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Unit 1 Test review

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

Walmart could be described as a big-box retailer.

a)

True

b)

False

2.

A customer is always the consumer.

a)

True

b)

False

3.

If you were a McDonald’s franchisee, you are allowed to add products to your restaurant’s menu if you think they will increase the company’s profitability.

a)

False

b)

True

4.

Our current inflation rate is lower than 5%.

a)

False

b)

True

5.

Best Buy is a private sector company.

a)

True

b)

False

6.

Businesses generate money for the government by paying taxes.

a)

False

b)

True

7.

Sometimes, people buy products they don’t need or want because of peer pressure.

a)

True

b)

False

8.

Domino’s is an SME.

a)

False

b)

True

9.

Which of the following products is more likely to be purchased because of a custom:

a)

Christmas present for your favorite business teacher

b)

Coffee for your boss

c)

A movie pass for a film’s opening weekend

d)

Dog food for your pet

10.

“Economies of scale” means:

a)

The more products you produce, the less it costs to make each product

b)

The more expenses you have, the greater your chances of becoming insolvent

c)

The more sales you make, the greater your profit is

d)

The more employees you have, the more revenues you can generate

11.

Which of the following is NOT true about a capitalist system:

a)

A business is free to make a profit

b)

Competition among producers dictates which goods and services will be produced

c)

Government controls all of the economic decision making

d)

Consumers determine what will be produced by the dollars they spend

12.

Making purchases with the primary intention of impressing others is called:

a)

Conspicuous consumption

b)

Peer pressure

c)

Trending

d)

Purchasing power

13.

Which is a consumer benefit of competition in a marketplace?

a)

Worse quality in many goods

b)

Slower innovation across firms

c)

Fewer choices for most buyers

d)

Lower prices for similar products

14.

What does the “e” in e-commerce and e-mail stand for?

a)

Enhanced in mobile transactions

b)

Express in global delivery

c)

Electronic in digital communication

d)

Efficient in online shopping

15.

Which industry is considered a primary industry in a national economy?

a)

Software and app design

b)

Agriculture and forestry work

c)

Banking and insurance services

d)

Retail and restaurant sales

16.

Which of the following is a Crown corporation (state-owned business)?

a)

Walmart retail chain stores

b)

Apple consumer electronics

c)

Canada Post postal service

d)

Nike athletic apparel brand

17.

Which pair lists psychological needs a business might appeal to?

a)

Logistics and tariffs

b)

Wealth and taxation

c)

Friendship and security

d)

Status and tariffs

18.

Which factor best explains why a profitable tech company continues to succeed?

a)

Reducing product quality

b)

Eliminating all advertising

c)

Avoiding any competition

d)

Increasing profit over time

19.

Which statement best shows a company being efficient but not effective?

a)

Producing cars faster with more defects returned

b)

Hiring more staff to improve quality checks

c)

Spending more on ads to boost brand loyalty

d)

Outsourcing design to reduce research expenses

e)

Designing cars slowly with perfect reliability

20.

Why might a government place a tariff on imported steel?

a)

Protect domestic producers and raise revenue

b)

Reward foreign manufacturers for quality

c)

Lower consumer prices in the short term

d)

Reduce competition among local firms

e)

Increase imports to reduce shortages