Chapter 1 Review Quiz

A task that is performed for a fee and consumed at the time of purchase is called:

• Product

• Service

• Market

• Good

The value of the next best choice you give up when making a decision is known as:

• Scarcity

• Opportunity Cost

• Trade-Off

• Finance

The process of promoting and selling products by understanding and meeting customer needs while earning a profit is called:

• Management

• Marketing

• Finance

• Production

Giving up one option in order to gain another is called:

• Scarcity

• Opportunity Cost

• Trade-Off

• Surplus

Activities related to creating or making a product are called:

• Production

• Finance

• Marketing

• Management

Anything that can be bought or sold, including goods and services, is called a:

• Good

• Service

• Product

• Market

The type of economy where individuals are free to make their own economic decisions is called:

• Traditional economy

• Market economy

• Command economy

• Mixed economy

An individual or group who buys a product is called a:

• Market

• Consumer

• Customer

• Producer

The process of controlling and making decisions for a business is called:

• Production

• Marketing

• Management

The type of economy where the government makes all the economic decisions is called:

• Traditional economy

• Market economy

• Command economy

• Mixed economy