College Bus- Test #1 (Ch. 1-6) Part 1

Brazil has experienced a reduction in the total value of its goods and services over the past year. This would most likely be reflected as a

• Decrease in Brazil's GDP

• Increase in Brazil's GDP

• Improvement in Brazil's trade balance

• Increase in Brazil's inflation rate

Do S Corporations offer protection against personal liability?

• Yes

• No

According to a typical supply curve, what happens to the quantity supplied when the price of a good decreases?

• It decreases

• It increases

• It remains the same

• It fluctuates randomly

A merger between a supplier and a company in the same industry is referred to as

• Conglomerate merger

• Vertical merger

• Horizontal merger

• Strategic merger

Which form of business ownership is characterized by limited liability and double taxation?

• Corporation

• Sole Proprietorship

• Partnership

• Limited Liability Company

Which of the following is NOT considered one of the factors of production?

• Land

• Labor

• Capital

• Deflation

Bankers often evaluate an entrepreneur's credit history when deciding on a business loan application

• True

• False

________ is a program that helps small businesses obtain financing through government-backed loans.

• SEC

• SBIC

• SCORE

• FASB

What does a typical demand curve illustrate?

• As the price of a good decreases, the quantity demanded increases

• As the price of a good increases, the quantity demanded remains constant

• As the supply of a good decreases, the quantity demanded increases

• As the supply of a good increases, the quantity demanded decreases

Which economic system prioritizes private ownership and market competition?

• Communism

• Capitalism

• Socialism

• Feudalism