BUS CH01 LT1 Vocab

_______ refers to the amount of goods and services people can buy with the money they have. The United States has one of the highest in the world.

_____is the chance an entrepreneur takes of losing time and money on a business that may not prove profitable.

Match the following

• intangible products such as education, heath care, insurance, recreation, and travel

• Services

• tangible products such as computers, food, clothing, cars, and appliances

• Goods

• Occurs when a business's expenses are more than its revenue

• Profit

• the total amount of money a business takes in during a given period by selling goods and services

• Revenue

• amount of money a business earns above and beyond what is spending for salaries/ other operations

• Loss

______ refers to the general well-being of a society in terms of its political freedom, natural environment, education, health care, safety, amount of leisure, and rewards that add to the satisfaction and joy that other goods and services provide.

Match the following

• contracting with other companies (or countries) to do some or all the functions of the business

• Nonprofit Organization

• all the people who stand to gain or lose by the policies and activities of a business.

• Insourcing

• contracting within the United States to do some or all the functions of the business

• Outsourcing

• whose goals do not include making a personal profit for its owners or organization

• Stakeholders

• people who use business principles to start and manage non-profits to help address social issues

• Social Entrepreneurs