Test your basic knowledge |

Business Fundamentals

Subject : business-skills
Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Pricing selling one product at a loss as a way to entice customers to consider other products






2. Selling or supporting the sales process over the telephone






3. Ratio between net income after taxes and total owners' equity; also known as return on equity






4. Cost of producing or acquiring a company's products for sale during a given period






5. Products having nonphysical features - such as information - expertise - or an activity that can be purchased






6. Done in conjunction with budgeting. Develops departmental maintenance and improvement goals for the coming year.






7. Charging a high price for a new product during the introductory stage and lowering the price later






8. Occurs when widespread price increases occur throughout an economic system






9. Act of obtaining a desired object or services from another party by offering something of value in return






10. The process of examining an organization's current marketing situation - assessing opportunities and setting objectives - then developing a marketing strategy to reach those objectives






11. Total value of all goods and services produced within a given period by a national economy through domestic factors of production






12. Governing body of a corporation that reports to its shareholders and delegates power to run its day-to-day operations while remaining responsible for sustaining its assets






13. Specific customer groups or segments to whom a company wants to sell a particular product






14. Helps companies set goals - develop new products - segment markets - plan future marketing programs - evaluate the effectiveness of a marketing program - keep an eye on competition - and measure customer satisfaction






15. Measures of the extent to which a business is financed by debt as opposed to invested capital - calculated by dividing the company's total liabilities by owners' equity






16. Building a specific and unique product to meet the needs of one consumer






17. Complete list of all products that a company offers for sale






18. Acquiring funds through borrowing






19. Demographics - psychographics - and geographics






20. Help identify and distinguish the product - provide information about the product such as ingredients - shelf life - operating procedures - and UPC codes which are used for scanning sales information and monitoring inventory and pricing






21. Obtain goods they cannot produce - reflect comparative advantage - and create jobs






22. Categorization of customers according to their relationship with products or response to product characteristics






23. Because production occurs continuously throughout the year - the 3-M company can best be described as using ____.






24. Study of statistical characteristics of a population






25. Law created by consistitution(s) or by federal - state - or local legislative acts






26. Obligation employees have to their manager for the successful completion of an assigned task






27. The amount of money charged for a product or service






28. Difference between a person's actual state and his or her ideal state; provides the basic motivation to make a purchase






29. Amount earned from sales of goods or services and inflow from miscellaneous sources such as interest - rent - and royalties






30. Type of partnership consisting of limited partners and a general (or active) partner






31. This level of management includes department heads and district sales managers.






32. Business that is legally considered an entity separate from its owners and is liable for its own debts; owners' liabilities extend to the limits of their investments






33. A period during which aggregate output - as measured by GDP - declines






34. Obligations that fall due more than a year from the date of the balance sheet - Loans - leases - and bonds






35. Represents how many employees the manager is responsible for in the organization - Narrow spans of control allow managers to be much more hands-on with employees.






36. Alternative plans to be implemented if uncontrollable event occur






37. This law guards against false advertising.






38. Brands that have been given legal protection so that their owners have exclusive rights to their use






39. Expensive - rarely purchased good or service






40. Offering a temporary reduction in price






41. Arrangement in which a buyer (franchisee) purchases the right to sell the good or service of the seller (franchiser)






42. Process for evaluating proposed investments in select projects that provide the best long-term financial return






43. Systematic direction and control of the processes that transform resources into finished products that create value for and provide benefits to customers






44. A large number of identical products are assembled using a continuous - efficient procedure






45. Management process of determining how to best arrange an organization's resources and activities into a coherent structure






46. Gathering of media representatives at which companies announce new information; also called a press conference or press briefing






47. Objective that a business hopes and plans to achieve






48. profitability - liquidity - activities - and leverage/debt






49. Measure of the time a company takes to turn its inventory into sales - calculated by divided cost of goods sold by the average value of inventory for a period






50. Physical products purchased by companies to produce other products