ISOM 125 TEST 1 || Get it Correct.
Which countries were merged into one market by NAFTA? correct answers Canada, Mexico, and
United States
The right of common stockholders to have the opportunity to purchase new shares of stock is
called a _____. correct answers Preemptive Right
A favorable balance of trade exists when a country has a _____. correct answers Trade Surplus
The legal documents that identify the basic agreements between partners are called _______.
correct answers Articles of Partnership
When a firm's products are standardized in all countries, correct answers Advertising may have
to be modified.
Advertising, personal selling, coupons, and sweepstakes are forms of ______. correct answers
Promotion
_______ is the study of how resources are distributed for the production of goods and services
within a social system. correct answers Economics
Because Colombia can produce coffee so much more efficiently than other items produced there,
it has which of the following advantages? correct answers Comparative Advantage
Joint ventures are popular in situations that call for ______? correct answers Large Investments
Increased unemployment can reduce consumer demand for goods and services, leading to
_____? correct answers Deflations
, Not all countries trading in international markets package goods in the same measurement units.
Unlike the United States, most countries rely on the ____. correct answers Metric System
An important advantage of a corporation is its ______? correct answers Limited Liability
When a firm is facing host takeover attempt, it may issue a poison pill, which is _____? correct
answers When the executive suite quits en masse before a takeover.
Because many countries do not permit foreign companies to purchase and operate facilities in
their countries, a company wishing to do business in such a country may share the business costs
with a firm from the host country by forming a _____? correct answers Joint Venture
Which of the following organizational forms is the most expensive to set up? correct answers
Corporations
In a capitalist system, individuals own and operate _____ businesses. correct answers The
majority of
In creating a corporation, once the articles of the incorporation are filed with the appropriate state
office, the state may then issue a corporate _____? correct answers Charter
Ananad has been asked to join a new partnership that is developing wind technologies. Because
the business is high risk he does not want to be liable for the firm's debts if the project should
fail. He could still participate as a _______? correct answers Limited Partner
When a group of investors borrows money to buy a company or division, using the company's
assets to guarantee the loan, it is called a(n) ______? correct answers Leveraged Buyout
Customizing products, promotion, and distribution according to cultural, technological, and
national differences indicates a ______. correct answers Multinational Strategy
Which countries were merged into one market by NAFTA? correct answers Canada, Mexico, and
United States
The right of common stockholders to have the opportunity to purchase new shares of stock is
called a _____. correct answers Preemptive Right
A favorable balance of trade exists when a country has a _____. correct answers Trade Surplus
The legal documents that identify the basic agreements between partners are called _______.
correct answers Articles of Partnership
When a firm's products are standardized in all countries, correct answers Advertising may have
to be modified.
Advertising, personal selling, coupons, and sweepstakes are forms of ______. correct answers
Promotion
_______ is the study of how resources are distributed for the production of goods and services
within a social system. correct answers Economics
Because Colombia can produce coffee so much more efficiently than other items produced there,
it has which of the following advantages? correct answers Comparative Advantage
Joint ventures are popular in situations that call for ______? correct answers Large Investments
Increased unemployment can reduce consumer demand for goods and services, leading to
_____? correct answers Deflations
, Not all countries trading in international markets package goods in the same measurement units.
Unlike the United States, most countries rely on the ____. correct answers Metric System
An important advantage of a corporation is its ______? correct answers Limited Liability
When a firm is facing host takeover attempt, it may issue a poison pill, which is _____? correct
answers When the executive suite quits en masse before a takeover.
Because many countries do not permit foreign companies to purchase and operate facilities in
their countries, a company wishing to do business in such a country may share the business costs
with a firm from the host country by forming a _____? correct answers Joint Venture
Which of the following organizational forms is the most expensive to set up? correct answers
Corporations
In a capitalist system, individuals own and operate _____ businesses. correct answers The
majority of
In creating a corporation, once the articles of the incorporation are filed with the appropriate state
office, the state may then issue a corporate _____? correct answers Charter
Ananad has been asked to join a new partnership that is developing wind technologies. Because
the business is high risk he does not want to be liable for the firm's debts if the project should
fail. He could still participate as a _______? correct answers Limited Partner
When a group of investors borrows money to buy a company or division, using the company's
assets to guarantee the loan, it is called a(n) ______? correct answers Leveraged Buyout
Customizing products, promotion, and distribution according to cultural, technological, and
national differences indicates a ______. correct answers Multinational Strategy
