profit Correct Answer: owners
What is true about bullying? Correct Answer: although sexual harassment has legal recourse,
bullying has little legal recourse at this time
What is associated with a hostile workplace when a person or group is targeted and is threatened,
belittled, verbally abused, or overly criticized? Correct Answer: bullying
Studies have found a direct relationship between social responsibility and ______ in business
Correct Answer: profitability
Insider Trading Correct Answer: the buying or selling of stocks by insiders who possess
material that is still not public
The warning on cigarette packages about the health implications of smoking is an example of
Correct Answer: communications
Being profitable relates to the _____ dimension of social responsibility Correct Answer:
economic
one of the most difficult things for a business to restore after an ethics scandal is Correct
Answer: trust
