Business 101 Updated Actual Questions And Correct Answers

BUSINESS 101 UPDATED ACTUAL QUESTIONS AND
CORRECT ANSWERS

Question:
1. Computers that are manufactured in the United States
and sold in Norway are categorized as U.S. ________.

Answer:
Exports

Question:
2. During the past decade, the value of U.S. imports and
exports has ________.

Answer:
More Than Doubled

Question:
3. AusterTech, a U.S. company, produces computer parts
and sells them to South American countries. AusterTech is
engaging in the international business activity known as
________.

Answer:
Exporting

Question:
4. Los Angeles-based PMI Telecom purchases cell phones
manufactured in Asia and sells them in the United States.
PMI is engaging in the international business activity
known as ________

Answer:
Importing

Question:
5. A large part of the U.S. economy's growth comes from
________.

Answer:
The export and import of goods and services

, Question:
6. When a company operates in other countries, it ________
risk.

Answer:
Spread Out

Question:
7. True or False: Absolute advantage is becoming more rare
these days.

Answer:
True

Question:
8. A trade deficit occurs when _____?

Answer:
Imports exceed exports

Question:
9. A country with a balance of payments surplus means
_____?

Answer:
Monetary inflow exceeds monetary outflow

Question:
10. A countries exchange rate is based on _____?

Answer:
the rate at which its currency can be exchanged for currencies of other countries

Question:
11. A country has a good chance of selling more of its goods
abroad if it ________.

Answer:
Devalues it's currency

Question:
12. An understanding of religious holidays is essential in
order to overcome ________ international trade barriers.

Answer:
Cultural