BIZ: Unit 2 Recap

Which of the following best describes the concept of risk?

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

• The amount of money a business earns above and beyond what it pays out for salaries and expenses.

• The chance that Jackson, Sophia, or Isla takes of losing time and money on a business that may not be profitable.

Revenue is...

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

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

• the amount of money a business earns above and beyond what it pays out for salaries and expenses.

Profit is...

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

• the amount of money a business earns above and beyond what it pays out for salaries and expenses.

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

Which of the following statements is true for Mia, Elijah, and Oliver?

• Mia, Elijah, and Oliver must own a minimum of one share in a company's stock or mutual fund to make them partial owners and hence, shareholders of the company.

• Mia, Elijah, and Oliver are not allowed to own any shares in a company's stock or mutual fund in order to be shareholders of the company.

Internal stakeholders are people who are outside the business. For example, customers suppliers, creditors, etc.

• True

• False

A stakeholder mapping is a model that assesses the relative interest of stakeholders and their relative power (or influence) on a business.

• True

• False

Standard of living is 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.

• True

• False

Which of the following statements is true about the standard of living?

• Ethan, Liam, and Abigail can buy a lot of goods and services with their money.

• Ethan, Liam, and Abigail cannot buy any goods and services with their money.

Outsourcing is...

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

• contracting with other companies or people to do some functions of a firm, like production, etc.

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

Quality of life is...

• the general well-being of a society in terms of its freedom, etc. that add to the satisfaction.

• any activity that seeks to provide goods and services to others while operating at a profit.

• is the same as the standard of living.