BUS 100 Final Exam with Verified
Answers
C - ✔✔Which of the following is the name for the economic value of all of the products that a
country exports minus the economic value of its imports?
A) Balance of foreign competition
B) Balance of domestic competition
C) Balance of trade
D) Balance of payments
E) Balance of supply and demand
A - ✔✔Which of the following BEST describes a positive trade balance?
A) The economic condition in which a country's exports exceed its imports
B) The economic condition in which a country's imports exceed its exports
C) The economic condition in which a country's inflow of money exceeds its outflow
D) The economic condition in which a country's outflow of money exceeds its inflow
E) The economic condition in which a country's natural resources exceed its human resources
E - ✔✔National competitive advantage derives from four conditions, one of which is factor
conditions. What do factor conditions include?
A) Customers, suppliers, and labor
B) Government quotas and subsidies
C) Product quality, productivity, and profits
D) Labor, capital, entrepreneurs, and physical resources
E) Strategies, structures, and rivalries
, D - ✔✔Ford, an American car company, purchased Volvo, which is based in Sweden. What is
this an example of?
A) A franchise
B) An independent agency
C) A licensing arrangement
D) A foreign direct investment
E) A strategic alliance
A - ✔✔Which of the following allows firms to focus on core activities and reduce cost by
moving aspects of the business to areas where costs are low?
A) Outsourcing
B) Adapting
C) Licensing
D) Exporting
E) Importing
B - ✔✔Which of the following describes a liability?
A) The potential profit from selling a firm's assets and settling all of its debts
B) A debt owed by a firm to an outside organization or individual
C) Any economic resource expected to benefit a firm or an individual who owns it
D) Any economic deficit expected to cost a firm or an individual who owns it
E) The amount of money originally invested in a business by its owners
E - ✔✔What are the major categories within an income statement?
A) Operating costs and profits, investing costs and profits, and financing costs and profits
B) Current revenue, long-term revenue, and net revenue
C) Revenue, sales, and income
D) Assets, liabilities, and owners' equity
Answers
C - ✔✔Which of the following is the name for the economic value of all of the products that a
country exports minus the economic value of its imports?
A) Balance of foreign competition
B) Balance of domestic competition
C) Balance of trade
D) Balance of payments
E) Balance of supply and demand
A - ✔✔Which of the following BEST describes a positive trade balance?
A) The economic condition in which a country's exports exceed its imports
B) The economic condition in which a country's imports exceed its exports
C) The economic condition in which a country's inflow of money exceeds its outflow
D) The economic condition in which a country's outflow of money exceeds its inflow
E) The economic condition in which a country's natural resources exceed its human resources
E - ✔✔National competitive advantage derives from four conditions, one of which is factor
conditions. What do factor conditions include?
A) Customers, suppliers, and labor
B) Government quotas and subsidies
C) Product quality, productivity, and profits
D) Labor, capital, entrepreneurs, and physical resources
E) Strategies, structures, and rivalries
, D - ✔✔Ford, an American car company, purchased Volvo, which is based in Sweden. What is
this an example of?
A) A franchise
B) An independent agency
C) A licensing arrangement
D) A foreign direct investment
E) A strategic alliance
A - ✔✔Which of the following allows firms to focus on core activities and reduce cost by
moving aspects of the business to areas where costs are low?
A) Outsourcing
B) Adapting
C) Licensing
D) Exporting
E) Importing
B - ✔✔Which of the following describes a liability?
A) The potential profit from selling a firm's assets and settling all of its debts
B) A debt owed by a firm to an outside organization or individual
C) Any economic resource expected to benefit a firm or an individual who owns it
D) Any economic deficit expected to cost a firm or an individual who owns it
E) The amount of money originally invested in a business by its owners
E - ✔✔What are the major categories within an income statement?
A) Operating costs and profits, investing costs and profits, and financing costs and profits
B) Current revenue, long-term revenue, and net revenue
C) Revenue, sales, and income
D) Assets, liabilities, and owners' equity
