Cumulative Exam — Cumulative exam Answers

50 verified answers2 views
1
Free Preview

The factors of production include the number of

A
customers needed to make a profit on a good.
B
consumers who show an interest in a good.
C
employees needed to manufacture a good.
D
producers who supply the same good.
3

An annual percentage rate, or APR, represents how much

A
interest is paid over a year.
B
interest is paid over many years.
C
principal is paid over a year
D
principal is paid over many years.
4

Though it is seen as a last resort, bankruptcy allows a consumer to

A
temporarily stop paying debts.
B
eliminate certain types of debt.
C
easily reestablish good credit.
D
receive credit in an emergency.
5

How does a socialist government with a command economy manage its economy?

A
The government lets producers set wages for workers.
B
The government owns all homes and other forms of housing.
C
The government allows consumers to make their own choices.
D
The government controls factories and other forms of production.
6

To create the proper style for an argumentative essay, a writer should

A
add personal statements.
B
include vague language.
C
incorporate slang words.
D
provide clear statements.
7

Which of these practices describe how producers in oligopolies generally try to create competition? Check all that apply.by keeping prices lowby offering promotionsby advertisingby cultivating brand loyaltyby overcoming barriers to entryby developing a specific image

A
by keeping prices low
B
by offering promotions
C
by advertising
D
by cultivating brand loyalty
E
by overcoming barriers to entry
F
by developing a specific image
8

Which statement best explains a scholarship?

A
A scholarship is federal money awarded to a student.
B
A scholarship is aid given to a student by an institution.
C
A scholarship is money borrowed to pay for an education.
D
A scholarship is the price of attending classes at a school.
9

When entrepreneurs develop new products, other companies also experience growth because they

A
immediately copy the successful product.
B
create many companion products.
C
try to develop their own products.
D
attempt to improve the product.
10

Aggregate supply is best described as the

A
total output of all products and services.
B
point of equilibrium.
C
nation’s real gross national product.
D
excess supply in the market.
11

What is the best definition of profit?

A
Profit is the possible income from producing an additional item.
B
Profit is the price of producing one additional unit of a good.
C
Profit is the additional income gained from selling an additional good.
D
Profit is the financial gain from business activity minus expenses.
12

When it spends money on education, a government is trying to

A
find a way to meet a social need.
B
encourage immediate economic growth.
C
meet a social need and improve the economy.
D
find a way to spend budget surpluses.
13

Which services would an organization accepting charitable donations provide? Choose three answers.planning a blood driveproviding financial aid for college studentsgiving payouts from increased sales to ownerssponsoring animal rescue efforts after firesincreasing investment values for shareholders

A
planning a blood drive
B
providing financial aid for college students
C
giving payouts from increased sales to owners
D
sponsoring animal rescue efforts after fires
E
increasing investment values for shareholders
14

What is one example of a closed economy?

A
a barter system that does not rely on money or other currency
B
a restricted system that blocks trade with international partners
C
a trade-based system that encourages the flow of goods and services
D
an old-fashioned system that preserves traditional choices and customs
15

An interest in supervising other workers would be useful for someone who wanted to become

A
an office manager or warehouse manager.
B
a freelance writer or graphic designer.
C
a grocery clerk or supermarket cashier.
D
a letter carrier or delivery person.
16

How do trade agreements help the countries involved?

A
by restricting imports
B
by accelerating production
C
by expanding tax revenues
D
by decreasing trade barriers
17

If it becomes less expensive to travel overseas from the United States, American tourists will benefit from the fact that

A
tourist sites are getting crowded and dirty.
B
the US dollar has become stronger.
C
prices of foreign goods are rising.
D
the US dollar has declined in value.
18

Banks that offer low interest rates to people with good credit

A
maximize profits at little risk.
B
sacrifice profits for less risk.
C
maximize profits at great risk.
D
sacrifice profits for more risk.
20

Compound interest is usually better than simple interest because it pays

A
interest on the principal and the interest earned in each period.
B
interest on the entire principal rather than the interest in each period.
C
more, as it is matched by an employer’s 401k contribution.
D
more often throughout the year rather than once a year.

Did you find these answers helpful?