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FIN552-CHAPTER 4

Total questions: 11

Worksheet time: 15mins

Name
Class
Date
1.

What is your full name?

4 lines
2.

Which is not true about business cycle?

a)

It is the recurring pattern of recession and recovery.

b)

Economy of a nation face expansion and contraction with different degree.

c)

The transition points across cycles are called peaks and troughs.

d)

It is always straight line.

3.

Economy cycle includes (choose 3)

a)

Recovery

b)

Lagging

c)

Expansion

d)

Recession

4.

Example of economic indicator that falls under selected series is

a)

Average duration of unemployment

b)

Federal surplus or deficit

c)

Disposal Income

d)

Average weekly hours of manufacturing workers

5.

Okay, that's all for Chapter 4.. Just an easy theory chapter.. How is FIN552 so far to you? Understand? Catching up well? Any problem you face? Any way we can do to improve our lecture? :)

4 lines
6.

This industry is a pioneer and often known as a first mover advantages or early stages of development. This industry known as _______.

a)

Emerging

b)

Beginning

c)

Introduction

7.

Focus on narrow segment of the industry and encouraged innovation. This is known as a _______strategy.

a)

leadership

b)

niche

c)

divestiture

8.

Fill in the blank: (a)   for example is a lagging indicator that changes some time after the external shock- so if word trade slows , jobs won't be lost immediately

9.

In Porter's Five Forces, the threat of new entrants relates to

a)

barriers to entry

b)

substitutes

c)

switching costs

d)

buyer power

10.

Competitive rivalry will be high if

a)

the industry is fragmented

b)

there are a few strong players in the industry

c)

there is a high degree of differentiation

d)

the industry is in its infancy

11.

What is the implication of Efficient Market Hypothesis in relation to business cycle?

a)

Although the business cycle may be somewhat predictable, the stock market may not be.

b)

Business cycle is predictable, so the stock market is predictable too.

c)

Business cycle is not predictable, so the stock market is not predictable too.

d)

None of these