This quiz works best with JavaScript enabled. Home > Class 12 > Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise – Quiz 16 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 16 (25 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which is an example of competition changing the marketplace? A) A chain bookseller forcing many individual booksellers to go out of business. B) A chain hot dog restaurant failing to make a large profit. C) A chain coffee shop having no effect on individual coffee shops. D) A chain restaurant expanding its menu to include desserts. Show Answer Correct Answer: A) A chain bookseller forcing many individual booksellers to go out of business. 2. Explain how supply and demand determine the equilibrium price in a market. A) Supply and demand have no effect on equilibrium price. B) Equilibrium price is determined by government regulations. C) Equilibrium price is where supply equals demand. D) None of the above. Show Answer Correct Answer: C) Equilibrium price is where supply equals demand. 3. Which of these characteristics is TRUE of the American free enterprise system? A) Producers are forced to sell a certain quantity of items. B) Individuals can purchase goods and services that they want. C) Only the government can own and sell property. D) There is no profit motive for businesses. Show Answer Correct Answer: B) Individuals can purchase goods and services that they want. 4. A hands-off economic system in which producers and consumers are free to operate with minimal government interference or regulation: A) Economic Freedom. B) Free Enterprise. C) Economic Growth. D) Economic Stability. Show Answer Correct Answer: B) Free Enterprise. 5. Which of the following is not an enterprise? A) Micro-enterprise. B) Small enterprise. C) Medium-sized enterprise. D) Large enterprise. E) Extra small enterprise. Show Answer Correct Answer: E) Extra small enterprise. 6. ..... competition, businesses choose to compete on the basis of factors that are not related to price. A) Nonprice. B) Price. C) Cash. D) Credit. Show Answer Correct Answer: A) Nonprice. 7. What is the purpose of the Consumer Product Safety Commission as mentioned in the text? A) To regulate the prices of consumer products. B) To ensure the safety of consumer products. C) To advertise consumer products. D) To support the production of consumer products. Show Answer Correct Answer: B) To ensure the safety of consumer products. 8. True or False:The government can't take your property without just compensation. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 9. The amount of goods producers are willing to make and sell is which of the following? A) Demand. B) Business Risk. C) Profit. D) Supply. Show Answer Correct Answer: D) Supply. 10. How would you describe the first person to leave the pilgrimage? A) Known for his stylish prose. B) Known for his stylish dress. C) Known as the most pious. D) The poet's best friend. Show Answer Correct Answer: A) Known for his stylish prose. 11. What is the difference between socialism and free enterprise? A) Socialism allows for individual decisions, while free enterprise focuses on resource distribution. B) Socialism emphasizes market freedom, while free enterprise emphasizes government intervention. C) Socialism restricts market results, while free enterprise allows for freely generated market outcomes. D) Socialism and free enterprise are the same concept. Show Answer Correct Answer: C) Socialism restricts market results, while free enterprise allows for freely generated market outcomes. 12. Which of the following is NOT a characteristic of Economic Freedom? A) The right to choose your occupation. B) The right of businesses to decide what to produce. C) The right to manufacture only what government tells you. D) The right to choose your employer. Show Answer Correct Answer: C) The right to manufacture only what government tells you. 13. What is the major advantage of a paddock and shelter instead of a stall? A) Bedding is provided. B) They are cheaper to maintain. C) Horses keep cleaner. D) Weather is not a problem. Show Answer Correct Answer: B) They are cheaper to maintain. 14. A large telephone company has hired lobbyists to try to persuade lawmakers to reduce governmental regulation over the telecommunications industry. Why might the company do this? A) Some regulations are costly to implement and cut into profits. B) Many regulations promote too much competition, driving down prices. C) Certain regulations result in rapid business growth, which some companies find difficult to handle. D) All of these. Show Answer Correct Answer: A) Some regulations are costly to implement and cut into profits. 15. Economists agree that a desirable rate of unemployment should be: A) 4-6%. B) 5-7%. C) 3-4%. D) 8-10%. Show Answer Correct Answer: A) 4-6%. 16. ..... refers to obtaining money in the form of a loan or credit card. A) Spending. B) Borrowing. C) Saving. D) Income. Show Answer Correct Answer: B) Borrowing. 17. What is an example of scarcity? A) Raul has eight pairs of shoes. B) Cari brought five new pencils to school. C) Coach Johnson has two bottles of water for the team. D) The Adams family picked 15 tomatoes from their garden. Show Answer Correct Answer: C) Coach Johnson has two bottles of water for the team. 18. What determines the prices of goods in a free enterprise system? A) Supply and demand. B) Government regulations. C) Business owners' preferences. D) Consumer preferences. Show Answer Correct Answer: A) Supply and demand. 19. Consumers and sellers make decisions that benefit them and do not have worry about pleasing the government or anyone else. A) Self-Interest. B) Private Property. C) Contracts. D) Competition. Show Answer Correct Answer: A) Self-Interest. 20. What role do government programs play in transfer payments? A) They increase taxes. B) They provide a safety net for citizens. C) They reduce business profits. D) They eliminate private property. Show Answer Correct Answer: B) They provide a safety net for citizens. 21. How does a free enterprise system promote innovation? A) Through high levels of government funding for research. B) By enforcing strict regulations on new products. C) By allowing businesses to profit from their own innovations. D) By mandating collaboration between competing businesses. Show Answer Correct Answer: C) By allowing businesses to profit from their own innovations. 22. Which of the following is NOT a pillar of capitalism shown in the image? A) Private Property. B) Competition. C) Profit Motive. D) Public Welfare. Show Answer Correct Answer: D) Public Welfare. 23. A person who purchases good and services for personal use A) Producer. B) Consumer. C) Industry. D) Demand. Show Answer Correct Answer: B) Consumer. 24. Accurate records used in an equine business will: A) Cost more than it is worth. B) Encourage an IRS audit. C) Increase the need for bank loans. D) Keep taxes to a minimum. Show Answer Correct Answer: D) Keep taxes to a minimum. 25. One of the benefits of economic freedom is that it provides individuals with A) Equality in the workplace. B) The opportunity for success. C) The right to buy anything. D) A good standard of living. Show Answer Correct Answer: B) The opportunity for success. ← PreviousNext →Related QuizzesClass 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 1Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 2Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 3Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 4Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 5Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 6Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 7Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 8Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 9Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books