Midterm I

A  Communism

B  Socialism

C  Federalism

D  Capitalism

A  divestiture

B  acquisition

C  merger

D  strategic alliance

A  $1,445.54

B  $14,454.00

C  $144.54

D  $14.45

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  planning

B  staffing

C  organizing

D  directing

A  democratic

B  autocratic

C  charismatic

D  laissez-fair

A  chief operations officer

B  chief sales officer

C  chief executive officer

D  chief financial officer

A  protectionism

B  globalization

C  isolationism

D  Marxism

A  TRUE

B  FALSE

A  Milton Friedman

B  David Ricardo

C  Justin Turner

D  Adam Smith

A  TRUE

B  FALSE

A  surplus

B  equilibrium

C  discount

D  credit

A  public

B  mixed

C  private

D  communist

A  Marketing

B  Cost of goods sold

C  Depreciation

D  Profit

A  fusion

B  gravity

C  dynamics

D  entropy

A  Adam Smith

B  John Adams

C  Karl Marx

D  Machiavelli

A  TRUE

B  FALSE

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  Double taxation

B  Little or no recording by the State

C  Taxes paid on personal tax return

D  Ease of setup

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  customer complaints

B  legislation

C  individual employees

D  policies

A  Relative era

B  Colonial era

C  Marketing era

D  Production era

A  Fair competition supports the goal of private property ownership.

B  Fair competition allows employees to choose their own employment.

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

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

A  trade deficit

B  trade surplus

C  comparative advantage

D  absolute advantage

A  World Bank

B  General Agreement on Tariffs and Trade (GATT)

C  International Monetary Fund (IMF)

D  World Trade Organization (WTO)

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

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

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

C  The factors of production are regulated by the government.

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

A  Ability to lead change

B  Visionary skills

C  All of these

D  Creativity and critical thinking

A  Stock liquidation

B  Trade surplus

C  Budget surplus

D  Hyperinflation

A  developing a quality workforce.

B  dealing with public health issues.

C  all of these.

D  protecting the environment.

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  Demand curves

B  Normal distribution curves

C  Supply curves

D  Production possibility curves

A  quota

B  exchange control

C  tariff

D  embargo

A  FALSE

B  TRUE

A  The company’s code of ethics

B  The company’s ethical climate

C  All of these

D  The company’s upper management

A  dumping

B  seeding

C  quotas

D  tariffs

A  exchange

B  import

C  resource

D  export

A  entertainment; clothing

B  health care; education

C  transportation; housing

D  energy; food

A  TRUE

B  FALSE

A  freedom of choice

B  private property

C  competition

D  profits

A  International Bank

B  International Monetary Fund

C  Global Assistance Fund

D  World Bank

A  Introductory stage

B  Decline stage

C  Maturity stage

D  Growth stage

A  TRUE

B  FALSE

A  proactive

B  defensive

C  accommodative

D  obstructionist

A  TRUE

B  FALSE

A  Aggregate Output

B  Purchasing Power Parity

C  Balance of Trade

D  GDP

A  Airline industry

B  U.S. agriculture

C  Steel industries

D  Automobile industries

A  TRUE

B  FALSE

A  fascism

B  socialism

C  capitalism

D  communism

A  $10.3 trillion in merchandise is traded each year.

B  $19.3 million in merchandise is traded each year.

C  $18.3 billion in merchandise is traded each year.

D  $19.3 trillion in merchandise is traded each year.

A  Change management

B  Research and Development (R&D)

C  Human resource management

D  Human asset accounting

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  GANTT chart.

B  benchmark analysis.

C  SWOT analysis.

D  organizational chart.

A  mission statement.

B  benchmarking process.

C  contingency plan.

D  operational plan.

A  Tactical planning

B  Strategic planning

C  Contingency planning

D  Operational planning

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

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 crates the detailed standards that guide implementation of tactical plans.

D  It involves implementing the activities specified by operational 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 principles do not apply to not-for-profit organizations.

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

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  is a middle manager

B  is a risk taker in the private enterprise system

C  does not tolerate ambiguity

D  avoids risk at all cost