Exam questions

Business Administration

Revenue

The total amount of money a business takes in during a given period of time. 

What is the difference between standard of living and quality of life?

Standard of Living: Refers to the level of wealth, comfort, material goods, and necessities available to a person or community. It's often measured by the ability to purchase goods and services.

Quality of Life: Encompasses a broader range of factors that contribute to overall well-being, including health, education, environmental quality, freedom, and happiness. It goes beyond just material wealth to include non-economic aspects of life.

What is risk, and how is it related to profit?

Risk is the chance an entrepreneur takes of losing time and money on a business that may not be profitable.

 

Taking bigger risks can lead to bigger rewards, like more money, but also bigger losses if things don't work out. Playing it safe usually means you won't lose much, but you also won’t make as much money.

Stakeholders

All the people who stand to gain or lose by policies and activities of a business and whose concerns the business needs to address. They include dealers, bankers, stockholders, media, environmentalists, government leaders, suppliers, employees, etc.

Outsourcing

Contracting with other companies(often in other countries) to do some or all functions of a firm, like its producing or accounting tasks.

Insourcing

the practice of using an organization’s personnel and resources to accomplish a task or provide a service that would otherwise be outsourced to a third party.

What are some of the advantages of working for others?

Somebody else assumes the company’s entrepreneurial risk and provides you with benefits like paid vacation time and health insurance.

 What benefits do you lose by being an entrepreneur and what do you gain?

  The benefits you receive are yourself being your own boss and reaping the rewards of profits and revenue but the downside is that you don’t receive beneficiaries like paid vacation time, daycare, a company car, or health insurance for someone who works for a company.

Factors of Production: In economics, factors of production are the resources people use to produce goods and services. Examples include..

1. Land- any natural resource

2. Labor-The effort of human contribution

3. Capital wealth is money or other assets owned by a person or organization or available or contributed for a particular purpose such as starting a company or investing.

4. Entrepreneurship- the pursuit of starting, managing, and scaling a business. He or she combines land, labor, and capital, to start a business.

What are four ways the government entrepreneurship?

Providing Training Programs: The government can create programs to teach people the skills they need to start and run a business.

Offering Loans and Grants: Starting a business costs money, and not everyone has enough saved up. The government can help by giving out loans with low interest rates or even grants (which don’t need to be paid back) to people who want to start their businesses.

Reducing Regulations: Sometimes, some too many rules and regulations make it hard to start a business. The government can help by reducing unnecessary rules or making the process simpler and faster. This way, entrepreneurs can spend more time focusing on their business rather than getting stuck in paperwork.

Creating Supportive Networks: The government can set up networks and organizations that connect new entrepreneurs with mentors, investors, and other business owners. These connections can provide valuable advice, support, and even funding opportunities that help new businesses succeed.

What are the differences between effectiveness, efficiency, and productivity?

Effectiveness is about achieving goals and desired output. efficiency is about how resources are used  using little to none, and productivity is about output compared to input

What is Empowerment?

Allowing workers to make other decisions essential to producing high-quality goods and services.

What are some of the issues affecting the climate today?

Climate Change, war and terrorism, and global changes that are related to global trade which force students today who prepare for the markets of the future.

What major factor caused people to move from farming to manufacturing and from manufacturing to the service sector?

Technology is the major factor

What does the future look like for tomorrow’s graduates?

It may cause you to be a leader who implements changes and accepts the challenges of world competition based on world quality standards.