POB 5.02

Countries whose governments provide citizens with free medical care, education, and other benefits often are referred to as which type of state?

• military
• capitalist
• consumer
• welfare

Which would customers need to present at the time of purchase to get money taken off the purchase price of the item?

• discount coupons
• rebate certificates
• refund checks
• sales receipts

In business terms, what is profit?

• a risky venture
• a good investment
• a holiday bonus
• a monetary reward

A major characteristic of a market economy is which type of ownership of property?

• monopolistic
• limited
• government
• private

When manufacturers give back part of the purchase price of an item to the customer, the manufacturers are engaged in:

• price fixing
• nonprice competition
• clearance sales
• offering rebates

When manufacturers give back part of the purchase price of an item to the customer, the manufacturers are engaged in:

• $368,730
• $232,420
• $471,350
• $523,820

Which is a problem associated with communist command economies?

• There is no competition.
• There are high taxes.
• Supply and demand control what will be produced.
• Individuals run the risk of losing their businesses.

A business selects goods or services to sell. Which type of risk is this business using?

• transferring risk
• controlling risk
• bypassing risk
• avoiding risk

A vendor is extending credit to the Jones Company in return for the Jones Company's agreement to use the vendor as the sole source of its supplies. What federal act is the vendor and the Jones Company violating?

• Celler-Kefauver Act
• Clayton Act
• Sherman Act
• Robinson-Patman Act

The basic role of the United States government is to:

• limit business startups.
• maintain control of prices.
• increase production.
• protect U.S. citizens.