Business A Changing World Canadian 6th Edition by Ferrell - Test Bank - Updated

TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false.

1) Products have tangible attributes only.

Answer: True False

2) The goal of business activities is to earn a profit.

Answer: True False

3) Non-profit organizations, such as the Canadian Red Cross, do not have to engage in management,

marketing, or finance activities.

Answer: True False

4) Organizations such as the Special Olympics have two fundamental purposes: to earn a profit and to

accomplish social objectives.

Answer: True False

5) Profit is what it costs to make and sell a product.

Answer: True False

6) Businesses have the right to keep and use their profits as they choose, without limitations.

Answer: True False

7) Earning profits contributes to society by providing employment, which in turn provides money that

is reinvested in the economy.

Answer: True False

8) Finance is concerned with obtaining money and using it effectively.

Answer: True False

9) Owners have little responsibility to provide funds for the operation of the business.

Answer: True False

10) Managers coordinate resources to achieve organizational objectives.

Answer: True False

11) The focus of all marketing activities is customer satisfaction.

Answer: True False

12) Owners always manage their businesses themselves.

Answer: True False

13) Studying business will help you develop skills to employ in a future career, if that career takes place

in the country where you studied business topics.

Answer: True False

114) One of the best-known Canadian marketing initiatives of all time is Tim Hortons' "Roll Up the Rim

to Win" campaign.

Answer: True False

15) A central issue of economics is how to fulfill consumers' unlimited demand for goods and services

in a world with limited resources.

Answer: True False

16) Natural resources include land, minerals, water, and other gifts of nature which are not made by

humans.

Answer: True False

17) As the baby boomers, who make up roughly one-third of Canada's population, retire, Canada may

face a labour shortage in some sectors.

Answer: True False

18) Capitalism is an economic system in which the government owns and operates basic industries

while individuals own most other businesses.

Answer: True False

19) China is an example of a communist economy that exists today which satisfies Karl Marx's ideal of

communism.

Answer: True False

20) Russia, Poland, Hungary, and other Eastern European nations have turned away from communism

and toward economic systems governed by supply and demand rather than by central planning.

Answer: True False

21) The Chinese state is the largest shareholder among China's largest companies and influences

thousands of other businesses.

Answer: True False

22) Most socialist nations are democratic.

Answer: True False

23) Human resources refer only to the mental abilities of people used to produce goods and services; it

is synonymous with knowledge.

Answer: True False

24) If free enterprise is going to be successful, individuals must have the right to choose what career to

pursue, where to live, what goods and services to purchase, and more.

Answer: True False

25) Demand is the quantity of goods and services that consumers are willing to buy at different prices at

a specific time.

Answer: True False

226) The demand curve is up