Lesson 2

Question 1

Provides Intangible Products
( Products with no Physical Form )
offer professional skills, expertise, advice, and other similar products
Offer Intangible goods and services and
typically charge for labor or other services provided to
government, to consumers, or other businesses.

Answer 1

Service Businesses

Question 2

Forms of Service Business

Answer 2

Service Businesses
Financial Businesses
Transportation Businesses
Utilities

Question 3

Include banks and other companies that generate profits through investment and management of capital

Answer 3

Financial Businesses

Question 4

Deliver goods and individuals to
their destination

Answer 4

Transportation Businesses

Question 5

produce public services such as electricity or sewage treatment

Answer 5

Utilities

Question 6

Type of business buys products at wholesale price
and sells the same retail price

Also known as the “Buy and SELL Businesses

They make a profit by selling the products at prices
higher than their purchase costs

sells a product without
changing its form

Answer 6

Merchandising Businesses

Question 7

Acts as a middleman and get goods produced by manufacturers to the intended consumers.

Answer 7

Retailers and Distributors

Question 8

Buys products with the intention of using them as
materials in making new product.

There is transformation of the product purchased

combines raw
materials, labor, and factory overhead in its
production process and manufactured goods will
then be sold to customers.

Answer 8

Manufacturing Businesses

Question 9

Forms of Manufacturing Businesses

Answer 9

Agriculture and mining businesses
Manufacturers
Real-Estate Businesses
Information Businesses

Question 10

Are companies that may be classified in more than one type of business

Restaurant - Restaurant
combines ingredients in making a fine meal
( Manufacturing ), Sell a cold bottle of wine
( Merchandising ) and fills customers orders
( Services )

Answer 10

Hybrid Businesses