Unit 4

How much space does the average employee working in a traditional office require?

A. 1000 square feet B. 200-250 square feet C. 500-600 square feet D. 100-125 square feet B

What brand manufactures their product in Costa Rica and is the only authorized brand to produce balls for Major League baseball?

A. Craftsman B. Stetson C. Rawlings D. Beats C

If another country makes a product more efficiently and you can buy it cheaper than you can make it, _____ is likely the answer.

A. Subcontracting B. Outsourcing C. Theft D. Trade

If a business depends on hourly employees, the cost of labor will vary depending on the day of the week or the season. Group of answer choices

A. True B. False A

Labor costs can be managed internally by effectively dividing the labor.

A. True B. False A

Understanding what skills employees bring to the business will also help a business use the new employee and their skillset most effectively.

A. True B. False A

When the cost of materials go up, revenue goes down unless the price of the item is raised to meet new costs.

A. True B. False A

Business owners need to consider the full cost of an employee, which involves little more than wages alone.

A. True B. False B

Business owners need to consider the full cost of an employee, which involves little more than wages alone. Group of answer choices

A. True B. False B

Labor is often the smallest expense for businesses and is an area in which it can be very simple to control costs.

A. True B. False B

Particularly in retail businesses or restaurants, managing inventory is not important for profitability.

A. True B. False B

Skilled employees will generally be paid less than unskilled employees.

A. True B. False B

Imagine that you run a dog washing business. Your business is fairly steady all year round, but it definitely picks up a bit in the summer months. What might be a variable expense for your business?

A. advertising B. water cost C. rent D. internet B

Some things, such as the cost of heating or cooling following a sudden change in the weather, can change from month to month for businesses and are referred to as what kind of expense?

A. base expense B. fixed expense C. variable expense D. static expense C

Why are most of the factors that drive up supply costs external factors?

A. because all businesses outsource all of their supplies B. because the supplies that most businesses rely on do not depend on the weather C. because businesses often control the cost of many of the supplies they need D. because businesses often do not control the production and expense of many of the supplies they need D

Paid vacation, retirement contributions, life insurance, dependent care, tuition reimbursement, or disability insurance are all examples of possible _____ that a company may provide to its full-time employees.

A. benefits B. tax-cuts C. trainings D. demerits A

What term refers to an account of income and expenses for a set period? Group of answer choices

A. budget B. base salary C. productivity D. revenue A

Concerning supply costs, if any agricultural products are required, a hard frost can devastate crops and do what to costs?

A. cut them in half B. decrease them C. keep them steady D. increase them D

In a capitalist society like the United States, the government takes on functions like what and private businesses pick up everything left over?

A. entertainment and agriculture B. the military and infrastructure C. healthcare and customer safety D. labor and consumerism B

When unemployment is lower overall nationwide, this means that, in general, employees have more what?

A. fear B. choices C. legal issues D. tax breaks B

There are many online job boards that post vacancies, and these can _____ a portion of the expenses associated with recruiting employees, particularly experienced executives.

A. increase B. reduce C. upsurge D. expand B

External factors—like the overall health of the economy, unemployment, or increased competition from a similar business—can do what to sales for a business?

A. keep them steady B. eradicate them C. drive them down D. drive them up C

For a business, _____ sales mean greater revenue.

A. lower B. higher C. mediocre D. minimum B

All businesses are required to pay their employees an hourly rate, with some exemptions. This rate is set by federal law and is referred to as what?

A. maximum wage B. minimum wage C. annual salary D. inventory B

It is the end of December, and Juan, the owner of a small sporting goods business, is paying the last few expenses for the year. Once all the expenses are paid, the money that is left over will be Juan's profit and is also referred to as:

A. net income. B. variable income. C. retention income. D. division income. A

What term refers to the ratio of how many hours of labor it takes to produce a product—essentially the measure of a company's efficiency?

A. productivity B. revenue C. retention D. variables

What term refers to the ratio of the number of employees a company hires to the number that stay at the company? Group of answer choices

A. productivity rate B. conversion rate C. wage rate D. retention rate

Assigning employees specific tasks for which they have the required skills and experience is referred to as:

A. remediation of labor . B. variable labor. C. specialization of labor. D. intuitive labor. C

We refer to the costs required to generate revenue as what?

A. salary B. retention C. expenses D. net income C

One factor that can contribute to the change in business expenses has to do with the amount of revenue that a business brings in based on the goods or services that it provides. What is this factor known as?

A. sales B. supply costs C. labor costs D. inventory management A

Approximately how many new small businesses does the Small Business Administration estimate close during their first year of operation? Group of answer choices

A. slightly more than three-fourths B. slightly less than one-fourth C. slightly more than one-half D. slightly less than one-third D

While employers can decide which benefits they would like to offer, they have no choice when it comes to paying what at the state and federal level? Group of answer choices

A. taxes B. tuition reimbursement C. retirement D. bonuses A

Adam Smith made the division of labor theory popular and argued that practice and specialization would automatically make people better at certain tasks, and when people improved their efficiency, who benefitted?

A. the government B. the poor C. the entire society D. the wealthy C

Expenses like rent, insurance, or payments on a loan do not change and are known as:

A. variable expenses. B. base salary. C. fixed expenses. D. retention rates. C

What term refers to an employee's salary without benefits, bonuses, or other forms of compensation?

A. variable salary B. fixed income C. compensation package D. base salary D

What does the functional organizational structure organize employees by?

A.specialty B. product C. profit D. age A