Entrepreneurship Standard 4 Review

Front

Which of the following represents the most direct channel of distribution from the producer to the end user?
Producer > Distributor,
Retailer > Consumer,
Producer > Consumer,
Producer > Retailer

Back

Producer > Consumer

Front

What type of buyer is Fred who buys books in bulk from Books R Us and then sells them to various book stores and gift shops?

Back

Wholesaler

Front

What is the process called when raw materials undergo a change in shape or appearance?

Back

transformation

Front

What are the three primary types of purchasing strategies used in business operations?

Back

Buying for resale, buying for transformation, and buying for business use

Front

Which of the following companies is most likely to purchase raw materials and components to convert into finished products: Walmart, Belk, Chevrolet, Dollar General

Back

Chevrolet

Front

When a purchasing specialist engages in discussions with a supplier to address potential issues and explore solutions before finalizing a purchase, what activity are they primarily involved in?

Back

Negotiating

Front

What is another term commonly used to refer to operating costs in a business context?

Back

Overhead

Front

Which of the following statements accurately describes operating costs in a business context? Operating costs are the expenses incurred by a company in its personal expenses. Operating costs are directly related to the day-to-day functioning and production activities of a business. Operating costs are the expenses incurred by a company in its investment activities. Operating costs only occur once or twice a year.

Back

Operating costs are directly related to the day-to-day functioning and production activities of a business.

Front

In the context of business expenses, how would you categorize sales commissions? Options: Capital, Operating, Fixed, Variable

Back

Variable

Front

Which of the following statements accurately describes the nature of operating costs in a business context? Purchasing a piece of equipment is an operating cost. Operating costs are typically categorized into selling expenses and manufacturing expenses. Some operating costs can be classified as either fixed or variable, depending on the nature of the expense. Businesses generally incur higher operating costs compared to production costs.

Back

Some operating costs can be classified as either fixed or variable, depending on the nature of the expense.