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Unit 1 Business Management - Economic Conditions

Total questions: 11

Worksheet time: 6mins

Name
Class
Date
1.

Influences that relate to the economic activity in a country, region or the world refer to

a)

Economic components

b)

Economic countries

c)

Economic conditions

d)

Economic counterpart

2.

How many phases are there in the business cycle

a)

5

b)

4

c)

6

d)

3

3.

Expansion is what stage in the business cycle

a)

4

b)

3

c)

3

d)

1

4.

If wages and salaries are high and business is operating at full capacity then you are at what stage of the business cycle?

a)

Expansion

b)

Contraction

c)

Peak

d)

Trough

5.

The price charged or paid for the use of money is called...

a)

the exchange rate

b)

the lending rate

c)

the interest rate

d)

the tax rate

6.

The percentage of income or the value of a good or service is called

a)

GST

b)

the interest rate

c)

the tax rate

d)

mark up

7.

In a recessionary cycle there is

a)

evidence of an expanding economy

b)

businesses will increase production

c)

increased spending will create profits

d)

a degree of cost cutting

8.

When the Economy is in a recessionary cycle what is not true

a)

evidence of an expanding economy

b)

evidence of a contracting economy

c)

cost cutting

d)

consumers are more cautious

9.

What is happening in the Peak stage of the business cycle?

a)

wages and salaries high

b)

increased consumer spending

c)

unemployment falling

d)

decreasing business investment

10.

What is happening in the trough stage of the business cycle

a)

business operating at full cycle

b)

sales and profits rising

c)

sales and profits falling

d)

sales and profits at lowest levels

11.

What is not happening in the trough stage

a)

business operating at below capacity

b)

sales and profits at lowest level

c)

consumer spending at lowest levels

d)

low levels of unemployment