College Bus- Semester 2 Final (Ch. 1-11, 13-20, App. D) Part 1

What type of policy would most likely support new startups?

• Higher tariffs on imported goods

• Increased subsidies for large corporations

• Reduced taxes and simplified regulations

• Stricter labor laws

Which of the following statements best describes the current competitive environment for companies?

• Companies that focus solely on product quality will dominate the market.

• Companies that ignore online sales channels will struggle to survive.

• Companies must balance high-quality products, excellent service, and competitive pricing to succeed.

• Companies that invest in employee empowerment will face significant challenges in the market.

Microeconomics focuses on ___________ while macroeconomics tries to explain ____________.

• the behavior of individual markets; the overall performance of the country's economy.

• the national unemployment rate; how individual consumers make decisions

• the prices of luxury goods; the prices of everyday items

• how market conditions determine the price of a specific product; the entire economic system

Jessica is thinking about preparing a power of attorney. This indicates that she wants to...

• hire a realtor to sell her home.

• appoint someone to make decisions on her behalf.

• eliminate the taxes on his estate when she dies.

• declare that her current will is invalid.

The Federal Reserve’s monetary policy tools include...

• setting the discount rate.

• collaborating with the International Monetary Fund.

• adjusting the federal funds rate.

• the buying and selling of government securities.

The Federal Reserve controls ______

• the U.S. money supply.

• the SEC.

• the World Bank.

• taxes and government spending.

What is the effect on member banks' lending ability when the Federal Reserve raises the reserve requirement?

• They will have fewer funds available for loans.

• They must increase their interest rates on loans.

• They need to hold more capital in reserve.

• They can lend more to small businesses.

An investment vehicle that combines funds from multiple investors to purchase a diversified portfolio of stocks is known as a ____.

• ETF

• hedge fund

• mutual fund

• index fund

Mary, an employee at Tech Solutions, has the option to invest her pre-tax income in a

company-sponsored retirement plan. Her employer matches 75% of her contributions.

This type of plan is known as a:

• 401(K) plan

• Roth IRA

• Traditional IRA

• Keogh Plan

By purchasing bonds in XYZ Corp, John has become a[n] __the company.

• lender to

• owner of

• general partner of

• venture capitalist in