Test Bank For Business Changing World 8th Edition by O. C. Ferrell

ISBN-13: 9780073511757, ISBN-10: 0073511757

Chapter 01

The Dynamics of Business and Economics

True / False Questions

1. Products have tangible attributes only.
   True    False

2. The primary goal of business activities is profit.
   True    False

3. Nonprofit organizations such as Habitat for Humanity do not engage in management, marketing, or finance activities.
   True    False

4. Profit is what it costs to make and sell a product.
   True    False

5. Businesses have the right to keep and use their profits as they choose, without limitations.
   True    False

Multiple Choice Questions

6. ____ is the primary goal of business.
   A. Growth
   B. Profit
   C. IPO
   D. Marketing
   E. Strategy

7. Businesses differ from nonprofit organizations in that a business’s focus is on
   A. price.
   B. goods.
   C. profit.
   D. organization.
   E. plans.

8. ____ have both tangible and intangible characteristics.
   A. Products
   B. Services
   C. Businesses
   D. Stakeholders
   E. Organizations

9. Profit is the reward for business in exchange for the ____ taken in providing products.
   A. expenses
   B. time
   C. energy
   D. risks
   E. markets

10. When purchasing, a consumer is actually buying a product’s anticipated benefits and
    A. satisfaction.
    B. price.
    C. costs.
    D. productivity.
    E. form.