BM 2 1.02

What are the resources used in producing goods and services called?

• Inputs

• Objectives

• Productivity

• Mass production

What term describes the amount and value of goods and services produced from a set amount of resources?

• Inputs

• Objectives

• Productivity

• Mass production

Janine wraps 52 gifts in an 8-hour shift. What is her productivity rate?

• 17.3 gifts per hour

• 2.2 gifts per hour

• 7.0 gifts per hour

• 6.5 gifts per hour

How can a business measure its productivity?

• Determining the time needed to gather inputs

• Calculating the total cost of inputs

• Dividing total sales revenue by the costs of making those sales

• Dividing the number of products made by the cost of distributing them

Why is the productivity of service businesses measured differently than that of manufacturing businesses?

• Service businesses are less efficient than manufacturers

• Manufacturers measure productivity more frequently

• Service businesses focus on the appropriateness of their products

• Manufacturers produce intangible goods

Why should productivity be measured?

• To see whether the business’s objectives are being met

• To locate new sources of inputs

• To determine the best ways to invest company profits

• To find new ways to meet customer needs

How does productivity positively affect a business?

• Helps determine the health of the national economy

• Increases sales and profits

• Increases the standard of living

• Stops inflation

How does increased business productivity benefit consumers?

• More goods and services become available, so prices go down

• More goods and services become available, so prices go up

• Costs of labor and prices increase, so inflation goes up

• The gross domestic product goes down, so inflation goes up

Gross domestic product per capita is a measure of:

• Everything a country produces within its borders

• Everything a country imports from foreign countries

• Everything a country exports

• The average worker’s productivity

What happens when there is a lack of standardization in a business?

• Employees don’t understand how to use a machine or tool

• Tasks and processes are done differently every time

• Products are complex and difficult to assemble

• Team members do not get along with each other