AnswersEconomicsN/A

Practice Exam Answers

27 verified answers1 views
1
Free Preview

Which of these statements about opportunity cost are true? Choose three correct answers.

A
It assists in anticipating profits.
B
It influences producers.
C
It exists because resources are scarce.
D
It influences consumers.
E
It encourages people to spread their resources around.
2
Free Preview

Globalization is the process of

A
connecting the world over time.
B
requiring or relying on something.
C
limiting exhange of goods and services.
D
focusing on certain goods and services.
3

Land is considered a resource because it

A
requires labor to be useful.
B
costs little or nothing to use.
C
is always available to use.
D
is used to produce things.
4

Which of these regulations is established at the federal level?

A
the pay for minimum-wage employees
B
the types of goods a market can sell
C
the requirements employees must meet
D
the hours a business can stay open
5

A business owner would most likely create a cooperative instead of buying a franchise because

A
cooperatives are well financed by members, while franchises must raise large sums of money to launch a business.
B
cooperatives allow all owners to share profits, while franchises are required to share profits with a parent company.
C
cooperatives give majority owners the most control, while franchises make decisions with a parent company.
D
cooperatives make it easy to accumulate supplies, while franchises come with supplier relationships already in place.
6

A chart that shows the connection between consumer demand and price is a

A
demand curve.
B
market schedule.
C
market curve.
D
demand schedule.
7

The level of investment in markets often indicates

A
the success of individual companies.
B
the stability of the government.
C
the state of the economy.
D
the stability of a currency.
8

What decisions does the business cycle help businesses make? Choose four correct answers.

A
whether to hire or lay off workers
B
whether to grow or shrink the business
C
whether to invest or save money
D
whether to stay at old facilities or move to new facilities
E
whether to keep or change products
F
whether to increase or decrease production
9

Which best describes the economic impact of defaulting on bank loans?

A
The economy suffers because businesses are scared to take out loans.
B
The economy suffers because people are scared to take out loans.
C
The economy suffers because people have less money to spend.
D
The economy suffers because banks have less money to loan to others.
10

What are some benefits to private ownership? Choose three correct answers.

A
Private ownership can make it possible for a business to earn money.
B
Private ownership might help a person move to another economic class.
C
Private ownership provides land or goods for all citizens to use.
D
Private ownership provides offices for government workers.
E
Private ownership allows a person to own goods that may increase in value.
11

What is the difference between marginal cost and marginal revenue?

A
Marginal cost is the money a producer actually earns from selling more units, while marginal revenue is the money a producer might earn from one more unit.
B
Marginal cost is the money a producer pays for making one more unit, while marginal revenue is the money a producer earns from selling one more unit.
C
Marginal cost is the money a producer might earn from one more unit sold, while marginal revenue is the money a producer will earn from one more unit.
D
Marginal cost is the money a producer earns from selling one more unit, while marginal revenue is the money a producer pays for making one more unit.
12

Companies report people to credit agencies if they

A
use large amounts of credit at once.
B
borrow too much money.
C
fail to use different types of credit.
D
fail to pay their bills on time.
14

In developed economies, less-educated workers

A
are often more highly skilled than other workers.
B
can have difficulty finding work.
C
have more jobs to choose from.
D
may be outsourced to other nations.
15

Which is the best question for Joe to ask himself when deciding whether to open a checking or savings account?

A
If I need a loan, will they give it to me?
B
Is there an ATM near my home or work?
C
Why am I opening a bank account?
D
Does the bank offer free checking?
16

What is one difference between a vocational school and on-the-job training?

A
A vocational school is usually paid for by the worker. On-the-job training is usually paid for by the employer.
B
A vocational school is usually paid for by the employer. On-the-job training is usually paid for by the worker.
C
A vocational school degree takes weeks or months to earn. On-the-job training takes two years or fewer.
D
A vocational school degree takes one year to earn. On-the-job training takes two or more years.
17

A clothing store has ordered a new supply of jeans for the fall season and wants to sell off the remaining items from the previous spring. What action would the store owner most likely take?

A
The store owner would most likely lower the price of the spring jeans to encourage producers.
B
The store owner would most likely raise the price of the spring jeans to encourage producers.
C
The store owner would most likely lower the price of the spring jeans to encourage consumers.
D
The store owner would most likely raise the price of the spring jeans to encourage consumers.
18

In which of these ways do governments spend money to meet public needs? Choose four correct answers.

A
by supporting education
B
by building roads and bridges
C
by providing health care
D
by arming the public
E
by protecting the public
20

What is one way employers get employees to participate in a 401k?

A
by requiring them to opt in if they want to participate
B
by giving them an annual pay raise
C
by giving them a signing bonus when they participate
D
by requiring them to participate unless they opt out
21

Producers hoping to earn profits supply goods and services to

A
consumers.
B
competitors.
C
debtors.
D
themselves.
22

An exchange rate table makes it easy to compare the

A
different currency denominations used by a single country.
B
cost to produce the currency used by a single country.
C
unemployment rates for two or more countries.
D
value of the currencies for two or more countries.

Did you find these answers helpful?

More from this Course

practice test
18 verified answers

Practice Test

practice test
16 verified answers

Practice Test

practice test
14 verified answers

Practice Test