ME IA2 Prep

______ are reasons why entrepreneurs improve the economy.

• New businesses = no new employees

• New technology

• Self-confidence = stimulated economy

• No taxes

If there is a high demand for a product, the price for that product will ______.

• Be lower

• Be higher

• Stay the same

• None of the above

The balance between supply and demand is called _____.

• Equilibrium

• Price

• Quantity

• Equal

______ change with increases and decreases in the amount produced.

• Fixed costs

• Opportunity costs

• Variable costs

• None of the above

_______ are costs of selecting one opportunity or investment over another.

• Fixed costs

• Opportunity costs

• Variable costs

• None of the above

The legal form of business ownership that is owned by many people is a ­­­_______.

• Sole proprietorship

• Partnership

• Corporation

• Limited Liability Company

The type of business risk that refers to rules and regulations associated with employee protection and environmental concerns is a _______.

• Compliance risk

• Operational risk

• Financial risk

• Strategic risk

If inspections and licenses are required, then the role of government being represented is a ­­­_______.

• Supervisory body

• Source of public good

• Responsible to reallocate income

• None of the above

Using the SMART goal-writing criteria, ______ refers to asking how?

• Timely

• Realistic

• Specific

• Attainable

• Measurable

Aptitude is defined as the ability to _______.

• Learn several different jobs

• Learn nothing

• Learn one specific job

• Work hard