Business Essential Unit 2 Review

What are the basic economic questions?

• What products will be produced?

  How will products be produced?

  How will products be allocated?

• When will products be produced?

  How will products be produced?

  How will products be allocated?

To use resources wisely, business owners must reduce

• Risk

• Reward

• Waste

• Wages

In business terms, what is profit?

• A good investment

• A holiday bonus

• A monetary reward

• A risky venture

Who answers the basic economic questions in a private enterprise economic system?

• Government agencies

• Influential citizens

• Business & Individual

• Entrepreneurs & producer

Which one of the following groups of words best describes wants:

• Unlimited,changing, and competing

• Unlimited,unchanging, and compensating

Every business must accomplish which of the following

• Obtain venture

• Issue corporate bonds

• Trade or sell business assets/property

• Produce or provide goods/services

A large retailers feels that it has a duty to contribute to well-being of society so it’s donates a portion of its proceeds to a charity that helps the environment.The retailer is demonstrating

• E-tailing

• Wholesaling

• Social responsibility

• Voluntary chains

The basic role of the United States government is to

• protect U.S citizens

• maintain control of prices

• increase production

• limited business startups

Why are resources considering limited?

• Everyone has them,and they change

• There are not enough available for everyone to have as much of them as desired

• There are so many that people must decide which ones to choose at any one time

• Entrepreneur do not invest enough in them

The amount of money paid for raw materials and produts sold is called

• operating expense

• cost of goods

• net profit

• gross profit