Study Guide: Chapter 5 – Business Organization

The most important role of businesses is to:

• Provide employment opportunities

• Support government funding

• Earn profits for owners

• Produce and distribute goods and services

A contingent worker is one who:

• Receives full-time benefits

• Has a long-term employment contract

• Works without a long-term contract

• Owns stock in a company

Which of the following is a producer?

• Retailer

• Dentist

• Manufacturer

• Wholesaler

Which of the following is an intermediary?

• Extractor

• Manufacturer

• Farmer

• Retailer

Which of the following is a service business?

• Car manufacturer

• Grocery store

• Bank

• Clothing distributor

Which group has dominated the labor force since the 1960s?

• Gen Z

• Baby boomers

• Millennials

• Generation X

Over the next ten years, the number of contingent workers is expected to:

• Stay the same

• Decrease by half

• Increase

• Disappear

All businesses perform which basic activity?

• Export products

• Invest in stock markets

• Pay dividends

• Buy goods and services

Which of the following business types is considered a producer?

• Extractor

• Retailer

• Service business

• Franchise

Service jobs typically:

• Are the highest paying jobs in the U.S. economy

• Require more education than other roles

• Make up the smallest portion of the labor force

• Pay lower wages than manufacturing or professional jobs