MGMT 1000 Term1

Emily lives in a country where her career, workplace, and the goods she can purchase are controlled by the government. She feels no need to work harder or produce quality goods because there are no rewards. Emily lives in a country:

Socialist
Democratic
Communist
Capitalism
Dictatorship

Communist

In Canada, the government owns the communications, transportation and utilities industries, as well as provides national health care. Private enterprise dominates the business world. Canada is a _ country:

Pure Capitalism
Pure Socialism
Mixed Economy
Free Economy
Upturn Economy

Mixed Economy

A country where businesses are privately owned, profits are kept by owners and free trade exists is a _ country:

Capitalist
Communist
Socialist
Equitable Market
Free Reign

Capitalist

Goodwill, United Way, and Habitat for Humanity are all examples of:

Not-for-Profits
Governments
For-Profits
Businesses

Not-for-Profit

The rivalry amongst McDonald's and Wendy's can be classified as:

Competition
Business
Market Conditions
Scarcity

Competition

Sarah is the manager of a company whose goal is to provide relief for tsunami victims. At the company's annual general meeting, she is challenged by upper management as the company is showing income from their activities after covering all costs. Sarah works for a:

For-Profit
Not-for-Profit
Airline Company
Government

Not-for-Profit

John is an accountant for Breeze Smoothie Co. He notices the company has increasingly high costs and he is not making enough money to cover these costs. Breeze Smoothie Co. is experiencing a:

Profit Gain
Economic Downturn
Boom
Profit Loss

Profit Loss

The main incentive in a capitalist society is:

Fame
Profit
Accumulation of Real Estate
Equality

Profit

If Disney World does not attract an adequate level of visitors post COVID-19, they may fail to meet revenue and profit goals. They are experiencing:

Expenses
Risk
Reward
Economic Downturn
None of the Above

Risk

The quality of life in a country is influenced by all of the following factors except:

Educational Standards
Health and Sanitation
Life Expectancy
Governing Body
Leisure Time

Life Expectancy

Sarah is the manager of a company whose goal is to provide relief for tsunami victims. At the company's year end, she is pleased as she is showing income from their activities. Sarah works for a:

For-Profit
Not-for-Profit
Airline Company
Government

For-Profit

John is an accountant for Breeze Smoothie Co. He notices the company has been failing to earn a profit and also that the smoothie industry as a whole is facing declining profits. The smoothie industry is experiencing:

Profit Gain
Economic Downturn
Boom
Profit Loss

Economic Downturn

and are the extremes of economic systems:

Pure Capitalism

Communism
Socialism

Pure Capitalism
Marxism

Communism
Mixed Economy

Socialism
None of the above

Pure Capitalism

Communism

The process in which businesses and governments allocate their limited resources to satisfy wants and needs is the study of:

Consumerism
Capital Planning
Entrepreneurship
Economics
Labor Statistics

Economics

In the lost city of Atlantis, all the factors of production are privately owned and the government has no hand in coordinating prices or economic activity. Atlantis is experiencing:

Free Markets
Perfect Competition
Pure Socialism
Monopolistic Competition
Pure Capitalism

Pure Capitalism

In the country of Narnia, all of the factors of production are government owned and the government has complete control over prices and economic activity Narnia is experiencing:

Communism
Capitalism
Socialism
Totalitarianism
Democracy

Communism

Goods are _ items produced by businesses, while services are __ offerings of a business.

Intangible

Tangible
Concrete

Abstract
Tangible

Intangible
Revenue Producing

Revenue Decreasing

Tangible

Intangible

An organization that strives for profit by generating goods and services is a:

Not-for-Profit
Business
Agency
Corporation
Franchise

Business

The quantity of goods and services people can buy with the national currency exemplifies the concept of:

Standard of Living
Quality of Life
Price differentiation
Competition
Product Scarcity

Standard of Living

The Ice Cream Shoppe in downtown Vancouver has $100 left after paying all costs associated with producing and distributing its products. The $100 is:

Loss
Gross Domestic Product
Profit Motive
Productivity
Profit

Profit

In Cuba, the government has nearly complete control over the markets businesses. The people have no incentive to work hard or produce quality products because all citizens are considered equal. Cuba practices:

Socialism
Capitalism
Communism
Mixed Economy
None of the Above

Communism

Metal, glass, and plastic are some of the raw materials used to make an iPhone. In addition, the factory, laborers, and design blueprints are required to form a finished product. These are considered:

Capital Requirements
Factors of Completion
Intellectual Property
Production Requirements
Factors of Production

Factors of Production

The external business environment is composed of numerous _ and :

Organizations

Forces
Businesses

Customers
Stakeholders

Shareholders
Governing Bodies

Agencies

Organizations

Forces

Ayla, the manager of Better Batteries Ltd., is concerned about whether her company is utilizing the latest in production technology. She is worried her company may not be keeping up with the ___ in the battery industry:

Political/legal factors
Demographic tendencies
Technological factors
Global traits
Competitive nature

Technological factors

The law of demand states that customers will purchase of a product when the price _:

Less

drops
An equal amount

remains constant
More

drops
More

rises
None of the Above

More

drops

Until 2012, all alcohol sales in a specific U.S. state were controlled by the government. Following 2012, stores such as Walmart and Target were able to sell alcohol. This is an example of:

Deregulation
Corporate privatization
Competition act removal
Privatization
Law of supply

Privatization

The Guelph General Hospital, a not-for-profit, receives $100,000 in donations and $200,000 in government funding per year. Their patient costs amount to $250,000 in total. Their fixed costs must equal:

$100,000
$50,000
$250,000
$0

$50,000

_ is the action taken by the Bank of Canada to increase or decrease the money supply and change short-term interest rates.

National policy
Monetary reform
Inflationary policy
Monetary policy
None of the above

Monetary Policy

In the country of Narnia, business has begun to slow down. The unemployment rate rises, gross domestic product falls and people have less money to spend. Narnia is entering a:

Depression
Democracy
Recession
Expansion
Recovery

Recession

Communism and socialism are economies, while mixed economies and capitalism are economies.

Command

market
Input

output
Government

people
Market

command
Output

input

Command

market

Canadian company Galactica Inc. is looking to expand its business operations into Dubai. Before doing so, Galactica's international relations manager looks into factors such as the stability of the government, the level of restriction for foreign businesses, and the import tariffs imposed in Dubai. What environment is Galactica researching?

The Technological Environment
The Socio-cultural Environment
The Political-legal Environment
The Demographic Environment
The Psychographic Environment

The Political-legal Environment

The CERB (Canada Emergency Response Benefit) during COVID-19 is an example of _ because of the increase in money in the hands of businesses and consumers.

Contractionary monetary policy
Inflationary fiscal policy
Monetary reform
Expansionary fiscal policy

Expansionary fiscal policy

In order to measure inflation, the government measures price changes of a hypothetical basket of goods against the base year cost for that same basket. This is called the:

Global production count
Consumer Price Index
Productivity report
Consumer profit index
Gross domestic product

Consumer Price Index

The four stages in the business cycle (in order) are:

Introduction, growth, maturity, decline
Prosperity, recession, depression, recovery
Prosperity, depression, recession, recovery
Establishment, recession, decline, growth

Prosperity, recession, depression, recovery

Karley is the manager of a cellphone company that does business internationally. Her job is to make sure the company has all the proper paperwork to ship products globally. Karley manages the _ :

Political/legal factors
Demographic tendencies
Technological factors
Global traits
Competitive nature

Political/legal factors

When the economy is experiencing growth, unemployment rates are __ and income levels are__:

Increasing

decreasing
High

low
Rising

falling
Low

high
None of the above

Low

high

An industry where there is only one producer who is able to set prices of its product or service is a:

Monopoly
Perfect competition
Oligopoly
Monopolistic competition

Monopoly

Until 2006, the only service legally allowed to deliver mail in the U.K was the Royal Mail. Following 2006, any registered operator was allowed to deliver mail and plenty of competition occurred. This is an example of:

Deregulation
Corporate Privatization
Competition act Removal
Government Privatization
Law of Supply

Deregulation

When the government decreases the money supply and raises taxes, they are enacting , which means there is money in the economy:

Command economies, equal
Monetary policy, more
Inflationary policy, less
Fiscal policy, less
National protection measures, equal

Fiscal policy, less

The three goals of the world's economy shares are:

Profit gain

free markets

fair trade
Growth

high employment

price stability
Economic boom

economic downturn

recession
Growth

low employment

price sensitivity

Growth

high employment

price stability

During a depression, wages __, the unemployment rate ___ and business activities.

Fall

rise

fall
Increases

decrease

increase
Decline

falls

recover
Rises

fall

fall
None of the Above

Fall

rise

fall

Fabric, thread and ink are some of the raw materials used to make a t-shirt. In addition, the factory, laborers and design blueprints are required to form a finished product. This finished product will be counted in the:

Global production count
Net product
Profit balance
Productivity report
Gross domestic product

Gross domestic product

Tom, a worker in the Unemployment Insurance office, notices high quantities of unemployment insurance claims in the month of June. He is worried as this means many people have recently lost their jobs and therefore have less money to spend on goods or services. This is an example of a(n):

Economic indicator
Economic prosperity measure
Consumer price index
Inflation index indices

Economic indicator

An important economic indicator is the , which tells us the average number of hours worked per week in manufacturing industries.

Housing start indicator
Average weekly manufacturing hours
Leading economic indicator
Average daily manufacturing hours

Average weekly manufacturing hours

The economic system that encourages entrepreneurship, profit generation and private ownership of the factors of production is:

Command economies
Marxism
Communism
Market economies

Market economies

In Brazil, a Canadian company produces soccer balls. The design, material and laborers are all Canadian. Will the soccer balls be counted in the Canadian gross domestic product?

Yes because it is a Canadian company
No because they are produced internationally
Yes because they are produced using Canadian inputs
No because Brazil is not part of Canada's trade agreement
Not enough information provided

No because they are produced internationally

___ are statistics which discuss economic performance three to twelve months in the future:

Leading economic indicators
Economic prosperity measures
Consumer price indicators
Lagging economic indicators
Inflation index indices

Leading economic indicators

Economic systems around the globe determine:

Who has access to power
How the press documents news
How resources are allocated among citizens
What companies are allowed to produce which products
What human rights are followed

How resources are allocated among citizens

Erica owns a clothing company. When the market price is $1 per foot of material, she is willing to supply John's manufacturing company with 1000 ft. of fabric. However, when the market price is $0.50 per foot, she is only willing to supply 500ft of fabric. This is the concept of:

The law of demand
The law of supply
Equilibrium price
Quality of life

The law of supply