Business final pt2

Which of the following factors affects consumers decisions to buy goods or services:

Buying power

How long do most business cycles last?

Varying lengths of time

The gross domestic product (GDP) is calculated each year in the United States to determine

the health of the economy.

A couple constructs a decision matrix to select which charity will receive a $500 donation. Since "helping children" is the most important criteria to the couple, which of the following weights should it be assigned?

.60

What is the ratio of a pound of yellow squash @ $ .40 a pound and a pound of butternut squash @ $1.20 a pound?

1 to 3

Which of the following actions would the Federal Reserve System take to expand monetary policy:

Buy securities on the open market

A group of entrepreneurs is trying to decide which of five new product ideas to select. Which tool can be used to help make the decision?

Decision matrix

Which of the following is NOT an example of a business process?

Employees responding to each of their emails with a personalized message

Which of the following is a decision about production that a business might make based on the law of diminishing returns:

Establish a desired level of production

What type of government policy involves raising or lowering taxes, and increasing or decreasing government spending?

Fiscal

The 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 recipients are spent in businesses.

Which of the following might cause supply of a good to decrease:

Government regulations

Which of the following actions would government take to increase economic growth:

Increase government spending

What is a likely result when workers wages rise throughout the economy while productivity decreases?

Inflation

Which of the following is characteristic of a buyers market:

Low prices

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

Lowering tax rates

Which of the following is important information that businesses consider when deciding whether it would be profitable to increase production:

Marginal cost

During which phase of the business cycle would there most likely be shortages of workers in certain skill areas?

Peak

Which of the following is an example of excess supply:

Price = $700, demand = 300, supply = 500

Which of the following does consumption rely on to provide goods and services:

Producers

Which of the following is an economic activity:

Purchasing a candy bar

Which of the following is a business comparing when it analyzes the cost of buying wood desks versus the cost of buying metal desks:

Relative price

Why are human resources limited?

Some people are unable to work.

Which of the following is an example of a business paying property taxes:

The Bellman Corporation submits a $8,792 check to the government, which is based on the value of its office building.

Which of the following is true when a potato farmer keeps some of the farms potatoes for personal use:

The potatoes are not counted in the gross domestic product.

What is the effect on society of a falling growth rate in productivity?

The standard of living drops.

Why are resources considered limited?

There are not enough available so that everyone can have as much of them as desired.

What is one of the main reasons why governments levy taxes?

To raise revenue

Why should productivity be measured?

To see whether the businesses objectives are being met

What is the most common type of labor specialization?

Trade or profession

Which of the following represents a good time for a country's government to use its fiscal policy to increase taxes:

When inflation is too high

What kind of strike occurs when the members of a union local stop work without the consent of their national organization?

Wildcat

To reduce the chance of investigations and orders to cease production, businesses should

adhere to government regulations.

The category of GDP called gross private domestic investment includes

all purchases of capital goods.

When management and union leaders negotiate but cannot reach an agreement, either one may call for a(n)

arbitrator.

To calculate total revenue, a business multiplies the number of units sold by

average price per unit.

The payment of taxes to the federal government allows it to provide goods and services to ___________ and ___________

businesses; households

The use of robots in assembly-line work is a form of specialization involving

capital goods.

As the gross domestic product increases, it is easier for all levels of government to

carry out their functions.

The amount of a product that is produced is most directly affected by

consumer demand.

Technological advances may increase the chance of job obsolescence. For workers, this is a(n) __________ labor specialization.

disadvantage of

When changes in a products price cause corresponding changes in consumer demand, the product has

elastic demand.

A managers allowing employees to set the pace of their work is an example of providing job

enrichment.

When customers buy the exact amount of goods that producers are selling at a specific price, the __________ price exists.

equilibrium

When consumers purchase gasoline, telephone services, and tobacco products, they must often pay a(n) ___________ tax.

excise

A governments fiscal policies that are intended to encourage economic growth are known as __________ policies.

expansionary

When a business cycle is affected by international relations, new discoveries, and social or political changes, it is said to have been changed by __________ factors.

external

The highest level of labor union organization is the

federation.

Higher prices that result from a tax on luxury goods are likely to result in

fewer customers and less productivity.

During the peak phase of a business cycle, a business could be expected to have

high prices.

To stimulate the economy, the government is likely to

increase spending.

When producers are hopeful about the economic business outlook, they often

increase their investment in capital goods.

If a government wants to decrease economic growth, it would use a contractionary fiscal policy that might involve

increasing taxes.

When union members of Local 654 arrived at work today, they found a sign on the door stating that the business had closed temporarily and the employees were not allowed to work. This is a pressure strategy known as a(n)

lockout.

The addition of too many workers on a job may cause the marginal product to turn

negative.

A countrys standard of living can be calculated by dividing the goods and services its people have by

population.

The markets way of rationing limited resources, goods, and services to consumers in a market economy is through

prices.

When applying the law of diminishing returns, businesses know that there is a point at which production

reaches its maximum level.

A six-month decline in GDP is known as a

recession.

One of the functions of certain types of taxes is to

regulate business activity.

One of the main functions of a countrys monetary policy is to

regulate the economy.

One way for a business to increase productivity is to increase its

research and development.

Many different workers are needed to carry out the steps in processing milk before it can be distributed to consumers. This is an example of

specialization by stages of production.

The overall objective of workers who form labor unions is to

strengthen their bargaining power.

The use of thorough job orientation helps to increase productivity through

training and education.

A countrys easy monetary policy is often used to correct the problem of

unemployment.

An automobile assembly line currently has 75 cars being assembled. These partially-complete cars are considered

work in process.