Introduction to Business Concepts Quiz

Businesses exist to

• Solve problems and provide solutions

• Make a profit

• Meet the needs of customers

• All of the above

Which of the following best describes a business?

• A government entity that enforces laws

• An organization that provides goods and services in exchange for money

• A charity that helps people in need

• A group of people who work for free

____________ is the term for the money a business brings in.

• Revenue

• Expense

• Liability

• Equity

____________ is the term for the money a business pays out.

• Expense

• Revenue

• Asset

• Profit

____________ is the term for the money a business has left after paying all expenses.

• Profit

• Revenue

• Loss

• Capital

The goal is for a business to operate so that it always makes a ________________.

• Profit

• Loss

• Debt

• Mistake

Which of the following is not a reason why businesses exist?

• Provide products and services to people

• Create jobs and provide income

• Help the government with new regulations

• Impact the community and the economy

The United States economy is currently dominated by businesses in the ____________ sector.

• Service

• Agricultural

• Manufacturing

• Technology

Individuals or groups who have an interest in a business and are affected by its decisions are called

• Stakeholders

• Customers

• Employees

• Investors

Why are customers important to a business?

• They create business policies

• They provide feedback and revenue

• They manage employees

• They monitor a company’s finances