wayground logo

Free Printable Worksheets

NEW

Font size

S
M
L
XL
Worksheets

Chapter 5 - Free Enterprise System

Total questions: 27

Worksheet time: 12mins

Name
Class
Date
1.

Starting your own company can be considered a type of business risk.

a)

True

b)

False

2.

A federal judge declared Microsoft Windows operating system, a monopoly.

a)

True

b)

False

3.

____________ competition, businesses choose to compete on the basis of factors that are not related to price.

a)

Nonprice

b)

Price

c)

Cash

d)

Credit

4.

Anthony purchased a ticket to the upcoming football game for $300. Anthony decided to sell his ticket for $550. Anthony just gained a _______________ by making $250 from the sale.

a)

Trade

b)

Demand

c)

Profit

d)

Loss

5.

The amount of goods producers are willing to make and sell is which of the following?

a)

Demand

b)

Business Risk

c)

Profit

d)

Supply

6.

The price of a movie ticket goes from $7 to $8.50. What should happen to the demand for this movie ticket?

a)

Go Up

b)

Go Down

c)

Demand will stay the same

7.

What does the term "business risk" mean?

a)

Any potential for failure

b)

Any potential for gain

c)

Any potential to not move at all

8.

When you own the rights to an item or idea you have a ______________ on it.

a)

Copyright

b)

Trademark

c)

Patent

d)

Profit

9.

These are an example of ___________.

a)

Copyright

b)

Patent

c)

Trademark

d)

Monopoly

10.

Business ownership by ordinary people, not the government is which of the following?

a)

Competition

b)

Private Enterprise

c)

Public Enterprise

d)

Free Trade

11.

Which of the following is a synonym for surplus?

a)

Excess

b)

Oversupply

c)

Extra

d)

All Selection are Correct

12.

As prices increase, demand increases.

a)

True

b)

False

13.

As prices increase, supply increases.

a)

True

b)

False

14.

Price competition involves competing with a lower price.

a)

True

b)

False

15.

Nonprice competition does not involve special services and reputation.

a)

True

b)

False

16.

The free enterprise system means companies have freedom to own, to compete, to profit and to risk.

a)

True

b)

False

17.

When the amount of a product supplied is equal to the amount the is demanded, a state of __________________ exists.

a)

Panic

b)

Pressure

c)

Equilibrium

d)

Stand Off

18.

Shoes Inc. has their main factory for distribution in the U.S.A, they also only sell their products in the U.S.A. What type of business does Shoe Inc. do?

a)

Global

b)

Private

c)

Industry

d)

Domestic

19.

Apple Inc. sells their products all over the world, this makes them a ______________ business.

a)

Domestic

b)

Public

c)

Global

d)

Finance

20.

A ________________ seeks to make a profit from its operations.

a)

Nonprofit Organization

b)

For-Profit Organization

c)

Public Sector

d)

Private Sector

21.

When business is not associated with government agencies it is known as a __________________.

a)

Public Sector

b)

Nonprofit Organization

c)

Private Sector

d)

For Profit Organization

22.

An industry consists of a group of establishments primarily engaged in producing or handling the same product or group of products.

a)

True

b)

False

23.

Government financed agencies are ____________________.

a)

Public Sector

b)

Private Sector

c)

Derived Demand

d)

Retailers

24.

____________________ obtain goods from manufactures and resell them to organizational users.

a)

Retailers

b)

Wholesalers

c)

Production

d)

Industry

25.

__________________ buy goods from wholesalers or directly from manufacturers and resell them to the consumers.

a)

Wholesalers

b)

Non Profit Organization

c)

Profit Organization

d)

Retailers

26.

An example of a public service is which of the following?

a)

School

b)

Library

c)

Police Station

d)

All Answers Are Correct

27.

Why do wholesalers generally refuse to sell to individual consumers?

a)

Wholesalers only sell goods in large quantities.

b)

Wholesalers are picky who they sell to.

c)

Wholesalers do not sell goods or services to anyone but their employees.

d)

Wholesalers do not have enough product to meet demand.