FBLA Intro to Business – Flashcards
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An entrepreneur is a person who organizes, operates and assumes the risk for a business venture.
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True
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Recovery in the business cycle occurs after a period of recession.
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True
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Risk management is the process of evaluating the risks faced by a firm and then minimizing the costs involved with those risks.
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True
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Medicaid is the form of medical aid for the physically handicapped.
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False
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In term insurance, premiums are paid throughout the employee's lifetime, with the whole amount of the policy paid upon the insurer's death.
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False
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A venture business has no employees other than the owner.
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True
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Retailers generally run 4 types of sales: promotional, clearance, special purchase and holiday.
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False
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One of the main activities of the Office of Consumer Affairs is to prevent one firm from using unfair practices to force competing firms out of business.
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False
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A mutual savings bank is an example of a deposit-type financial institution.
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True
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The main purpose of the Federal Reserve System is to supervise and regulate member banks in order to help service the public.
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True
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When preparing a bank reconciliation, an outstanding check must be added to the bank statement balance.
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False
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Simple interest is an expression of interest based on a one year period of time.
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True
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To compute the cost of credit, you need to know only the principal and interest rate.
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False
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Yield is also referred to as the rate of return.
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True
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The assessed value is the amount used to calculate a person's property taxes.
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True
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Fixed assets are resources whose use will benefit the entrepreneur for more than one year.
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True
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HMO' s emphasize preventive health care.
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True
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Discretionary income is income you spend on things you want for pleasure, satisfaction, and comfort.
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True
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A cash How statement reports what a person or family owns as well as owes.
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False
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Term life insurance involves the accumulation and management of property during one's lifetime and the distribution of one's property at death.
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False
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Intellectual property is a term that describes the rights of entrepreneurs or others in intangible property created through ingenuity or mental effort.
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True
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The Securities and Exchange Commission is a watchdog agency that enforces federal laws pertaining to the stock market.
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True
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A person in the business of buying and selling OTC stocks is a floorbroker.
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False
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Technical analysis concentrates on charting stock prices, trends in the market, and patterns in the indices with the averages.
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True
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A market that is going down is referred to as a bull market.
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False
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Which of the following is not part of the typical research process? a. Calculating cost b. Defining the need c. Finding the facts d. Analyzing the facts e. Taking action
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A
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The person who pumps your gas is part of the a. natural resources. b. human resources. c. capital resources. d. business cycle. e. None of the above
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B
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GDP is a. the total value of all goods produced in a year. b. the total value of all final goods and services produced in a year. c. the total value of all services produced in a year. d. the total value of all goods and services produced by citizens of a specific nation in a year. e. the total of all goods and services produced within the boundaries of the country in a year.
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B
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When the effect of price changes is taken out of GDP, we have a. inflated GDP. b. undervalued GDP. c. real GDP. d. per capita GDP. e. underinflated GDP.
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C
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The business function that bridges the gap between the producer and the consumer is a. marketing. b. producing. c. farming. d. extracting. e. financing.
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A
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Which of the following is not an advantage of a checking account? a. Convenience b. Safety c. Service charges d. Proof of payment e. Record of finances
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C
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A two-dollar broker a. handles trading in particular stocks. b. owns his/her own seats on the exchange and makes his/her income from tees. c. is an alternative to paying full-service brokers. d. actually executes an order. e. is licensed by the SEC.
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B
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The Consumer Price Index is a. used to monitor the rate of inflation. b. used to measure the total goods and services produced in a year. c. a scientific look at the DJIA. d. used to forecast economic activity 6-9 months down the road. e. a private corporation.
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A
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The form of business that requires written permission from the state in which it is organized and can have owners is a. cooperative. b. partnership. c. sole proprietorship. d. corporation. e. municipality.
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D
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The person or group receiving permission from a parent company to sell a product in a certain area in a certain manner is the a. franchisee. b. franchisor. c. operator. d. owner. e. developer.
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A
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Which of the following is not a type of decision-making style? a. Analytic b. Conceptual c. Directive d. Reflective e. Behavioral
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D
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Which of the following is inappropriate during a job interview? a. Asking questions about the position b. Dressing appropriately c. Taking notes d. Being early e. Talking too much
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E
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Which of the following does not apply to small businesses? a. Usually has the owner as manager b. Is not dominant in its field of operation c. Employs fewer than 500 people d. Usually is local, serving the nearby community e. Is government owned
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E
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Stores that offer a wide variety of goods are called a. full-service stores. b. specialty stores. c. convenience stores. d. warehouse markets. e. supermarkets.
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A
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Small stores that carry a wide variety of products and a narrow line a. full-service store. b. specialty store. c. convenience store d. warehouse market. e. supermarket.
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B
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Which of the following is not a consumer right? a. The right to be informed b. The right to confidentiality c. The right to choose d. The right to be heard e. The right to a remedy
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B
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Which of the following is not a consumer responsibility? a. Be honest b. Complain reasonably c. Be involved d. Report unethical practices e. Be uninformed
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E
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43. Which of the following is not a federal law or regulation related to human resources management? a. Retirement Act b. Americans with Disabilities Act c. Family and Medical Leave Act d. Privacy Act e. Equal Pay Act
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A
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44. A bank that offers a full range of services, sometimes called a "financial department store," is a. a savings and loan. b. a consumer finance company. c. a commercial bank. d. the Federal Reserve System. e. a credit union.
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A
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45. One of the Cs of credit, which refers to your honesty and history of paying debts, is known as a. capacity. b. character. c. capital. d. curiosity. e. culpability.
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B
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46. A record of your transactions during a billing period is called a a. statement of account. b. receipt. c. credit memorandum. d. credit check. e. bank reconciliation.
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C
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47. The law that requires the prompt correction of billing errors after they have been reported to a creditor is a. the Fair Credit Reporting Act. b. the Fair Credit Billing Act. c. the Lemon Law. d. the Truth-in-Lending Law. e. the Fair Credit Act.
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B
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48. The rate of return on an investment is also called a. safety. b. liquidity. c. yield. d. equity. e. compound interest.
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C
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A speculative investment usually involves a. an unusually high risk. b. a guaranteed rate of return. c. low risk. d. securities issued by the federal government. e. stocks and bonds.
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A
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Laws that require you to carry certain types of automobile insurance before your car can be licensed are called a. compulsory insurance laws. b. financial responsibility laws. c. insurance laws. d. assigned-risk plans. e. collision insurance.
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A
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Managers use a number of selection devices to choose candidates for a job. Which of these is not one of them? a. The application form b. Written tests c. Age d. Physical examination e. Interview
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C
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Costs that occur regularly and are for the same amount each time are a. fixed expenses. b. variable expenses. c. allowances. d. budgets. e. liabilities.
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A
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An IRA that is used for educational purposes without penalty is called a. stock. b. bond. c. Roth Traditional. d. 401K. e. 403B
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C
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During an interview, it is illegal to ask about a. prior experience. b. current salary. c. marital status. d. why you are leaving your current job. e. work attendance
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C
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Illegal acts performed by office or professional workers while at work are called a. blue collar crimes. b. white collar crimes. c. hacking. d. piracy. e. a virus.
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B
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Which of the following is not a key economic question? a. What to produce? b. How to produce it? c. For whom to produce? d. When to to produce? e. None of the above
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D
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A goal in life that is fulfilled through a job or a series of jobs is called a. career planning. b. career. c. job. d. tentative career decision. e. mobility.
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B
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The conflict between unlimited wants and limited resources is known as a. scarcity. b. resources. c. drought. d. needs. e. human resources.
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A
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The desire to work for profit is a. competition. b. freedom of choice. c. profit motive. d. business. e. private enterprise system.
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C
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This person takes the extractor's products or raw materials and changes them into a form consumers can use. a. Manufacturer b. Wholesaler c. Extractee d. Marketer e. Producer
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A
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Which of the following is not a function of management? a. Planning b. Organizing c. Controlling d. Leading e. Incorporating
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E
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Stopping the importing or exporting of a certain product or service is called a. embargo. b. tariff. c. trade. d. quotas. e. export violations.
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A
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The negotiations that take place between an organized body of workers and an employer, dealing with wages and working conditions are called a. grievance procedures. b. collective bargaining. c. strikes. d. pickets. e. arbitrations.
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B
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A refusal to work until demands are met is called a a. boycott. b. strike. c. lockout. d. picket. e. injunction.
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B
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The exclusive right to make, use, sell, or license others to make or sell a newly invented product or process is a a. logo. b. copyright. c. patent. d. slogan. e. trademark.
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E
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A situation that exists when the government spends more than it collects is called a. national debt. b. deficit. c. deflation. d. revenue e. depression
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B
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A sales letter written for the purpose of getting a personal interview is a a. personal data sheet. b. letter of application. c. letter of recommendation. d. application form. e. reference sheet.
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B
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Inspecting one wrench of every 50 to make sure it operates correctly is a form of a. cost control. b. inventory control. c. quality control. d. asset control. e. management control.
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C
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SCORE represents a. Service Corps of Retired Executives. b. Service Corps of Retired Employees. c. Service Corporation of Rescued Employees. d. Security Corps of Retired Entertainers. e. Security Company of Rigalto Entertainment.
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A
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Buying too rapidly without much thought is know as a. comparison shopping. b. bargain shopping. c. impulse buying. d. smart shopping. e. None of the above
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C
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A guarantee made orally or in writing that promises a specific quality of performance is a/an a. guarantee. b. implied warranty. c. express warranty. d. certificate of warranty. e. manufacturer's warranty.
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C
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A large computer system that can handle more instructions and process data faster than smaller computers is a a. mainframe. b. microcomputer. c. minicomputer. d. super computer. e. central processing unit.
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A
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Money put into a checking account is a/an a. check. b. investment. c. time deposit. d. NOW account. e. demand deposit.
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E
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A form attached to a check that keeps a record of the checks written and any current deposit is a a. deposit slip. b. check register. c. checkbook. d. check stub. e. sharedraft.
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D
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The owner of the checking account and the person who signs the checks is the a. drawer. b. drawee. c. payee. d. endorser. e. joint owner.
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A
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This type of endorsement consists of only the endorser's name. a. Special b. Full c. Restrictive d. Multiple e. Blank
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E
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A form sold by a bank stating that money is to be paid to the person or business named on the form is a a. bank money order. b. postal money order. c. express money order. d. telegraphic money order. e. traveler's check.
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A
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Anyone who buys on credit or receives a loan is a a. creditor. b. debtor. c. character. d. loan officer. e. trustee.
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B
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Which of the following is the formula for computing simple interest? a. P=I*R'"T b. I=P*R*T c. I*P=R*T d. T=P*I/R e. R-P-'T-T
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B
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Calculate the simple interest of $1000 borrowed at 9 for 12 months. a. $9,000 b. $900 c. $90 d. $9 e. .90
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C
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Calculate the interest on a loan for $ 100 at 12 for 60 days. a. $7.20 b. $2 c. $20 d. $72.00 e. $6
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B
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How many months have 31 days? a. 4 b. 5 c. 6 d. 7 e. 8
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...
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This type of account pays a variable interest rate based on rates paid to holders of short-term government debt, namely US Treasury bills. a. Certificate of deposit b. Super NOW account c. IRA d. Mutual fund e. Money market account
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...
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Which of the following is not true about an EE series savings bond? a. It pays interest when the bond is cashed b. It comes in denominations from $50 to $10,000 c. It is bought at half its face value d. It has no annual purchase limit e. It matures in 10 years
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...
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Which of the following is not used to determine the cost of automobile insurance? a. Your age b. The purpose for which you use your car c. The value and type of car d. The community in which you live e. Your ability to pay the premium
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...
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This term refers to the obligation of a business to contribute to the well-being of its community: a. Social responsibility b. Ethics c. Business ethics d. Social ethics e. Morals
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...
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Take home pay, or the amount of money remaining after taxes are deducted from a paycheck, is called a. gross income. b. net income. c. profit. d. deductibles. e. investments.
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...
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Which of the following is not income? a. Money earned from babysitting. b. Interest earned on a savings account. c. Interest paid on a bank loan. d. A paycheck e. Change received from a store clerk.
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...
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The primary reason for the formation of unions was to a. help generate profit for business owners. b. meet the demands of the Fair Labor Law. c. restrict competition. d. give workers greater control over working conditions. e. meet the demands of OSHA.
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...
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Which of the following is not a feature of the US market economy? a. Private enterprise b. Private property c. Profit d. Property e. Personnel
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...
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The planned reduction in the number of employees needed in a firm in order to reduce costs and make the business more efficient is called a. unemployment. b. downsizing. c. layoffs. d. human resources reduction. e. promoting.
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...
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Before you leave a position, an interview in which your employer asks how you liked your work and what improvements might be made is called a/an a. initial interview. b. formal interview. c. exit interview. d. promotional interview. e. None of the above
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...
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Which of the following does not belong to the goods-producing industry? a. Transportation b. Construction c. Manufacturing d. Mining e. Agriculture
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...
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Which of the following occupations has the greatest growth potential from 1992-2005 according to the Bureau of Labor Statistics? a. Service b. Technicians and related support c. Marketing and sales d. Production e. Professional specialty
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...
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This magazine publishes information about a variety of careers, including job duties, working conditions, education, and training requirements; earnings; and employment outlook; a The Occupational Outlook Handbook b. The Encyclopedia of Careers and Vocational Guidance c. Career World d. Occupational Quarterly e. Guidance Counselor
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...
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The concept that the boss does the thinking and the employee does the work is outdated.
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...
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The need for effective management decreases as the business expands.
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...
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Consumerism is built of the philosophy of "Let the Buyer Beware."
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...
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4)An informal group can help or hinder the proper functioning of a business.
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...
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5)Consumerism is an organized movement of citizens and government agencies to improve the rights and power of sellers in relation to buyers.
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...
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A sole proprietorship is a business owned and operated by a board of directors.
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...
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As a rule, for certificates of deposit the rate of interest your money earns is higher if you agree to keep your money on deposit for a longer period of time.
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...
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The free enterprise system is a command economic system.
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...
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The Fair Labor Standards Act does not require businesses to give its employees sick leave or paid vacations.
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...
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There are restrictions on the owner's personal liability in a sole proprietorship.
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The death of a majority stockholder of a corporation results in the dissolution of the corporation.
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Liability law has had an impact on business by requiring them to place warning labels on products.
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One of the disadvantages of the corporate form of ownership is the limited liability of its owners.
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...
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A sole proprietorship must be registered with the state to obtain its legal charter.
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Ownership in a corporation is shown by stock certificates.
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Risk management and insurance management is the same thing.
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...
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Employee bonding is a commonly used protection against employee dishonesty.
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...
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Insurance is most often used to protect against loses that are unexpected.
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...
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Compounded interest means that interest is added to your balance (usually quarterly), and then the next quarter the interest is computed on your money deposited plus the last quarter interest.
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...
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Money market deposit accounts usually pay a lower rate of interest than checking accounts and require a lower minimum balance.
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...
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Today's coins and paper money (currency) are backed by the promise of the U.S. government.
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...
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Each individual customer's account is insured by the FDIC up to $1,000,000 per account ownership.
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...
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Despite labor laws, students of any age can deliver newspapers or work in movies, theatre, TV, radio; or can work in parent-owned business.
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...
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States can establish minimum wages laws, as long as the minimum wage is higher than that of the federal government.
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...
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During an interview, an employer A) can judge an applicant without any further research. B) should do most of the talking. C) should find out whether a young woman plans to stay home with her children when they are born. D) can evaluate the appearance, job knowledge, and personality of the applicant.
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...
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Job orientation applies most specifically to training given A) during the employment review. B) during the first few days on the job. C) during the first two years on the job. D) after selection, but prior to reporting for work.
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...
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All of the following are reasons companies conduct interviews, except A) to determine the applicant's race. B) to determine the applicant's career goals. C) to determine the applicant's personality. D) to determine the applicant's educational background.
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...
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Which of the following types of interviewing has the applicant perform a small sample of his or her potential duties? A) Traditional interviewing B) Differential interviewing C) Reactive interviewing D) Behavioral interviewing
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All of the following are characteristics that companies look for in applicants except A) religious preference. B) problem-solving ability. C) ability to work in teams. D) communication ability.
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_________ is the body of information applied directly to job performance. A) Competency B) Skill C) Knowledge D) Ability
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Which of the following is not a feasible way to evaluate applicants for a position? A) Conduct an interview. B) Have them fill out an application form. C) Hire a private investigator to follow the applicant. D) Check references.
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...
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_________is the continuing process by which an employee begins to understand and accept the values, norms, and beliefs held by others in the organization. A) Socialization B) Evolution C) Motorization D) Randomization
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Which of the following U.S. federal regulatory agencies handles consumer complaints? A) Office of Consumer Protection B) Environmental Protection Agency C) Office of Consumer Affairs D) Consumer Product Safety Commission
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Companies usually explain their procedures and policies during A) orientation. B) job instruction training. C) supervisory training. D) initial training.
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Consumerism is one aspect of the _____________ environment. A) technological B) political/legal C) economic D) social
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_____________, as President of the United States, in 1962 addressed Congress and defined the basic rights of consumers. A) Lyndon Johnson B) Richard Nixon C) John F. Kennedy D) Gerald Ford
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All of the following are stages of consumer decision making except A) problem recognition. B) perceptual categorization. C) post-purchase evaluation. D) purchase decision.
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All of the following are part of the consumer's protective shield except A) federal regulatory agencies. B) international regulatory agencies. C) the U.S. legal system. D) state regulatory agencies.
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According to the consumer information processing theory, _______ is the final stage through which consumers progress. A) post-purchase dissonance B) purchase decision C) cognitive decision D) evaluative categorization
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Many customer service problems are identified by A) outside consultants. B) customer complaints. C) personal evaluation. D) entries in a suggestion box.
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The tension that occurs immediately following a purchase is referred to as A) post-purchase satisfaction. B) post-decision distress. C) cognitive assessment. D) cognitive dissonance.
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______________ are a division in society with different levels of social prestige. A) Social classes B) Cultures C) Reference groups D) Cognitive categories
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Eric Keay, a typical consumer, often purchases goods and services because he feels his coworkers will approve of these items. Eric's coworkers could be considered a(n) A) referral group. B) reference group. C) associate group. D) perceptual group.
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A heavily promoted brand of aspirin sells for much more than a virtually identical nonbranded or store-branded product because promotion adds ________ value to the product. A) inspirational B) functional C) political D) psychological
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A computer company developed a printer that would wear itself out within two years of purchase, forcing consumers to buy a replacement. One might criticize this computer company because A) of the poor service they offered to customers. B) of the high price they charged for the printer. C) they planned to make their printer obsolete. D) their product was unsafe.
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High prices are often caused by A) excessive markups. B) lowering the promotion costs. C) inexpensive labor. D) free publicity.
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A company that makes roofing shingles claims that their shingles "will last longer than you or your money back." Because this is a clear overstatement of their product's performance, they are engaging in A) deceptive pricing. B) deceptive packaging. C) bad promotions. D) deceptive promotion.
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Which of the following can reduce competition? A) An increased number of competitors B) Balanced marketing practices C) Acquisition of competitors D) Marketing prices eliminate barriers to entry
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The practice of businesses refusing to serve specific geographic areas is known as A) boycotting. B) pipelining. C) restrictive marketing. D) redlining.
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Which of the following is an aspect of the free enterprise system? A) The government decides what to produce. B) Decisions are made by individuals rather than the government. C) The government establishes fair prices. D) The government owns the means of production.
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Competition is thought to encourage businesses to A) sell products of low quality. B) produce new products. C) keep prices extremely high. D) offer services of low quality.
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In a mixed economic system most decisions are left to _______________, but some decisions are left to___________________. A) government; individuals B) government; business C) individuals; government D) monopolies; government
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Socialism is most closely associated with A) capitalistic economic systems. B) command economic systems. C) free enterprise economic systems. D) mixed economic systems.
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Which of the following would assume all losses of a business? A) The owner of a sole proprietorship B) A limited partner C) A stockholder D) The CEO of a corporation
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Most businesses are A) limited partnerships. B) corporations. C) general partnerships. D) sole proprietorships.
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A key characteristic of a partnership is that each partner A) is capable of legally contracting. B) must manage the business. C) shares in company assets when the business dissolves. D) must contribute capital to the business.
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A corporate charter should A) follow state guidelines. B) include an organizational chart. C) be over 100 pages in length. D) be very similar to a prospectus.
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A corporation is chartered under A) international law. B) state law. C) local law. D) federal law.
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A disadvantage of a sole proprietorship is A) the cost of starting the business. B) the lack of limits on personal liability. C) the complexity of the organizational hierarchy. D) the difficulty of dissolution.
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Which of the following legal forms of organization allows owners to contribute no capital but still play a part in managing the business and sharing the profits? A) Partnership B) Corporation C) S corporation D) Sole proprietorship
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Which of the following statements is true? A) Partners always split profits in half. B) Partners are always equally liable. C) Partners always divide workload in half D) Partners are never equally liable.
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Gil has decided he wants to start a business, but he does not want to be required to file paperwork with numerous government agencies or sell stock in his business to the public. He also wants to maintain all decision-making power. Gil should probably start A) a general partnership. B) a sole proprietorship. C) a partnership.
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The legal agreement that partners agree to before the business is established is known as A) the business initiative. B) the business charter. C) the partnership agreement. D) the partnership charter.
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Carla is a common stockholder in Corporation Y. Because of this, Carla would A) be required to declare dividends at stockholders' meetings. B) be a member of the board of directors. C) not be able to vote at stockholders' meetings. D) be able to cast one vote per share at stockholders' meetings.
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An advantage of a sole proprietorship is A) unlimited life of business. B) profits are spread evenly amongst employees. C) ease of filing taxes and reporting earned income. D) unlimited liability.
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Rebecca recently decided to start a business. She is most concerned about limiting her financial liability. Rebecca would most likely start A) a corporation. B) a sole proprietorship. C) a general partnership. D) a limited partnership.
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You could insure against all of the following except A) fire. B) an accident in the company vehicle. C) your partner becoming ill. D) your product losing its market share.
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Saving money to cover possible losses in the future is also known as A) a customer-oriented liability. B) legal insurance. C) self-insurance. D) Premiums.
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One of the most important means of sharing business risks is A) a system of checks and balances. B) good marketing. C) preventative maintenance. D) Insurance.
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Tara Cannon is the CEO of a large corporation. Last week the company decided to take out a life insurance policy in case of her death. This is also known as A) risky health assurance. B) vital member policy. C) a key-person policy. D) life or death annuity.
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Insurance is a legal contract that transfers _______ from a policyholder to an insurance company in exchange for ___________ A) premiums; liability B) premiums; risk C) risk; premiums D) risk; liability
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In regards to insurance, risk is also known as A) likelihood of emotional loss. B) the possibility of financial loss. C) the chance of financial gain. D) the chance of psychological damage.
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The greater your ___________, the more your insurance policy will cost. A) plausibility B) risk C) reluctance D) liability
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Business interruption insurance covers A) debts to suppliers. B) lost income. C) shoplifting. D) defective products.
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____________ were started by people who shared a common bond such as working at the same factory, belonging to the same house of worship, or farming in the same community. A) Commercial banks B) Savings and loan banks C) Cooperative banks D) Credit unions
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What is the central banking system of the United States? A) The Unionized Central Banking System B) The Federal Reserve C) The Federal Union D) The Bank of the U.S.
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Where is the headquarters for the Federal Reserve Bank? A) Washington D.C. B) New York City C) Los Angeles D) Chicago
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Rita Verracruse is saving money for a new truck. She worked 16 weeks during the summer for a dog-walking company. Her take-home pay was $275 a week. How much money did Rita earn during the summer? A) $4,250 B) $4,400 C) $3,750 D) $4,750
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Rita Verracruse is saving money for a new truck. She worked 16 weeks during the summer for a dog-walking company. Her take-home pay was $275 a week. If Rita put half of the money she earned in a savings account and the simple interest rate was 3.5%, how much money would she have in one year? A) $2,250 B) $2,284 C) $2,456 D) $2,277
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Rita Verracruse is saving money for a new truck. She worked 16 weeks during the summer for a dog-walking company. Her take-home pay was $275 a week. How much money would Rita have at the end of three years, assuming she did not take any money out of the account (rounded to the nearest cent)? A) $2,645.71 B) $2,634.54 C) $2,439.18 D) $2,517.84
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Rita Verracruse is saving money for a new truck. She worked 16 weeks during the summer for a dog-walking company. Her take-home pay was $275 a week. Rita placed the other half of her money in a certificate of deposit. It is most likely that her money earned _________ interest rate as the savings account. A) a higher B) the same C) a more volatile D) a lower
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When compared to a traditional savings account, a certificate of deposit is A) more dynamic. B) more liquid. C) equally liquid. D) less liquid.
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When someone enters into a mortgage agreement, the house serves as which one of the five "C's" of credit? A) Critique B) Capacity C) Character D) Collateral
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A mortgage company requires a credit check and pay stubs before running a loan application. It does this because it wants to determine the potential borrower's A) capacity. B) collateral. C) critique. D) character.
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The current hourly minimum wage set by the U.S. Department of Labor is A) $5.15. B) $5.00. C) $4.75. D) $5.25.
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The owner of a small motorcycle garage uses an application form in evaluating applicants. This is useful in discovering A) general background information. B) arrest records. C) physical disabilities. D) religious orientation.
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Grace is developing a business plan and wants to show the cost of fringe benefits as a percentage of payroll costs. She should use the following percentage A) 40% B) 50% C) 25% D) 30%
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Mac is worried about the increase in the number of subordinates he supervises; therefore, he is concerned about his A) chain of command. B) organizational structure. C) informal organization. D) span of control.
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An example of an informal organization is A) an engineering team. B) an accounting office. C) a car pool. D) a marketing department.
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Jose wanted to make sure that his new business is a line organization; therefore, he would develop policies so each employee has A) two supervisors. B) three supervisors. C) four or more supervisors. D) one supervisor.
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Tracy, who runs a carpet cleaning business, has a group of employees who work in production and in installation. If she decides to use work teams as part of her leadership approach, she must increase A) quality. B) supervision. C) independence. D) compensation.
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Some companies attempt to determine a customer's worth before doing business with that person. This practice is known as A) weblining. B) price gouging. C) webbing. D) exception.
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How do individuals in a partnership pay taxes? A) They pay taxes as a partnership. B) They do not pay taxes; the business does. C) They only pay taxes if they are shareholders. D) The individuals each pay taxes on the total income.
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Subchapter "S" corporations are taxed as A) partnerships. B) subchapter "C" corporations. C) proprietorships. D) multinational corporations.
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Corporation "X" has gone into debt. Which of the following would be liable for that debt? A) Jack, the corporation's CEO B) Jose, a common stockholder C) All of the answers are correct D) Lily, a member of the board of directors
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Permission to incorporate a business comes from the A) Department of Labor. B) Secretary of Commerce. C) each state's Secretary of State. D) IRS.
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Toyota recently sent a letter to everyone who purchased a 1999 Tacoma. The letter states that there is a problem with the suspension and provides information about getting it fixed at local dealerships for free. This is an example of A) a product recall. B) a product recoil. C) an automatic reliability. D) a product reinforcement.
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There are _______ Federal Reserve Banks and ________ branches to those banks. A) 2; 25 B) 50; 250 C) 12; 25 D) 100; 500
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