Midterm I

A  Communism

B  Capitalism

C  Socialism

D  Federalism

A  strategic alliance

B  acquisition

C  divestiture

D  merger

A  $14,454.00

B  $1,445.54

C  $14.45

D  $144.54

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  staffing

B  directing

C  planning

D  organizing

A  autocratic

B  charismatic

C  democratic

D  laissez-fair

A  chief executive officer

B  chief sales officer

C  chief operations officer

D  chief financial officer

A  globalization

B  Marxism

C  protectionism

D  isolationism

A  FALSE

B  TRUE

A  Adam Smith

B  Milton Friedman

C  David Ricardo

D  Justin Turner

A  TRUE

B  FALSE

A  credit

B  equilibrium

C  surplus

D  discount

A  public

B  communist

C  private

D  mixed

A  Depreciation

B  Cost of goods sold

C  Marketing

D  Profit

A  dynamics

B  entropy

C  fusion

D  gravity

A  John Adams

B  Adam Smith

C  Machiavelli

D  Karl Marx

A  FALSE

B  TRUE

A  there is ease of transfer

B  liability is limited to corporate assets only

C  it is considered a separate legal entity

D  all of the above may be considered advantages of corporations

A  FALSE

B  TRUE

A  Ease of setup

B  Double taxation

C  Taxes paid on personal tax return

D  Little or no recording by the State

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  individual employees

B  policies

C  legislation

D  customer complaints

A  Relative era

B  Marketing era

C  Colonial era

D  Production era

A  Fair competition requires firms to inform their competitors when prices will be reduced.

B  Fair competition supports the goal of private property ownership.

C  Fair competition allows firms to compete, knowing they won’t be subjected to excessively aggressive practices that are designed to eliminate them.

D  Fair competition allows employees to choose their own employment.

A  comparative advantage

B  trade surplus

C  trade deficit

D  absolute advantage

A  International Monetary Fund (IMF)

B  World Trade Organization (WTO)

C  World Bank

D  General Agreement on Tariffs and Trade (GATT)

A  While deflation weakens the economy, inflation strengthens the economy.

B  Inflation is good news for people who live on fixed incomes.

C  When inflation is high, businesses should invest in research and development.

D  Inflation devalues money.

A  Managing only human resources is enough for the successful operation of a business.

B  Firms need to understand how to reduce the cost of production if they are going to be successful.

C  Natural resources will always be the least important factor of production.

D  The factors of production are regulated by the government.

A  Visionary skills

B  Creativity and critical thinking

C  All of these

D  Ability to lead change

A  Budget surplus

B  Stock liquidation

C  Hyperinflation

D  Trade surplus

A  dealing with public health issues.

B  all of these.

C  protecting the environment.

D  developing a quality workforce.

A  Business is defined as activities that produce the most good for society.

B  Business consists of all profit-seeking activities that provide goods and services to an economic system.

C  Business consists of marketing products that people want.

D  The term business only describes firms that are profitable and excludes government or private organizations

A  Supply curves

B  Demand curves

C  Normal distribution curves

D  Production possibility curves

A  tariff

B  exchange control

C  quota

D  embargo

A  TRUE

B  FALSE

A  All of these

B  The company’s upper management

C  The company’s ethical climate

D  The company’s code of ethics

A  seeding

B  quotas

C  tariffs

D  dumping

A  resource

B  import

C  export

D  exchange

A  health care; education

B  entertainment; clothing

C  energy; food

D  transportation; housing

A  TRUE

B  FALSE

A  freedom of choice

B  private property

C  profits

D  competition

A  International Bank

B  World Bank

C  International Monetary Fund

D  Global Assistance Fund

A  Decline stage

B  Growth stage

C  Maturity stage

D  Introductory stage

A  TRUE

B  FALSE

A  defensive

B  proactive

C  accommodative

D  obstructionist

A  FALSE

B  TRUE

A  Purchasing Power Parity

B  Aggregate Output

C  Balance of Trade

D  GDP

A  Airline industry

B  Steel industries

C  U.S. agriculture

D  Automobile industries

A  TRUE

B  FALSE

A  capitalism

B  communism

C  socialism

D  fascism

A  $19.3 million in merchandise is traded each year.

B  $10.3 trillion in merchandise is traded each year.

C  $19.3 trillion in merchandise is traded each year.

D  $18.3 billion in merchandise is traded each year.

A  Human resource management

B  Change management

C  Human asset accounting

D  Research and Development (R&D)

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  organizational chart.

B  benchmark analysis.

C  SWOT analysis.

D  GANTT chart.

A  contingency plan.

B  benchmarking process.

C  mission statement.

D  operational plan.

A  Contingency planning

B  Operational planning

C  Tactical planning

D  Strategic planning

A  It involves implementing the activities specified by operational plans.

B  It is the process of determining the primary objectives of an organization and then acting and allocating resources to achieve those objectives.

C  It allows an organization to resume operations as quickly and as smoothly as possible after a crisis while openly communicating with the public.

D  It crates the detailed standards that guide implementation of tactical plans.

A  Management is solely the process of reporting organizational successes and failures to investors and others.

B  Management happens only at the top management levels.

C  Management is the process of achieving organizational objectives through people and other resources.

D  Management principles do not apply to not-for-profit organizations.

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  avoids risk at all cost

B  does not tolerate ambiguity

C  is a risk taker in the private enterprise system

D  is a middle manager