Question 1

Which statement is true with regard to the standard of living?

Accepted Answer

A)  It is dependent on the size of the city in which one lives. 
B)  It is comparable for every citizen in every country. 
C)  It is the amount and quality of goods and services that people can buy with their money. 
D)  It is improved when high-end stores stock expensive merchandise. 
E)  It is unaffected by business productivity. 
A)  It is dependent on the size of the city in which one lives. 
B)  It is comparable for every citizen in every country. 
C)  It is the amount and quality of goods and services that people can buy with their money. 
D)  It is improved when high-end stores stock expensive merchandise. 
E)  It is unaffected by business productivity.

Question 2

The items in the typical "basket of goods" that are included in the consumer price index has not changed much over the years so that current figures are comparable with historical figures.

Accepted Answer

A) True 
 B)False

Question 3

Why are customer preferences and tastes important to business?

Accepted Answer

Tastes and preferences determi

Question 4

Which of the following is true with respect to the elements in the external environment?

Accepted Answer

A)  The socio-cultural environment has become less important in recent years because of the increasing diversity of the population in Canada. 
B)  The political-legal environment is something that cannot be influenced by Canadian business firms. 
C)  The economic environment will affect the performance of almost every business. 
D)  The boundary between a company and the political-legal environment is more porous than the boundary between a company and the socio-cultural environment. 
E)  All of these are true. 
A)  The socio-cultural environment has become less important in recent years because of the increasing diversity of the population in Canada. 
B)  The political-legal environment is something that cannot be influenced by Canadian business firms. 
C)  The economic environment will affect the performance of almost every business. 
D)  The boundary between a company and the political-legal environment is more porous than the boundary between a company and the socio-cultural environment. 
E)  All of these are true.

Question 5

Unemployment reflects the joblessness level of the adult population in an economic system,whether or not they are actively seeking work.

Accepted Answer

A) True 
 B)False

Question 6

Productivity is

Accepted Answer

A)  a measure of economic growth that compares how much a system produces with the resources needed to produce it. 
B)  also known as "real gross national product." 
C)  the total value of all goods and services produced by a national economy in a given period of time regardless of where the factors of production are located. 
D)  the total value of all the goods produced by a single economy. 
E)  the total quantity and quality of goods and services that can be purchased with the currency used in an economic system. 
A)  a measure of economic growth that compares how much a system produces with the resources needed to produce it. 
B)  also known as "real gross national product." 
C)  the total value of all goods and services produced by a national economy in a given period of time regardless of where the factors of production are located. 
D)  the total value of all the goods produced by a single economy. 
E)  the total quantity and quality of goods and services that can be purchased with the currency used in an economic system.

Question 7

The three primary factors that threaten stability are inflation,deflation,and unemployment.

Accepted Answer

A) True 
 B)False

Question 8

Agriculture efficiency has resulted in

Accepted Answer

A)  Canadians contributing more resources to farms. 
B)  an increase in the number of people employed in the industry. 
C)  Canadians needing more farms. 
D)  a decrease in the number of people employed in the industry. 
E)  none of these. 
A)  Canadians contributing more resources to farms. 
B)  an increase in the number of people employed in the industry. 
C)  Canadians needing more farms. 
D)  a decrease in the number of people employed in the industry. 
E)  none of these.

Question 9

BSX Inc.gave shareholders the right to purchase company stock at a 50 percent discount if a group without approval of BSX's board of directors acquired more than 20 percent of the company's shares.This is an example of

Accepted Answer

A)  a stock buyback. 
B)  a conglomerate merger. 
C)  greenmail. 
D)  a poison pill. 
E)  a vertical merger. 
A)  a stock buyback. 
B)  a conglomerate merger. 
C)  greenmail. 
D)  a poison pill. 
E)  a vertical merger.

Question 10

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

Accepted Answer

A)  depressed 
B)  negative 
C)  real 
D)  nominal 
E)  positive 
A)  depressed 
B)  negative 
C)  real 
D)  nominal 
E)  positive

Question 11

Whiskey,vodka,gin,and cigarettes are less commonly used today than they were just a few years ago.

Accepted Answer

A) True 
 B)False

Question 12

Stability,as an economic goal,is a condition in which there is a balance between money available and goods produced.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following would not likely be a consequence of a recession?

Accepted Answer

A)  Aggregate output declines 
B)  Producers will hire more employees 
C)  Unemployment will increase 
D)  Less labour will be needed to produce products 
E)  GDP will decrease 
A)  Aggregate output declines 
B)  Producers will hire more employees 
C)  Unemployment will increase 
D)  Less labour will be needed to produce products 
E)  GDP will decrease

Question 14

Because Canada's exports ________ its imports,Canada has a ________ trade balance.

Accepted Answer

A)  are greater than; negative balance of trade 
B)  are less than; negative balance of trade 
C)  are greater than; positive balance of trade 
D)  are less than; positive balance of trade 
E)  none of the above 
A)  are greater than; negative balance of trade 
B)  are less than; negative balance of trade 
C)  are greater than; positive balance of trade 
D)  are less than; positive balance of trade 
E)  none of the above

Question 15

Canada's R&D expenditures are much smaller than those of the U.S.in total dollar terms,but when measured as a percent of GDP,Canada's R&D expenditures exceed those in the U.S.

Accepted Answer

A) True 
 B)False

Question 16

Cyclical unemployment occurs as a result of a downturn in the business cycle.

Accepted Answer

A) True 
 B)False

Question 17

Customer preferences must be taken into consideration across national boundaries,but not generally within the same country.

Accepted Answer

A) True 
 B)False

Question 18

The principle of ________ states that exchange rates are set so that the prices of similar products in different countries are about the same.

Accepted Answer

A)  nominal GDP 
B)  gross national product 
C)  consumer price index 
D)  equal prices 
E)  purchasing power parity 
A)  nominal GDP 
B)  gross national product 
C)  consumer price index 
D)  equal prices 
E)  purchasing power parity

Question 19

________ is the approach by which firms move away from department-oriented organizations and toward process-oriented team structures.

Accepted Answer

A)  Business process management 
B)  Team management 
C)  Viral marketing 
D)  Departmentalization 
E)  None of these 
A)  Business process management 
B)  Team management 
C)  Viral marketing 
D)  Departmentalization 
E)  None of these

Question 20

Which of the following is correct regarding purchasing power parity?

Accepted Answer

A)  It gives us a better idea of what people can actually buy with the financial resources they have. 
B)  It reflects the principle that exchange rates are set so that prices of similar products in different countries are unequal. 
C)  It does not really give a good sense of the standards of living around the world. 
D)  It reflects the principle that capitalism is a better system than communism. 
E)  None of these statements are accurate. 
A)  It gives us a better idea of what people can actually buy with the financial resources they have. 
B)  It reflects the principle that exchange rates are set so that prices of similar products in different countries are unequal. 
C)  It does not really give a good sense of the standards of living around the world. 
D)  It reflects the principle that capitalism is a better system than communism. 
E)  None of these statements are accurate.

Which statement is true with regard to the standard of living?

The items in the typical "basket of goods" that are included in the consumer price index has not changed much over the years so that current figures are comparable with historical figures.

Why are customer preferences and tastes important to business?

Which of the following is true with respect to the elements in the external environment?

Unemployment reflects the joblessness level of the adult population in an economic system,whether or not they are actively seeking work.

Productivity is

The three primary factors that threaten stability are inflation,deflation,and unemployment.

Agriculture efficiency has resulted in

BSX Inc.gave shareholders the right to purchase company stock at a 50 percent discount if a group without approval of BSX's board of directors acquired more than 20 percent of the company's shares.This is an example of

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

Whiskey,vodka,gin,and cigarettes are less commonly used today than they were just a few years ago.

Stability,as an economic goal,is a condition in which there is a balance between money available and goods produced.

Which of the following would not likely be a consequence of a recession?

Because Canada's exports its imports,Canada has a trade balance.

Canada's R&D expenditures are much smaller than those of the U.S.in total dollar terms,but when measured as a percent of GDP,Canada's R&D expenditures exceed those in the U.S.

Cyclical unemployment occurs as a result of a downturn in the business cycle.

Customer preferences must be taken into consideration across national boundaries,but not generally within the same country.

The principle of ________ states that exchange rates are set so that the prices of similar products in different countries are about the same.

________ is the approach by which firms move away from department-oriented organizations and toward process-oriented team structures.

Which of the following is correct regarding purchasing power parity?

Understanding the Canadian Business System

Conducting Business Ethically and Responsibly

Understanding Entrepreneurship, small Business, and New Venture Creation

The Global Context of Business

Managing the Business Enterprise

Managing Human Resources

Understanding Labourmanagement Relations

Motivating and Leading Employees

Producing Goods and Services

Increasing Productivity and Quality

Managing Information Systems and Communication Technology

Understanding Accounting Issues

Understanding Marketing Processes and Consumer Behaviour

Developing and Promoting Goods and Services

Pricing and Distributing Goods and Services

Understanding Money and Banking

Understanding Securities and Investments

Financial Decisions and Risk Management

Filters

Exam 2: Understanding the Environments of Business

Which statement is true with regard to the standard of living?

The items in the typical "basket of goods" that are included in the consumer price index has not changed much over the years so that current figures are comparable with historical figures.

Why are customer preferences and tastes important to business?

Which of the following is true with respect to the elements in the external environment?

Unemployment reflects the joblessness level of the adult population in an economic system,whether or not they are actively seeking work.

Productivity is

The three primary factors that threaten stability are inflation,deflation,and unemployment.

Agriculture efficiency has resulted in

BSX Inc.gave shareholders the right to purchase company stock at a 50 percent discount if a group without approval of BSX's board of directors acquired more than 20 percent of the company's shares.This is an example of

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

Whiskey,vodka,gin,and cigarettes are less commonly used today than they were just a few years ago.

Stability,as an economic goal,is a condition in which there is a balance between money available and goods produced.

Which of the following would not likely be a consequence of a recession?

Because Canada's exports ________ its imports,Canada has a ________ trade balance.

Canada's R&D expenditures are much smaller than those of the U.S.in total dollar terms,but when measured as a percent of GDP,Canada's R&D expenditures exceed those in the U.S.

Cyclical unemployment occurs as a result of a downturn in the business cycle.

Customer preferences must be taken into consideration across national boundaries,but not generally within the same country.

The principle of ________ states that exchange rates are set so that the prices of similar products in different countries are about the same.

________ is the approach by which firms move away from department-oriented organizations and toward process-oriented team structures.

Which of the following is correct regarding purchasing power parity?

Understanding the Canadian Business System

Conducting Business Ethically and Responsibly

Understanding Entrepreneurship, small Business, and New Venture Creation

The Global Context of Business

Managing the Business Enterprise

Managing Human Resources

Understanding Labourmanagement Relations

Motivating and Leading Employees

Producing Goods and Services

Increasing Productivity and Quality

Managing Information Systems and Communication Technology

Understanding Accounting Issues

Understanding Marketing Processes and Consumer Behaviour

Developing and Promoting Goods and Services

Pricing and Distributing Goods and Services

Understanding Money and Banking

Understanding Securities and Investments

Financial Decisions and Risk Management

Filters

Because Canada's exports its imports,Canada has a trade balance.