Midterm I

A  Federalism

B  Communism

C  Socialism

D  Capitalism

A  strategic alliance

B  divestiture

C  merger

D  acquisition

A  $14,454.00

B  $1,445.54

C  $14.45

D  $144.54

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  planning

B  organizing

C  directing

D  staffing

A  democratic

B  autocratic

C  charismatic

D  laissez-fair

A  chief sales officer

B  chief operations officer

C  chief executive officer

D  chief financial officer

A  Marxism

B  isolationism

C  globalization

D  protectionism

A  TRUE

B  FALSE

A  Adam Smith

B  Milton Friedman

C  Justin Turner

D  David Ricardo

A  FALSE

B  TRUE

A  discount

B  equilibrium

C  surplus

D  credit

A  public

B  mixed

C  communist

D  private

A  Depreciation

B  Marketing

C  Cost of goods sold

D  Profit

A  dynamics

B  entropy

C  gravity

D  fusion

A  John Adams

B  Karl Marx

C  Adam Smith

D  Machiavelli

A  TRUE

B  FALSE

A  liability is limited to corporate assets only

B  there is ease of transfer

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  Taxes paid on personal tax return

C  Little or no recording by the State

D  Double taxation

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

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  Marketing era

C  Production era

D  Colonial era

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

B  Fair competition allows employees to choose their own employment.

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 supports the goal of private property ownership.

A  trade surplus

B  comparative advantage

C  absolute advantage

D  trade deficit

A  World Bank

B  World Trade Organization (WTO)

C  General Agreement on Tariffs and Trade (GATT)

D  International Monetary Fund (IMF)

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  Inflation devalues money.

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

A  The factors of production are regulated by the government.

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

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

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

A  Creativity and critical thinking

B  Visionary skills

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  developing a quality workforce.

C  protecting the environment.

D  all of these.

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

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

A  Normal distribution curves

B  Supply curves

C  Demand curves

D  Production possibility curves

A  tariff

B  quota

C  embargo

D  exchange control

A  FALSE

B  TRUE

A  The company’s upper management

B  The company’s ethical climate

C  All of these

D  The company’s code of ethics

A  dumping

B  seeding

C  tariffs

D  quotas

A  resource

B  export

C  import

D  exchange

A  health care; education

B  entertainment; clothing

C  energy; food

D  transportation; housing

A  FALSE

B  TRUE

A  competition

B  profits

C  private property

D  freedom of choice

A  International Monetary Fund

B  Global Assistance Fund

C  World Bank

D  International Bank

A  Growth stage

B  Introductory stage

C  Maturity stage

D  Decline stage

A  TRUE

B  FALSE

A  proactive

B  accommodative

C  defensive

D  obstructionist

A  FALSE

B  TRUE

A  Purchasing Power Parity

B  Balance of Trade

C  Aggregate Output

D  GDP

A  U.S. agriculture

B  Automobile industries

C  Steel industries

D  Airline industry

A  FALSE

B  TRUE

A  fascism

B  communism

C  capitalism

D  socialism

A  $19.3 trillion in merchandise is traded each year.

B  $19.3 million in merchandise is traded each year.

C  $10.3 trillion in merchandise is traded each year.

D  $18.3 billion in merchandise is traded each year.

A  Human asset accounting

B  Human resource management

C  Change management

D  Research and Development (R&D)

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  SWOT analysis.

B  GANTT chart.

C  organizational chart.

D  benchmark analysis.

A  contingency plan.

B  benchmarking process.

C  mission statement.

D  operational plan.

A  Tactical planning

B  Operational planning

C  Strategic planning

D  Contingency planning

A  It crates the detailed standards that guide implementation of tactical 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 involves implementing the activities specified by operational 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 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  FALSE

B  TRUE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  is a middle manager

B  avoids risk at all cost

C  is a risk taker in the private enterprise system

D  does not tolerate ambiguity