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Unit 3 Business Essentials

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

A business can be described as a(n)

a)

disorganized method of manufacturing products

b)

organized effort to produce goods and services

c)

reasonable way to make a profit

d)

unreasonable means for increasing revenues

2.

A business that exists to fulfill a specific mission or undertaking is called

a __________ business.

a)

mission central

b)

focused

c)

for-profit

d)

non profit

3.

Every business must accomplish which of the following:

a)

Produce or provide goods/services

b)

Obtain venture capital

c)

Issue corporate bonds

d)

Trade or sell business assets/property

4.

Which of the following represents a primary business activity:

a)

scheduling

b)

designing

c)

marketing

d)

supervising

5.

Financial analysis occurs when a business

a)

communicates with potential customers.

b)

keeps accurate expense records.

c)

plans for long-term success.

d)

effectively retrieves data.

6.

Within a local pizza shop, financial analysis is most likely used to

a)

attract customers

b)

oversees the baking process

c)

obtain funding for the supplies

d)

develop the best recipe

7.

Which of the following activities demonstrates human resources

management:

a)

The business gives its preferred customers a special discount.

b)

The business takes care of the responsibilities associated with having

employees.

c)

The business includes top-level managers in long-term planning.

d)

The business acts on new information about a competitor.

8.

Janelle’s Creative Supplies is opening an additional location on the

other side of town. To successfully operate the new location, Janelle

primarily needs

a)

new carpet and paint

b)

extra free time

c)

different take out boxes

d)

additional employees

9.

Which of the following activities demonstrates information management:

a)

Storing and retrieving information

b)

Researching customers’ needs

c)

Hiring appropriate employees

d)

Conducting employee evaluations

10.

TeJuan’s Fishing Shack demonstrates effective information

management by

a)

accessing a list of fishing equipment appropriate for a particular

customer.

b)

removing wasted materials from the lake

c)

promoting new fishing equipment in a popular trade magazine.

d)

changing the bait

11.

Which of the following activities demonstrates the primary

business activity of marketing:

a)

The business prepares for long-term success by planning and

organizing.

b)

The business meets customers’ needs by offering appropriate products.

c)

The business expects to merge with another business in the industry.

d)

The business hires qualified employees to perform complex job duties.

12.

Which of the following behaviors best describes the primary

business activity of operations:

a)

Keeping accurate financial records

b)

Planning for future success

c)

Producing goods and services

d)

Hiring qualified employees

13.

Making sure that a business has enough of a product in stock

without having too much on hand is the goal of

a)

inventory management.

b)

production

c)

quality control

d)

human resource management

14.

Which of the following behaviors demonstrates the primary

business activity of strategic management:

a)

Recruiting appropriate employees

b)

Obtaining funds for business projects

c)

Planning and organizing for the future

d)

Regularly updating business processes

15.

For the long-term success of the business, Stacey’s Coffee House

has decided to add a self-serve laundromat. Which of the following

behaviors describes the business activity that Stacey’s Coffee House

was likely engaged in before making this decision:

a)

Determining what will put it in reach of its goals

b)

Establishing a system for retrieving information

c)

Add a change machine and games to keep the kids busy

d)

Organizing itself for meeting its objectives

16.

Which of the following demonstrates the interrelationship among

primary business activities:

a)

A business changes its goals, so its strategies and tactics change, too.

b)

A new product is introduced, so business advertisements must adjust.

c)

A business manager becomes vice president, so his/her department

must adjust to the change.

d)

One business activity changes, so the others must adjust.

17.

Franco’s Bread Shop is introducing a new type of sandwich bread

to the community this week. Which of the following describes the

business activity that the bread shop will likely partake in before the

release:

a)

Collecting information on last year’s new breads

b)

Creating a system for storing new bread recipes

c)

Planning for the long-term results of introducing new breads

d)

Promoting the new bread through advertising

18.

When the Pretty Pictures framing business underwent internal

restructuring last year, how would its primary business activities have

reacted?

a)

They stayed the same

b)

They changed radically

c)

They adjusted according to the internal changes.

d)

They adjusted according to the external changes.

19.

When Caring Companions and Smiling Pets merged two years

ago, what was the most likely effect on the primary business activities of

both companies?

a)

None of the primary business activities combined into one activity.

b)

Each primary business activity combined with the matching activity of

the other firm.

c)

Each primary business activity became two smaller business activities.

d)

All of the primary business activities combined into two distinct activities.

20.

An example of performing business activities through outsourcing is when a business

a)

operates as the link between customers and products.

b)

begins long-term planning and organization.

c)

offers a new product in a popular product line.

d)

hires an outside firm to perform its marketing.