Question 1

Explain the relationship between productivity and the standard of living.

Accepted Answer

Standard of living refers to the total quantity and quality of goods and services that people can purchase with the currency used by their economic system. Productivity is a measure of economic growth that compares how much a system produces with the resources needed to produce it. Standard of living improves only through increases in productivity.

Question 2

How does the national debt affect economic growth?

Accepted Answer

A country's national debt is the amount of money that the government owes its creditors. The government raises money through taxes and the sale of bonds. By selling bonds, the government competes with other potential borrowers for the available supply of loanable money. The more the government borrows, the less money is available for the private borrowing and investment that increases productivity.

Question 3

How does GNP differ from GDP? Give an example of a product that would be included in Canada's GNP, but not its GDP.

Accepted Answer

A nation's gross national product (GNP) measures the total value of all goods and services produced by its economy within a given period of time, regardless of where the factors of production are located. A nation's gross domestic product (GDP) measures the total value of all goods and services produced within a given period by a national economy through domestic factors of production. The profits earned by a Canadian-owned automobile plant operating in Brazil would be included in Canadian GNP, but not GDP.

Question 4

Which of the following best describes what the consumer price index is used to indicate?

Accepted Answer

A)  The average wage rate for a given region 
B)  The economic performance of key consumer product companies 
C)  The changes in the cost of consumer products over time 
D)  The percentage of consumers in the total population looking for work 
E)  The number of price increases within a given period of time 
A)  The average wage rate for a given region 
B)  The economic performance of key consumer product companies 
C)  The changes in the cost of consumer products over time 
D)  The percentage of consumers in the total population looking for work 
E)  The number of price increases within a given period of time

Question 5

Which of the following would be excluded from the GDP of Canada?

Accepted Answer

A)  A Canadian company produces and sells products in Brazil. 
B)  A U.S. company produces and sells products in Canada. 
C)  A Canadian company produces and sells products in Canada. 
D)  A Brazilian company produces and sells products in Canada. 
E)  It is not possible to tell given the information that is provided. 
A)  A Canadian company produces and sells products in Brazil. 
B)  A U.S. company produces and sells products in Canada. 
C)  A Canadian company produces and sells products in Canada. 
D)  A Brazilian company produces and sells products in Canada. 
E)  It is not possible to tell given the information that is provided.

Question 6

Unemployment is the level of joblessness among

Accepted Answer

A)  people over the age of 18 within a given economic system. 
B)  people who have been previously employed in an economic system. 
C)  people who have the skills for employment within an economic system. 
D)  people over the age of 18 and under the age of 65 in a given economic system. 
E)  people actively seeking work in an economic system. 
A)  people over the age of 18 within a given economic system. 
B)  people who have been previously employed in an economic system. 
C)  people who have the skills for employment within an economic system. 
D)  people over the age of 18 and under the age of 65 in a given economic system. 
E)  people actively seeking work in an economic system.

Question 7

What are the pros and cons of prolonged economic stability?

Accepted Answer

Pros: Balance, wages constant,

Question 8

The socio-cultural environment describes

Accepted Answer

A)  the relationship between government and unions. 
B)  the relationship between business and government. 
C)  the relationship between international and domestic corporations. 
D)  the customs, values, attitudes, and demographic characteristics of the society in which an organization functions. 
E)  the intensity of the competition in an industry. 
A)  the relationship between government and unions. 
B)  the relationship between business and government. 
C)  the relationship between international and domestic corporations. 
D)  the customs, values, attitudes, and demographic characteristics of the society in which an organization functions. 
E)  the intensity of the competition in an industry.

Question 9

Which of the following best describes economic stability?

Accepted Answer

A)  The measure of economic growth that compares how much a system produces with the resources needed to produce it 
B)  A condition in an economic system in which the amount of money available and the number of goods and services produced are growing at about the same rate 
C)  The economic condition in which a country's exports exceed its imports 
D)  A relative equality between what the government owes its creditors and the revenue it gets from imports 
E)  The economic value of all the products that a country exports minus the economic value of all the products it imports 
A)  The measure of economic growth that compares how much a system produces with the resources needed to produce it 
B)  A condition in an economic system in which the amount of money available and the number of goods and services produced are growing at about the same rate 
C)  The economic condition in which a country's exports exceed its imports 
D)  A relative equality between what the government owes its creditors and the revenue it gets from imports 
E)  The economic value of all the products that a country exports minus the economic value of all the products it imports

Question 10

What is viral marketing?

Accepted Answer

The rapid spread of informatio

Question 11

A negative balance of trade results when a country imports more than it exports.

Accepted Answer

A) True 
 B)False

Question 12

Sales had been low at Stephen's Home Office Supplies for several months, but then business starting picking up again. Stephen's business went through which two phases of the business cycle?

Accepted Answer

A)  Recession and trough 
B)  Peak and recession 
C)  Trough and recovery 
D)  Recovery and peak 
E)  Any of these answers could be correct. 
A)  Recession and trough 
B)  Peak and recession 
C)  Trough and recovery 
D)  Recovery and peak 
E)  Any of these answers could be correct.

Question 13

Which of the following best describes the term gross domestic product?

Accepted Answer

A)  Total quantity and quality of goods and services that a country's citizens can purchase with the currency used in their economic system 
B)  Conditions of the economic system in which an organization operates 
C)  The total value of all goods and services produced within a given period by a national economy through domestic factors of production 
D)  The total value of all goods and services produced by a national economy within a given period regardless of where the factors of production are located 
E)  The total quantity of goods and services produced by an economic system 
A)  Total quantity and quality of goods and services that a country's citizens can purchase with the currency used in their economic system 
B)  Conditions of the economic system in which an organization operates 
C)  The total value of all goods and services produced within a given period by a national economy through domestic factors of production 
D)  The total value of all goods and services produced by a national economy within a given period regardless of where the factors of production are located 
E)  The total quantity of goods and services produced by an economic system

Question 14

Purchasing power parity gives us a good idea of

Accepted Answer

A)  what people are buying outside their own country while on vacation or while doing international business. 
B)  what people can actually buy with the financial resources allocated to them by their economic system. 
C)  what people would like to buy with the financial resources in their economic system. 
D)  purchasing trends across the globe. 
E)  average annual income. 
A)  what people are buying outside their own country while on vacation or while doing international business. 
B)  what people can actually buy with the financial resources allocated to them by their economic system. 
C)  what people would like to buy with the financial resources in their economic system. 
D)  purchasing trends across the globe. 
E)  average annual income.

Question 15

Which of the following best defines the term aggregate output?

Accepted Answer

A)  The total quantity and quality of goods and services that a country's citizens can purchase with the currency used in their economic system 
B)  The measure of economic growth that compares how much a system produces with the resources needed to produce it 
C)  The pattern of short-term ups and downs in an economy 
D)  The total quantity of goods and services produced by an economic system during a given period 
E)  The conditions of the economic system in which an organization operates 
A)  The total quantity and quality of goods and services that a country's citizens can purchase with the currency used in their economic system 
B)  The measure of economic growth that compares how much a system produces with the resources needed to produce it 
C)  The pattern of short-term ups and downs in an economy 
D)  The total quantity of goods and services produced by an economic system during a given period 
E)  The conditions of the economic system in which an organization operates

Question 16

An approach which moves from a department-orientated organization to a process team orientation is called

Accepted Answer

A)  process improvement. 
B)  business process management. 
C)  six sigma. 
D)  outsourcing. 
E)  virtual restructuring. 
A)  process improvement. 
B)  business process management. 
C)  six sigma. 
D)  outsourcing. 
E)  virtual restructuring.

Question 17

If Toyota Motors purchased Ruscombe Muffler, a small retail muffler business, the purchase would be

Accepted Answer

A)  a horizontal merger. 
B)  a conglomerate merger. 
C)  a spinoff. 
D)  a vertical merger. 
E)  a divestiture. 
A)  a horizontal merger. 
B)  a conglomerate merger. 
C)  a spinoff. 
D)  a vertical merger. 
E)  a divestiture.

Question 18

Profits from a Canadian-owned automobile factory in Brazil are included in the GDP of Brazil.

Accepted Answer

A) True 
 B)False

Question 19

In terms of organizational boundaries and environments, which is correct?

Accepted Answer

A)  Large business firms are heavily influenced by events in the external environment, but small business firms are much less influenced. 
B)  No single firm can control the environment. 
C)  Most organizations have a single environment, but some have multiple environments they must cope with. 
D)  The major elements of the external environment are marketing, finance, production, and human resources. 
E)  The most important features of the external environment are the political and social aspects. 
A)  Large business firms are heavily influenced by events in the external environment, but small business firms are much less influenced. 
B)  No single firm can control the environment. 
C)  Most organizations have a single environment, but some have multiple environments they must cope with. 
D)  The major elements of the external environment are marketing, finance, production, and human resources. 
E)  The most important features of the external environment are the political and social aspects.

Question 20

Some industries are relatively easy to enter, but automobile manufacturing is not because

Accepted Answer

A)  the market is saturated. 
B)  it is very capital-intensive. 
C)  it is a foreign market. 
D)  it is too labour intensive. 
E)  none of these is correct. 
A)  the market is saturated. 
B)  it is very capital-intensive. 
C)  it is a foreign market. 
D)  it is too labour intensive. 
E)  none of these is correct.

Explain the relationship between productivity and the standard of living.

How does the national debt affect economic growth?

How does GNP differ from GDP? Give an example of a product that would be included in Canada's GNP, but not its GDP.

Which of the following best describes what the consumer price index is used to indicate?

Which of the following would be excluded from the GDP of Canada?

Unemployment is the level of joblessness among

What are the pros and cons of prolonged economic stability?

The socio-cultural environment describes

Which of the following best describes economic stability?

What is viral marketing?

A negative balance of trade results when a country imports more than it exports.

Sales had been low at Stephen's Home Office Supplies for several months, but then business starting picking up again. Stephen's business went through which two phases of the business cycle?

Which of the following best describes the term gross domestic product?

Purchasing power parity gives us a good idea of

Which of the following best defines the term aggregate output?

An approach which moves from a department-orientated organization to a process team orientation is called

If Toyota Motors purchased Ruscombe Muffler, a small retail muffler business, the purchase would be

Profits from a Canadian-owned automobile factory in Brazil are included in the GDP of Brazil.

In terms of organizational boundaries and environments, which is correct?

Some industries are relatively easy to enter, but automobile manufacturing is not because

Understanding the Canadian Business System

Conducting Business Ethically and Responsibly

Entrepreneurship, Small Business, and New Venture Creation

The Global Context of Business

Managing the Business Enterprise

Organizing the Business Enterprise

Managing Human Resources and Labour Relations

Motivating, Satisfying, and Leading Employees

Operations Management, Productivity, and Quality

Understanding Accounting

Understanding Marketing Principles and Developing Products

Pricing, Promotion, and Distributing Products

Money and Banking

Finacial Decisions and Risk Management

Filters

Exam 2: The Environment of Business

Explain the relationship between productivity and the standard of living.

How does the national debt affect economic growth?

How does GNP differ from GDP? Give an example of a product that would be included in Canada's GNP, but not its GDP.

Which of the following best describes what the consumer price index is used to indicate?

Which of the following would be excluded from the GDP of Canada?

Unemployment is the level of joblessness among

What are the pros and cons of prolonged economic stability?

The socio-cultural environment describes

Which of the following best describes economic stability?

What is viral marketing?

A negative balance of trade results when a country imports more than it exports.

Sales had been low at Stephen's Home Office Supplies for several months, but then business starting picking up again. Stephen's business went through which two phases of the business cycle?

Which of the following best describes the term gross domestic product?

Purchasing power parity gives us a good idea of

Which of the following best defines the term aggregate output?

An approach which moves from a department-orientated organization to a process team orientation is called

If Toyota Motors purchased Ruscombe Muffler, a small retail muffler business, the purchase would be

Profits from a Canadian-owned automobile factory in Brazil are included in the GDP of Brazil.

In terms of organizational boundaries and environments, which is correct?

Some industries are relatively easy to enter, but automobile manufacturing is not because

Understanding the Canadian Business System

Conducting Business Ethically and Responsibly

Entrepreneurship, Small Business, and New Venture Creation

The Global Context of Business

Managing the Business Enterprise

Organizing the Business Enterprise

Managing Human Resources and Labour Relations

Motivating, Satisfying, and Leading Employees

Operations Management, Productivity, and Quality

Understanding Accounting

Understanding Marketing Principles and Developing Products

Pricing, Promotion, and Distributing Products

Money and Banking

Finacial Decisions and Risk Management

Filters