BUS 6600 Module 1 Chapters 1 & 2 Study Guide 2026 | Troy Business Management

BUS,./6600,./Module,./1,./-,./Chapters,./1,./&,./2


Define,./"Business",./-,./correct,./answer,./✔ ✔
Any,./activity,./that,./seeks,./to,./provide,./goods,./and,./services,./to,./others,./while
,./operating,./at,./a,./profit.




Define,./goods,./and,./services,./-,./correct,./answer,./✔ ✔
Goods:,./Tangible,./products,./(computers,,./food,,./clothing,,./cars,./and,./applia
nces),./
Services:,./intangible,./products,./that,./can't,./be,./held,./in,./your,./hand,./such,./as,./h
ealth,./care,,./insurance,,./recreation,,./travel,./and,./education


What,./is,./an,./entrepreneur?,./-,./correct,./answer,./✔ ✔
A,./person,./who,./risks,./time,./and,./money,./to,./start,./and,./manage,./a,./business.



Revenue,./-,./correct,./answer,./✔ ✔
The,./total,./amount,./of,./money,./a,./business,./takes,./in,./during,./a,./given,./period
,./by,./selling,./goods,./and,./services

,Profit,./-,./correct,./answer,./✔ ✔
The,./amount,./a,./business,./earns,./above,./and,./beyond,./what,./it,./spends,./in,./sal
aries,./and,./other,./expenses.
(Revenue,./-,./Expenses,./=,./Profit)



When,./does,./a,./loss,./occur?,./-,./correct,./answer,./✔ ✔
When,./a,./business's,./expenses,./are,./more,./than,./its,./revenues,./(approximate
ly,./175,000,./businesses,./in,./the,./U.S.,./fail,./each,./year)


What,./is,./risk?,./-,./correct,./answer,./✔ ✔
the,./chance,./an,./entrepreneur,./takes,./of,./losing,./time,./and,./money,./on,./a,./busi
ness,./that,./may,./not,./prove,./profitable,./(paying,./for,./a,./hot,./dog,./stand,./for,./sup
plies,,./rent,,./salaries,./and,./then,./making,./a,./profit,./or,./not)


The,./more,./the,./risks,,./often,./the,./higher,./the,./what?,./-,./correct,./answer,./✔ ✔
Reward


Standard,./of,./living,./-,./correct,./answer,./✔ ✔
the,./amount,./of,./goods,./and,./services,./people,./can,./buy,./with,./the,./money,./th
ey,./have,./(United,./States,./has,./one,./of,./the,./highest,./in,./the,./world)

, Businesses,./are,./part,./of,./an,./economic,./system,./that,./helps,./create,./________
___,./and,./quality,./of,./life,./for,./all.,./-,./correct,./answer,./✔ ✔
A,./higher,./standard,./of,./living.


What,./encourages,./entrepreneurs,./and,./businesspeople?,./-,./correct,./answer,./
✔ ✔
A,./location,./with,./the,./right,./level,./of,./taxes,./(minimal),./and,./regulations


What,./is,./quality,./of,./life?,./-,./correct,./answer,./✔ ✔ The,./general,./well-
being,./of,./a,./society,./in,./terms,./of,./political,./freedom,,./natural,./environment,,./
education,,./health,./care,,./safety,,./amount,./of,./leisure,,./and,./rewards,./that,./add,./
to,./the,./satisfaction,./and,./joy,./that,./other,./goods,./and,./services,./provide.
It,./REQUIRES,./the,./combined,./efforts,./of,./businesses,,./nonprofits,./and,./gove
rnment,./agencies.


What,./are,./stakeholders?,./Give,./some,./examples.,./-,./correct,./answer,./✔ ✔
All,./the,./people,./who,./stand,./to,./gain,./or,./lose,./by,./the,./policies,./and,./activitie
s,./of,./a,./business,./and,./whose,./concerns,./the,./business,./needs,./to,./address.
Stockholders,,./customers,,./surrounding,./community,,./environmentalists,,./e
mployees,,./retailers,,./suppliers,,./the,./media,,./government,./leaders


What,./is,./outsourcing?,./-,./correct,./answer,./✔ ✔
Contracting,./with,./other,./companies,./to,./do,./some,./functions,./of,./a,./firm,,./li
ke,./production,./or,./accounting