Business Essentials Test Questions and
Complete Solutions Graded A+
public wants - Answer: wants that are shared by many people
b - Answer: All of the following involve offering services except
a.
banking.
c.
sports and entertainment.
b.
DVDs.
d.
tourism.
profit - Answer: The reward for satisfying the needs and wants of consumers and businesses is
competition - Answer: _________ forces businesses to decide how to best use and conserve their
resources
d - Answer: For businesses to stay successful, they must offer
a.
quality products.
c.
competitive prices.
b.
outstanding service.
d.
all of the above.
,a - Answer: When developing a product or service, a business must do all of the following except
a.
create a need for the product or service.
b.
evaluate the demand for the product or service.
c.
obtain start-up and operating capital.
d.
keep records to satisfy government requirements.
d - Answer: Market research provides information that can help a business
a.
identify opportunities.
b.
evaluate demand.
c.
respond to market goods and services.
d.
all of the above
make a profit - Answer: Businesses supply goods and services to
decreasing demand for it - Answer: A business may stop manufacturing a product because
there is a
will be most profitable - Answer: Competition is possible because companies have the freedom to
produce products they think
, clothing - Answer: The basic needs of people include food, water, shelter and
needs - Answer: businesses provide goods and services to satisfy wants and
b - Answer: All of the following are resources except
a.
money.
c.
fuel.
b.
transportation.
d.
labor.
competition - Answer: The contest among businesses to win customers is called
d - Answer: To avoid failure, a business can modify
a.
its products.
c.
its business practices.
b.
its services.
d.
all of the above
scarcity - Answer: A shortage of resources is called
demand exceeds supply - Answer: Scarcity occurs when
Complete Solutions Graded A+
public wants - Answer: wants that are shared by many people
b - Answer: All of the following involve offering services except
a.
banking.
c.
sports and entertainment.
b.
DVDs.
d.
tourism.
profit - Answer: The reward for satisfying the needs and wants of consumers and businesses is
competition - Answer: _________ forces businesses to decide how to best use and conserve their
resources
d - Answer: For businesses to stay successful, they must offer
a.
quality products.
c.
competitive prices.
b.
outstanding service.
d.
all of the above.
,a - Answer: When developing a product or service, a business must do all of the following except
a.
create a need for the product or service.
b.
evaluate the demand for the product or service.
c.
obtain start-up and operating capital.
d.
keep records to satisfy government requirements.
d - Answer: Market research provides information that can help a business
a.
identify opportunities.
b.
evaluate demand.
c.
respond to market goods and services.
d.
all of the above
make a profit - Answer: Businesses supply goods and services to
decreasing demand for it - Answer: A business may stop manufacturing a product because
there is a
will be most profitable - Answer: Competition is possible because companies have the freedom to
produce products they think
, clothing - Answer: The basic needs of people include food, water, shelter and
needs - Answer: businesses provide goods and services to satisfy wants and
b - Answer: All of the following are resources except
a.
money.
c.
fuel.
b.
transportation.
d.
labor.
competition - Answer: The contest among businesses to win customers is called
d - Answer: To avoid failure, a business can modify
a.
its products.
c.
its business practices.
b.
its services.
d.
all of the above
scarcity - Answer: A shortage of resources is called
demand exceeds supply - Answer: Scarcity occurs when
