1 A manager at GE wants to make facility improvements to lower energy consumption at their factories. Which of the following most likely achieves that goal?

a)

Give employees the day off to participate in a volunteer park cleanup

b)

Only source raw materials that are certified as free of lead

c)

Install solar panels on the roof of the factory

d)

Begin a recycling campaign at the factory

e)

Redesign their line of consumer washing machines to use 30% less water

2 Which of the following is true about sustainability strategies?

a)

It is unfair to expect companies will use natural resources to create the goods and services society wants and needs.

b)

Use of alternative energy has the goal of increasing waste.

c)

Product design improvements are often made with the goal of increasing energy consumption.

d)

As companies grow, their impact on our natural environment becomes less prominent.

e)

As awareness of environmental issues has increased, many companies have made increased efforts to implement sustainable business practices.

3 As the United States increases exports of aircraft, you could expect:

a)

prices of aircraft to decrease.

b)

the unemployment rate in the United States to increase.

c)

an increase in access to resources.

d)

increased jobs and income in the United States.

e)

the United States to shift their production resources to higher-value products.

4 What are two benefits of importing?

a)

More consumer choice, lower consumer prices

b)

Less access to resources, higher consumer prices

c)

Higher consumer prices, increased access to resources

d)

Less access to resources, lower consumer prices

e)

Lower consumer prices, less consumer choice

5 The US Department of Commerce likely raised tariffs on Chinese solar-product manufacturers in an effort to:

a)

completely halt the import of Chinese solar-products into the United States.

b)

help US consumers of solar products.

c)

put a limit on the number of Chinese solar products imported by US consumers.

d)

give US solar-product manufacturers an opportunity to gain market share.

e)

make it cheaper for US consumers to buy solar products from China.

6 Someone in support of trade restrictions would argue that:

a)

trade restrictions reduce the number of domestic jobs.

b)

trade restrictions can protect new or weak industries.

c)

trade restrictions enhance consumer choices.

d)

trade restrictions can damage national security.

e)

trade restrictions damage the health of citizens in your country.

7 The primary objective of the World Trade Organization is to:

a)

reduce barriers to trade worldwide.

b)

provide low-interest loans.

c)

promote the invention of new technologies.

d)

help developing countries build a viable economy.

e)

provide technical assistance to developing countries.

8 Who are the members of NAFTA?

a)

The United States, Canada, and the United Kingdom

b)

Greenland, Iceland, and Canada

c)

Guatemala, Honduras, and Mexico

d)

The United States, Canada, and Mexico

e)

The United States, Mexico, and Japan

9 The simplest form of business owned and operated by one person is called a(n):

a)

syndicate.

b)

franchise.

c)

S-corporation.

d)

sole proprietorship.

e)

partnership.

10 Marquez is interested in starting his own business. He has sufficient funds to start up the business but if it becomes as successful as he believes it will, he'll need to secure significant additional funding. Which question should Marquez ask himself?

a)

How will day-to-day management decisions be made?

b)

Will the business have additional owners or investors in the future?

c)

Is this really a business or just a money-making hobby?

d)

Which ownership structure will minimize the tax burden for the company and for me?

e)

How risky is this businesS

11 A growing pizza restaurant was originally formed as a sole proprietorship because it was based on the owner's family recipe. The restaurant has become so popular that several wealthy people have inquired about investing money to help the business open more locations. If the owner had known there would be an opportunity to sell shares of the company in exchange for investment capital, he would have chosen a(n):

a)

LLC.

b)

syndicate.

c)

corporation.

d)

joint venture.

e)

partnership.