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WorksheetsS24TH2ndHALF - FINAL - BUSINESS MANAGEMENT
Total questions: 101
Worksheet time: 51mins
Name
Class
Date
1.
Why should everyone understand basic accounting concepts?
a)
To become an accountant
b)
To speak the standard financial language of businesses
c)
To become a book keeper
2.
The main purpose of _____ financial reports is to provide managers and officers with information that helps them make better decisions.
a)
internal
b)
external
3.
The main purpose of _____ financial reports is to provide lenders and investors with information that helps them make better decisions.
a)
internal
b)
external
4.
What is the primary purpose of GAAP?
a)
Maximizing the net income that is reported on income statements.
b)
Maximizing the net worth that is reported on balance sheets.
c)
Ensuring that financial information is consistently reported.
5.
According to the accounting equation, what is the relationship between assets, liabilities, and owners’ equity?
a)
Liabilities + Net Worth = Assets
b)
Liabilities - Net Worth = Assets
c)
Liabilities X Net Worth = Assets
d)
Liabilities / Net Worth = Assets
6.
Who defined the three main accounting elements as assets, liabilities, and owners’ equity in the late 15th century?
a)
Leonardo da Vinci
b)
Luca Pacioli
c)
Michelangelo
d)
Galileo Galilei
7.
What is the purpose of double-entry bookkeeping?
a)
To double check that all entries are correct
b)
To create twice as many accounting jobs
c)
To keep the accounting equation in balance
8.
What is the primary function of the balance sheet?
a)
Reporting market trends
b)
Providing information on managerial decisions
c)
Summarizing a firm’s financial position at a specific point in time
9.
Which of these are intangible assets:
a)
All of these
b)
Patents
c)
Copyrights
d)
Trademarks
10.
What is the purpose of depreciation in accounting for fixed assets?
a)
Showing the increase in value of fixed assets
b)
Reflecting the declining value of fixed assets over time
c)
Adjusting the assets for inflation
11.
What does the income statement summarize?
a)
Assets and liabilities
b)
Revenues and expenses
12.
The income statement shows
a)
Past financial performance
b)
Current financial position
c)
Estimates of future financial performance
13.
The balance sheet shows
a)
Past financial performance
b)
Current financial position
c)
Estimates of future financial performance
14.
Why is net profit or loss considered the "bottom line" on the income statement?
a)
It is the final figure on the statement
b)
It indicates the gross profit
c)
It influences operating expenses
15.
When prices rise, normally:
a)
Supply increases
b)
Supply decreases
c)
Demand increases
16.
When prices rise, normally:
a)
Supply decreases
b)
Demand increases
c)
Demand decreases
17.
When prices decrease, normally:
a)
Supply increases
b)
Supply decreases
c)
Demand decreases
18.
When prices decrease, normally:
a)
Supply increases
b)
Demand increases
c)
Demand decreases
19.
People who take a benefit without paying are called:
a)
Teenagers
b)
Free Riders
c)
Public Riders
d)
Criminals
20.
The Tragedy of the Commons is:
a)
The idea that goods that everyone has free acces to are often misused and exploited.
b)
The idea that high school students prefer to go out for lunch, instead of eating in the commons
c)
The idea that the Common Man can't earn a liveable wage.
21.
When people other than the producer or consumer of a good or service are made worse off by the good or service, that is called a:
a)
negative externality
b)
positive externality
22.
In a pure free market economy, the primary role of government does NOT include:
a)
Enforcing the rule of law
b)
Protecting people's property rights
c)
Making sure that everyone can earn a liveable wage
23.
Which of these does competition in a free market system often achieve:
a)
The profit incentive motivates companies to reduce the resources used to produce goods and services.
b)
The profit incentive motivates companies to goods and services that consumers need or want.
c)
The profit incentive motivates companies to innovate and improve.
d)
All of these are true.
24.
Why do most government agencies lack an economic incentive to become more efficient?
a)
They don't have competition.
b)
They don't have a profit motive.
c)
Both of these are reasons.
25.
Which economic system do all the economists agree is best?
a)
Free market
b)
Central/Command
c)
Mixed
d)
None of these - economists don't agree on which system is best.
26.
What is the primary focus of economics?
a)
Money and finance
b)
Business
c)
How humans make decisions in the face of scarcity
27.
What is the ultimate scarce resource for everyone?
a)
Money
b)
Land
c)
Time
28.
What does scarcity mean in the context of economics?
a)
Abundance of resources
b)
Matching wants and resources
c)
Limited availability of goods, services, and resources
d)
Equal distribution of resources
29.
What is the term used to describe the production innovation introduced by Adam Smith in his book, "The Wealth of Nations"?
a)
Learning curves
b)
Economies of scale
c)
Division and specialization of labor
30.
Because of economies of scale, as the quantity that is produced goes up, the cost per unit ______.
a)
Goes up.
b)
Goes down.
c)
Stays the same
31.
What are the two main parts that economics is divided into?
a)
Microeconomics and Macroeconomics
b)
Household economics and Business economics
c)
Demand and Supply
32.
_____ looks at the economy as a whole.
a)
Microeconomics
b)
Macroeconomics
33.
How does a rise in the price of a good or service affect the quantity demanded?
a)
It has no effect on the quantity demanded.
b)
It increases the quantity demanded.
c)
It decreases the quantity demanded.
34.
How does a drop in the price of a good or service affect the quantity demanded?
a)
It has no effect on the quantity demanded.
b)
It increases the quantity demanded.
c)
It decreases the quantity demanded.
35.
How does a drop in the price of a good or service affect the quantity supplied?
a)
It has no effect on the quantity supplied.
b)
It increases the quantity supplied.
c)
It decreases the quantity supplied.
36.
How does an increase in the price of a good or service affect the quantity supplied?
a)
It has no effect on the quantity supplied.
b)
It increases the quantity supplied.
c)
It decreases the quantity supplied.
37.
What is the term used in economics to measure the responsiveness of one variable to changes in another variable?
a)
Elasticity
b)
Marginal utility
c)
Total utility
d)
Quantity supplied
38.
What generally happens to marginal utility as the quantity increases?
a)
It remains constant.
b)
It increases.
c)
It decreases.
39.
What do we call the point where the supply curve crosses the demand curve?
a)
Equilibrium
b)
Marginal utility
c)
Total utility
d)
Elasticity
40.
Which of the following is a macroeconomic concern?
a)
Pricing strategy of a single firm
b)
Household budget management
c)
Growth of production in the economy
41.
How is the size of a nation's overall economy typically measured?
a)
By its population density
b)
By its Gross National Product (GNP)
c)
By its Gross Domestic Product (GDP)
d)
By its total land area
42.
Which country has the largest per capita GDP in the world?
a)
India
b)
China
c)
Canada
d)
United States
43.
Which country has the largest GDP in the world?
a)
India
b)
China
c)
Canada
d)
United States
44.
What factor do economists use to determine whether the United States' economy is larger than other countries?
a)
Its natural resources
b)
Its population density
c)
Its GDP
d)
Its national debt
45.
Which of these is the primary source of sustained long-term economic growth?
a)
Government policies
b)
Increases in population
c)
Technological change and increases in worker productivity
d)
Expansion of natural resources
46.
What does labor productivity measure?
a)
The number of hours worked by employees
b)
The efficiency of a nation's transportation system
c)
The value of production divided by the hours worked
d)
The total output of a country's manufacturing sector
47.
What is human capital?
a)
The physical infrastructure of a country
b)
The total population of a nation
c)
The accumulated knowledge, skills, and expertise of workers
d)
The amount of capital that is invested in workers
48.
Which of these is responsible for growth in GDP?
a)
Technological changes
b)
Increases in human capital
c)
Both of these
49.
What are economies of scale?
a)
The increased purchasing power of consumers in a growing economy
b)
The efficiency gains achieved as the scale of production increases
c)
The economic benefits of specialization and trade
d)
The government policies aimed at regulating industry size
50.
How do economists typically describe unemployment?
a)
In terms of total output lost
b)
As a percentage of the labor force
c)
By the number of job vacancies available
d)
Based on the number of unemployed individuals
51.
What is the unemployment rate?
a)
The percentage of adults without jobs
b)
The percentage of adults who are retired
c)
The ratio of job vacancies to job seekers
d)
The percentage of adults in the labor force without jobs
52.
How does the U.S. Bureau of the Census determine if a person is unemployed?
a)
By their level of education
b)
By their household income
c)
By the date of the last time they applied for a job
d)
By their physical health status
53.
What is the primary cause of frictional unemployment?
a)
Lack of job opportunities
b)
Lack of government support
c)
Time taken for workers to find suitable jobs
d)
Economic recession
54.
What is the term used to describe unemployment caused by a lack of skills valued by the labor market?
a)
Frictional unemployment
b)
Seasonal unemployment
c)
Cyclical unemployment
d)
Structural unemployment
55.
What is the term for the unemployment rate that occurs even when the economy is healthy?
a)
Frictional unemployment
b)
Cyclical unemployment
c)
Natural rate of unemployment
d)
Seasonal unemployment
56.
Which of these is most likely to discourage unemployed people from trying to get a job:
a)
High monthly unemployment benefits
b)
Low monthly unemployment benefits
c)
Unemployment benefits that are paid for a long time
d)
Unemployment benefits that are paid for a short time
57.
How do economists know how many unemployed people are trying to get a job?
a)
By analyzing changes in GDP
b)
By comparing job vacancies to job seekers
c)
By conducting monthly surveys of the labor force
d)
By calculating the percentage of adults without jobs
58.
During which periods do unemployment rates tend to be lower?
a)
During periods of economic recession
b)
During periods of economic growth
c)
During periods of structural change
d)
During periods of technological stagnation
59.
Why is frictional unemployment considered necessary in a market economy?
a)
Employees often change jobs in a healthy labor market
b)
It indicates a shortage of job opportunities
c)
It results from poor government policies
d)
It prevents individuals from finding suitable jobs
60.
Which of these contribute to the natural rate of unemployment?
a)
Frictional unemployment
b)
Structural unemployment
c)
Both of these
d)
Neither of these
61.
What is inflation?
a)
A decrease in the overall level of prices in an economy
b)
A general and ongoing rise in the level of prices in an entire economy
c)
A sudden increase in the demand for goods and services
d)
A decrease in the money supply
62.
How do economists typically calculate the price level?
a)
By analyzing changes in GDP
b)
By considering fluctuations in the stock market
c)
By looking at a basket of goods
d)
By monitoring changes in interest rates
63.
What is the most obvious impact of inflation?
a)
Increased savings rates
b)
Decreased government spending
c)
Loss of purchasing power
d)
Reduced interest rates
64.
How does the Federal Reserve typically respond to high inflation?
a)
By lowering interest rates
b)
By increasing government spending
c)
By raising interest rates
d)
By decreasing taxes
65.
Who is most affected by inflation?
a)
High-income earners
b)
Lower-income wage earners and those on fixed incomes
c)
Inflation impacts everyone equally
66.
What happens when the Federal Reserve raises interest rates?
a)
It stimulates economic growth
b)
It slows down economic growth
c)
It has no impact on the economy
67.
What is a budget deficit?
a)
When government spending exceeds government revenue from taxes
b)
When government revenue from taxes exceeds government spending
c)
When government spending and revenue from taxes are equal
68.
What is the national debt?
a)
When government spending exceeds government revenue from taxes
b)
When government revenue from taxes exceeds government spending
c)
When government spending and revenue from taxes are equal
d)
The total dollar amount that the government owes
69.
What is the national debt?
a)
The cumulative total of budget surpluses
b)
The cumulative total of budget deficits
c)
The difference between government spending and revenue from taxes in a given year
d)
The total amount of government spending
70.
Which major spending category has generally declined since 1960?
a)
National defense
b)
Social Security
c)
Healthcare
d)
Interest payments
71.
What is the primary source of funding for education in the United States?
a)
Federal government
b)
State and local governments
c)
Private donations
d)
International organizations
72.
What impact does rising interest rates have on government spending?
a)
The deficit increases, because expenses go up.
b)
The deficit decreases, because expenses go down.
c)
Interest rates don’t have any impact on government spending.
d)
It depends on whether the republicans or democrats are in power.
73.
What is the balance of trade?
a)
The difference between a nation's imports and exports
b)
The total value of a nation's exports
c)
The total value of a nation's imports
d)
The difference between a nation's budget surplus and deficit
74.
When does an economy have a trade surplus?
a)
When imports exceed exports
b)
When exports exceed imports
c)
When exports and imports are equal
d)
When there is no international trade
75.
Which source of law is considered the highest in the United States?
a)
a) Case Law
b)
b) Statutes
c)
c) Constitutions
d)
d) Administrative Regulations
76.
Under the doctrine of stare decisis, what must courts typically follow?
a)
a) Precedent from prior decisions
b)
b) Statutory law
c)
c) Administrative regulations
d)
d) International treaties
77.
What does UCC stand for in the context of business law?
a)
a) United Commerce Code
b)
b) Uniform Commercial Code
c)
c) United Corporate Charter
d)
d) Uniform Consumer Code
78.
Which area of law deals with questions of justice, discrimination, and equal protection?
a)
a) Contract Law
b)
b) Employment Law
c)
c) Tort Law
d)
d) Administrative Law
79.
What is the primary purpose of the Civil Rights Act?
a)
a) To protect businesses from lawsuits
b)
b) To promote discrimination in the workplace
c)
c) To prohibit discrimination based on protected classes
d)
d) To encourage disparate treatment in hiring
80.
What is the concept of "employment at will"?
a)
a) Employees can quit at any time, and employers can fire them for almost any reason.
b)
b) Employees can only be fired for specific reasons.
c)
c) Employees can only quit for specific reasons.
d)
d) Employees can only quit if they provide two weeks notice.
81.
Where do federal court cases start:
a)
The court of popular opinion
b)
District Court
c)
Circuit Court
d)
SCOTUS
82.
Appeals to this court are "as of right."
a)
The court of popular opinion
b)
District Court
c)
Circuit Court
d)
SCOTUS
83.
The petitioner asks for permission to appeal to this court.
a)
The court of popular opinion
b)
District Court
c)
Circuit Court
d)
SCOTUS
84.
Which of these is required to form a contract?
a)
a) A handshake
b)
b) A written document
c)
c) Mutual agreement
d)
d) A notarized signature
e)
e) All of these
85.
Which of these is a possible response to an offer?
a)
Acceptance
b)
Counteroffer
c)
Rejection
d)
Any of these
86.
Fitness for a particular purpose is a common _____.
a)
express warranty
b)
implied warranty
87.
What does "strict liability" mean in product liability cases?
a)
a) Manufacturers are liable only if they intentionally harm consumers.
b)
b) Manufacturers are liable for personal injury caused by unreasonably dangerous products, even if the manufacturer was not negligent.
c)
c) Manufacturers are liable unless they can prove they took all reasonable steps to prevent harm.
d)
d) Manufacturers are only liable if they don't warn their customers about the dangers of their product.
88.
Which of these is based on the revenue that the business earns?
a)
a) Property Tax
b)
b) Payroll Tax
c)
c) Sales Tax
d)
d) Income Tax
89.
What is the primary source of revenue for state and local governments?
a)
a) Income Taxes
b)
b) Property Taxes
c)
c) Sales Taxes
d)
d) Excise Taxes
90.
_____ pay a flat income tax.
a)
Corporations
b)
Partners
c)
All of these
d)
None of these
e)
Sole proprietors
91.
_____ pay a progressive income tax.
a)
Corporations
b)
Partners
c)
All of these
d)
None of these
e)
Sole proprietors
92.
What is the primary purpose of gasoline excise taxes?
a)
a) To fund healthcare services
b)
b) To support education
c)
c) To build and repair highways
d)
d) To provide unemployment benefits
93.
_____ is when someone does what a reasonable person would not do.
a)
Malfeasance
b)
Nonfeasance
c)
Both of these
d)
Neither of these
94.
_____ is when someone does not do what a reasonable person would do.
a)
Malfeasance
b)
Nonfeasance
c)
Both of these
d)
Neither of these
95.
Under what circumstances is a business liable for the actions of its employees?
a)
a) Only when the employee is acting within the scope of their employment
b)
b) Always, regardless of what the employee is doing
c)
c) Only when the employee is an independent contractor
96.
Which of these is NOT a the benefit of registering a trademark?
a)
Treble damages
b)
Attorneys fees
c)
The trademark is not enforceable unless it is registered
d)
All of these are benefits
97.
What is a tort in legal terms?
a)
a) A criminal act that causes harm
b)
b) A private act that harms others or their property
c)
c) A breach of contract
d)
d) A contract dispute between individuals
98.
What is the main focus of tort law?
a)
a) Protecting businesses from lawsuits
b)
b) Enforcing contracts
c)
c) Providing remedies to parties who are injured by someone who doesn't follow societal norms
d)
d) Regulating trade practices
99.
What is the legal term for a false spoken statement that harms a person's reputation?
a)
Libel
b)
Slander
c)
Both of these
d)
Neither of these
100.
What is the legal term for a false written statement that harms a person's reputation?
a)
Libel
b)
Slander
c)
Both of these
d)
Neither of these
101.
A whistleblower is ____.
a)
someone who reports employment discrimination.
b)
someone in a protected class who is discriminated against.
c)
any employee that has an employment contract.
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