Midterm I

A  Socialism

B  Communism

C  Capitalism

D  Federalism

A  divestiture

B  acquisition

C  strategic alliance

D  merger

A  $14.45

B  $1,445.54

C  $14,454.00

D  $144.54

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  organizing

B  directing

C  planning

D  staffing

A  autocratic

B  laissez-fair

C  democratic

D  charismatic

A  chief operations officer

B  chief financial officer

C  chief executive officer

D  chief sales officer

A  globalization

B  protectionism

C  Marxism

D  isolationism

A  FALSE

B  TRUE

A  Adam Smith

B  Milton Friedman

C  Justin Turner

D  David Ricardo

A  TRUE

B  FALSE

A  discount

B  equilibrium

C  surplus

D  credit

A  private

B  public

C  communist

D  mixed

A  Cost of goods sold

B  Depreciation

C  Profit

D  Marketing

A  fusion

B  dynamics

C  gravity

D  entropy

A  John Adams

B  Machiavelli

C  Karl Marx

D  Adam Smith

A  TRUE

B  FALSE

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  Ease of setup

B  Little or no recording by the State

C  Double taxation

D  Taxes paid on personal tax return

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  legislation

B  customer complaints

C  individual employees

D  policies

A  Marketing era

B  Colonial era

C  Production era

D  Relative era

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

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

C  Fair competition allows employees to choose their own employment.

D  Fair competition supports the goal of private property ownership.

A  trade deficit

B  comparative advantage

C  absolute advantage

D  trade surplus

A  World Bank

B  World Trade Organization (WTO)

C  International Monetary Fund (IMF)

D  General Agreement on Tariffs and Trade (GATT)

A  Inflation devalues money.

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

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

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

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

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

C  The factors of production are regulated by the government.

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

A  Ability to lead change

B  All of these

C  Visionary skills

D  Creativity and critical thinking

A  Trade surplus

B  Hyperinflation

C  Stock liquidation

D  Budget surplus

A  all of these.

B  dealing with public health issues.

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

D  Business consists of marketing products that people want.

A  Production possibility curves

B  Supply curves

C  Normal distribution curves

D  Demand curves

A  quota

B  exchange control

C  tariff

D  embargo

A  TRUE

B  FALSE

A  The company’s upper management

B  All of these

C  The company’s ethical climate

D  The company’s code of ethics

A  tariffs

B  dumping

C  quotas

D  seeding

A  resource

B  export

C  import

D  exchange

A  energy; food

B  transportation; housing

C  entertainment; clothing

D  health care; education

A  TRUE

B  FALSE

A  profits

B  competition

C  freedom of choice

D  private property

A  Global Assistance Fund

B  International Monetary Fund

C  World Bank

D  International Bank

A  Decline stage

B  Introductory stage

C  Maturity stage

D  Growth stage

A  FALSE

B  TRUE

A  defensive

B  obstructionist

C  proactive

D  accommodative

A  TRUE

B  FALSE

A  Balance of Trade

B  Aggregate Output

C  GDP

D  Purchasing Power Parity

A  Steel industries

B  Automobile industries

C  U.S. agriculture

D  Airline industry

A  FALSE

B  TRUE

A  socialism

B  fascism

C  communism

D  capitalism

A  $19.3 trillion in merchandise is traded each year.

B  $18.3 billion in merchandise is traded each year.

C  $19.3 million in merchandise is traded each year.

D  $10.3 trillion in merchandise is traded each year.

A  Human resource management

B  Change management

C  Research and Development (R&D)

D  Human asset accounting

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  benchmark analysis.

B  organizational chart.

C  GANTT chart.

D  SWOT analysis.

A  benchmarking process.

B  contingency plan.

C  mission statement.

D  operational plan.

A  Operational planning

B  Tactical planning

C  Strategic planning

D  Contingency planning

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

B  It involves implementing the activities specified by operational plans.

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

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

B  Management happens only at the top management levels.

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

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

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  does not tolerate ambiguity

B  avoids risk at all cost

C  is a risk taker in the private enterprise system

D  is a middle manager