BUS 101 - MIDTERM UPDATED ACTUAL QUESTIONS
AND CORRECT ANSWERS
Question:
1. Describe the goals of business
Answer:
Profit!, satisfy the customer, act ethically
Question:
2. Communism
Answer:
the people own all the nation's resources, everyone contributes and receives
benefits according to need
Question:
3. Socialism
Answer:
the government owns and operates basic industries, but individuals own most
businesses
Question:
4. Capitalism
Answer:
individuals own and operate the majority of businesses that provides goods and
services, competition, supply and demand determine what is produced
Question:
5. Mixed Economies
Answer:
has elements of more than one economic system
Question:
6. Demand
Answer:
the number of good and services that consumers are willing to buy at different
prices at a specific time, usually consumers like to buy more of an item when the
price falls
,Question:
7. Supply
Answer:
the number of products that businesses are willing to sell at different prices at a
specific time, usually like to sell more at a higher price because of the potential
for higher profits
Question:
8. Equilibrium
Answer:
the at which the number of products that businesses are willing to supply equals
the amount of products that consumers are willing to buy at that specific price
Question:
9. Competition
Answer:
the rivalry among business for consumers' dollar
Question:
10. Pure Competition
Answer:
exists when there are many small businesses selling one standardized product, no
one business sells enough of the product to influence the product's price, and
because there's no difference in the product, price is determined by supply and
demand
Question:
11. Monopolistic Competition
Answer:
exists when there are fewer business in the market and there are differences
among the goods they sell (can have different characteristics but satisfy the same
need), business have some power over the price but not much
Question:
12. Oligopoly
Answer:
exists when there are very few businesses selling a product, individual businesses
have control over the prices because they supply a large portion of the products
sold in the market
, Question:
13. when one business is providing a product in a given market meaning that
company has sole control over the price
Answer:
Monopoly
Question:
14. Government's role in the Economy
Answer:
The government does have a role in the American economy. It steps in when
there's a recession and in other instances (like to control the discount rate, enact
monetary policy, etc.) The US has a mixed economy but it's mostly a capitalistic
society.
Question:
15. Business ethics
Answer:
the principles and standards that determine acceptable conduct in business
organizations
Question:
16. Social Responsibility
Answer:
a business's obligation to maximize its positive impact and minimize its negative
impact on society
Question:
17. Difference between ethics and social responsibility
Answer:
Business ethics relates to an individual/work group's decisions that society
evaluates as right or wrong, whereas social responsibility is a broader concept
that concerns the impact of the entire business's activities on society
AND CORRECT ANSWERS
Question:
1. Describe the goals of business
Answer:
Profit!, satisfy the customer, act ethically
Question:
2. Communism
Answer:
the people own all the nation's resources, everyone contributes and receives
benefits according to need
Question:
3. Socialism
Answer:
the government owns and operates basic industries, but individuals own most
businesses
Question:
4. Capitalism
Answer:
individuals own and operate the majority of businesses that provides goods and
services, competition, supply and demand determine what is produced
Question:
5. Mixed Economies
Answer:
has elements of more than one economic system
Question:
6. Demand
Answer:
the number of good and services that consumers are willing to buy at different
prices at a specific time, usually consumers like to buy more of an item when the
price falls
,Question:
7. Supply
Answer:
the number of products that businesses are willing to sell at different prices at a
specific time, usually like to sell more at a higher price because of the potential
for higher profits
Question:
8. Equilibrium
Answer:
the at which the number of products that businesses are willing to supply equals
the amount of products that consumers are willing to buy at that specific price
Question:
9. Competition
Answer:
the rivalry among business for consumers' dollar
Question:
10. Pure Competition
Answer:
exists when there are many small businesses selling one standardized product, no
one business sells enough of the product to influence the product's price, and
because there's no difference in the product, price is determined by supply and
demand
Question:
11. Monopolistic Competition
Answer:
exists when there are fewer business in the market and there are differences
among the goods they sell (can have different characteristics but satisfy the same
need), business have some power over the price but not much
Question:
12. Oligopoly
Answer:
exists when there are very few businesses selling a product, individual businesses
have control over the prices because they supply a large portion of the products
sold in the market
, Question:
13. when one business is providing a product in a given market meaning that
company has sole control over the price
Answer:
Monopoly
Question:
14. Government's role in the Economy
Answer:
The government does have a role in the American economy. It steps in when
there's a recession and in other instances (like to control the discount rate, enact
monetary policy, etc.) The US has a mixed economy but it's mostly a capitalistic
society.
Question:
15. Business ethics
Answer:
the principles and standards that determine acceptable conduct in business
organizations
Question:
16. Social Responsibility
Answer:
a business's obligation to maximize its positive impact and minimize its negative
impact on society
Question:
17. Difference between ethics and social responsibility
Answer:
Business ethics relates to an individual/work group's decisions that society
evaluates as right or wrong, whereas social responsibility is a broader concept
that concerns the impact of the entire business's activities on society
