Intro to Business Chapter 2 Economic Activity

In business terms, what is a profit?

• a risky venture

• a holiday bonus

• a monetary reward

• a smart investment

A local dry cleaner that also launders and presses shirts is selling

• industrial supplies

• tangible items

• consumer services

• specialty services

For a business, positive income remaining after payment of expenses is

• loss.

• nothing.

• profit.

• debt.

Which of the following is a natural resource that can be renewed through people's efforts

• water

• trees

• mineral deposits

• crude oil

In a private enterprise economic system, the interaction of supply and demand primarily determines

• confusion.

• the price of the products being sold.

• the extent of pollution.

• government regulation.

2. Scarcity deals with issues concerning the everyday consumer and national issues. 

• True
• False

3. Scarcity does NOT deal with decisions about resources. 

• True
• False

5. How many factors of production are there?

• a. 1
• b. 2
• c. 3
• d. 4

6. An Entrepreneur is NOT a business person.

• True
• False

7. How many different types of economies are there, according to your book?

• 4

• 3

• 8

• 367