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BUSN 101 Exam Questions With Revised
Answers
What policies tend to favor business? - answer✔✔minimal government spending because it
keeps taxes to a minimum
Employers provide tools and technology for their employees in order to - answer✔✔improve
their efficiency and productivity.
Efficiency means - answer✔✔producing goods and services using the least amount of resources.
When we compare the factors of production in wealthy versus poor nations, we find -
answer✔✔wealthy nations have knowledge and entrepreneurial opportunities, while poor nations
are often lacking in these areas. (The factors of production known as knowledge and
entrepreneurship contribute toward a nation's opportunity to innovate and create new products
and services. Entrepreneurs use their knowledge to grow their businesses and increase wealth.)
Often in business the greater the risk, the - answer✔✔greater the potential reward.
Starting a business always involves - answer✔✔risk.
Public schools, charities, and government agencies generally - answer✔✔do not seek to earn a
profit. (Although schools, charities, and government agencies often provide goods and services,
they do not seek a profit. Therefore, they are nonprofit organizations rather than businesses.)
__________ refers to the amount of output generated with a given amount of input, e.g., the
number of pizzas produced per worker per hour. - answer✔✔Productivity
__________ means producing items using the least amount of resources. - answer✔✔Efficiency
In order to make an intelligent investment decision, entrepreneurs should - answer✔✔compare
the risks of potential investments to their expected profits and find the right balance between
profit and risk. (Those companies with high risk also often possess the potential for high profits.
Entrepreneurs must weigh risk and profit and find the right balance.)
A(n) __________ is a person who assumes the risk of starting a business. -
answer✔✔entrepreneur
BUSN 101 Exam Questions With Revised
Answers
What policies tend to favor business? - answer✔✔minimal government spending because it
keeps taxes to a minimum
Employers provide tools and technology for their employees in order to - answer✔✔improve
their efficiency and productivity.
Efficiency means - answer✔✔producing goods and services using the least amount of resources.
When we compare the factors of production in wealthy versus poor nations, we find -
answer✔✔wealthy nations have knowledge and entrepreneurial opportunities, while poor nations
are often lacking in these areas. (The factors of production known as knowledge and
entrepreneurship contribute toward a nation's opportunity to innovate and create new products
and services. Entrepreneurs use their knowledge to grow their businesses and increase wealth.)
Often in business the greater the risk, the - answer✔✔greater the potential reward.
Starting a business always involves - answer✔✔risk.
Public schools, charities, and government agencies generally - answer✔✔do not seek to earn a
profit. (Although schools, charities, and government agencies often provide goods and services,
they do not seek a profit. Therefore, they are nonprofit organizations rather than businesses.)
__________ refers to the amount of output generated with a given amount of input, e.g., the
number of pizzas produced per worker per hour. - answer✔✔Productivity
__________ means producing items using the least amount of resources. - answer✔✔Efficiency
In order to make an intelligent investment decision, entrepreneurs should - answer✔✔compare
the risks of potential investments to their expected profits and find the right balance between
profit and risk. (Those companies with high risk also often possess the potential for high profits.
Entrepreneurs must weigh risk and profit and find the right balance.)
A(n) __________ is a person who assumes the risk of starting a business. -
answer✔✔entrepreneur
