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CHAPTER 4 QUIZ: Social Responsibility of Business and Government

Total questions: 20

Worksheet time: 19mins

Name
Class
Date
1.

Social responsibility refers to the duty of a business to contribute to the well-being of a community.

a)

True

b)

False

2.

A number of benefits exist for a business to take socially responsible actions. One such benefit is that these activities have no or little costs.

a)

True

b)

False

3.

One major role of government is to protect citizens, consumers, businesses, and workers.

a)

True

b)

False

4.

To be valid and enforceable, contracts must be in writing and signed by both parties.

a)

True

b)

False

5.

All public utility companies are owned and operated by state governments.

a)

True

b)

False

6.

A set of rules guiding the actions of employees is called a mission statement.

a)

True

b)

False

7.

A conflict of interest occurs when an individual's or a company's actions result in an unfair benefit.

a)

True

b)

False

8.

The four elements of a legal contract are agreement, competent parties, legality, and consideration.

a)

True

b)

False

9.

Government attempted to prevent monopolies with free-trade zones.

a)

True

b)

False

10.

The costs for social projects a company sponsors must be balanced with profits to make sure the business stays viable.

a)

True

b)

False

11.

Contracts

a)

must be written to be valid.

b)

can be entered into by any two U.S. citizens.

c)

need not be accepted to be valid.

d)

must be for a product or service that can be legally sold.

12.

Which of the following is NOT a way government assists businesses.

a)

It ensures equal distribution of goods and services.

b)

It buys a wide range of goods and services and employs many workers in a variety of functions.

c)

It collects and reports valuable information.

d)

It provides loans to help businesses get started or overcome natural disasters.

13.

Government attempts to prevent monopolies with

a)

free-trade zones.

b)

antitrust laws.

c)

right-to-work laws.

d)

enterprise zones.

14.

Which of the following is an example of a public utility?

a)

professional baseball team

b)

fire department

c)

insurance company

d)

electric company

15.

Government is concerned with all of the following EXCEPT

a)

raising revenue.

b)

buying goods and services.

c)

ensuring profits for businesses.

d)

regulating utilities.

16.

A tax levied on goods and services is a(n) (a)   tax, which is collected by the seller.

17.

Examples of the government's role in _________________ are preventing monopolies and unfair business practices as well as promoting fair competition among business.

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18.

A (a)   protects creative work of authors, composers, and artists.

19.

In general, foreign and interstate commerce is regulated by the (a)   level(s) of government.

20.

Which of the following is not a benefit of socially responsible activities? _________________

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