Multiple Choice Questions on Economic Activities

The activity of creating or adding value to a good or service is called...

• Consumption

• Distribution

• Production

• Exchange

Natural resources used in the production process are called production factors...

• Capital

• Labor

• Nature

• Entrepreneurship

The party that regulates and manages production factors to produce goods or services is called...

• Consumer

• Distributor

• Producer

• Agent

The activity of channeling goods or services from producers to consumers is called...

• Production

• Consumption

• Distribution

• Investment

One of the main objectives of distribution is...

• To increase the price of goods

• To limit the number of consumers

• To ensure goods are available in the right place

• To quickly deplete stock of goods

The following is an example of an indirect distribution channel...

• Farmers selling vegetables directly to buyers

• Factories selling their products through their own stores

• Producers selling goods through wholesalers and retailers

• Artisans selling their works at exhibitions

The activity of using goods or services to meet life needs is called...

• Production

• Distribution

• Consumption

• Savings

A person's level of consumption is greatly influenced by...

• The amount of goods produced

• The extent of the distribution network

• The size of the income received

• The high cost of promotion

An example of production activity in the agricultural sector is...

• Making furniture from wood

• Sewing clothes in a workshop

• Planting rice in a field

• Providing legal consulting services

Transportation companies that deliver goods from factories to stores are included in...

• Production

• Consumption

• Distribution

• Exploitation