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. Profit earned or loss incurred by a firm - determined by subtracting expenses from revenues; also called the bottom line






2. Choosing one alternative from among several options






3. Statement or document that defines the direction and scope of the promotional activities that a company will use to meet its marketing objectives






4. Planning and control tool that reflects expected revenues - operating expenses - and cash receipts and outlays






5. Are a more complex form of organizational design that tries to take advantage of two types of structures at the same time. - The matrix represents a combination of a functional structure and a product structure.






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






7. Offering several products for a single price that is presumably lower than the total of the products' individual prices






8. Provides protection for the product - makes products easier to display - and attracts attention






9. Physical products purchased by companies to produce other products






10. Effective acquisition and use of money






11. A period where demand begins to decrease - businesses lower production of goods and services - unemployment begins to rise - and GDP growth slows for two or more quarters






12. Assets - liabilities = owner's equity


13. Introducing a new product at a low price in hopes of building sales volume quickly






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






15. Any things of value owned or leased by a business such as equipment - cash - land - buildings - inventory - investments - patents - and copyrights






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






17. Strategu for determining a firm's overall attitude toward growth and the way it will manage its business or product lines






18. Something that the employee dislikes is taken away






19. A detailed series of related steps or tasks written to implement a policy is called a ____.






20. Start with the cost of producing a good or a service and then add a markup to the cost of the product to produce a product






21. Individuals or households that buy goods and services for personal use






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






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






24. Cash and items that can be turned into cash within one year






25. The process in which managers and their employees jointly set objectives for the employees - periodically evaluate performance - and reward according to the results






26. Advertising intended to remind existing customers of a product's availability and benefits






27. Ratio between net income after taxes and net sales; also known as profit margin






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






29. Study of statistical characteristics of a population






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






31. Partner who does not share in a firm's management and is liable for its debts only to the limits of said partner's investment






32. Skills in defining problems and selecting the best courses of action






33. Obligations that must be next within a year






34. Activities producing tangible products such as radios - newspapers - buses and textbooks






35. Marketing approach in which firms first ask permission to deliver messages to an audience and then promise to restrict their communication efforts to those subject areas in which audience members have expressed interest






36. Organization for economic - social - and security cooperation among European nations






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






38. Hybrid of a closely held corporation and a partnership - organized and operated like a corporation but treated as a partnership for tax purposes






39. Strategies developed and implemented by managers in marketing - operations - human resources - finance - and other departments






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






41. The movement of an economy from one condition to another and back again






42. By making changes in policies or resolving conflicts in the workplace - a manager is working within his or her ____.






43. Alternative plans to be implemented if uncontrollable event occur






44. Gross domestic product (GDP) adjusted to account for changes in currency values and price changes






45. Assets = liabilities + owner's equity






46. Marketing efforts to attract people and organizations to a particular geographical area






47. A ____ is an agreement between two parties to carry out a transaction - such as the sale of goods from a seller to buyer.






48. The ability to carry out a task






49. Promotional strategy that stimulates consumer demand - which then exerts pressure on wholesalers and retailers to carry a product






50. Advertising that appears on various items such as coffee mugs - pens - and calendars - designed to help keep a company's name in front of customers