BUS 660 EXAM PREP FULL QUESTIONS
AND SOLUTIONS ALREADY PASSED STUDY
SHEET
●● Goods:
Answer: Tangible products
●● Services:
Answer: Intangible products
●● Revenue:
Answer: Money earned from conducting business.
●● Profit:
Answer: Normal income derived from business activity.
●● Entrepreneur:
Answer: People who start a business risking their time and money.
●● Standard of living:
Answer: The quality and quantity of products available to a population.
,●● Stakeholders:
Answer: Those affected by the actions of a business.
●● Nonprofit:
Answer: A form of business ownership serving the public good rather
than generating financial gain.
●● Business Environment:
Answer: The setting in which business operates.
●● Economics:
Answer: The study of the choices made to allocate scarce resources.
●● Macroeconomics:
Answer: The economics of countries focusing on the overall economy.
●● Microeconomics:
Answer: The economics of individuals focusing on supply and demand.
●● Opportunity Cost:
Answer: The value of what is given up as the result of a decision.
,●● Sunk Cost:
Answer: Costs already incurred that cannot be recovered.
●● Economic System:
Answer: A structure for allocating limited resources.
●● Free-market Economies:
Answer: An economic system in which supply and demand determine
prices with minimum government control.
●● Socialism:
Answer: The idea that businesses should be owned by the workers.
●● Communism:
Answer: The idea that businesses should be owned by the government.
●● Capitalism:
Answer: The idea that businesses should be owned by private
individuals.
●● Invisible Hand:
Answer: Forces that move the free market economy.
, ●● Mixed Economies:
Answer: An economic system in which the government and private
sector both direct the economy.
●● Supply:
Answer: The willingness to sell goods at various prices during a
specified time.
●● Demand:
Answer: The willingness to buy goods at various prices during a
specified time.
●● Law of Demand:
Answer: As price increases, the quantity demanded decreases.
●● Law of Supply:
Answer: As price increases, the quantity supplied increases.
●● Surplus:
Answer: Too much supply.
●● Shortage:
AND SOLUTIONS ALREADY PASSED STUDY
SHEET
●● Goods:
Answer: Tangible products
●● Services:
Answer: Intangible products
●● Revenue:
Answer: Money earned from conducting business.
●● Profit:
Answer: Normal income derived from business activity.
●● Entrepreneur:
Answer: People who start a business risking their time and money.
●● Standard of living:
Answer: The quality and quantity of products available to a population.
,●● Stakeholders:
Answer: Those affected by the actions of a business.
●● Nonprofit:
Answer: A form of business ownership serving the public good rather
than generating financial gain.
●● Business Environment:
Answer: The setting in which business operates.
●● Economics:
Answer: The study of the choices made to allocate scarce resources.
●● Macroeconomics:
Answer: The economics of countries focusing on the overall economy.
●● Microeconomics:
Answer: The economics of individuals focusing on supply and demand.
●● Opportunity Cost:
Answer: The value of what is given up as the result of a decision.
,●● Sunk Cost:
Answer: Costs already incurred that cannot be recovered.
●● Economic System:
Answer: A structure for allocating limited resources.
●● Free-market Economies:
Answer: An economic system in which supply and demand determine
prices with minimum government control.
●● Socialism:
Answer: The idea that businesses should be owned by the workers.
●● Communism:
Answer: The idea that businesses should be owned by the government.
●● Capitalism:
Answer: The idea that businesses should be owned by private
individuals.
●● Invisible Hand:
Answer: Forces that move the free market economy.
, ●● Mixed Economies:
Answer: An economic system in which the government and private
sector both direct the economy.
●● Supply:
Answer: The willingness to sell goods at various prices during a
specified time.
●● Demand:
Answer: The willingness to buy goods at various prices during a
specified time.
●● Law of Demand:
Answer: As price increases, the quantity demanded decreases.
●● Law of Supply:
Answer: As price increases, the quantity supplied increases.
●● Surplus:
Answer: Too much supply.
●● Shortage:
