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Multiple Choice Questions on Economic Activities

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

The activity of creating or adding value to a good or service is called...

a)

Consumption

b)

Distribution

c)

Production

d)

Exchange

2.

Natural resources used in the production process are called production factors...

a)

Capital

b)

Labor

c)

Nature

d)

Entrepreneurship

3.

The party that regulates and manages production factors to produce goods or services is called...

a)

Consumer

b)

Distributor

c)

Producer

d)

Agent

4.

The activity of channeling goods or services from producers to consumers is called...

a)

Production

b)

Consumption

c)

Distribution

d)

Investment

5.

One of the main objectives of distribution is...

a)

To increase the price of goods

b)

To limit the number of consumers

c)

To ensure goods are available in the right place

d)

To quickly deplete stock of goods

6.

The following is an example of an indirect distribution channel...

a)

Farmers selling vegetables directly to buyers

b)

Factories selling their products through their own stores

c)

Producers selling goods through wholesalers and retailers

d)

Artisans selling their works at exhibitions

7.

The activity of using goods or services to meet life needs is called...

a)

Production

b)

Distribution

c)

Consumption

d)

Savings

8.

A person's level of consumption is greatly influenced by...

a)

The amount of goods produced

b)

The extent of the distribution network

c)

The size of the income received

d)

The high cost of promotion

9.

An example of production activity in the agricultural sector is...

a)

Making furniture from wood

b)

Sewing clothes in a workshop

c)

Planting rice in a field

d)

Providing legal consulting services

10.

Transportation companies that deliver goods from factories to stores are included in...

a)

Production

b)

Consumption

c)

Distribution

d)

Exploitation

11.

The utility of a good will decrease if consumed continuously. This concept is known as...

a)

Law of Demand

b)

Law of Supply

c)

Gossen's First Law

d)

Gossen's Second Law

12.

Consumer decisions in purchasing goods are influenced by factors...

a)

Only the price of goods

b)

Only the quality of goods

c)

Price, quality, and needs

d)

Only the availability of goods

13.

The role of distributors is very important in economic activities because...

4 lines
14.

What is the role of a distributor in economic activities?

a)

Determining the selling price of goods

b)

Improving product quality

c)

Facilitating consumers to obtain goods

d)

Regulating the quantity of goods produced

15.

Economic activities that produce raw goods are called which sector?

a)

Secondary

b)

Tertiary

c)

Primary

d)

Quaternary

16.

Economic activities that process raw materials into finished goods are called which sector?

a)

Primary

b)

Tertiary

c)

Secondary

d)

Quaternary

17.

Economic activities that provide service are called which sector?

a)

Primary

b)

Secondary

c)

Tertiary

d)

Quaternary

18.

Which of the following is an example of productive consumption activities?

a)

Buying food for breakfast

b)

Buying clothes for work

c)

Buying luxury cars for collection

d)

Buying movie tickets for entertainment

19.

As education level increases, consumption patterns tend to be?

a)

More extravagant

b)

More simple

c)

More diverse and quality

d)

Less planned

20.

Institutions or individuals who carry out production activities are called?

a)

Consumer households

b)

Producer households

c)

Government

d)

Foreign society