ISOM Test 1 Questions and Answers Latest Update 2025-2026
Which countries were merged into one market by NAFTA? - Answers Canada, the US, and
Mexico
All of the following are advantages of a sole proprietorship except - Answers unlimited liability
In a socialist system, citizens are dependent on ______ for many goods and services - Answers
the government
An important advantage of a corporation is its* - Answers limited liability
when there is only one business providing a product in a given market, there exists - Answers a
monopoly
when businesses can promote different features of their products and consumers are willing to
pay more for products containing the features they desire, the competitive environment is
probably* - Answers monopolistic competition
Ruji has realized that she does not like working for others. she wants to open a business in
which she will have maximum control - Answers sole propriotorship
because many countries do not permit foreign companies to purchase and operate facilities in
their countries, a company wishing to do business in such a country may share the business
costs by forming a - Answers joint venture
the organizational form that many consider to be a blend of the best characteristics of corp,
partnerships, and sole proprietorships is the - Answers limited liability company
_____ relates to the number of goods and services that customers are willing to buy at different
prices at a specific time - Answers demand
____ have both tangible and intangible characteristics - Answers products
the legal documents that identify the basic agreements between partners are called - Answers
articles of partnership
economic expansion occurs when - Answers an economy is growing and people are spending
more money
a favorable balance of trade exists when a country - Answers exports more than it imports
a change in administration in a foreign gov that is hostile to foreign trade is an example of a -
Answers political barrier
the difference between the flow of money into and out of a country is called* - Answers balance
of payments
Which countries were merged into one market by NAFTA? - Answers Canada, the US, and
Mexico
All of the following are advantages of a sole proprietorship except - Answers unlimited liability
In a socialist system, citizens are dependent on ______ for many goods and services - Answers
the government
An important advantage of a corporation is its* - Answers limited liability
when there is only one business providing a product in a given market, there exists - Answers a
monopoly
when businesses can promote different features of their products and consumers are willing to
pay more for products containing the features they desire, the competitive environment is
probably* - Answers monopolistic competition
Ruji has realized that she does not like working for others. she wants to open a business in
which she will have maximum control - Answers sole propriotorship
because many countries do not permit foreign companies to purchase and operate facilities in
their countries, a company wishing to do business in such a country may share the business
costs by forming a - Answers joint venture
the organizational form that many consider to be a blend of the best characteristics of corp,
partnerships, and sole proprietorships is the - Answers limited liability company
_____ relates to the number of goods and services that customers are willing to buy at different
prices at a specific time - Answers demand
____ have both tangible and intangible characteristics - Answers products
the legal documents that identify the basic agreements between partners are called - Answers
articles of partnership
economic expansion occurs when - Answers an economy is growing and people are spending
more money
a favorable balance of trade exists when a country - Answers exports more than it imports
a change in administration in a foreign gov that is hostile to foreign trade is an example of a -
Answers political barrier
the difference between the flow of money into and out of a country is called* - Answers balance
of payments
