X100 EXAM 1
QUESTIONS AND
VERIFIED ANSWERS
, X100 EXAM 1 QUESTIONS AND VERIFIED ANSWERS
5 Factors of production - - Answer-land, labor, capital, entrepreneurship, knowledge
Andrews Adhesives is headquartered in Indianapolis, IN. All of its manufacturing takes place in
Indianapolis, IN. From its Indianapolis, IN headquarters, Andrews Adhesives sells adhesive
products to companies located in the United States, Canada, Mexico, and the United Kingdom.
Andrews Adhesives is best described as ____. a) a domestic company b) an international
company c) a multinational company d) a global company - Answer-B)
Approximately what percentage of U.S. franchises fail after five years? - - Answer-less than
10%
Approximately what percentage of U.S. small businesses fail within 5 years? - - Answer-50%
As market price for a product increases, the quantity of a product that buyers are willing to buy
goes ____. a) Up b) Down - Answer-B)
Balance of payments - - Answer-accounting of a country's international transactions for a
particular time period, difference between all money flowing into a country and outflow of money
to the rest of the world
Balance of trade in US - - Answer-trade deficit
Benefits and detriments of intrapreneurship - - Answer-more salary security, people to work
with, support/resources from company, but patents belong to company, requires company
commitment
Capitalist economic system - - Answer-free market system, low gov. involvement, buyers/sellers
aren't regulated
Characteristics of entrepreneurs - - Answer-confidence, self-nurturing, high energy, internal
drive, action oriented, vision, tolerance for uncertainty
Command economic system - - Answer-communist economy, high gov. involvement, questions
Answered by gov. (would motivation to work be impacted?)
Components of a business plan - - Answer-1. Executive summary 2. Company background 3.
Description of management team 4. Marketing plan 5. Financial plan 6. Capital requirements 7.
Location analysis 8. Operations/manufacturing plans
Components that comprise CSR - - Answer-philanthropy - giving time/money, social initiatives -
addressing problems in society, responsibility - fulfilling responsibilities to stakeholders, policy -
take positions on social/political issues
Consumer Price Index (CPI) - - Answer-most cite measure of inflation, price of weighted
average market basket of consumer goods
Corporate Social Responsibility (CSR)- - Answer-commitment to integrity, fairness, respect
QUESTIONS AND
VERIFIED ANSWERS
, X100 EXAM 1 QUESTIONS AND VERIFIED ANSWERS
5 Factors of production - - Answer-land, labor, capital, entrepreneurship, knowledge
Andrews Adhesives is headquartered in Indianapolis, IN. All of its manufacturing takes place in
Indianapolis, IN. From its Indianapolis, IN headquarters, Andrews Adhesives sells adhesive
products to companies located in the United States, Canada, Mexico, and the United Kingdom.
Andrews Adhesives is best described as ____. a) a domestic company b) an international
company c) a multinational company d) a global company - Answer-B)
Approximately what percentage of U.S. franchises fail after five years? - - Answer-less than
10%
Approximately what percentage of U.S. small businesses fail within 5 years? - - Answer-50%
As market price for a product increases, the quantity of a product that buyers are willing to buy
goes ____. a) Up b) Down - Answer-B)
Balance of payments - - Answer-accounting of a country's international transactions for a
particular time period, difference between all money flowing into a country and outflow of money
to the rest of the world
Balance of trade in US - - Answer-trade deficit
Benefits and detriments of intrapreneurship - - Answer-more salary security, people to work
with, support/resources from company, but patents belong to company, requires company
commitment
Capitalist economic system - - Answer-free market system, low gov. involvement, buyers/sellers
aren't regulated
Characteristics of entrepreneurs - - Answer-confidence, self-nurturing, high energy, internal
drive, action oriented, vision, tolerance for uncertainty
Command economic system - - Answer-communist economy, high gov. involvement, questions
Answered by gov. (would motivation to work be impacted?)
Components of a business plan - - Answer-1. Executive summary 2. Company background 3.
Description of management team 4. Marketing plan 5. Financial plan 6. Capital requirements 7.
Location analysis 8. Operations/manufacturing plans
Components that comprise CSR - - Answer-philanthropy - giving time/money, social initiatives -
addressing problems in society, responsibility - fulfilling responsibilities to stakeholders, policy -
take positions on social/political issues
Consumer Price Index (CPI) - - Answer-most cite measure of inflation, price of weighted
average market basket of consumer goods
Corporate Social Responsibility (CSR)- - Answer-commitment to integrity, fairness, respect
