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WorksheetsIntro to Business: Ch. 5 Review
Total questions: 30
Worksheet time: 15mins
Name
Class
Date
1.
The largest number of U.S. businesses have no employees other than the owner.
a)
True
b)
False
2.
All businesses make products.
a)
True
b)
False
3.
When a large business opens in an area, other businesses often will locate there to support the larger business.
a)
True
b)
False
4.
Only very large businesses can become corporations.
a)
True
b)
False
5.
Many businesses fail in their first year of operation.
a)
True
b)
False
6.
Most businesses use a functional organization structure.
a)
True
b)
False
7.
About what percentage of U.S. businesses employ more than 100 workers?
a)
less than 1%
b)
5%
c)
20%
d)
35%
8.
Every business performs all of the following activities EXCEPT
a)
maintaining business records
b)
manufacturing products
c)
raising capital
d)
buying goods and services
9.
Which of the following type of business is NOT a producer?
a)
pharmacy
b)
appliance factory
c)
coal mine
d)
chicken farm
10.
Which major category of business is the fastest-growing in the U.S. economy?
a)
producer
b)
manufacturer
c)
intermediary
d)
service business
11.
Business activities start with
a)
service businesses
b)
producers
c)
intermediaries
d)
marketers
12.
Of the MAJOR forms of business ownership in the US, the most difficult to form is a
a)
partnership
b)
franchise
c)
corporation
d)
proprietorship
13.
A written legal document defining ownership and operating procedures and conditions for a corporation is called the
a)
corporate code of ethics
b)
partnership agreement
c)
articles of confederation
d)
articles of incorporation
14.
Which of the following would typically NOT be specified in a partnership agreement?
a)
the business name
b)
the number of hours per week the business will operate
c)
the amount of investment of each partner
d)
the level of authority each partner has
15.
The people who make the major policy and financial decisions for a corporation are called the
a)
stockholders
b)
owners
c)
board of directors
d)
partners
16.
A unique business organized by two or more other businesses to operate for a limited time and for a specific project is called a
a)
joint venture
b)
limited liability partnership
c)
limited liability company
d)
nonprofit corporation
17.
A(n) ___ is a written contract granting permission to operate a business to sell products and services in a set way.
a)
license
b)
cooperative agreement
c)
partnership agreement
d)
franchise
18.
A precise statement of results a business expects to achieve is a
a)
mission statement
b)
goal
c)
policy
d)
procedure
19.
The right to make decisions about how responsibilities should be achieved is called
a)
liability
b)
span of control
c)
accountability
d)
authority
20.
Employees of a company are frequently confused about their assignments, and many employees are unclear about who they report to. The company does not seem to provide an adequate
a)
mission statement
b)
span of control
c)
unity of command
d)
matrix structure
21.
A major advantage of a functional organization structure is that
a)
people work with others who have the same skills
b)
all of the people with similar jobs will be paid the same salary
c)
people working in one function have little interaction with people in other parts of the business
d)
people often become more focused on their special function than on the success of the business as a whole.
22.
A(n) _____ worker is one who has no explicit or implicit contract for a long-term employment.
a)
contingent
b)
intermediary
c)
limited
d)
cooperative
23.
___ activities are directed at providing the goods and services wanted by a business's customers.
a)
marketing
b)
intermediary
c)
limited
d)
corporation
24.
____ are businesses involved in selling the goods and services of producers to consumers and other businesses.
a)
Intermediaries
b)
cooperative
c)
limited
d)
proprietorship
25.
A(n) ____ is a business owned and run by just one person.
a)
proprietorship
b)
partnership
c)
intermediary
d)
corporation
26.
A business formed as a(n) ____ is a separate legal entity formed by documents filed with the state.
a)
corporation
b)
partnership
c)
proprietorship
d)
intermediary
27.
In a(n) ___ corporation, all income is passed through to the owners based on their investment and is taxed on their individual tax returns.
a)
s
b)
mission
c)
matrix
d)
limited
28.
A(n) ____ statement is a short, specific written statement of the reason a business exists and what it wants to achieve.
a)
mission
b)
policy
c)
procedure
d)
command
29.
____ are guidelines used in making consistent decisions.
a)
policies
b)
procedures
c)
mission statements
d)
bylaws
30.
In a(n) _____ organizational structure, work is structured around specific projects, products, or customer groups.
a)
matrix
b)
functional
c)
limited
d)
cooperative
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