LOMA 308 Module 1 questions with correct
answers
Economy |- |VERIFIED |ANSWER✔✔-The |part |of |the |environment |that |includes |all |of |the |elements |
affecting |the |production, |distribution, |and |consumption |of |goods |and |services.
economies |exist |at |three |different |levels |
- |local |economies: |include |the |activities |of |people, |businesses, |and |governments |in |individual |
neighborhoods, |cities, |provinces, |territories, |or |states.
- |national |economies: |include |the |activities |of |people, |businesses, |and |governments |in |all |local |
economies |in |a |nation.
- |global |economies: |are |multinational |and |include |the |activities |of |people, |businesses, |and |
governments |in |multiple |nations.
Economic |Sectors |- |VERIFIED |ANSWER✔✔-Sector |1 |(Raw |Materials): |Sector |1 |activities |form |the |
foundation |of |all |economies |by
Securing |raw |materials |needed |for |production, |such |as |land, |lumber, |coal, |gas |and |oil, |minerals, |and |
basic |foods
Supporting |industries |such |as |agriculture, |forestry, |fishing |and |hunting, |and |mining
In |developed |economies, |few |people |are |involved |in |Sector |1. |In |developing |economies, |a |large |
percentage |of |the |population |is |often |involved.
Sector |2 |(Manufactured |Goods): |Sector |2 |activities
Turn |raw |materials |into |finished |products, |such |as |machinery, |clothing, |and |packaged |goods, |and |
make |them |available |to |consumers
Focus |primarily |on |manufacturing, |processing, |and |construction
Sector |3 |(Services): |Sector |3 |activities
Facilitate |the |transfer |of |finished |goods |to |end |users |through |services |such |as |wholesale/retail |sales, |
transportation |and |warehousing, |and |distribution
Enhance |consumers' |lives |through |services |such |as |entertainment, |media, |financial |services, |
healthcare, |and |law
,Sector |4 |(Intellectual |Property): |Sector |4 |activities
Improve |the |quality |of |life |through |education, |government, |and |culture
Support |intellectual |concerns |such |as |scientific |research |and |information |technology, |education, |and |
the |arts
Farmland |Financial |is |a |U.S. |company |that |markets |its |products |and |services |to |clients |throughout |the
|Midwest. |Farmland's |operations |contribute |to |economic |activities |at |the |(choose |all |that |apply)
A. |Local |level
B. |National |level
C. |Global |level |- |VERIFIED |ANSWER✔✔-A |& |B |- |Farmland |is |part |of |the |local |economy |of |each |
community |and |state |in |which |it |markets |its |products |and |services. |Because |a |country's |national |
economy |includes |all |local |economies |in |the |country, |Farmland |is |also |part |of |the |national |economy. |
Farmland |is |not |part |of |the |global |economy |because |it |doesn't |do |business |outside |the |United |States.
The |largest |economic |sector |in |most |developed |countries |is
A. |Sector |1 |(Raw |Materials)
B. |Sector |2 |(Manufactured |Goods)
C. |Sector |3 |(Services)
D. |Sector |4 |(Intellectual |Property) |- |VERIFIED |ANSWER✔✔-C. |- |The |largest |economic |sector |in |most |
developed |countries, |including |the |United |States, |is |Sector |3 |(Services), |which |facilitates |the |transfer |
of |finished |goods |to |end |users |and |enhances |consumers' |lives.
Activities |performed |in |the |Intellectual |Property |sector |of |the |economy |are |designed, |in |part, |to
A. |Provide |entertainment, |media, |financial |services, |healthcare, |and |law
B. |Promote |scientific |research |and |information |technology
C. |Support |industries |such |as |agriculture, |forestry, |fishing |and |hunting, |and |mining
d. |Turn |raw |materials |into |finished |products |- |VERIFIED |ANSWER✔✔-B. |- |Intellectual |Property |
includes |activities |related |to |scientific |research, |information |technology, |education, |government, |and |
culture. |Entertainment, |media, |and |most |services |are |part |of |Sector |3. |Activities |that |support |
agriculture, |forestry, |fishing, |hunting, |and |mining |are |part |of |Sector |1. |Raw |materials |are |turned |into |
finished |products |in |Sector |2.
,Members |of |an |Economy |- |VERIFIED |ANSWER✔✔-economy |can |be |divided |into |four |basic |groups:
- |Households: |Households |engage |in |the |following |economic |activities:
Buy |products |and |services |to |satisfy |their |personal |wants |and |needs
Provide |labor |to |businesses |and |governments
Save |and |invest |to |increase |their |personal |wealth
- |Businesses: |Businesses |engage |in |the |following |economic |activities:
Buy |raw |materials |to |produce |products |or |services
Buy |finished |products |and |services |to |support |company |operations
Secure |labor |from |households
Produce |and |sell |products |and |services
Invest |money |to |increase |company |value
- |Governments: |Governments |support |the |general |operation |of |economies |when |they
Establish |laws |and |regulations
Impose |taxes |on |households |and |businesses
Purchase |goods |and |services
Make |transfer |payments |to |individuals |and |businesses |without |receiving |goods |or |services |in |return
Provide |public |services |such |as |education, |utilities, |and |transportation
- |Financial |intermediaries: |Financial |intermediaries |facilitate |the |movement |of |funds |and |products |or |
services |between |buyers |and |sellers |in |an |economy |by |assisting |with |transactions.
Intermediaries |also |facilitate |the |transfer |of |funds |from |savers, |who |have |a |surplus |of |funds, |to |
borrowers, |who |have |a |shortage |of |funds, |through |the |process |of |intermediation.
Transfer |payments |- |VERIFIED |ANSWER✔✔-A |payment |made |by |a |government |for |which |no |goods |or
|services |are |given |in |return.
Intermediation |- |VERIFIED |ANSWER✔✔-The |transfer |of |funds |from |savers |to |borrowers |through |the |
services |of |a |financial |intermediary.
Unlimited |Wants |and |Needs |- |VERIFIED |ANSWER✔✔-Wants: |A |desire |for |particular |products |and |
services.
, Needs: |A |condition |that |must |be |satisfied |for |individuals |or |businesses |to |survive.
Limited |Resources |- |VERIFIED |ANSWER✔✔-Although |members |of |an |economy |may |have |unlimited |
wants |and |needs, |they |typically |have |limited |resources. |As |a |result, |households, |businesses, |and |
governments |are |forced |to |make |choices |about |how |and |when |to |use |their |resources.
Economics |- |VERIFIED |ANSWER✔✔-The |study |of |how |societies |and |individuals |allocate |limited |
resources |among |competing, |unlimited |wants |and |needs.
Transactions |in |which |the |government |provides |payment |to |a |consumer |but |doesn't |receive |anything |
in |return |are |known |as
A. |Transfer |payments
B. |Intermediations |- |VERIFIED |ANSWER✔✔-A |.- |A |transfer |payment |is |a |form |of |exchange |in |which |a |
government |pays |money |to |households |or |businesses |but |doesn't |receive |anything |in |return. |
Intermediation |is |a |process |in |which |a |financial |intermediary |facilitates |the |transfer |of |funds |from |
savers |to |borrowers |or |from |investors |to |investment |providers.
Economics |is |the |study |of |how |consumers |allocate |resources |among |wants |and |needs. |In |most |
economies, |consumers |have
A. |Unlimited |needs |and |limited |wants
B. |Unlimited |resources |and |limited |needs
C. |Limited |needs |and |wants |and |limited |resources
d. |Limited |resources |and |unlimited |wants |and |needs |- |VERIFIED |ANSWER✔✔-D. |- |Economics |is |the |
study |of |how |members |of |an |economy |allocate |limited |resources |among |an |unlimited |number |of |
wants |and |needs.
If |you |work |for |a |financial |services |company, |you |and |your |company |participate |in |various |types |of |
economic |markets. |What |do |you |think |is |the |primary |purpose |of |these |markets?
A. |To |set |prices |for |goods |and |services
B. |To |facilitate |exchanges |between |buyers |and |sellers
C. |To |eliminate |the |need |for |intermediaries |to |manage |transactions
D. |To |convert |different |currencies |into |a |form |that |is |acceptable |to |buyers |and |sellers |- |VERIFIED |
ANSWER✔✔-B. |- |Most |economies |maintain |product, |labor, |and |capital |markets. |These |markets |bring |
answers
Economy |- |VERIFIED |ANSWER✔✔-The |part |of |the |environment |that |includes |all |of |the |elements |
affecting |the |production, |distribution, |and |consumption |of |goods |and |services.
economies |exist |at |three |different |levels |
- |local |economies: |include |the |activities |of |people, |businesses, |and |governments |in |individual |
neighborhoods, |cities, |provinces, |territories, |or |states.
- |national |economies: |include |the |activities |of |people, |businesses, |and |governments |in |all |local |
economies |in |a |nation.
- |global |economies: |are |multinational |and |include |the |activities |of |people, |businesses, |and |
governments |in |multiple |nations.
Economic |Sectors |- |VERIFIED |ANSWER✔✔-Sector |1 |(Raw |Materials): |Sector |1 |activities |form |the |
foundation |of |all |economies |by
Securing |raw |materials |needed |for |production, |such |as |land, |lumber, |coal, |gas |and |oil, |minerals, |and |
basic |foods
Supporting |industries |such |as |agriculture, |forestry, |fishing |and |hunting, |and |mining
In |developed |economies, |few |people |are |involved |in |Sector |1. |In |developing |economies, |a |large |
percentage |of |the |population |is |often |involved.
Sector |2 |(Manufactured |Goods): |Sector |2 |activities
Turn |raw |materials |into |finished |products, |such |as |machinery, |clothing, |and |packaged |goods, |and |
make |them |available |to |consumers
Focus |primarily |on |manufacturing, |processing, |and |construction
Sector |3 |(Services): |Sector |3 |activities
Facilitate |the |transfer |of |finished |goods |to |end |users |through |services |such |as |wholesale/retail |sales, |
transportation |and |warehousing, |and |distribution
Enhance |consumers' |lives |through |services |such |as |entertainment, |media, |financial |services, |
healthcare, |and |law
,Sector |4 |(Intellectual |Property): |Sector |4 |activities
Improve |the |quality |of |life |through |education, |government, |and |culture
Support |intellectual |concerns |such |as |scientific |research |and |information |technology, |education, |and |
the |arts
Farmland |Financial |is |a |U.S. |company |that |markets |its |products |and |services |to |clients |throughout |the
|Midwest. |Farmland's |operations |contribute |to |economic |activities |at |the |(choose |all |that |apply)
A. |Local |level
B. |National |level
C. |Global |level |- |VERIFIED |ANSWER✔✔-A |& |B |- |Farmland |is |part |of |the |local |economy |of |each |
community |and |state |in |which |it |markets |its |products |and |services. |Because |a |country's |national |
economy |includes |all |local |economies |in |the |country, |Farmland |is |also |part |of |the |national |economy. |
Farmland |is |not |part |of |the |global |economy |because |it |doesn't |do |business |outside |the |United |States.
The |largest |economic |sector |in |most |developed |countries |is
A. |Sector |1 |(Raw |Materials)
B. |Sector |2 |(Manufactured |Goods)
C. |Sector |3 |(Services)
D. |Sector |4 |(Intellectual |Property) |- |VERIFIED |ANSWER✔✔-C. |- |The |largest |economic |sector |in |most |
developed |countries, |including |the |United |States, |is |Sector |3 |(Services), |which |facilitates |the |transfer |
of |finished |goods |to |end |users |and |enhances |consumers' |lives.
Activities |performed |in |the |Intellectual |Property |sector |of |the |economy |are |designed, |in |part, |to
A. |Provide |entertainment, |media, |financial |services, |healthcare, |and |law
B. |Promote |scientific |research |and |information |technology
C. |Support |industries |such |as |agriculture, |forestry, |fishing |and |hunting, |and |mining
d. |Turn |raw |materials |into |finished |products |- |VERIFIED |ANSWER✔✔-B. |- |Intellectual |Property |
includes |activities |related |to |scientific |research, |information |technology, |education, |government, |and |
culture. |Entertainment, |media, |and |most |services |are |part |of |Sector |3. |Activities |that |support |
agriculture, |forestry, |fishing, |hunting, |and |mining |are |part |of |Sector |1. |Raw |materials |are |turned |into |
finished |products |in |Sector |2.
,Members |of |an |Economy |- |VERIFIED |ANSWER✔✔-economy |can |be |divided |into |four |basic |groups:
- |Households: |Households |engage |in |the |following |economic |activities:
Buy |products |and |services |to |satisfy |their |personal |wants |and |needs
Provide |labor |to |businesses |and |governments
Save |and |invest |to |increase |their |personal |wealth
- |Businesses: |Businesses |engage |in |the |following |economic |activities:
Buy |raw |materials |to |produce |products |or |services
Buy |finished |products |and |services |to |support |company |operations
Secure |labor |from |households
Produce |and |sell |products |and |services
Invest |money |to |increase |company |value
- |Governments: |Governments |support |the |general |operation |of |economies |when |they
Establish |laws |and |regulations
Impose |taxes |on |households |and |businesses
Purchase |goods |and |services
Make |transfer |payments |to |individuals |and |businesses |without |receiving |goods |or |services |in |return
Provide |public |services |such |as |education, |utilities, |and |transportation
- |Financial |intermediaries: |Financial |intermediaries |facilitate |the |movement |of |funds |and |products |or |
services |between |buyers |and |sellers |in |an |economy |by |assisting |with |transactions.
Intermediaries |also |facilitate |the |transfer |of |funds |from |savers, |who |have |a |surplus |of |funds, |to |
borrowers, |who |have |a |shortage |of |funds, |through |the |process |of |intermediation.
Transfer |payments |- |VERIFIED |ANSWER✔✔-A |payment |made |by |a |government |for |which |no |goods |or
|services |are |given |in |return.
Intermediation |- |VERIFIED |ANSWER✔✔-The |transfer |of |funds |from |savers |to |borrowers |through |the |
services |of |a |financial |intermediary.
Unlimited |Wants |and |Needs |- |VERIFIED |ANSWER✔✔-Wants: |A |desire |for |particular |products |and |
services.
, Needs: |A |condition |that |must |be |satisfied |for |individuals |or |businesses |to |survive.
Limited |Resources |- |VERIFIED |ANSWER✔✔-Although |members |of |an |economy |may |have |unlimited |
wants |and |needs, |they |typically |have |limited |resources. |As |a |result, |households, |businesses, |and |
governments |are |forced |to |make |choices |about |how |and |when |to |use |their |resources.
Economics |- |VERIFIED |ANSWER✔✔-The |study |of |how |societies |and |individuals |allocate |limited |
resources |among |competing, |unlimited |wants |and |needs.
Transactions |in |which |the |government |provides |payment |to |a |consumer |but |doesn't |receive |anything |
in |return |are |known |as
A. |Transfer |payments
B. |Intermediations |- |VERIFIED |ANSWER✔✔-A |.- |A |transfer |payment |is |a |form |of |exchange |in |which |a |
government |pays |money |to |households |or |businesses |but |doesn't |receive |anything |in |return. |
Intermediation |is |a |process |in |which |a |financial |intermediary |facilitates |the |transfer |of |funds |from |
savers |to |borrowers |or |from |investors |to |investment |providers.
Economics |is |the |study |of |how |consumers |allocate |resources |among |wants |and |needs. |In |most |
economies, |consumers |have
A. |Unlimited |needs |and |limited |wants
B. |Unlimited |resources |and |limited |needs
C. |Limited |needs |and |wants |and |limited |resources
d. |Limited |resources |and |unlimited |wants |and |needs |- |VERIFIED |ANSWER✔✔-D. |- |Economics |is |the |
study |of |how |members |of |an |economy |allocate |limited |resources |among |an |unlimited |number |of |
wants |and |needs.
If |you |work |for |a |financial |services |company, |you |and |your |company |participate |in |various |types |of |
economic |markets. |What |do |you |think |is |the |primary |purpose |of |these |markets?
A. |To |set |prices |for |goods |and |services
B. |To |facilitate |exchanges |between |buyers |and |sellers
C. |To |eliminate |the |need |for |intermediaries |to |manage |transactions
D. |To |convert |different |currencies |into |a |form |that |is |acceptable |to |buyers |and |sellers |- |VERIFIED |
ANSWER✔✔-B. |- |Most |economies |maintain |product, |labor, |and |capital |markets. |These |markets |bring |
