Unit 1, AOS 2 review

What are the different types of environments in which a business operates?

• Internal

• Macro

• Micro

• External

What is a sole trader?

• A business owned by two or more people who share profits and losses.

• A business owned by a single individual who is responsible for all aspects of the business.

• A business owned by a corporation or company with shareholders.

• A business that operates under a franchise agreement.

A Government Business Enterprise (GBE) operates with the primary goal of providing services to the public, not making a profit.

• True
• False

What is the main difference between a direct-to-consumer business and a bricks-and-mortar business?

• Direct-to-consumer businesses only sell online, while bricks-and-mortar businesses only sell in stores.

• Direct-to-consumer businesses sell products through third-party retailers, while bricks-and-mortar businesses sell directly to consumers.

• Direct-to-consumer businesses sell directly to consumers, while bricks-and-mortar businesses operate from physical stores.

• Direct-to-consumer businesses sell through physical stores, while bricks-and-mortar businesses sell online.

Which of the following are characteristics of an importer? (Select all that apply)

• Brings goods or services from foreign countries into their own country.

• Sells products directly to consumers in the local market.

• Manufactures goods within their own country.

• Engages in the trade of goods with international suppliers.

Purchasing an existing business allows the buyer to avoid the risks associated with starting a new business from scratch.

• True
• False

Which of the following is an example of each type of resource?

• Natural resources: Timber, coal, water.

• Labour resources: Factory workers, teachers, doctors.

• Capital resources: Machinery, tools, buildings.

• All of the above.

Which of the following best describes a shopping strip?

• A small cluster of shops located along a street or road, typically with limited parking.

• A large indoor complex with multiple levels of shops and entertainment.

• A business that sells products or services exclusively through a website.

• A residential home-based business

2. What is a key difference between home businesses and online businesses?

• 2. Home businesses operate primarily from a residential location, while online businesses only sell through physical stores.

• 2. Home businesses sell products or services online, while online businesses do not use the internet.

• 2. Home businesses operate from a residential location, while online businesses operate primarily through websites.

• 2. Home businesses are larger in scale compared to online businesses.

Which of the following are characteristics of debt capital? (Select all that apply)

• It involves borrowing money that must be repaid with interest.

• It refers to the funds raised by issuing shares of stock.

• It is typically provided by financial institutions or investors.

• It does not require ownership or control of the business in return.