Exam 1: Business in the United States

Ron plans to open his own café. He wants to offer a variety of coffees, sandwiches, and salads. He also plans to hire employees who will prepare food and serve customers. What type of product would Ron's customers be offered?

Corporations blend characteristics of both sole proprietorships and partnerships.

Explain the similarities and differences between the different types of capital.

When businesses compete, products usually become more expensive.

Jarvis runs a restaurant that has had a lot of complaints from customers lately. Jarvis is a strict manager and prefers to make all the decisions himself. A concerned friend recommends that Jarvis delegate more decision-making responsibility to his employees. Which of the following would be the MOST likely result of Jarvis' delegating responsibility?

In a general partnership, the company's debts are the responsibility of the ________.

Jose called an electrician to repair some appliances in his home. Which of the following terms BEST describes the electrician's repairs?

Local businesses are more prone to bankruptcy than large businesses because they are more likely to be undercapitalized.

In what ways is a multinational corporation, like Google, similar to a local business, such as a Chinese restaurant? In what ways are these two businesses different?

Carla wants to start a new software company, but she lives in a remote community where few skilled software programmers live. Which of the following is the BEST cost-effective strategy for building her workforce?

________ refers to a company's choice to relocate its production facilities overseas or subcontract at least some of the components to foreign companies at low costs.

Which of the following would ensure that business owners would be responsible for losses only up to the amount they invested in the business?

Which of these qualities BEST explains why a specialty shop is classified as a local business?

Mr. Hansen sued the Reilly Corporation in a dispute over a failed million-dollar deal. If he wins, he can ________.

Stakeholders are rarely affected by the actions of a company's owner.

Diversity initiatives in businesses are essential to a company's ability to be competitive.

Keeping up with technological advances is an inexpensive way for companies to remain competitive.

The WAWA chain of convenience stores has 500 locations in five states in the Mid-Atlantic region of the United States. WAWA is an example of ________.

Warren is about to file taxes for a company he owns. If Warren needs to file his company's taxes separately from his personal taxes, what kind of company does he own?

Which of the following is an example of real capital?