MGMT 1000 -Midterm 1 Test Questions
with Guaranteed Pass Solutions 2026
Updated.
Emily lives in a country where her career, workplace, and the goods she can purchase are
controlled by the government. She feels no need to work harder or produce quality goods
because there are no rewards. Emily lives in a ______ country:
Socialist
Democratic
Communist
Capitalism
Dictatorship - Answer Communist
In Canada, the government owns the communications, transportation and utilities industries, as
well as provides national health care. Private enterprise dominates the business world. Canada
is a _____ country:
Pure Capitalism
Pure Socialism
Mixed Economy
Free Economy
Upturn Economy - Answer Mixed Economy
A country where businesses are privately owned, profits are kept by owners and free trade
exists is a _______ country:
Capitalist
Communist
Socialist
Equitable Market
Free Reign - Answer Capitalist
Goodwill, United Way, and Habitat for Humanity are all examples of:
Not-for-Profits
,Governments
For-Profits
Businesses - Answer Not-for-Profit
The rivalry amongst McDonald's and Wendy's can be classified as:
Competition
Business
Market Conditions
Scarcity - Answer Competition
Sarah is the manager of a company whose goal is to provide relief for tsunami victims. At the
company's annual general meeting, she is challenged by upper management as the company is
showing income from their activities after covering all costs. Sarah works for a:
For-Profit
Not-for-Profit
Airline Company
Government - Answer Not-for-Profit
John is an accountant for Breeze Smoothie Co. He notices the company has increasingly high
costs and he is not making enough money to cover these costs. Breeze Smoothie Co. is
experiencing a:
Profit Gain
Economic Downturn
Boom
Profit Loss - Answer Profit Loss
The main incentive in a capitalist society is:
Fame
Profit
Accumulation of Real Estate
Equality - Answer Profit
,If Disney World does not attract an adequate level of visitors post COVID-19, they may fail to
meet revenue and profit goals. They are experiencing:
Expenses
Risk
Reward
Economic Downturn
None of the Above - Answer Risk
The quality of life in a country is influenced by all of the following factors except:
Educational Standards
Health and Sanitation
Life Expectancy
Governing Body
Leisure Time - Answer Life Expectancy
Sarah is the manager of a company whose goal is to provide relief for tsunami victims. At the
company's year end, she is pleased as she is showing income from their activities. Sarah works
for a:
For-Profit
Not-for-Profit
Airline Company
Government - Answer For-Profit
John is an accountant for Breeze Smoothie Co. He notices the company has been failing to earn
a profit and also that the smoothie industry as a whole is facing declining profits. The smoothie
industry is experiencing:
Profit Gain
Economic Downturn
Boom
Profit Loss - Answer Economic Downturn
________ and ________ are the extremes of economic systems:
, Pure Capitalism; Communism
Socialism; Pure Capitalism
Marxism; Communism
Mixed Economy; Socialism
None of the above - Answer Pure Capitalism; Communism
The process in which businesses and governments allocate their limited resources to satisfy
wants and needs is the study of:
Consumerism
Capital Planning
Entrepreneurship
Economics
Labor Statistics - Answer Economics
In the lost city of Atlantis, all the factors of production are privately owned and the government
has no hand in coordinating prices or economic activity. Atlantis is experiencing:
Free Markets
Perfect Competition
Pure Socialism
Monopolistic Competition
Pure Capitalism - Answer Pure Capitalism
In the country of Narnia, all of the factors of production are government owned and the
government has complete control over prices and economic activity Narnia is experiencing:
Communism
Capitalism
Socialism
Totalitarianism
Democracy - Answer Communism
Goods are _________ items produced by businesses, while services are __________ offerings of
a business.
with Guaranteed Pass Solutions 2026
Updated.
Emily lives in a country where her career, workplace, and the goods she can purchase are
controlled by the government. She feels no need to work harder or produce quality goods
because there are no rewards. Emily lives in a ______ country:
Socialist
Democratic
Communist
Capitalism
Dictatorship - Answer Communist
In Canada, the government owns the communications, transportation and utilities industries, as
well as provides national health care. Private enterprise dominates the business world. Canada
is a _____ country:
Pure Capitalism
Pure Socialism
Mixed Economy
Free Economy
Upturn Economy - Answer Mixed Economy
A country where businesses are privately owned, profits are kept by owners and free trade
exists is a _______ country:
Capitalist
Communist
Socialist
Equitable Market
Free Reign - Answer Capitalist
Goodwill, United Way, and Habitat for Humanity are all examples of:
Not-for-Profits
,Governments
For-Profits
Businesses - Answer Not-for-Profit
The rivalry amongst McDonald's and Wendy's can be classified as:
Competition
Business
Market Conditions
Scarcity - Answer Competition
Sarah is the manager of a company whose goal is to provide relief for tsunami victims. At the
company's annual general meeting, she is challenged by upper management as the company is
showing income from their activities after covering all costs. Sarah works for a:
For-Profit
Not-for-Profit
Airline Company
Government - Answer Not-for-Profit
John is an accountant for Breeze Smoothie Co. He notices the company has increasingly high
costs and he is not making enough money to cover these costs. Breeze Smoothie Co. is
experiencing a:
Profit Gain
Economic Downturn
Boom
Profit Loss - Answer Profit Loss
The main incentive in a capitalist society is:
Fame
Profit
Accumulation of Real Estate
Equality - Answer Profit
,If Disney World does not attract an adequate level of visitors post COVID-19, they may fail to
meet revenue and profit goals. They are experiencing:
Expenses
Risk
Reward
Economic Downturn
None of the Above - Answer Risk
The quality of life in a country is influenced by all of the following factors except:
Educational Standards
Health and Sanitation
Life Expectancy
Governing Body
Leisure Time - Answer Life Expectancy
Sarah is the manager of a company whose goal is to provide relief for tsunami victims. At the
company's year end, she is pleased as she is showing income from their activities. Sarah works
for a:
For-Profit
Not-for-Profit
Airline Company
Government - Answer For-Profit
John is an accountant for Breeze Smoothie Co. He notices the company has been failing to earn
a profit and also that the smoothie industry as a whole is facing declining profits. The smoothie
industry is experiencing:
Profit Gain
Economic Downturn
Boom
Profit Loss - Answer Economic Downturn
________ and ________ are the extremes of economic systems:
, Pure Capitalism; Communism
Socialism; Pure Capitalism
Marxism; Communism
Mixed Economy; Socialism
None of the above - Answer Pure Capitalism; Communism
The process in which businesses and governments allocate their limited resources to satisfy
wants and needs is the study of:
Consumerism
Capital Planning
Entrepreneurship
Economics
Labor Statistics - Answer Economics
In the lost city of Atlantis, all the factors of production are privately owned and the government
has no hand in coordinating prices or economic activity. Atlantis is experiencing:
Free Markets
Perfect Competition
Pure Socialism
Monopolistic Competition
Pure Capitalism - Answer Pure Capitalism
In the country of Narnia, all of the factors of production are government owned and the
government has complete control over prices and economic activity Narnia is experiencing:
Communism
Capitalism
Socialism
Totalitarianism
Democracy - Answer Communism
Goods are _________ items produced by businesses, while services are __________ offerings of
a business.
