Chapter 5 -Business Operations

The production process of getting goods to consumers usually requires only one business.

• True
• False

Marketing activities add value to a product.

• True
• False

Building a specific, unique product for one customer is called processing.

• True
• False

What effect does a new business  have on a community?

• It has multiple benefits.
• It profits only the new business.
• Other businesses are not affected.
• Few resources are needed.

Changing something from one form to another so it can be consumed or used to make something else is known as

• extracting
• processing
• marketing
• evolution

Getting the product from the producer into the hands of the consumer is just one function of

• extracting
• processing
• marketing
• manufacturing

Businesses keep records for which of the following reasons?

• to determine how successful or unsuccessful they are
• to provide a basis for management decisions
• to supply information required by law
• all of the above

A business that takes natural resources and converts them to consumer goods is a

• manufacturer
• extractor
• marketer
• wholesaler

A business that moves goods from producer to consumer is a

• manufacturer
• marketer
• extractor
• government agency

Which of the following is a function performed by all businesses?

• generating ideas
• raising capital
• keeping records
• all of the above