Midterm I

A  Communism

B  Socialism

C  Federalism

D  Capitalism

A  strategic alliance

B  divestiture

C  merger

D  acquisition

A  $144.54

B  $14,454.00

C  $1,445.54

D  $14.45

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  staffing

B  planning

C  organizing

D  directing

A  laissez-fair

B  democratic

C  autocratic

D  charismatic

A  chief operations officer

B  chief financial officer

C  chief executive officer

D  chief sales officer

A  protectionism

B  Marxism

C  isolationism

D  globalization

A  TRUE

B  FALSE

A  Adam Smith

B  David Ricardo

C  Justin Turner

D  Milton Friedman

A  TRUE

B  FALSE

A  discount

B  equilibrium

C  credit

D  surplus

A  communist

B  mixed

C  private

D  public

A  Depreciation

B  Profit

C  Marketing

D  Cost of goods sold

A  fusion

B  dynamics

C  entropy

D  gravity

A  Machiavelli

B  Karl Marx

C  John Adams

D  Adam Smith

A  FALSE

B  TRUE

A  there is ease of transfer

B  it is considered a separate legal entity

C  liability is limited to corporate assets only

D  all of the above may be considered advantages of corporations

A  FALSE

B  TRUE

A  Double taxation

B  Taxes paid on personal tax return

C  Little or no recording by the State

D  Ease of setup

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  customer complaints

B  individual employees

C  policies

D  legislation

A  Relative era

B  Production era

C  Marketing era

D  Colonial 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 employees to choose their own employment.

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  comparative advantage

C  absolute advantage

D  trade surplus

A  General Agreement on Tariffs and Trade (GATT)

B  International Monetary Fund (IMF)

C  World Bank

D  World Trade Organization (WTO)

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

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

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

D  Inflation devalues money.

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

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

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

D  The factors of production are regulated by the government.

A  All of these

B  Visionary skills

C  Creativity and critical thinking

D  Ability to lead change

A  Stock liquidation

B  Budget surplus

C  Trade surplus

D  Hyperinflation

A  dealing with public health issues.

B  protecting the environment.

C  all of these.

D  developing a quality workforce.

A  Business consists of marketing products that people want.

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

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

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

A  Production possibility curves

B  Supply curves

C  Normal distribution curves

D  Demand curves

A  quota

B  exchange control

C  embargo

D  tariff

A  TRUE

B  FALSE

A  The company’s upper management

B  The company’s ethical climate

C  The company’s code of ethics

D  All of these

A  tariffs

B  seeding

C  quotas

D  dumping

A  export

B  import

C  resource

D  exchange

A  transportation; housing

B  entertainment; clothing

C  health care; education

D  energy; food

A  TRUE

B  FALSE

A  private property

B  freedom of choice

C  profits

D  competition

A  International Bank

B  World Bank

C  International Monetary Fund

D  Global Assistance Fund

A  Introductory stage

B  Maturity stage

C  Decline stage

D  Growth stage

A  FALSE

B  TRUE

A  proactive

B  obstructionist

C  accommodative

D  defensive

A  FALSE

B  TRUE

A  Purchasing Power Parity

B  Balance of Trade

C  Aggregate Output

D  GDP

A  Airline industry

B  U.S. agriculture

C  Steel industries

D  Automobile industries

A  TRUE

B  FALSE

A  communism

B  fascism

C  capitalism

D  socialism

A  $18.3 billion 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  $19.3 million in merchandise is traded each year.

A  Research and Development (R&D)

B  Change management

C  Human asset accounting

D  Human resource management

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  organizational chart.

B  SWOT analysis.

C  benchmark analysis.

D  GANTT chart.

A  mission statement.

B  benchmarking process.

C  operational plan.

D  contingency plan.

A  Contingency planning

B  Operational planning

C  Strategic planning

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

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

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

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

C  Management happens only at the top management levels.

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

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  is a middle manager

B  is a risk taker in the private enterprise system

C  avoids risk at all cost

D  does not tolerate ambiguity