1.1-1.2 Business Knowledge Quiz

What is one of the primary aims of businesses?

• To minimize employee numbers.

• To satisfy the needs and wants of individuals and other organizations by providing services or manufacturing products.

• To increase government revenue.

• To reduce operational costs.

How can a business be best defined?

• A non-profit organization focused on social causes.

• A decision-making organization established to produce goods and/or provide services.

• An informal group of individuals.

• A government regulatory body.

In the context of production factors, what does 'capital' refer to?

• Natural resources like water and timber.

• Labor and human resources.

• Any non-natural or manufactured resource used in the production process.

• Entrepreneurial skills.

Which department of a business is responsible for ensuring that the business has sufficient funds to conduct its daily operations?

• Human Resource Department.

• Marketing Department.

• Finance Department.

• Operations Department.

What resources do businesses need to combine in order to create goods and services?

• Only human and financial resources.

• Only physical and entrepreneurial resources.

• Human, financial, physical, and entrepreneurial resources.

• None of the above.

What is the primary focus of the marketing function in a business?

• Managing employee relations.

• Advertising the goods and services of the organization.

• Overseeing financial transactions.

• Developing manufacturing processes.

Which sector of the economy involves the extraction of raw materials, farming, fishing, forestry, and mining?

• Primary sector.

• Secondary sector.

• Tertiary sector.

• Quaternary sector.

What does the term "adding value" mean in business?

• Reducing the cost of production.

• Creating a product that is worth more than the total costs of the inputs used.

• Increasing the number of employees.

• Expanding the business into new markets.

What type of businesses are included in the tertiary sector of the economy?

• Businesses that extract raw materials.

• Manufacturing businesses.

• Businesses that provide services to individual customers and other businesses.

• Agricultural businesses.

What is the primary responsibility of the marketing department in a business?

• Managing the company's finances.

• Identifying and meeting the needs and wants of customers, usually for a profit.

• Overseeing production processes.

• Handling employee relations.