Business Essentials Unit 2

A gap between unlimited wants and limited resources creates

A hurricane that destroys a business is an example of a(n) _______ risk.

The basic role of the United States government is to

_______reflects the quantities that consumers are willing and able to buy at various prices during the same time period.

The amount of money paid for raw materials and products sold is called

A ______ economy is where most goods and services are offered by private companies.

Which of the factors that affect profit are usually able to be controlled?

Concept that supply of a good/service will increase when the demand is great and decrease when demand is low is known as

To use resources wisely, business owners must reduce

Which of the following statements about perfect competition is correct:

In economics, capital goods include

Why are resources considered limited?

The general classifications of business risks are

The automobile industry, the pharmaceucal industry, and the oil industry are all examples of

Which of the following is the best reason for studying economics?

Who answers the basic economic questions in a private enterprise economic system?

Every business must accomplish which of the following:

A _______ economy is where the government owns and offers all the goods and services.

Every society must develop a system for deciding how it will use its resources so that it can

What economic principle states the quantity of a good/service that consumers will buy varies inversely with its price?

Into what two categories can wants be divided?

__ is the point at which the quantity of a good that buyers want equals the quantity that sellers are willing to sell at

Offering high quality, large assortments, and free shipping are examples of

The actual price that prevails in a market at any particular moment is the __________.

Having well-planned buildings and providing effective employee training are ways that a business can _?_ business risks.

Malinda owns a home that she decides to rent it out to make more money. Which economic freedom does this illustrate?

What motivates businesses to produce efficiently and sell effectively?

When the demand is so great that customers will buy regardless of high prices is a ________

Which one of the following groups of words best describes wants:

In our economy, _________ get(s) the goods or services that have been produced.

When a business keeps a risk because management is unaware of it, the business is ___?____ the risk.

What type of market structure is most commonly found in a private enterprise economy?

Seeing a movie at a theater would be considered a(n) __________ want.

The heart of economics is

When employees are working faster or better, they are increasing their

The best time for consumers to purchase products at reduced prices is when a __________ market exists.

Which of the following represents a primary business acvity?

What are the three basic economic questions?

A retailer feels a duty to contribute to the well-being of society so it gives a portion of its proceeds to charity is

In business terms, what is profit?