Unit 1 Test

Question 1

An organization that uses productive resources to produce a good and/or a service to satisfy consumer needs and wants in exchange for added value, usually in the form of money

Answer 1

Business

Question 2

Something that is tangible (is physical in nature) and of value

Answer 2

A good

Question 3

An action performed that is intangible and of value

Answer 3

A service

Question 4

A person or group who uses purchased goods, products, or services
primarily for personal, social, family, household, business and/or similar
needs. A consumer is often, but not always, also the customer (those
who interact with and purchase goods and services from businesses)

Answer 4

Consumer

Question 5

A necessity for life, something one must have to survive in the short and/or long term

Answer 5

Need

Question 6

Something one would like to have as it has perceived value, but it is not needed for life to continue

Answer 6

Want

Question 7

The net gain obtained by subtracting expenses from revenues

Answer 7

Profit

Question 8

The total income (money) that the business receives through the sale of its products

Answer 8

Revenue

Question 9

The toal cost a business incurs (pays) to operate as a business

Answer 9

Expenses

Question 10

A business with the pruposes of making a profit for their owners. (most businesses)

Answer 10

For-profit business

Question 11

Businesses formed for religious, charitable, educational, governmental or other purposes. Surplus revenue from business operations is not given to the owners of the business but are rather used for future operational expenses and/or expanding programs

Answer 11

Non-Profit business

Question 12

A basic foundation of the study of economics; our wants are theoreticall unlimited, but our resources to meet those wants are limited, or scarce.

Answer 12

Scarcity

Question 13

somethings that occurs anytie buyers and sellers willingly meet to negotiate and exchange things of value

Answer 13

Market (definition)

Question 14

The wealth and resources of a country or region, especially in terms of the production and consumption of goods and services.

Answer 14

Economy

Question 15

government determines who owns the means to produce goods and services

Answer 15

Socialized Economy

Question 16

Whatever produces the most money in the market is the most valued

Answer 16

Market economy

Question 17

the study of how we deal with scarcity in our worlds.

Answer 17

Economics

Question 18

The quantity of goods and/or services that consumers are willing and able to BUY at various prices

Answer 18

Demand

Question 19

The quantity of good and/or services that producers are willing and able to SELL at various prices

Answer 19

Supply

Question 20

The point at which a supple curve and a demand curve meet is called the ________

Answer 20

Equilibrium

Question 21

A business with one owner who gains all the benefits of the business and assumes all the risk

Answer 21

Sole Proprietorship

Question 22

A business owned and operated by two or more people

Answer 22

Partnership

Question 23

A business owned by a legal entity that is seperate from it’s owners

Answer 23

Corporation

Question 24

There is no seperation between the owner’s personal assets and the business’s assets

Answer 24

Unlimited liability

Question 25

Shareholders personal assets are seperate from the assets of the corporation (don’t exist in canada)

Answer 25

Limited liability

Question 26

A corporation whose shares are bought and sold on a public stock exchange (stock market).

Answer 26

Public Corp.

Question 27

A corporation which does not sell shares on a public stock exchange (often invite private investors)

Answer 27

Private Corp.

Question 28

A corporation created and owned by our Federal government

Answer 28

Crown Corp.

Question 29

A type of license that allows a franchisee to operate a business using the franchisor’s proprietary knowledege, process, and trademarks. In exchange for this right, the franchisee pays an initial start-up fee ang ongoin licensing fees to the franchisor.

Answer 29

Franchise

Question 30

The willing exchange of good and/or services for perceived value.

Answer 30

trade

Question 31

___________ ____ is the next most valuable option when you have given up when you make an exchange

Answer 31

Opportunity Cost

Question 32

Internation trade left to its natural course without tariffs, quotas, or other restrictions

Answer 32

Free trade

Question 33

A ____ _____ _________ is a pact made between two or more countries to reduce or eliminate barriers to trade an investment

Answer 33

Free Trade Agreement

Question 34

____ _____ is a trading partnership, based on dialogue, transparency, and respect, that seeks greater equity in international trade.

Answer 34

Fair Trade

Question 35

The process of interaction and integration among people, companies, and governments worldwide. It encompasses economic, social, and cultural aspects, resulting in increased international connectivity.

Answer 35

Globalization

Question 36

______________ refers to the long-term viabilty of a community, social institutions, or societal practices.

Answer 36

Sustainability

Question 37

(___) per capita measures the average economic output per person, providing insight into the standard of livinh and economic health of a country

Answer 37

GDP per capita