2.01 Business Society
Retailing occurs wherever goods are:
A. researched and designed.
B. created or manufactured.
C. traded or exchanged for other goods.
D. sold to consumers or the ultimate customer.
D. sold to consumers or the ultimate customer.
The economic resource where people work to produce goods or services are:
A. capital goods.
B. human resources.
C. natural resources.
D. noneconomic goods.
B. human resources.
A business that buys goods or services and sells them to the ultimate consumer is a:
A. manufacturer.
B. producer.
C. retailer.
D. wholesaler.
C. retailer.
Prices are used in our economy to:
A. offer excessive demand.
B. cause no change demand.
C. encourage excessive supply of products.
D. determine what goods are to be produced and in what quantities.
D. determine what goods are to be produced and in what quantities.
What do producers typically do when prices increase?
A. increase supply
B. decrease supply
C. increase demand
D. decrease demand
A. increase supply
A large retailer wants to contribute to the well-being of society. It donates 10% of its
proceeds to a charity that helps the environment. The retailer is demonstrating:
A. e-tailing.
B. wholesaling.
C. social responsibility.
D. voluntary merchandise.
C. social responsibility.
Consumers, producers, and owners of resources use money to create a flow of
resources, goods, and services through which economic activity?
A. consumption
B. distribution
C. exchange
D. marketing
C. exchange
The two main divisions of the trade industry are:
A. producers and retailers.
B. wholesalers and retailers.
C. wholesalers and producers.
D. manufacturers and wholesalers.
B. wholesalers and retailers.
Which is an example of a noneconomic want?
A. a haircut
B. sport ticket
C. a concert ticket
D. rain for the crops
D. rain for the crops
A characteristic of a seller’s market is:
A. lower profits.
B. higher prices.
C. larger supply.
D. smaller demand.
B. higher prices.
All businesses should be socially responsible to whom?
A. endorsers
B. producers
C. providers
D. users
D. users
When the prices of iPhones increase, the quantity of iPhones offered for sale will increase. This is an example of the law of:
A. equilibrium.
B. production.
C. shortage.
D. supply.
D. supply.
A company that transforms cotton into wearable clothing is considered a
A. manufacturer
B. raw-goods producer
C. service business
D. builder
A. manufacturer
New Gear studied trends in the marketplace to price their jerseys. There was an abundance of jerseys remaining after meeting the demand creating which market condition?
A. equilibrium
B. rationing
C. shortage
D. surplus
D. surplus
Gasoline prices increased 30 cents per gallon. Raylee continued to purchase gasoline because her demand and need to commute to work had not changed. This is an example of what type of demand?
A. complementary
B. discretionary
C. elastic
D. inelastic
D. inelastic
Monte works for a grocery store that buys food from producers and then sells it to customers. The grocery store is an example of a:
A. builder.
B. trade industry.
C. service business.
D. raw-goods producer.
B. trade industry.
Elastic demand is more likely when the good is:
A. a luxury.
B. imported.
C. lower price.
D. inexpensive.
A. a luxury.
Farms, mines, and lumber companies are examples of
A. builders
B. manufacturers
C. trade industries
D. raw-goods producer
D. raw-goods producer
If a student purchases a laptop to use for homework assignments, then the computer is considered what type of good?
A. capital
B. consumer
C. industrial
D. ultimate
B. consumer
A form of demand for products in which changes in price correspond to changes in demand is:
A. consumer.
B. elastic.
C. equilibrium.
D. inelastic.
B. elastic.
What do service businesses sell?
A. raw goods and services
B. retail goods and services
C. intangible goods and services
D. wholesale goods and services
C. intangible goods and services
ABC Corporation bought a new conveyor belt. What type of good is the conveyor belt?
A. capital good
B. natural good
C. public good
D. consumer good
A. capital good
One way in which a business can show its social responsibility is by __________ its profits.
A. controlling
B. maximizing
C. reducing
D. dividing
B. maximizing
Deciding to stay home and study, instead of going to a basketball game, is an example of a/an:
A. trade-off.
B. capital good.
C. economic want.
D. economic service.
A. trade-off.
Economic resources that help people be more productive are:
A. human resources.
B. natural resources.
C. capital goods resources.
D. nonrenewable resources.
C. capital goods resources.