Quiz 1
Quiz 1
Question 1
Munn, Inc. is a company that sells night vision equipment to
the public. When it first launched its website, some of the equipment was
incorrectly offered for sale at the company’s wholesale price. The company
received one hundred orders for the mispriced items before the mistake was
corrected and the price changed. If Munn, Inc. follows good business and
ethical practices, it will:
A)
Charge the one hundred customers the posted wholesale price
of the equipment
B)
Delete the one hundred customers’ orders, hoping they will
reorder at the correct price
C)
Charge the one hundred customers the correct retail price of
equipment
Question 2
Which of the following is/are an example(s) of a service?
A)
A flight from Los Angeles to Dallas
B)
A couch or sofa
C)
A computer
Question 3
Which of the following is/are internal stakeholders in a
business?
A)
Competitors
B)
Industry associations
C)
Managers
Question 4
A business cycle reflects changes in economic activity,
particularly real GDP. The phases of a business cycle, in order, are:
A)
Expansion, peak, contraction and trough
B)
Expansion, trough, contraction and peak
C)
Contraction, recession, expansion and boom
Question 5
The field of economics that focuses on the actions of
individual agents within the economy, like households, workers, and businesses
is:
A)
Global economics
B)
Microeconomics
C)
Macroeconomics
Question 6
Pertaining to international trade, the acronym WTO stands
for:
A)
World Trade Organization
B)
World Transaction Operations
C)
Working Trade Organization
Question 7
When the Japanese yen goes up relative to the U.S. dollar:
A)
U.S. citizens will receive more Japanese yen for each dollar
they exchange
B)
Japanese goods will be more expensive for U.S. citizens
C)
Japanese goods will be cheaper for U.S. citizens
Question 8
________ follow(s) the dictates of laws, which are written
down and interpreted by the courts.
A)
Legal behavior
B)
Morals
C)
Ethics
Question 9
Statistics that indicate change in the status of the economy
a few months in the past are called ________ economic indicators.
In
A)
Prognosticating
B)
Leading
C)
Lagging
Question 10
Pertaining to international trade, the acronym GATT stands
for:
A)
Global Agency of Textile Trade
B)
Georgia Affiliation of Timed Transit
C)
General Agreement on Tariffs and Trade
Question 11
In 2015, the fictional country Moonbeam Island had $1.8
billion in imports and $1.2 billion in exports. Its balance of trade is:
A)
$600 million surplus
B)
$600 million deficit
C)
$3 billion surplus
Question 12
Both capital and natural resources can be used to produce
other goods and services, but only capital resources:
A)
Require bank financing
B)
Have been produced
C)
Grow naturally
Question 13
A person who seeks to earn profits by finding new ways to
organize factors of production is a(n):
A)
Employee
B)
Manager
C)
Entrepreneur
Question 14
Shopping online you find a new pair of running shoes that is
a brand you have purchased before. They are offered for 1,500 Thai baht. You
check the exchange rate and find that the current exchange rate for the baht is
$.03 bahts per dollar. What is the price for the shoes in U.S. dollars?
A)
$4.50
B)
$45.00
C)
$450.00
Question 15
If the Consumer Price Index was 120 at the end of last year
and is 125 at the end of this year, the country is experiencing which of the
following?
A)
Inflation
B)
Stagnation
C)
Deflation
Question 16
A hotel provides both goods and services. Which of the
following is an example of a good provided by a hotel?
A)
Offering a bathrobe that you can purchase to take home with
you
B)
Offering rooms for rent
In
C)
Providing clean linens during your stay
Question 17
If Guatemala is seeking funding to invest in expanding
production and exports that will grow its economy then it would turn to:
In
A)
the World Trade Organization.
B)
the International Monetary Fund.
C)
the World Bank.
Question 18
When it was formed the World Trade organization absorbed:
A)
the IMF
B)
the World Bank
C)
all of GATT’s agreements
Question 19
A ________ is a formalized guide that describes the
principles and guidelines that all members must follow in the course of
job-related activities.
A)
Business plan
B)
Code of conduct
C)
Balance sheet
Question 20
Which function is responsible for creating financial reports
that can be used to evaluate the financial performance of the business?
In
A)
Finance
B)
Management
C)
Accounting
Question 21
If a drop in the price of taxicab fares shifts the demand
curve of private limousine rentals leftward, what does this signify?
A)
Taxicab rides and limousine rentals are inferior goods
B)
Taxicab rides and limousine rentals are substitutes
C)
Taxicab rides and limousine rentals are normal goods
Question 22
The market value of all goods and services produced by the
economy in a given year is known as:
A)
Rate of Inflation
B)
Gross Domestic Product (GDP)
C)
Consumer Price Index (CPI)
Question 23
________ is the system of shared beliefs, values, customs,
and behaviors that govern the interactions of members of a society.
A)
Culture
B)
Organization
C)
Humanity
Question 24
All economies in the world share three primary goals, which
are:
A)
Growth, high employment, and price stability
B)
Productivity, high employment and price stability
C)
Growth, happiness and price stability
