AQA Business Topic 3.1 Mid Term Quiz

1. What are goods?

• A) Intangible activities provided to consumers

• B) Physical items produced and sold to consumers

• C) Resources used to start a business

• D) Money invested in a company

2. Which of the following is an example of a service?

• A) A pair of trainers

• B) A mobile phone

• C) A haircut

• D) A laptop

3. A customer is someone who:

• A) Manufactures goods

• C) Buys goods or services

• B) Sells goods to others

• D) Delivers packages

4. Which of the following is not a factor of production (FoP)?

• A) Capital

• B) Labour

• C) Land

• D) Government

5. Land as a factor of production refers to:

• A) All natural resources used in production

• B) Buildings and offices

• C) People who work in a business

• D) The money invested

6. Labour includes:

• A) All the machines used in a factory

• B) The raw materials used in production

• C) The physical and mental effort of workers

• D) The natural environment

7. Capital in business means:

• A) Natural resources

• B) The owner of the business

• C) Human effort

• D) Equipment, tools, and machinery used in production

8. An enterprise is:

• A) The land used by a business

• B) A type of capital

• C) The organisation and risk-taking involved in starting a business

• D) The product sold

9. What is meant by opportunity cost?

• A) The total money spent on a product

• B) The value of the next best alternative given up

• C) The financial gain from a decision

• D) The number of opportunities available

10. The primary industry is concerned with:

• A) Processing raw materials

• B) Providing services

• C) Extracting natural resources

• D) Selling manufactured goods