BC2 - Chapter 1 Review

The equilibrium price is represented by the point where a product’s supply and demand curves intersect.

• True
• False

________ is the primary goal of business.

• Service
• Profit
• Innovation
• Quality
• Strategy

Businesses differ from nonprofit organizations in that a business's focus is on

• profit.
• goods.
• price.
• charity.
• fund-raising.

Which of these is an intangible product?

• a movie DVD
• a kitten
• perfume
• a music concert
• jewelry

Vidor hired an attorney to help him draft a purchase and sale agreement for his new home. The home is an example of a product that is a(n)

• idea.
• service.
• tangible item.
• process.
• intangible good.

Which of these is a tangible product?

• an automobile
• a movie viewing
• a haircut
• a music concert
• a business conference

Which statement regarding nonprofit organizations is accurate?

• They provide services but not goods.
• They have a responsibility to shareholders to earn money.
• They have the fundamental goal of growing market share.
• They utilize skills related to management, marketing, and finance.
• They do not include social causes.

All the groups that have an interest in an organization's success and outcomes are known as the organization's

• agencies.
• stakeholders.
• owners.
• investors.
• shareholders.

When a business fails or does not make a profit, ________ have the most to lose in terms of finances.

• consumers
• media agencies
• government bodies
• owners
• accountants

A firm's ________ resources are also known as labor.

• economic
• human
• intangible
• financial
• natural