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WorksheetsPractice Material: FOR EOC
Total questions: 70
Worksheet time: 1hrs 2mins
Name
Class
Date
1.
What does this graph show?
a)
Shortage
b)
Surplus
c)
Supply Table
d)
Equilibrium
2.
If a price floor was set at 320, what quantity would be purchased?
a)
20
b)
40
c)
60
d)
80
3.
An Increase in Supply or a shift of the supply curve to the right occurs when:
a)
A rise in input costs happens
b)
If Government pays subsidies for a good.
c)
If producers expect the price to fall in the future.
d)
If government regulates a good.
4.
An effective price floor must be set above equilibrium, resulting in:
a)
a shortage
b)
a surplus
c)
limited choices
d)
None of the above
5.
What is the supply with a price floor of $60?
a)
50
b)
100
c)
150
d)
200
6.
What is the result of the government implementing a price floor of $60
a)
There would be a shortage of 100 since it is cheaper for consumers
b)
There would be a surplus of 100 because it is more expensive for consumers
c)
There would be a shortage of 100 because it is assisting the suppliers
d)
There would be a surplus of 100 because it is beneficial to consumers
7.
If the government set the price at $700, would that be a price ceiling or floor?
a)
Price Ceiling
b)
Price Floor
c)
Neither
8.
Which of the following is the definition for sole proprietorship
a)
business investment that involves renting or leasing another successful business model
b)
unincorporated business owned and run by a single person who has rights to all profits and unlimited liability for all debts of the firm; most common form of business organization in the United States
c)
unincorporated business owned and operated by two or more people who share the profits and have unlimited liability for the debts and obligations of the firm
d)
form of business organization recognized by law as a separate legal entity with all the rights and responsibilities of an individual, including the right to buy and sell property, enter into legal contracts, and to sue and be sued
9.
Which of the following is the definition for Franchise
a)
business investment that involves renting or leasing another successful business model
b)
unincorporated business owned and run by a single person who has rights to all profits and unlimited liability for all debts of the firm; most common form of business organization in the United States
c)
unincorporated business owned and operated by two or more people who share the profits and have unlimited liability for the debts and obligations of the firm
d)
form of business organization recognized by law as a separate legal entity with all the rights and responsibilities of an individual, including the right to buy and sell property, enter into legal contracts, and to sue and be sued
10.
Which of the following is the definition for Corporation?
a)
business investment that involves renting or leasing another successful business model
b)
unincorporated business owned and run by a single person who has rights to all profits and unlimited liability for all debts of the firm; most common form of business organization in the United States
c)
unincorporated business owned and operated by two or more people who share the profits and have unlimited liability for the debts and obligations of the firm
d)
form of business organization recognized by law as a separate legal entity with all the rights and responsibilities of an individual, including the right to buy and sell property, enter into legal contracts, and to sue and be sued
11.
Which of the following is the definition for Partnership?
a)
business investment that involves renting or leasing another successful business model
b)
unincorporated business owned and run by a single person who has rights to all profits and unlimited liability for all debts of the firm; most common form of business organization in the United States
c)
unincorporated business owned and operated by two or more people who share the profits and have unlimited liability for the debts and obligations of the firm
d)
form of business organization recognized by law as a separate legal entity with all the rights and responsibilities of an individual, including the right to buy and sell property, enter into legal contracts, and to sue and be sued
12.
Which of the following is an advantage of a sole proprietorship
a)
easy to start up
b)
Decisions do not require the approval of a co-owner, boss, or other "higher-up
c)
the owner can keep the profits of successful management without having to share them with other owners.
d)
All the other options
13.
Which of the following is a disadvantage of a sole proprietorship?
a)
it is easy to start
b)
he owner is personally and fully responsible for all losses and debts of the business. If the business fails, the owner’s personal possessions may be taken away to satisfy business debts.
c)
requires a partner
d)
it is easy to raise the financial capital to start
14.
Which of the following is a disadvantage of a partnership?
a)
If one partner causes the firm to suffer a huge loss, each partner is fully and personally responsible for the loss.
b)
When a partner dies or leaves, the partnership must be dissolved and reorganized as a new partnership if the remaining partners want to stay in business.
c)
the potential for conflict between partners.
d)
all the options are disadvantages
15.
Which of the following is a disadvantage of a corporation?
a)
it is easy to raise financial capital using stocks, bonds, or loans.
b)
the double taxation of corporate profits. Profits are taxed the first time when the corporation pays income taxes. The profits are taxed a second time when shareholders pay taxes on their dividends.
c)
it is easy to get a charter to start a corporation.
d)
Owners and shareholders have total control over what happens with the business.
16.
Dan has $5,000. He wants to invest his money in the type of business that has the least amount of liability. In which type of business should he invest?
a)
corporation
b)
partnership
c)
proprietorship
17.
The owners of a corporation are called
a)
Directors
b)
Partners
c)
Shareholders
d)
Founders
18.
Perfect competition is characterized by
a)
a large number of sellers and buyers.
b)
diverse products.
c)
sellers acting together to set prices.
d)
uninformed buyers and sellers.
19.
A monopoly that is based on the ownership or control of a manufacturing method, process, or other scientific advance is a
a)
geographic monopoly
b)
natural monopoly
c)
government monopoly
d)
technological monopoly
20.
A market structure in which one firm has a monopoly because of its location is a
a)
natural monopoly.
b)
geographic monopoly.
c)
technological monopoly.
d)
government monopoly.
21.
Which market has no competition?
a)
perfect competition
b)
oligopoly
c)
monopoly
d)
monopolistic competition
22.
Which market structure is BEST indicated by the soda market?
a)
monopoly
b)
pure competition
c)
oligopoly
d)
natural monopoly
23.
If Mark Etts expresses a desire to sell his corn at a local farmer's market, he must be aware that the product is standardized and that he will have no control over the price. The market structure he is MOST likely participating in is
a)
monopolistic competition
b)
oligopoly
c)
perfect competition
d)
monopoly
24.
Which scenario is an example of a monopoly?
a)
A local water company is the sole provider of water for a small town.
b)
A dry cleaner specializes in environmentally friendly cleaning methods.
c)
A farmer produces green beans for sale at a farmer's market.
d)
A small number of cereal companies produce most of the cereal on the market.
25.
A market structure in which only one producer supplies a good that is in demand is called a
a)
monopoly.
b)
oligopoly.
c)
competition.
d)
monopolistic competition.
26.
An industry that is dominated by a few large firms is
a)
monopolistic competition.
b)
a monopoly.
c)
perfect competition.
d)
an oligopoly.
27.
Which market structure involves selling identical products?
a)
Perfect Competition
b)
Monopolistic Competition
c)
Oligopoly
d)
Monopoly
28.
Google controls 67% of the web search market. The company has grown and branched off into email, online maps, GPS tracking systems, online data storage and mobile phones. There are competitors like Microsoft and Yahoo, but they own just 18% and 11% of the market, respectively. Which market structure(s) best fit Google? (There are two possible answers, pick both)
a)
Perfect competition
b)
Monopolistic competition
c)
Oligopoly
d)
Monopoly
29.
Using the pizza store graphic, what market structure best fits the pizza industry?
a)
Monopoly
b)
Oligopoly
c)
Perfect competition
d)
Monopolistic competition
30.
Markets like automobiles, cell phones, cable TV, and internet providers are examples of which market structure?
a)
Monopoly
b)
Oligopoly
c)
Perfect competition
d)
Monopolistic competition
31.
This tax is put on goods imported to the U.S. from other countries
a)
Income tax
b)
Medicare
c)
Tariff
d)
Import Exercise Tax
32.
I finally have the $159.99 to buy new Airpods to fit in with my friends. Although, when I go to checkout, it's $171!? Why is that?
a)
Sales tax
b)
Income tax
c)
Social security
d)
Tariffs
33.
How many firms are there in a perfect competition?
a)
1
b)
2-5
c)
Many
34.
How many firms are there in a monopoly?
a)
1
b)
2-5
c)
Many
35.
What prevents firms from entering a monopoly?
a)
Barriers
b)
Technology
c)
Price
d)
The government
36.
An industry that is dominated by a few large firms is
a)
monopolistic competition.
b)
a monopoly.
c)
perfect competition.
d)
an oligopoly.
37.
Businesses can "Collude" or work together to set prices
a)
Oligopoly
b)
Monopoly
c)
Perfect Competition
38.
A market structure characterized by firms producing similar product with easy entry into the market
a)
Perfect Competition
b)
Monopolistic Competition
c)
Monopoly
39.
Firms in this kind of market produce goods that are very close substitutes.
a)
Perfect Competition
b)
Pure Monopoly
c)
Monopolistic Competition
d)
Oligopoly
40.
Public utilities are an example.
a)
Perfect Competition
b)
Natural Monopoly
c)
Monopolistic Competition
d)
Oligopoly
41.
Government monopoly
a)
monopoly created and or owned by the government
b)
the exclusive legal right, given to an originator or an assignee to print, publish, perform, film, or record literary, artistic, or musical material, and to authorize others to do the same.
c)
market structure in which the average costs of production are lowest when all output is produced by a single firm
d)
a government authority or license conferring a right or title for a set period, especially the sole right to exclude others from making, using, or selling an invention.
42.
When the tax rate increases as the taxable amount increases, the tax is called
a)
progressive
b)
regressive
c)
situational
d)
proportional
43.
When the tax rate decreases as the taxable amount increases, the tax is called
a)
proportional
b)
regressive
c)
progressive
d)
retrogressive
44.
Which sort of tax is the income tax?
a)
progressive
b)
regressive
c)
proportional
d)
flat
45.
FICA, or payroll taxes, in which everyone pays 6.2% of their income on the first $118,500 they earn, is an example of a
a)
proportional tax
b)
progressive tax
c)
regressive tax
d)
retrospective
46.
a tax system with a constant marginal rate, usually applied to individual or corporate income.
a)
regressive
b)
progressive
c)
income
d)
flat
47.
A _________ tax, also referred to as a flat tax, impacts low-, middle- and high-income earners relatively equally.
a)
regressive
b)
proportional
c)
income
48.
Sales tax is a ______ tax
a)
regressive
b)
progressive
49.
Federal Income tax is a _______tax
a)
proportional
b)
flat
c)
regressive
d)
progressive
50.
the tax paid on the value of property that you own is ____________ tax.
a)
sales
b)
property
c)
income
d)
payroll
51.
tax paid on money from a job based on a person's income is ___________ tax.
a)
sales
b)
payroll
c)
property
d)
income
52.
You only pay this tax when you purchase certain products, such as gas, cigarettes, or alcohol.
a)
Excise Tax
b)
Sales Tax
c)
Income Tax
d)
Social Security and Medicare Tax
53.
Which tax is it?
Sasha bought a townhouse last year. She just got a tax bill from the county showing a value of her house and the amount of tax she owes.
Sasha bought a townhouse last year. She just got a tax bill from the county showing a value of her house and the amount of tax she owes.
a)
Property Tax
b)
Excise Tax
c)
Estate Tax
d)
Sales Tax
54.
Which tax is it?
Jake got his paycheck today. He worked 40 hours at $20 per hour. His pay was $800, but the amount of his paycheck was only $623.15.
Jake got his paycheck today. He worked 40 hours at $20 per hour. His pay was $800, but the amount of his paycheck was only $623.15.
a)
Income Tax
b)
Property Tax
c)
Corporate Income Tax
d)
Excise Tax
55.
Sales taxes are
a)
progressive
b)
proportional
c)
regressive
56.
When the tax rate decreases as income increases, the tax is called
a)
proportional
b)
progressive
c)
regressive
d)
retrogressive
57.
When people pay the same percentage regardless of income it is
a)
a progressive tax
b)
a proportional tax
c)
a regressive tax
58.
Dave makes $25,000 per year and pays 10% in taxes.
Charlotte makes $75,000 per year and pays 15% in taxes.
Lou makes $400,000 per year and pays 25% in taxes.
This is best described as a
a)
proportional tax
b)
regressive tax
c)
progressive tax
59.
Where are factors of production (land, labor, etc) exchanged in the circular flow model?
a)
Factor Market
b)
Product Market
c)
Firms
d)
Individuals
60.
Where do factors of production (land, labor, etc) come from in the circular flow model?
a)
Factor Market
b)
Product Market
c)
Firms
d)
Individuals
61.
What does point C represent on the Circular Flow diagram?
a)
Firm
b)
Factor Market
c)
Individual
d)
Product Market
62.
The exchange of money for goods/services to consumers is represented in which part of the circular flow diagram?
a)
1 and 2
b)
3 and 4
c)
5 and 6
d)
7 and 8
63.
Which arrows on this diagram would represent the transaction between Joe who rents his office to Homework Inc., a company that provides tutoring services?
a)
2,3
b)
4,7
c)
1,2
d)
5,6
64.
Arrows 4 and 7 on this circular flow diagram demonstrate
a)
prices
b)
taxes
c)
goods and services flow
d)
money flow
65.
The arrows 1 to 2 in this diagram represent which aspect of the economy?
a)
goods and services flow
b)
money flow
c)
taxes
d)
factors of production
66.
Place where buyers and sellers meet to exchange goods and services for money
a)
Market
b)
Factor of production
c)
Money
d)
Interdependent
67.
In the circular flow model, what do individuals sell to the factor market
a)
Services
b)
Money
c)
Productive Resources
d)
goods
68.
In the products market,
a)
firms buy goods and services from households
b)
firms sell goods and services to households
c)
firms sell resources to households
d)
firms buy resources from households
69.
The circular flow model of a market economy shows
a)
how profits are made
b)
what inputs are required for what outputs
c)
how many firms can support the needs of how many households
d)
the interactions between households and firms in the free market
70.
Which term belongs in the blank rectangle in the center of the diagram?
a)
Government
b)
Resource market
c)
taxes
d)
goods and services
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