Business Management Final Exam Review - Part 1

The demand for a product refers to the number of similar products that will be offered for sale at a particular time and at a particular price.

• true
• false

With mass production, the cost of goods manufactured increases for each product made.

• true
• false

More managers are usually needed when workers are empowered.

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• false

The success of a business depends greatly on managerial effectiveness.

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• false

A code of ethics usually includes such issues as bribing government officials and using company property for personal use.

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• false

A business advances its own interests when it becomes involved socially.

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• false

The primary incentive for a business to produce goods or services in the U.S. is profit.

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• false

In a sole proprietorship, creditors have a legal claim to the business’s assets before the owner.

• true
• false

Businesses owned by one person usually have enough funds for emergency situations.

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• false

It is difficult to withdraw from a partnership.

• true
• false