DECA Final

One difference between business ethics and the law is that business ethics

are often unwritten

You decide not to take a certain action because you know it's the wrong thing to do. You have made this decision based on your

ethnics

Of the following methods of entering a foreign market, which is the least risky?

exporting

Which of the following is a potential problem in market economies?

financial loss

Wendy's sells the right to operate its restaurants to individuals who meet the company's criteria. The arrangement between Wendy's and these individuals is an example of

franchising

If all of the individuals who own a business share unlimited liability for the business's losses these individuals are part of an

general partnership

In a communist command economy, who decides how the economic questions will be answered?

government

In a socialist economic system, who tends to answer the question of how products will be produced

government and individuals

Environmental degradation occurs because of

increased production

Which of the following is a public good that is provided by government?

interstate highways

Which of the following is a potential consequence of poor business ethics:

negative public image

The American Red Cross is an example of a

nonprofit corporation

Globalization can be a disadvantage for domestic workers when they lose their jobs due to the practice of

offshoring

Which of the following actions describes proactive management

planning in advance for change

What type of corporation may be owned by just a few people and does not offer its shares for sale to the general public?

private corporation

What type of corporation sells millions of shares and must furnish complete information about its earnings, assets, and debts?

public

Illegally run organizations that emphasize the collection of high fees from potential product distributors are often referred to as

pyramid skymes

What actions are consumers most likely to take when the economy is poor?

restrain their spending

People who go into business know that the business may not succeed. This possibility is referred to as business

risk

government owns the basic means of production, but there is some private ownership of businesses under

socialism

"To form my business, I used all of my savings, borrowed from the bank, and I'm personally liable for all of the debts." This is an example of which of the following forms of business ownership

sole proprietorship

A major problem for individuals and private businesses in a socialist command economy is

taxes

The two main sources of revenue used to pay the costs of government regulation are

taxes and borrowing

The technology that has had the most influence on globalization has been

the internet

In a traditional economic system, the question of what to produce is answered by producing

what has always been produced

Government uses some of the tax money it collects from individuals and businesses to support public welfare programs. What is the benefit of these welfare programs to businesses in a private enterprise economy?

Funds received by precipitants are spent in business

Which of the following government actions is most likely to stimulate the economy

Lowering tax rates

What type of economic system is used in the United States?

Market

A country that currently has a communist command economic

North Korea

An organization that has the ability to adapt quickly is

agile

An example of a country that has a socialist command economy is

Sweden

Why does the government set and collect taxes

To help pay the expenses of government

"Brain drain" occurs when

a country loses talented employees to better opportunities overseas.

Globalization can be an advantage for businesses because it

can help them to cut costs for certain resources

A business's philanthropic responsibility involves its contributions to

charity

The government controls the economic system and does not allow private ownership of the means of production and distribution in ____________________ economy.

communist command

The Scott Company decided to sell stock to raise capital. Under what form of business organization does a company operate?

corporation

Which of the following is an example of increased financial risk for a company with poor business ethics:

decreased company value

A business with poor ethics causes internal problems for itself by

decreasing productivity

A business suddenly moves its operations to a new town, leaving its current employees jobless. Its reason for taking this action, which some consider unethical, might be that the action

is not illegal

Lois and Lora plan to open a florist shop. Lois is unable to devote full time to the daily operations of the shop but wishes to provide financial support. Which form of business partnership is most likely to appeal to Lois?

limited partnership

Some people believe that a business's only true ethical obligation is to

make money

Individuals and businesses own the means of production and distribution with limited government regulation in a ________________ economy.

market

the most common medium of exchange in modern economic systems is

money

One of the characteristics of the form of business ownership known as an LLC is that

the owners' personal property that cannot be taken to pay the business's debts

Which of the following is a true statement about business ethics and the law

the two are not the same thing, but they do overlap

Which of the following is a true statement about ethical business practices:

they do not guarantee public outcomes

Which of the following is not a main reason for businesses expand foreign markets:

to spread culture

Lack of economic growth is a major problem for _____economic systems

traditional

which of the following types of economic systems adopts the fewest new ideas or improvements

traditional