Final Review Buisness

Question 1

on the supply and demand curves, price is on the y-axis, while _____ is on the x-axis

Answer 1

quantity demanded
and
quantity supply

Question 2

when we think about the business value chain, the course is organized based on the value chain analysis that was developed by _____

Answer 2

michael porter

Question 3

the 2 most important characteristics informs of ownership include ____

Answer 3

tax
and
liability protection

Question 4

True or false? businesses recognize revenue on the income statement when the service or product is rendered

Answer 4

True

Question 5

True or False? In a law firm providing lawyer services to their clients, the billable hours of the attorneys would be counted as cost of goods sold

Answer 5

True

Question 6

True or False? If i am a consumer buying a product, and my WTP is less than the price then I will not buy the product.

Answer 6

True

Question 7

True or False? Based on total global wealth and the total global population the mathematical majority of rational humans should vote for wealth redistribution

Answer 7

True

Question 8

cost and expenses

Answer 8

the cost goes up as you sell
expenses are always the same

Question 9

free market economy

Answer 9

the right to own private property, own a business, keep its profit, freedom of choice, and competition decisions about what and how to produce are made by the market

Question 10

fiscal policy

Answer 10

the federal government’s efforts to keep the economy stable by increasing and decreasing taxes
or
increasing/decreasing government spending

Question 11

monetary policy

Answer 11

management of the money supply
and interest rates by the federal reserve bank raising and lowering interest rates when the economy is booming, they increase interest but when the economy is recesses they decrease the interest rate

Question 12

McGregor X theory

Answer 12

Type X people are extrinsically motivated, don’t like to work (Lazy) need to be surprised, in it for the money.

Question 13

Mcgregor Y theory

Answer 13

Type Y people are intrinsically motivated, are motivated, like to work/ like to have responsibilities (the better workers)

Question 14

Mcgregor Z theory

Answer 14

Type Z people want to work together (want to be included in decision-making) with the right managers, employees will be basically perfect

Question 15

Types of motivation

Answer 15

Different ways people are motivated
1. Intrinsic
2. internal drive for success- like doing their job
3. Extrinsic- needs outside motivation like money and other rewards. Only in it for the rewards.
4. Promotion and growth

Question 16

Maslow Hierarchy of needs

Answer 16

5 layers
1. Self Actualization- Morality, creativity, problem solving, acceptance of facts

2. Esteem
   Self-esteem, confidence, achievement, respect of others
3. Love/ belonging
   Friendship, family, sexual intimacy
4. Safety
   Security of body, employment, resources, family, health, and property
5. Phycological
   Breathing, water, and food, sex, sleep etc

Question 17

Herzberg Motivation

Answer 17

Hygiene factors
-Salaries
-Wages
-Benefits
-Job Security
-Working conditions
-Company Policies + Admin

Question 18

Hawthrone affect/ motivation

Answer 18

Employees work faster and better when they know that they are being watched by their employer. The attention motivated them

Question 19

How to avoid double tax

Answer 19

Form a LLC, protects personal assets are protected. This increases business + entrepreneurship.

Question 20

Corporate Veil

Answer 20

protects personal assets

Question 21

Tax

Answer 21

Based on how much income you make.
C-Corps are double taxed (21%)

Question 22

Capital Gains

Answer 22

Selling the Cow, profits earned from selling the whole thing. (Investment)

Question 23

Profits

Answer 23

The milk

Question 24

Entrepreneurs

Answer 24

Fear more of missing out than failing

Question 25

Risk vs Reward

Answer 25

The higher the risk the higher the reward

Question 26

Pivoting

Answer 26

Changing some aspect of its core products or services, strong opinions held weekly -> first idea isn’t always the best idea

Question 27

Different Stock Exchanges

Answer 27

NYSE, NASDAQ, etc

Question 28

Supply chains

Answer 28

Moves money, data, information, and physical objects

Question 29

Product Quality

Answer 29

Don’t build the perfect product

Question 30

Firms and organizations as living organisms

Answer 30

Eat raw materials and spit out products

Question 31

Search goods

Answer 31

Something easy to evaluate before buying

Question 32

Experienced goods

Answer 32

Products or services you need to experience before buying

Question 33

Credence Goods

Answer 33

Cannot be ascertained by consumers even after purchase

Question 34

Tariffs

Answer 34

tax imposed on imported goods

Question 35

Tall Organization

Answer 35

Many levels of management
-more control over business operations
-decision making and communication is slow

Question 36

Flat organization

Answer 36

few level of management.
-better Commnication
-No promotion opportunities

Question 37

five factors of production

Answer 37

land, labor, capital, entrepreneurship, and knowledge

Question 38

liquidity

Answer 38

how quickly you can access cash to get money whenever you need it

Question 39

equilibrium point

Answer 39

where quantity demanded and quantity supply meet

Question 40

breakeven point

Answer 40

no loss or gain at this point
bep = tfe / (mn-mc)

Question 41

business stake holder

Answer 41

people affected by the business (community, workers, etc)

Question 42

a share holder

Answer 42

people who invested and own part of the company

Question 43

cash flow

Answer 43

cash coming in and out (not real time, cash isn’t always cash)

Question 44

income statement