WorksheetsPrinciples of Business Quiz
Total questions: 63
Worksheet time: 32mins
The term 'trade ‘refers to
the selling of goods and services on the stock market
the movement of immigrants from One country to another
any commercial activity involving the exchange of goods and Services
the negotiation process between trade unions and management
Labour is BEST defined as the
physical and mental capabilities used to perform tasks
ability to carry out management functions effectively
level of skills training received by individuals who are working
total number of persons who hold jobs in government ministries
Which of the following is NOT a function of money?
Medium of exchange
Measure of value
Store of value
Indivisibility
Private enterprise is run MAINLY to
create profit
reduce inflation
provide jobs for more people
distribute goods and services fairly
Which of the following types of cheques allows an individual to receive cash on demand?
Open
Crossed
Certified
Banker’s
A postdated cheque is one which
is dated for payment at a future date
was written no longer than six months ago
is dated to agree with the date of the document requesting payment
is dated by the bank on the day the cheque is presented for payment
A ‘purchase order’ is a
request for additional goods
notification of goods received
statement of debts outstanding
document offering to buy goods
Which of the following is NOT a trading instrument?
Cheques
Credit cards
Bills of exchange
Money remittance
The relationship between the highest level of management down to the various departments is known as
line
rank
staff
flow
The policies of a company are usually formulated by the
auditors
directors
managers
shareholders
One Feature of a ‘Free market system’ is that
competition is decreased among producers
the government is the major controller of decision making
producers are allowed to supply what the consumers want
both the government and producers are involved in decision- making
Which of the following are key features of a planned economy?
I. Centralized production II. Citizen’s welfare is primary III. Little government interference
I and II only
I and III only
II and III only
I, II and III
Which of the following is NOT an example of an unethical business practice?
Money laundering
Nonpayment of taxes
Retrenching inefficient workers
Use of misleading advertising
Which of the following is NOT an objective of the public sector?
Maximizing profits
Providing essential services
Regulating business activity
Promoting economic growth
Which of the following organizations is LEAST likely to use a management information system?
The national bank
A shoe shine shop
A department store
A beauty supplies outlet
Which of the following actions demonstrate the characteristics of a good leader?
I. Inspires workers II. Delegates responsibilities III. Makes intelligent decisions
I and II only
I and III only
II and III only
I, II and III
Which of the following are advantages of a sole trader?
I. Ease of setting up II. Profits are not shared III. Flexible working hours
I and II only
I and III only
II and III only
I, II and III
An entrepreneur who wants to maintain control of the business would be advised to register the business as a
Sole Trader
Partnership
Limited Company
Private Limited Company
Which of the following can be identified as disadvantages of the barter system?
absence of a common measure of value
difficulty of storing wealth
double coincidence of wants
provision of a wider variety of goods
Which of the following are major functional areas of business?
I. Finance II. Marketing III. Production IV. Taxation
I, II, and III
I and II
II and III
I, II, III and IV
Which of the following is NOT an example of collateral?
Bonds
Stocks
Property
Money orders
The Finance Department in a business will directly be responsible for:
Recruiting staff
Motivating Staff
Preparing Balance Sheets
Designing Products
Identifying and anticipating customer requirements is the responsibility of which of the following departments in a company?
Research and development
Production
Finance
Marketing
Which of the following is NOT a consequence if a business engages in unethical business practices?
loss of recognition
Business closure
Imprisonment
Increased Customer Loyalty
Which of the following is not a characteristic of money?
Durability
Unacceptability
Portability
Divisibility
An economic system which comprises of a Public and Private sector is a:
Mixed Economy
Planned Economy
Free Market Economy
Subsistence Economy
A person who has the ability to seek out and undertake the risk of new business opportunities is referred to as
a producer
an inventor
a shareholder
an entrepreneur
The hiring of the necessary workers is the task of the:
Finance Department
Production Department
Marketing Department
Human Resource Department
Which of the following instruments of exchange is most likely to be used to purchase imports on credit?
Notes and coins
A debit card
A bill of exchange
An international money order
In a public limited company, the losses are borne by the
staff
directors
community
shareholders
Which of the following are functions of the entrepreneur?
Ensuring that workers are unionized
Co-ordinating the factors of production
Undertaking risks by anticipating
Which of the following are functions of the entrepreneur? I. Ensuring that workers are unionized II. Co-ordinating the factors of production III. Undertaking risks by anticipating demand
I and II only
I and III only
II and III only
I, II and III
The MOST important use of collateral security to the lender is that it
can be seized if the borrower fails to pay
establishes the financial position of the borrower
improves the borrower's chance of getting a loan
gives the lender an idea of the state of the business
The chain of command in an organization is also referred to as the:
span of control
Hierarchy
Functional organization
Staff management
When managers delegate they:
Hand responsibility for carrying out tasks to subordinates
Give directions to others about what they should be doing
Rigidly control the activities and processes that take place in a business
Pay little or no attention to suggestions made by subordinates
The synopsis of the business plan is contained in the
feasibility plan
marketing plan
keynote summary
executive summary
In line relationships, in an organization, authority is passed:
downward only
upward only
both upward and downward
across
Which of the following cultivates good relations between employers and employees
Ignoring the opinions of employees
Shortening of break times
Lengthy work hours
Employee of the Month Awards
A contract may be discharged by which of the following? I. Breach II. Performance III. Lapse of time
I and II only
I and III only
II and III only
I, II and III
Doe has an agreement with the bank to deduct from his month salary $1500.00 to be paid to a Finance house as his monthly car installment. This instrument of payment is called:
Cheque
Standing order
money order
payment agreement
In which of the following categories would subsidized meals for employees fall?
Fringe Benefits
wages and salaries
Duty- Free Allowances
Worker’s Compensation
Insurance calculates the risk that a particular event happens. Assurance is
Risk that is likely to happen
premium paid to cover risk
Insurance coverage against an event that must occur
pooling of money to pay for a risk that must happen
Which of the following businesses can be classified as a cottage industry?
JMN Superstore, located in the rural area
Mary's Craft Supplies, located at Mary's home
Peter and John's Company, located in Jamaica
People's Cooperative Bank, located in Trinidad
The amount of labour available for productive activity is known as the
labour force
labour movement
employment level
employment opportunity
What type of capital is defined as money used for the day-to-day operations of a business?
Fixed
Floating
Nominal
Working
Joel bought a dye factory because he wanted to ensure that he received a regular supply of dyes to make tie-dye scarves. In which type of linkage is Joel engaged?
Forward
Diagonal
Backward
Horizontal
Which of the following outcomes is LEAST likely to result from growth in an organization?
Greater productivity
More division of labour
Increased communication
Increased capital investment
Subsistence production is BEST described as producing goods for
profit
export
local trade
personal use
Primary production is concerned with the
distribution of goods
manufacture of goods
provision of raw materials
provision of goods to meet essential needs
Which of the following are examples of fixed capital?
Cash balances
Bank balances
Plant and machinery
Stocks of raw material
Joseph has decided to leave his homeland of Jamaica to go to the USA in search of a better life. This movement is referred to as
'brain drain'
early migration
internal migration
external migration
Which of the following commodities is product of the manufacturing industry?
A car
Gold
Lumber
A house
In Trinidad, Mrs. Brown would be referred to as
a refugee
an emigrant
an immigrant
a travelling officer
In Barbados, Mrs. Brown would be referred to as
a refugee
an emigrant
an immigrant
a travelling officer
The movement of educated, skilled people to settle in other industrialized countries is referred to as
migration
brain drain
unemployment
underemployment
Productivity can be measured by
Inputs Outputs
Inputs Revenue
Revenue Outputs
Outputs inputs
In the Caribbean, many people are hired for sugarcane farming and very little equipment is used. This industry can BEST be described as
labour intensive
capital intensive
having low capital input
having high capital input
In economics, a ‘market' is BEST described as
the reason for the elimination barter
a situation in which buyers a sellers interact
a place where various types fruits and vegetables are sold
the management Process responsible for satisfying consumers demands
Which of the following activities can be BEST carried out as a cottage industry?
Canning of peas
Smelting of iron ore
Refining petroleum
Manufacturing of leather sandals
What is the main purpose of market research?
To increase the price of a product
To determine the wages of workers
To find out consumer preferences and market trends
To choose a location for the factory
What is one key aim of social media marketing?
To hire new staff
To advertise through billboards
To create customer awareness through digital platforms
To increase packaging costs
Which marketing activity involves creating a unique symbol to identify a product?
Packaging
Branding
Advertising
Pricing
One of the key functions of advertising is to:
Reduce competition in the market
Limit customer feedback
Educate and inform consumers
Increase employee salaries
