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4th Form POB Test

Total questions: 50

Worksheet time: 26mins

Name
Class
Date
1.

Subsistence economy involves

a)

paying for goods of only high quality

b)

Accumulating wealth

c)

Producing goods and service only for survival

d)

investing for future goals

2.

The exchange of goods and services without the use of money ______.

a)

service

b)

consumer

c)

producer

d)

barter

3.

What problem did people have in the time before money?

a)

It was difficult to get what they wanted and needed.

b)

The mall was too crowded

4.

The exchange of goods and services is made more efficient by:

a)

Barters

b)

Money

c)

Governments

d)

Some combination of government transfer and barter

5.

perishable goods can lose its value.

a)

True

b)

False

6.

Double coincidence of wants is an issue associated with the system of

a)

barter

b)

sale

c)

transfer

d)

donations

7.

Which of the following is an essential feature of the barter system?

a)

Double coincidence of wants

b)

existence of money

c)

exchange of goods for money

d)

Availability of product

8.

Which of the following is an essential feature of the barter system?

a)

Double coincidence of wants

b)

existence of money

c)

exchange of goods for money

d)

Availability of product

9.

Money has what if it can be broken down into smaller units so it can be used as needed?

a)

Divisibility

b)

Portability

c)

Scarcity

d)

Durability

10.

Easily transferred from one person to another, to make the exchange of money for goods/services easier

a)

Durability

b)

Divisibility

c)

Portability

d)

Scarcity

11.

Money has what if it doesn't deteriorate when it is being handled?

a)

Scarcity

b)

Divisibility

c)

Durability

d)

Portability

12.

Money or other items generally accepted as payment for goods and services.

a)

Measure of value

b)

Medium of exchange

c)

Scarcity

d)

Store of Value

13.

What are the functions of money?

a)

Unit of account

b)

Store of Value

c)

Medium of Exchange

d)

Store of Bank Notes

e)

Measure of Value

14.

The function of money which allows people to preserve value for future use.

a)

Store of value

b)

Divisibility

c)

Portability

d)

Measure of value

15.

Which of the following statements explain why a barter system restricts exchange?

a)

There must be a coincidence of wants

b)

It is difficult to divide certain commodities

c)

The commodities used are not homogeneous

d)

A rate of exchange must be determined

16.

Party ordering that payment made.

a)

Drawer

b)

Drawee

c)

Payee

d)

Maker

17.

Which of the following is a part of the public sector of the economy?

a)

A public Corporation

b)

A public company

c)

A co-operative

d)

A franchise

18.

Who are the owners of a public company?

a)

The individuals who originally set up the company

b)

The board of directors of the company

c)

The shareholders of the company

d)

The family who own the company

19.

The role of a compliance officer mainly includes:

a)

making sure that a company meets legal standard and requirements

b)

looking after the welfare of the employees of a company

c)

ensuring that information technology staff are trained in new applications.

d)

Providing information about an organisation and its activities

20.

Making payment by means of a cellphone is referred to as payment by:

a)

Telephonic money order

b)

Bill of exchange

c)

Barter

d)

M-money

21.

Where a bank account is set up to siphon off the proceed from criminal activity this is described as:

a)

Electronic funds transfer

b)

Money laundering

c)

A bank draft

d)

Ethical behaviour

22.
What is a business owned and operated by one person?
a)
Sole Proprietorship
b)
Partnership
c)
Corporation
23.
What is ONE advantage of a sole proprietorship?
a)
You make ALL the decisions
b)
Easy to raise money
c)
You have to share profits
24.
What is ONE disadvantage of a Partnership?
a)
Easier to start
b)
Have to share the profits
c)
Help in making decisions
25.

Sole Traders have

a)

Unlimited Liability

b)

Limited Liability

26.

Partnerships have

a)

Limited Liability

b)

Unlimited Liability

27.

How many People can be in a Partnership?

a)

Unlimited

b)

2 only

c)

Between 2 & 20

d)

Between 2 & 10

28.
Which of the following is an advantage of a private limited comapany
a)
You can sell shares openly to anybody around the world
b)
You can gain more sales as the business is well known
c)
You can choose your own shareholders that are suitable for the business
d)
They have unlimited liability
29.

Goods and services are produced mainly because:

a)

there is a demand and use for them

b)

there are too many producer

c)

there are too many consumer

d)

credit is easily obtained

30.

What is the maximum number of shareholders a private limited company can have?

a)

2

b)

10

c)

20

d)

50

31.

Franchisor and Franchisee are the same company

a)

True

b)

False

32.

Which of the following is a disadvantage to the franchisor?

a)

May loose local variety and choice

b)

Regular payments to franchisor

c)

looses Independence in running the business

d)

if badly run, the brand will suffer

33.
Fee paid from franchisee to franchisor based on percentage of sales
a)
royalty fee
b)
franchise fee
c)
advertising fee
d)
license fee
34.

In my country my job is the same one that my family has done over the past 200 years.

a)

Traditional

b)

Command

c)

Market

d)

Mixed

35.

In my country, the government makes all the economic decisions.

a)

Traditional

b)

Command

c)

Market

d)

Mixed

36.
The four types of economic systems are: 
a)
Traditional, Command, Mixed, & Market
b)
Traditional, Command, Combined, & Market
c)
Communism, Capitalism, Free Market, and Macroeconomics
d)
Microeconomics, Macroeconomics, Individual, and Traditional.
37.
Which economy is dictated by supply and demand and the buyers and sellers?
a)
Market
b)
Socilaism 
c)
Mixed 
d)
Command 
38.

__________ : when people want or need more of something than there is.

a)

Scarcity

b)

Profit

c)

Opportunity Cost

d)

Tax

39.
Nike and Under Armour sell similar products.  This leads to a decrease in price and an increase in quality.
a)
Free Market
b)
Command
c)
Traditional
40.

Which of the following functional areas of a business is most likely to be responsible for recruiting new staff?

a)

Business support services

b)

Finance

c)

Human resources

d)

Operations management

41.

Which of the following functional areas is most likely to be responsible for sourcing raw materials?

a)

Finance

b)

Operations management

c)

purchasing department

d)

Sales

42.

Which of the following functional areas of a business is most likely to be responsible for producing a radio advertisement to raise awareness of its new product?

a)

Customer service

b)

Marketing

c)

Operations

d)

Sales

43.

The human resources function of a large organisation is most likely to support the finance function by:

a)

purchasing a new accounts package

b)

recruiting an additional employee

c)

updating its supplier database

d)

using social media to encourage more sales

44.
Which phrase best describes a functional area?
a)
A department within a business
b)
A group of customers
c)
A supplier
d)
Different branches of business
45.
An employee is an internal stakeholder?
a)
True
b)
False
46.
A Bank is an external stakeholder?
a)
True
b)
False
47.
Customers are interested in a business because:
a)
They want to be oaid they money they are due
b)
They want the employees to be paid a good salary
c)
They want the business to make the products they want at good prices
d)
They want to be paid a bonus
48.
Owners will be interested in:
a)
Wanting good bonuses and promotion
b)
Wanting good pay and job security
c)
Wanting the business to grow and make profits
49.
Owners will be interested in:
a)
Wanting good bonuses and promotion
b)
Wanting good pay and job security
c)
Wanting the business to grow and make profits
50.
What influence does a manager have on the business?
a)
They may alter their workrate and take industrial action
b)
They may withdraw their investment
c)
They may make decisions which affect the business