Midterm I

A  Socialism

B  Communism

C  Federalism

D  Capitalism

A  merger

B  acquisition

C  divestiture

D  strategic alliance

A  $14.45

B  $144.54

C  $1,445.54

D  $14,454.00

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  FALSE

B  TRUE

A  planning

B  organizing

C  staffing

D  directing

A  charismatic

B  laissez-fair

C  democratic

D  autocratic

A  chief executive officer

B  chief financial officer

C  chief sales officer

D  chief operations officer

A  protectionism

B  Marxism

C  globalization

D  isolationism

A  FALSE

B  TRUE

A  David Ricardo

B  Milton Friedman

C  Justin Turner

D  Adam Smith

A  FALSE

B  TRUE

A  equilibrium

B  discount

C  surplus

D  credit

A  public

B  communist

C  mixed

D  private

A  Marketing

B  Cost of goods sold

C  Profit

D  Depreciation

A  dynamics

B  gravity

C  fusion

D  entropy

A  Karl Marx

B  John Adams

C  Machiavelli

D  Adam Smith

A  TRUE

B  FALSE

A  liability is limited to corporate assets only

B  it is considered a separate legal entity

C  there is ease of transfer

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  Taxes paid on personal tax return

D  Double taxation

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  customer complaints

B  policies

C  legislation

D  individual employees

A  Colonial era

B  Production era

C  Relative era

D  Marketing 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 supports the goal of private property ownership.

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  trade surplus

D  absolute advantage

A  World Bank

B  World Trade Organization (WTO)

C  General Agreement on Tariffs and Trade (GATT)

D  International Monetary Fund (IMF)

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

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

C  Inflation devalues money.

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

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

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

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

D  The factors of production are regulated by the government.

A  Creativity and critical thinking

B  Ability to lead change

C  All of these

D  Visionary skills

A  Stock liquidation

B  Budget surplus

C  Hyperinflation

D  Trade surplus

A  all of these.

B  dealing with public health issues.

C  developing a quality workforce.

D  protecting the environment.

A  Business consists of marketing products that people want.

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

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

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

A  Normal distribution curves

B  Production possibility curves

C  Supply curves

D  Demand curves

A  tariff

B  embargo

C  quota

D  exchange control

A  TRUE

B  FALSE

A  All of these

B  The company’s upper management

C  The company’s code of ethics

D  The company’s ethical climate

A  dumping

B  seeding

C  tariffs

D  quotas

A  resource

B  exchange

C  import

D  export

A  energy; food

B  transportation; housing

C  entertainment; clothing

D  health care; education

A  FALSE

B  TRUE

A  freedom of choice

B  profits

C  competition

D  private property

A  International Monetary Fund

B  Global Assistance Fund

C  International Bank

D  World Bank

A  Decline stage

B  Introductory stage

C  Growth stage

D  Maturity stage

A  FALSE

B  TRUE

A  obstructionist

B  defensive

C  accommodative

D  proactive

A  TRUE

B  FALSE

A  Purchasing Power Parity

B  GDP

C  Aggregate Output

D  Balance of Trade

A  U.S. agriculture

B  Airline industry

C  Steel industries

D  Automobile industries

A  FALSE

B  TRUE

A  fascism

B  socialism

C  capitalism

D  communism

A  $18.3 billion 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  $19.3 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  GANTT chart.

B  organizational chart.

C  SWOT analysis.

D  benchmark analysis.

A  contingency plan.

B  operational plan.

C  mission statement.

D  benchmarking process.

A  Operational planning

B  Strategic planning

C  Tactical planning

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

C  It involves implementing the activities specified by operational plans.

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

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

C  Management happens only at the top management levels.

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

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  TRUE

B  FALSE

A  FALSE

B  TRUE

A  is a risk taker in the private enterprise system

B  is a middle manager

C  avoids risk at all cost

D  does not tolerate ambiguity