BUS100 test 1 review

Question 1

Corporations may be taxed on profits and shareholders may be taxed on dividends, resulting in

Accepted Answer

double taxation

Question 2

Under strict products liability, ________ can be liable for injuries from a defective product.

Accepted Answer

All of these answers are correct

Question 3

Monopsony is characterized by

Accepted Answer

a single buyer

Question 4

An agreement among two or more persons to operate as co-owners a business for profit:

Accepted Answer

partnership

Question 5

The unrestricted movement of goods and services across international borders:

Accepted Answer

free trade

Question 6

A graph of the the relationship between price and quantity sellers are willing to produce.

Accepted Answer

supply curve

Question 7

The relationship between the price of a good or service and the benefit to the purchaser:

Accepted Answer

value

Question 8

The difference between the revenue a company brings in and the cost of generating that revenue:

Accepted Answer

profit

Question 9

South Africa has the most easily mined diamond deposits, so it has _____ in diamond production.

Accepted Answer

An absolute advantage

Question 10

A measure of the responsiveness of the quantity demanded to a change in it price

Accepted Answer

elasticity of demand

Question 11

Manufacturers are strictly liable for the injuries caused by ___________ products.

Accepted Answer

Defective and unreasonably dangerous

Question 12

Which of the following is NOT a category of torts?

Accepted Answer

Punitive damages

Question 13

Perfect competition is characterized by _____.

Accepted Answer

many buyers and many sellers

Question 14

A partnership is owned by _____.

Accepted Answer

two or more people

Question 15

A product with an artificially short life that becomes obsolete to increase repeat purchases.

Accepted Answer

planned obsolescence

Question 16

The difference between a nation's total monetary inflows and outflows over a certain period:

Accepted Answer

balance of payments

Question 17

To hold Dennis liable for assault & battery, The Wilsons must prove that he used his slingshot

Accepted Answer

Either of these answers is correct

Question 18

What is the major liability exposure a sole proprietor will face?

Accepted Answer

risk of losing personal assets

Question 19

Germany building cars because they can make them more efficiently than they can grow crops is

Accepted Answer

A comparative advantage

Question 20

Partnership disputes can be lessened with a written ____ detailing rights and responsibilities.

Accepted Answer

partnership agreement

Question 21

The point at which quantity demanded and quantity supplied are equal

Accepted Answer

equilibrium

Question 22

Anyone who has a personal interest in the performance or actions of an organization:

Accepted Answer

stakeholder

Question 23

The distribution of income to shareholders in the form of cash payments is called

Accepted Answer

dividends

Question 24

As a producer and seller of athletic shoes, apparel, and equipment, Nike sells

Accepted Answer

goods

Question 25

An incorporated form of business where the business is a separate legal entity from its owners:

Accepted Answer

corporation

Question 26

The earnings of an LLC are subject to ________ taxation.

Accepted Answer

either partnership or corporate

Question 27

A cost or benefit that affects someone who did not choose to incur that cost or benefit:

Accepted Answer

externality

Question 28

In a civil lawsuit, the plaintiffs must prove their case

Accepted Answer

By a preponderance of the evidence

Question 29

Trademarks are a form of intellectual property that protect _______________.

Accepted Answer

Brands

Question 30

_____ is a common method of protecting domestic goods and trade.

Accepted Answer

Adding taxes to imported goods

Question 31

Social responsibility is

Accepted Answer

the obligation of a business to contribute to society

Question 32

The overall sense of well-being experienced by an individual or a population:

Accepted Answer

quality of life

Question 33

The quality and quantity of goods and services available to a population

Accepted Answer

standard of living

Question 34

The prohibition of commerce and trade with a particular country or a group of countries.

Accepted Answer

embargo

Question 35

A felony is punishable

Accepted Answer

All of these answers are correct

Question 36

In order to have a contract, there must be

Accepted Answer

All of these answers are correct

Question 37

A business with a single owner who is personally liable for its obligations:

Accepted Answer

sole proprietorship

Question 38

A person who reports illegal or unethical behavior within an organization is known as a:

Accepted Answer

whistle-blower

Question 39

In business, ethical dilemmas arise when

Accepted Answer

someone is forced to choose among bad options

Question 40

A graph of the relationship between price and the quantity that buyers are willing to buy:

Accepted Answer

demand curve

Question 41

A country's physical facilities that support economic activity:

Accepted Answer

infrastructure

Question 42

The difference between the monetary value of a nation's exports and imports over a period:

Accepted Answer

balance of trade

Question 43

Ethics are _____.

Accepted Answer

rules for right and wrong behavior

Question 44

A bank provides loans, investments, and online banking services, so it is a _____ business.

Accepted Answer

service

Question 45

In a criminal prosecution, the state must prove its case

Accepted Answer

Beyond a reasonable doubt

Question 46

Contemporary standards that govern the actions of an individual in a business organization:

Accepted Answer

business ethics

Question 47

The value of the next best thing given up whenever a decision is made:

Accepted Answer

opportunity cost

Question 48

Business donations of money, goods, or employee time to nonprofit organizations for public good

Accepted Answer

corporate philanthropy

Question 49

A(n) _____ is any activity that provides goods or services for the purpose of making a profit.

Accepted Answer

business

Question 50

A contract is

Accepted Answer

A legally enforceable promise

Question 51

A country's level of economic development is related to its _____.

Accepted Answer

standard of living

Question 52

In a sole proprietorship profits earned are taxed as

Accepted Answer

personal income

Question 53

A systematic evaluation of how a firm is meeting its ethics and social responsibility goals:

Accepted Answer

social audit

Question 54

Economic systems can be divided into _____ and _____ systems.

Accepted Answer

planned / free market

BUS100 test 1 review

Questions 54

BUS100 test 1 review

Questions 54