Unit 1

Question 1

Business

Answer 1

An establishment or enterprise that supplies goods and services in exchange for some form of payment

Question 2

Marketing

Answer 2

The process of developing, processing and distributing products to satisfy the consumers’ needs and wants

Question 3

Finance

Answer 3

The study of money management, which includes saving, lending, and borrowing money

Question 4

Role of Business in a Global Society

Answer 4

A. obtain raw materials to produce goods/services B.Refine raw materials to a usable state C. Manufacture Business and consumer goods D. Market business and consumer goods E. create jobs F. Pay taxes

Question 5

Goods v. Services

Answer 5

A good is a tangible item, while a service is something done for you.

Question 6

Types of business

Answer 6

A. Product Business B. Service business C. extracting business D. Manufacturing Business E. Consumer Retail Business F. Wholesale Business

Question 7

Product Business

Answer 7

Sells a tangible item

Question 8

Service Business

Answer 8

Do something for the customer

Question 9

Manufacturing Business

Answer 9

Convert raw materials to useable production state

Question 10

Consumer Retail Business

Answer 10

Sells to people that use the product

Question 11

Wholesale Business

Answer 11

Sell to other businesses for resale purposes

Question 12

Forms of business ownership

Answer 12

A. Sole Proprietorship B.Partnership C.Corporation

Question 13

Sole Proprietorship

Answer 13

business owned by one person

Question 14

Partnership

Answer 14

business owned by two or more people

Question 15

Corporation

Answer 15

Business made up of a number of owners but authorized by law to act as a single person

Question 16

Stock

Answer 16

ownership in a corporation

Question 17

Stockholder/Shareholder

Answer 17

people that own corporation

Question 18

Limited liability

Answer 18

can only lose what is invested in stock

Question 19

Organizational Structure

Answer 19

The hierarchy of employees within a business

Question 20

Organizational functions

Answer 20

the role of each individual within a business

Question 21

Organizational Functions (list 8)

Answer 21

1.Sell 2.Buy 3. Manufacture(produce) 4.Employ(Hire, Train, and pay Employers) 5. Manage Money 6. Advertise(promote) 7.Distribution 8.Public Relations (Customer, Employee, and Community)

Question 22

Balance Sheet

Answer 22

the summary of a business’ financial position at a given point in time

Question 23

Balance Sheet Equation

Answer 23

Assets-Liabilities=owner’s Equity

Question 24

Assets

Answer 24

things of value that a business owns

Question 25

Liabilities

Answer 25

all the debts a business owes

Question 26

Owner’s Equity

Answer 26

the value of the business

Question 27

Income Statement

Answer 27

shows whether the company made or lost money during a specific period of time (monthly, quarterly, and yearly)

Question 28

Income Statement Equation

Answer 28

Sales-Cost of Goods sold=Gross Profit-operating fees=net profit-taxes=profit

Question 29

Environmental Factors

Answer 29

Laws protecting physical environment (earth)

Question 30

Environmental factors list

Answer 30

1. Extracting (scars the earth) 2. Pollution from manufacturing(air and water) 3. Old Structures 4.garbage

Question 31

Extracting

Answer 31

gas and oil drilling (horizontal drilling)

Question 32

Adapting to changing Markets

Answer 32

A. Technology B.Competition C.International Business