People who stand to gain or lose by the policies and activities of a business and whose concerns the
(TCO 1) People who stand to gain or lose by the policies and activities of a business and whose concerns the
business needs to address include which of the following? (Points : 5)
Foreign business leaders
Domestic business leaders
3. (TCO 1) As a pharmacist in your community, you are concerned with the level of service provided to those in need at odd hours and after hours and in the neighborhoods where such extended service is needed. Your concerns are centered on which of the following? (Points : 5)
Making products and counseling available when consumers need them
Changing the buying behaviors of consumers
Understanding the risks of some of the products offered for sale
Doing whatever is necessary to provide credit through debit cards and credit cards
Providing open and free-flowing communication to the consumers
4. (TCO 3) Which of the following is true about a small business? (Points : 5)
A small business is one that employs between 500 to 1000 employees.
A small business is usually funded by personal lines of credit and not through bank loans and microlenders.
A small business is one that is not dominant in its field.
A small firm usually curtails the freedom to innovate.
A small firm avoids risks that larger firms are willing to take.
5. (TCO 1) Performing a SWOT analysis is part of the _____. (Points : 5)
6. (TCO 2) These are government policies aimed at shielding a country’s industries from foreign competition. (Points : 5)
7. (TCO 3) One disadvantage of free trade is _____. (Points : 5)
domestic companies can lose their comparative advantage
uninterrupted flow of capital provides for lower interest rates
workers will be given across-the-board pay increases
a company’s productivity grows when it has an absolute advantage
domestic workers can be trained for additional jobs
8. (TCO 3) Advantages of a Limited Liability Corporation (LLC) include all of the following EXCEPT (Points : 5)
unrestricted member participation in management.
pass-through taxation benefits of a partnership.
advantages of limited liability.
limited number of shareholders.
9. (TCO 2) What does the term CSR stand for in a corporate setting? (Points : 5)
Corporate Social Reasoning
Corporate Social Responsibility
Corporate Social Reporting
None of the Above
10. (TCO 3) Starting your own business (Points : 5)
is an alternative to unemployment.
is not risky.
allows others to control your future.
is not difficult and does not require sacrifice.
11. (TCO 4) Consumers have needs for living and wants, which are desires and to know them helps businesses to meet market demands. From the following list, identify which combination is just needs, or just wants. (Points : 5)
Food and Big Mac
Motorcycle and car
Shelter and condo
Water and Coca-Cola
12. (TCO 4) The rapid spread of brand communities has been one of the major impacts of social media. The Harley Davidson Owners Group is one example of an informal network of people with similar interests who use social media to bond and share information. Why are these brand communities effective? (Points : 5)
The cost of consumer-oriented publications is too expensive.
Consumers now trust their peers more than any source for product information.
Consumers no longer trust salespeople.
State and local consumer protection agencies no longer review products.
13. (TCO 4) Successfully distributing goods to customers involves low cost and customer satisfaction. Several steps must take place in order to reach this goal. Which step need NOT be considered in the physical distribution of goods? (Points : 5)
14. (TCO 5) Which one of these listed below is NOT a classical motivation theory? (Points : 5)
Maslow’s Hierarchy of Needs
Herzberg’s Theories of Motivation
Theory X and Theory Y
Gibson’s Motivational Theories on Employees
15. (TCO 6) Production and operations management is best described by which of the following? (Points : 5)
Overseeing all of the activities involved in producing goods and services
Designing machines to do multiple tasks
Tailoring products to meet the needs of a large number of customers
Using technology and robotic units to assist with plant operations
Short production runs and the machines being adjusted frequently
16. (TCO 7) An accounting system includes which one of the following? (Points : 5)
Tax return information
Summarization of accounts information
17. (TCO 7) Imagine that you have just earned your business degree and have been hired as a hospital administrator at a small hospital that, like many others, is experiencing financial problems. A suggestion that you would make to help improve the financial position of the hospital and correct the financial problems is to (Points : 5)
improve the efficiency of the hospital’s cash management system.
use a carefully planned lawn care service.
continue the hospital’s large stockpile of drugs.
cease using a just-in-time inventory system.
use a carelessly planned inventory control system.