Actual BUS Final EXAM LATEST
QUESTIONS
-exam elaborations with 100% verified answer/solutions-
Excel & Succeed - academic year (2026-2027)
159 Q&A
A business cycle reflects changes in economic activity, particularly real
GDP. The phases of a business cycle, in order, are:
Select one:
a. trough, expansion, recession and peak.
b. contraction, recession, expansion and boom.
c. expansion, peak, contraction and trough.
d. expansion, trough, contraction and peak.
expansion, peak, contraction and trough.
A change in technology that reduces the costs of production will:
Select one:
a. shift the supply curve to the right.
b. decrease consumer demand.
c. increase consumer demand.
shift the supply curve to the right.
A competitive market is one in which:
Select one:
a. government makes most decisions about what will be produced.
b. there are a large number of buyers and sellers.
c. everyone owns the factors of production.
there are a large number of buyers and sellers.
,A decrease in the quantity supplied can be the result from:
Select one:
a. increased demand.
b. a decrease in supply.
c. a decrease in price.
a decrease in price.
According to the law of demand, assuming other factors are held
constant:
Select one:
a. as the price of milk decreases, the quantity of milk demanded will
increase.
b. as the price of milk increases, the quantity of milk demanded will
increase.
c. as the demand for milk increases, the price of milk will also increase.
as the price of milk decreases, the quantity of milk demanded will increase.
According to the law of supply, assuming other factors are held
constant:
Select one:
a. as the price of milk increases, the quantity of milk supplied will
decrease.
b. as the supply for milk increases, the price of milk will also increase.
c. as the price of milk decreases, the quantity of milk supplied will
decrease.
as the price of milk decreases, the quantity of milk supplied will decrease.
Excess supply occurs when the actual price in some market is ________
the equilibrium price.
above
Identify the macroeconomic issue among the following statements.
Select one:
a. The electric bill is higher this month.
b. The average cost of producing electricity nationally is rising.
c. Our family business costs will rise due to higher electric rates.
,The average cost of producing electricity nationally is rising.
Identify the microeconomic topic(s) among the following:
Select one:
a. The price that a farmer asks for her watermelons.
b. The unemployment rate.
c. Fiscal policy.
The price that a farmer asks for her watermelons.
If a county government decided to build parks, then the money and
resources would not be available for additional fire fighters. This is an
example of:
Select one:
a. opportunity cost.
b. production.
c. unemployment.
opportunity cost.
If an increase in the price of Nike shoes increases the demand for
Adidas shoes, this means that:
Select one:
a. C Nike shoes and Adidas shoes are normal goods.
b. Nike shoes and Adidas shoes are substitutes.
c. Nike shoes and Adidas shoes are inferior goods.
Nike shoes and Adidas shoes are substitutes.
n a planned economy, government determines the prices for goods and
services, and:
Select one:
a. businesses determine what goods to produce to maximize profits.
b. government also determines what goods will be produced.
c. government allows consumers to influence prices based on demand
behavior.
government also determines what goods will be produced.
One of the benefits of labor specialization is that:
Select one:
a. it allows workers to focus on a particular job and focus on the parts of
the production process in which they have an advantage.
, b. workers who specialize in certain tasks often learn to produce slower
and with lower quality.
c. specialized workers are more productive when producing a
combination of things or tasks with which they are good at and some of
which they are not.
it allows workers to focus on a particular job and focus on the parts of the
production process in which they have an advantage.
Periods of increasing and decreasing real Gross Domestic Product
(GDP) describes:
Select one:
a. an increase or decrease in inflation.
b. fluctuation in consumer spending.
c. the business cycle.
the business cycle.
The equilibrium price for Gizmos is $12, but Gizmos are currently priced
at $10 throughout the market. In the typical store that sells Gizmos, we
might expect:
Select one:
a. equilibrium has nothing to do with how many Gizmos the store sells.
b. the box of available Gizmos is always full or overflowing.
c. the box of available Gizmos is often empty.
the box of available Gizmos is often empty.
The following country has characteristics of a command economy?
Select one:
a. United States
b. China
c. Australia
China
The unemployment rate generally ________ during contractions and
________ during expansions.
Select one:
a. falls: rises
b. rises falls
c. rises: rises
QUESTIONS
-exam elaborations with 100% verified answer/solutions-
Excel & Succeed - academic year (2026-2027)
159 Q&A
A business cycle reflects changes in economic activity, particularly real
GDP. The phases of a business cycle, in order, are:
Select one:
a. trough, expansion, recession and peak.
b. contraction, recession, expansion and boom.
c. expansion, peak, contraction and trough.
d. expansion, trough, contraction and peak.
expansion, peak, contraction and trough.
A change in technology that reduces the costs of production will:
Select one:
a. shift the supply curve to the right.
b. decrease consumer demand.
c. increase consumer demand.
shift the supply curve to the right.
A competitive market is one in which:
Select one:
a. government makes most decisions about what will be produced.
b. there are a large number of buyers and sellers.
c. everyone owns the factors of production.
there are a large number of buyers and sellers.
,A decrease in the quantity supplied can be the result from:
Select one:
a. increased demand.
b. a decrease in supply.
c. a decrease in price.
a decrease in price.
According to the law of demand, assuming other factors are held
constant:
Select one:
a. as the price of milk decreases, the quantity of milk demanded will
increase.
b. as the price of milk increases, the quantity of milk demanded will
increase.
c. as the demand for milk increases, the price of milk will also increase.
as the price of milk decreases, the quantity of milk demanded will increase.
According to the law of supply, assuming other factors are held
constant:
Select one:
a. as the price of milk increases, the quantity of milk supplied will
decrease.
b. as the supply for milk increases, the price of milk will also increase.
c. as the price of milk decreases, the quantity of milk supplied will
decrease.
as the price of milk decreases, the quantity of milk supplied will decrease.
Excess supply occurs when the actual price in some market is ________
the equilibrium price.
above
Identify the macroeconomic issue among the following statements.
Select one:
a. The electric bill is higher this month.
b. The average cost of producing electricity nationally is rising.
c. Our family business costs will rise due to higher electric rates.
,The average cost of producing electricity nationally is rising.
Identify the microeconomic topic(s) among the following:
Select one:
a. The price that a farmer asks for her watermelons.
b. The unemployment rate.
c. Fiscal policy.
The price that a farmer asks for her watermelons.
If a county government decided to build parks, then the money and
resources would not be available for additional fire fighters. This is an
example of:
Select one:
a. opportunity cost.
b. production.
c. unemployment.
opportunity cost.
If an increase in the price of Nike shoes increases the demand for
Adidas shoes, this means that:
Select one:
a. C Nike shoes and Adidas shoes are normal goods.
b. Nike shoes and Adidas shoes are substitutes.
c. Nike shoes and Adidas shoes are inferior goods.
Nike shoes and Adidas shoes are substitutes.
n a planned economy, government determines the prices for goods and
services, and:
Select one:
a. businesses determine what goods to produce to maximize profits.
b. government also determines what goods will be produced.
c. government allows consumers to influence prices based on demand
behavior.
government also determines what goods will be produced.
One of the benefits of labor specialization is that:
Select one:
a. it allows workers to focus on a particular job and focus on the parts of
the production process in which they have an advantage.
, b. workers who specialize in certain tasks often learn to produce slower
and with lower quality.
c. specialized workers are more productive when producing a
combination of things or tasks with which they are good at and some of
which they are not.
it allows workers to focus on a particular job and focus on the parts of the
production process in which they have an advantage.
Periods of increasing and decreasing real Gross Domestic Product
(GDP) describes:
Select one:
a. an increase or decrease in inflation.
b. fluctuation in consumer spending.
c. the business cycle.
the business cycle.
The equilibrium price for Gizmos is $12, but Gizmos are currently priced
at $10 throughout the market. In the typical store that sells Gizmos, we
might expect:
Select one:
a. equilibrium has nothing to do with how many Gizmos the store sells.
b. the box of available Gizmos is always full or overflowing.
c. the box of available Gizmos is often empty.
the box of available Gizmos is often empty.
The following country has characteristics of a command economy?
Select one:
a. United States
b. China
c. Australia
China
The unemployment rate generally ________ during contractions and
________ during expansions.
Select one:
a. falls: rises
b. rises falls
c. rises: rises
