Chapter 12 Obtaining and Laying Out Operating Facilities Answer Key
Multiple Choice Questions
1.
Which of the following statements is true of an operating system?
2.
For small businesses, the inputs of an operating system:
3.
Which of the following statements is true of the processes included in the operating
system of a small business?
4.
_____ of an operating system consist of the goods and services required by customers.
5.
Which of the following is an output of a restaurant business?
6.
_____ includes all the activities from obtaining raw materials through providing the good or
service to the buyer.
7.
Which of the following statements is true about choosing a location for a small business?
8.
Which of the following statements is true of retailers?
Learning Objective: 12-02 Discuss how to determine the right location for a small business.
9.
Learning Objective: 12-02 Discuss how to determine the right location for a small business.
_____ sell goods directly to the ultimate consumer.
10.
Learning Objective: 12-02 Discuss how to determine the right location for a small business.
_____ convert materials into products in considerable volume for others to sell to the
ultimate consumer.
11.
Which of the following statements is true about small service companies?
Learning Objective: 12-02 Discuss how to determine the right location for a small business.
12.
_____ goods are products that customers buy often, routinely, quickly and in any store that
carries them.
13.
Which of the following statements is true of convenience goods?
14.
_____ are usually higher-priced items, which are bought infrequently, and for which
customers compare prices.
15.
Shopping goods are high-priced goods that:
16.
_____ goods are usually high-priced goods with trade names that are recognized for the
exclusive nature of their clientele.
17.
Which of the following statements is true of specialty goods?
18.
Which of the following statements is true of seasonal stores in the United States?
19.
Which of the following is an example of products sold in seasonal stores?
20.
Which of the following is a characteristic of a downtown location, in the context of small
businesses?
21.
_____ are usually best for customers who have brand or company loyalty.
22.
Which of the following is true of freestanding stores in the United States?
23.
Which of the following is a characteristic of shopping centers in the United States?
24.
_____ stores are often large department stores, usually located at the ends of the arms of
a mall, where they generate heavy traffic for the small stores between them.
25.
In the context of small businesses, _____ usually involves making or processing materials
into finished goods.
26.
In the context of small businesses, _____ include the buildings, machines, and other
equipment needed to produce and distribute a product.
27.
In the context of small businesses, _____ is the use of communication media and scanners
to work from an office, home, or any location.
28.
Which of the following is an advantage of a product layout?
29.
Which of the following is an advantage of a process layout?
30.
Which of the following statements is true of setting performance standards for small
businesses?
True / False Questions
31.
In the context of small firms, operating systems in different businesses are dissimilar.
32.
An operating system consists of inputs, processes, and outputs of a small business.
33.
In the context of operating systems of small businesses, the outputs include materials,
people, money, information, and other productive factors.
34.
In the context of operating systems of small businesses, inputs consist of the goods and
services required by the customers.
35.
When a small business owner chooses a location for operations, he or she generally
expects to move every few years.
36.
Most decisions about the location of a small firm are influenced by the type of business it
conducts.
37.
Producers place primary emphasis on cost and service when deciding the location of a
business.