This quiz works best with JavaScript enabled. Home > Class 12 > Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise – Quiz 18 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Entrepreneurship Chapter 7 Managing A Growing Enterprise Quiz 18 (21 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Economic stability is the idea that the government will work towards full employment and stable prices. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 2. What are the characteristics of free enterprise? A) Central planning, public ownership of property, and fixed distribution of goods and services. B) Private property rights, voluntary contracts, and competitive bidding. C) Government interference in business and the economy. D) Decentralized knowledge among bureaucrats. Show Answer Correct Answer: B) Private property rights, voluntary contracts, and competitive bidding. 3. What is the role of wholesalers in a private enterprise system? A) To sell products they have purchased from amanufacturer directly to consumers. B) To purchase goods from a manufacturer toresell them to a retailer. C) To provide services to the economy. D) They extract natural resources. Show Answer Correct Answer: B) To purchase goods from a manufacturer toresell them to a retailer. 4. In this type of economy, the goods and services produced are for the producers own consumption (they don't sell the goods to earn a profit): A) Command Economy. B) Competition. C) Traditional Economy. D) Scarcity. Show Answer Correct Answer: C) Traditional Economy. 5. What type of distribution channel uses intermediaries to resell the product to the consumer? A) Direct Channel. B) Indirect Channel. C) Specialty Channel. D) Sports Channel. Show Answer Correct Answer: B) Indirect Channel. 6. In order to make its products stand out from those of its competitors, a small chocolate manufacturer produces organic, gluten free, chocolate bars. This is classed as adding value through: A) Customer service. B) A unique selling point. C) Branding. D) Convenience. Show Answer Correct Answer: B) A unique selling point. 7. These are commodities or services that are provided without profit for all members of society A) Public Goods. B) Private Goods. C) Public Utilities. D) None of the above. Show Answer Correct Answer: A) Public Goods. 8. What is the term used when the supply is low and the demand is high? A) Equilibrium. B) Surplus. C) Scarcity. D) Excess. Show Answer Correct Answer: C) Scarcity. 9. A government which uses a free enterprise system of economics allow its citizens to A) Start their own business. B) Purchase goods wherever they want. C) Spend their money as they please. D) All of the above. Show Answer Correct Answer: D) All of the above. 10. What are the benefits of competition? A) New Ideas. B) Improve product Quality. C) Cheaper Products. D) All of the above. Show Answer Correct Answer: D) All of the above. 11. Which f the following is NOT an essential economic question? A) What are we going to produce?. B) Where will products be sold?. C) How are we going to produce it?. D) Who is going to consume it?. Show Answer Correct Answer: B) Where will products be sold?. 12. A situation where the market does not distribute resources efficiently is A) A private sector problem. B) A positive externality. C) A negative externality. D) A market failure. Show Answer Correct Answer: D) A market failure. 13. The price of a movie ticket goes from $ 7 to $ 8.50. What should happen to the demand for this movie ticket? A) Go Up. B) Go Down. C) Demand will stay the same. D) None of the above. Show Answer Correct Answer: B) Go Down. 14. The disadvantage(s) of free enterprise capitalism is (are) A) Uneven economic growth. B) Growing gaps between rich and poor. C) Large "supply side" tendencies. D) All answers are disadvantages of free enterprise capitalism. Show Answer Correct Answer: D) All answers are disadvantages of free enterprise capitalism. 15. How many employees does a small enterprise have? A) Between 0-9. B) Between 10-45. C) Between 50-80. D) Between 10-49. Show Answer Correct Answer: D) Between 10-49. 16. What is a key feature of a free enterprise economy? A) Government ownership of businesses. B) Central planning of production. C) Private property rights. D) Restricted market entry. Show Answer Correct Answer: C) Private property rights. 17. Taxation is based on one's income in the US. This protection can be found in: A) 1st amendment. B) 18th amendment. C) 16th amendment. D) 14th amendment. Show Answer Correct Answer: C) 16th amendment. 18. What is the part of the economy that involves the transactions of the government? A) Macroeconomics. B) Microeconomics. C) Public Sector. D) Private Sector. Show Answer Correct Answer: C) Public Sector. 19. Economic system in which individuals and businesses are allowed to compete for profit with minimum government interference A) Free trade. B) Supply. C) Natural resources. D) Free enterprise. Show Answer Correct Answer: D) Free enterprise. 20. What advantage does a free enterprise system offer to entrepreneurs? A) Guaranteed government contracts for all new businesses. B) Fixed profit margins to reduce financial risk. C) The opportunity to innovate and meet market needs. D) Mandatory consumer purchase of their products. Show Answer Correct Answer: C) The opportunity to innovate and meet market needs. 21. What type of economic system does the United States have? A) Command economy. B) Mixed economy. C) Free enterprise system. D) Traditional economy. Show Answer Correct Answer: C) Free enterprise system. ← PreviousRelated 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