162. The transition from an agricultural economy to a manufacturing economy to a service-
based economy has resulted in a serious increase in long-term unemployment.
163. One reason given for the decline in the number of U.S. workers employed in
manufacturing is that manufacturing firms in the U.S. have become more efficient.
164. The continuing increase in the number of U.S. workers in the service sector means that
more and more workers are employed in low-wage positions.
165. Historically jobs lost in one sector of the economy have been replaced by increased
employment opportunities in other sectors.
166. Dee Duction is a financial planner who helps people find ways to save for retirement and
lower their taxes. Dee is employed in the service sector of the economy.
167. After losing her manufacturing job in the U.S. automobile industry, Juanita has found that
well-paid service-sector jobs require retraining and further education.
168. An activity which seeks to earn a profit by providing a good or service is known as a(n):
169. __________ is the amount a business earns after deducting what it spends for salaries
and other expenses.
170. A business incurs a ___________ if its costs and expenses exceed its revenues.
171. __________ is the chance a business owner will lose the time and money invested in a
business that proves to be unprofitable.
172. The total amount of money that businesses take in by selling goods and services is called
______.
173. A(n) ____________ is a person who assumes the risk of starting a business.
174. Starting a business always involves ______.
175. Often in business the greater the risk, the __________.
176. ___________ is a measure of the general well-being and satisfaction derived from a
variety of factors including political freedom, safety, education, and a clean environment.
177. The amount of goods and services people can buy with the money they have is called
their:
178. The customers, employees, stockholders, suppliers, creditors, and others who stand to
gain or lose by the policies and activities of a business represent the firm’s:
179. The most important difference between for-profit businesses and nonprofit organizations
is that:
180. Last year, Adventure Enterprises reported revenues of $24 million while its total expenses
were $10 million. Based on this information, Adventure reported:
181. A common characteristic of most entrepreneurs is that they:
182. Which of the following is the best example of a business whose goal is to earn a profit?
183. In order to make an intelligent investment decision, entrepreneurs should:
184. Companies that outsource research and development and design jobs:
185. Honda and Toyota have used
insourcing
for years to produce cars in the United States.
Insourcing:
186. Public schools, charities and government agencies generally _________.
187. For-profit businesses and nonprofit organizations are similar in that they both:
188. The standard of living for a nation’s people depends mainly on:
189. World-class businesses attempt to meet the needs of:
190. Shelby recently started selling her invention: a bed that looks like it floats in mid-air. The
bed is actually suspended by magnetic forces. Shelby is a(n):
191. Ross wants to invest some money that he just inherited. He found that his bank offers a
savings account paying a guaranteed .5% rate of return. However, he would like to earn a higher
return. Ross should keep in mind that to earn a higher return on his money he:
192. Which of the following is the most accurate statement about the impact of business on
society?
193. Jane’s income has remained stable over the past few years while the prices of things she
buys have gone up. Nevertheless, Jane feels better off because the environment is cleaner, the
crime rate has declined, she has more leisure time, and the quality of medical care has improved.
If Jane’s experience is typical, we can conclude that the standard of living has:
194. Eve and her three college friends enjoy perfumes. As a special gift to each of them last
holiday season, she found a way to make scented candles with each friend’s favorite perfume
scent. The three friends loved her gift idea and encouraged Eve to create more and sell them
online. Recently, she is filling orders from her website, and turning a profit. Eve is proof that:
195. Planet Earth Developers is a large nationwide construction company with home offices in
Lansing, MI. The local media often remarks about the pristine landscaping that surrounds the
home office that sits on a 30-acre complex. At the back end of the complex are several large
warehouses and garages that hold large equipment. The grounds surrounding these warehouses
look like a well-maintained park. Across the street from the garages are several shops and
businesses. The CEO, “Planet Paul” (as his employees call him), often talks about how thankful
he is that the town permits him to store the company equipment at that site, and vows to always
maintain the premises for his neighbors (the other businesses that thrive in that area), not to
mention that he asks 100 employees to come to work there everyday. Which of the following
statements describes Planet Paul’s business philosophy?
196. The growth of Hispanic-owned businesses:
197. How is the profile of business owners changing?
198. The number of businesses owned by Hispanics and Asians has:
199. Which of the following entails the greatest amount of risk?