TEST BANK Understanding Business, 13th
Edition By William Nickels, Jim McHugh,
Chapters 1 – 20
,TABLE OF CONTENTS
CHAPTER 1: Taking Risks and Making Profits within the Dynamic Business Environment
CHAPTER 2: Understanding Economics and How It Affects Business
CHAPTER 3: Doing Business in Global Markets
CHAPTER 4: Demanding Ethical and Socially Responsible Behavior
CHAPTER 5: How to Form a Business
CHAPTER 6: Entrepreneurship and Starting a Small Business
CHAPTER 7: Management and Leadership
CHAPTER 8: Structuring Organizations for Today’s Challenges
CHAPTER 9: Production and Operations Management
CHAPTER 10: Motivating Employees
CHAPTER 11: Human Resource Management: Finding and Keeping the Best Employees
CHAPTER 12: Dealing with Employee–Management Issues
CHAPTER 13: Marketing: Helping Buyers Buy
CHAPTER 14: Developing and Pricing Goods and Services
CHAPTER 15: Distributing Products
CHAPTER 16: Using Effective Promotions
CHAPTER 17: Understanding Accounting and Financial Information
CHAPTER 18: Financial Management
CHAPTER 19: Using Securities Markets for Financing and Investing Opportunities
CHAPTER 20: Money, Financial Institutions, and the Federal Reserve
,Answers are at the end of Each chapter
Chapter 1
Student name:
1) Describe three ways that governments can foster entrepreneurship and encourage
the creation of wealth
2) Describe how businesses can use technology to be more responsive to customers.
3) Competition among businesses has never been greater. Identify and describe two
ways that businesses can become more competitive.
4) What ais ademography? aIdentify atwo ademographic atrends ain athe aUnited aStates aand
adiscuss ahow athey awill aimpactUnited aStates abusinesses.
5) Describe awhat awe amean aby agreening aand athinking agreen. aList afive aways athat
apeople aand abusinesses aare aparticipating ain athe agreen amovement. aList abusiness
aopportunities athat amay aemerge afrom athis amovement.
6) Trace athe aevolution aof aAmerican abusiness. aIdentify athe akey atrends, aand
adiscuss athe aimplications athese atrends ahave afor athe afuture.
, 7) An aentity athat aseeks ato aearn aa aprofit aby aproviding aa agood aor aservice ais aknown aas
aa(n)
A) industry.
B) corporation.
C) business.
D) service.
8) is athe aamount aa abusiness aearns aafter adeducting awhat ait aspends afor
asalaries aand aother aexpenses.
A) Profit
B) Revenue
C) Interest
D) Dividends
9) A abusiness aincurs aa a if aits acosts aand aexpenses aexceed aits arevenues.
A) loss
B) liability
C) debit
D) dividend
10) is athe achance aa abusiness aowner awill alose athe atime aand amoney
ainvested ain aa abusiness athat aproves ato abe aunprofitable.
A) Depreciation
B) Risk
C) Opportunity
D) Redundancy
11) The atotal aamount aof amoney athat abusinesses atake ain aby aselling agoods aand aservices
ais acalled
Edition By William Nickels, Jim McHugh,
Chapters 1 – 20
,TABLE OF CONTENTS
CHAPTER 1: Taking Risks and Making Profits within the Dynamic Business Environment
CHAPTER 2: Understanding Economics and How It Affects Business
CHAPTER 3: Doing Business in Global Markets
CHAPTER 4: Demanding Ethical and Socially Responsible Behavior
CHAPTER 5: How to Form a Business
CHAPTER 6: Entrepreneurship and Starting a Small Business
CHAPTER 7: Management and Leadership
CHAPTER 8: Structuring Organizations for Today’s Challenges
CHAPTER 9: Production and Operations Management
CHAPTER 10: Motivating Employees
CHAPTER 11: Human Resource Management: Finding and Keeping the Best Employees
CHAPTER 12: Dealing with Employee–Management Issues
CHAPTER 13: Marketing: Helping Buyers Buy
CHAPTER 14: Developing and Pricing Goods and Services
CHAPTER 15: Distributing Products
CHAPTER 16: Using Effective Promotions
CHAPTER 17: Understanding Accounting and Financial Information
CHAPTER 18: Financial Management
CHAPTER 19: Using Securities Markets for Financing and Investing Opportunities
CHAPTER 20: Money, Financial Institutions, and the Federal Reserve
,Answers are at the end of Each chapter
Chapter 1
Student name:
1) Describe three ways that governments can foster entrepreneurship and encourage
the creation of wealth
2) Describe how businesses can use technology to be more responsive to customers.
3) Competition among businesses has never been greater. Identify and describe two
ways that businesses can become more competitive.
4) What ais ademography? aIdentify atwo ademographic atrends ain athe aUnited aStates aand
adiscuss ahow athey awill aimpactUnited aStates abusinesses.
5) Describe awhat awe amean aby agreening aand athinking agreen. aList afive aways athat
apeople aand abusinesses aare aparticipating ain athe agreen amovement. aList abusiness
aopportunities athat amay aemerge afrom athis amovement.
6) Trace athe aevolution aof aAmerican abusiness. aIdentify athe akey atrends, aand
adiscuss athe aimplications athese atrends ahave afor athe afuture.
, 7) An aentity athat aseeks ato aearn aa aprofit aby aproviding aa agood aor aservice ais aknown aas
aa(n)
A) industry.
B) corporation.
C) business.
D) service.
8) is athe aamount aa abusiness aearns aafter adeducting awhat ait aspends afor
asalaries aand aother aexpenses.
A) Profit
B) Revenue
C) Interest
D) Dividends
9) A abusiness aincurs aa a if aits acosts aand aexpenses aexceed aits arevenues.
A) loss
B) liability
C) debit
D) dividend
10) is athe achance aa abusiness aowner awill alose athe atime aand amoney
ainvested ain aa abusiness athat aproves ato abe aunprofitable.
A) Depreciation
B) Risk
C) Opportunity
D) Redundancy
11) The atotal aamount aof amoney athat abusinesses atake ain aby aselling agoods aand aservices
ais acalled
