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. The principal that exchange rates are set so that the prices of similar products in different countries are about the same






2. Organization's statement of how it will achieve its purpose in the environment in which it conducts business






3. Use of quantitative measures to evaluate a firm's financial performance - compares two elements from the same year's financial figures; computed by divided one element of a financial statement by another






4. Economy in which individuals control production and allocation decisions through supply and demand






5. Strategy by which managers in specific areas decide how best to achieve corporate goals through productivity






6. Changes the form of material so they can be consumed or used to manufacture other products






7. The company founder is no longer solely responsible for all decision making during the ____.






8. Four basic stage through which a product progresses: introduction - growth - maturity - and decline






9. Ethical or unethical behaviors by employees in the context of their jobs






10. Larger visual and multimedia ads that appear on websites






11. The practice of paying suppliers and distributors to perform certain business processes or to provide needed materials or services






12. A leadership style where managers are less directive and involved employees in decision making






13. Authority granted to committees or teams involved in a firm's daily operations






14. Very few large firms dominate the market such as coke - pepsi - GM - McDonalds






15. Behavior that does not conform to generally accepted social norms concerning beneficial and harmful actions






16. Results from the leader's ability to give or withhold rewards






17. Characteristic of centralized companies with multiple layers of management






18. Intermediary who sells products to other businesses for resale to final consumers






19. The processes and behaviors used by someone - such as a manager - to motivate - inspire - and influence the behaviors of others






20. All costs of operation that are not included under cost of goods sold






21. Acquiring funds by selling shares of a company's stock






22. Money paid to acquire something of permanent value in a business






23. Developing and implementing a firm's financial plan - monitoring cash flow - decided how to create or use excess funds - budgeting for current and future expenditures - recommending specific investments - raising capital to finance the enterpris






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






25. A business that grows products or takes raw material from nature






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






27. Assets retained for long-term use - such as land - buildings - machinery - and equipment; also referred to as property - plant - and equipment






28. Assets = liabilities + owner's equity






29. Strategic alliance in which the collaboration involves joint ownership of the new venture






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






31. Ratios that measure the effectiveness of the firm's use of its resources






32. Is a drawing that represents every job in the organization and the formal reporting relationships between those jobs.






33. Offering a temporary reduction in price






34. Flow of information - materials - and services that starts with raw-materials suppliers and continues adding value through other stages in the network of firms until the product reaches that end customer






35. Corporation whose stock is held by only a few people and is not available for sale to the general public






36. Agreement to gradually eliminate tariffs and other trade barriers among the United States - Canada - and Mexico






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






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






39. When the seller doesn't set a firm price but allows buyers to competitively bid on the products being sold






40. Within an organization essentially answers the question 'Who reports to whom?' - Specific flow of authority down through the levels of an organization's structure.






41. Systems for moving goods and services from producers to customers; also known as marketing channels






42. Product that is dissimilar from those of competitors but than can fulfill the same need






43. Broad set of organizational plans for implementing the decisions made for achieving organizational goals






44. Current assets minus current liabilities






45. Being accountable or being able to justify an action






46. Cost of goods sold = beginning inventory + net purchases - ending inventory






47. Markets focus on increasing the product's market share






48. Personal selling - advertising - direct marketing - sales promotion - public relations - social media - postsales communications






49. Planned economic system in which the government owns and operates only selected major sources of production






50. Partnership between two or more companies to closely link their brand names together for a single product