Topic 1

Which of the following best defines a business?

• A non-profit organization providing volunteer services

• An economic activity that involves the production, distribution, and exchange of goods and services

• A government body that regulates laws

• A financial institution for saving money

Needs are different from wants because needs are:

• Only available in stores

• Luxury items we desire

• Essential for survival like food and shelter

• Unnecessary for daily life

Which of the following is an example of a capital good?

• A smartphone

• A washing machine

• A delivery van used by a company

• A packet of chips

True or False: Revenue is calculated as Revenue = Profit - Expenses.

• True

• False

Match the business function to its primary responsibility:

• 1-Demand generation, 2-Product delivery, 3-Employee management, 4-Budgeting

• 1-Inventory, 2-Promotion, 3-Product design, 4-Training

• 1-Financial records, 2-Recruitment, 3-Supply chain, 4-Customer service

• 1-Customer service, 2-Marketing, 3-Product testing, 4-Procurement

Which of the following is an external stakeholder?

• Employee

• Manager

• Shareholder

• Customer

Which market structure is characterized by many sellers offering similar but slightly differentiated products?

• Monopoly

• Oligopoly

• Perfect Competition

• Monopolistic Competition

Identify the socio-cultural factor from the list below:

• Changes in taxation

• Automation in factories

• Health-conscious consumer trends

• Online banking laws

Which of these is NOT part of the four factors of production?

• Land

• Labor

• Profit

• Entrepreneurship

True or False: In an oligopoly, a few large firms dominate the market and influence prices.

• True

• False