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BE Unit 2.00 Reassessment

Total questions: 25

Worksheet time: 13mins

Name
Class
Date
1.

A producer is someone who

a)

sells products

b)

is very creative

c)

makes things

d)

employs others

2.

The two main divisions of the trade industry are

a)

producers and retailers

b)

manufacturers and wholesalers

c)

wholesalers and retailers

d)

wholesalers and producers

3.

What do service businesses sell?

a)

Retail merchandise

b)

Raw goods

c)

Wholesale merchandise

d)

Intangible activities

4.

A large retailer feels that it has a duty to contribute to the well-being of society, so it donates a portion of its proceeds to a charity that helps the environment. The retailer is demonstrating

a)

social responsibility

b)

wholesaling

c)

retailing

d)

e-tailing

5.

Social responsibility should be part of the objectives of __________ businesses

a)

all

b)

nonprofit

c)

government

d)

specialized

6.

Which of the following is an example of an economic want:

a)

clothing

b)

fresh air

c)

understanding

d)

conversation

7.

Using a stream to supply water for crops is an example of using

a)

natural resources

b)

human resources

c)

capital goods

d)

nonrenewable resources

8.

When a stove is used in a restaurant kitchen, it is a

a)

noneconomic resource

b)

natural resource

c)

human resource

d)

capital good

9.

A salesclerk working part-time at a clothing store is an example of a(n)

a)

natural resource

b)

human resource

c)

capital good

d)

unlimited resource

10.

What is the amount of money for which an item sells in the competitive marketplace?

a)

Value

b)

Price

c)

Market

d)

Utility

11.

The most common medium of exchange in modern economic systems is

a)

barter.

b)

capital.

c)

credit.

d)

money.

12.

Which of the following types of economic systems adopts the fewest new ideas or improvements:

a)

Command

b)

Socialist command

c)

Market

d)

Traditional

13.

The government controls the economic system and does not allow private ownership of the means of production and distribution in a ____ economy.

a)

traditional

b)

market

c)

socialist command

d)

communist command

14.

Government owns the basic means of production, but there is some private ownership of businesses under

a)

communism

b)

capitalism

c)

socialism

d)

entrepreneurship

15.

What type of economic system is used in the United States?

a)

Market

b)

Socialist Command

c)

Traditional

d)

Communist Command

16.

Every society must develop a system for deciding how it will use its resources so that it can

a)

minimize risk.

b)

meet people’s needs.

c)

prevent problems.

d)

control production.

17.

Who answers the basic economic questions in a private enterprise economic system?

a)

Government agencies

b)

Influential citizens

c)

Businesses and individuals

d)

Entrepreneurs and producers

18.

One of the results of freedom in the marketplace is that

a)

businesses use resources efficiently.

b)

people and businesses can own things of value.

c)

people can buy anything they can afford that can legally be sold.

d)

government decides how to use an individual’s private property.

19.

The basic role of the United States government is to

a)

protect U.S. citizens.

b)

maintain control of prices.

c)

increase production.

d)

limit business startups.

20.

For which of the following do workers compete in a private enterprise system:

a)

Skills

b)

Benefits

c)

Profits

d)

Jobs

21.

In business terms, what is profit?

a)

A monetary reward

b)

A good investment

c)

A holiday bonus

d)

A risky venture

22.

The amount of money paid for raw materials and products sold is called

a)

cost of goods.

b)

operating expense.

c)

net profit.

d)

gross profit.

23.

Gross profit shows business owners the difference between what they’ve

a)

spent and received.

b)

paid and risked.

c)

received and billed.

d)

estimated and invoiced.

24.

People who go into business know that the business may not succeed. This possibility is referred to as business

a)

risk.

b)

retention.

c)

downsizing.

d)

economizing.

25.

Burger King and McDonald’s are examples of

a)

regulated monopolies

b)

unrelated businesses

c)

dissimilar firms

d)

direct competitors