The board of directors make the major decisions for the company, but they don't run the company on a ____ basis.
a) day-to-day
Disadvantages of being a sole proprietor is that:
a) you may not have enough initial investment and you may lose your personal money and property if you fail
Everything a company owns is called its: _____ These are kinds of property like buildings, cars, computers, factories, and cash.
a) Assets
One share equals one vote. So if Johnny owns 300 shares of stocks, how many times can Johnny vote.
a) 300
When two or more people own a business it is called a:
a) partnership
____ are a companies that buy products from a manufacturer or wholesaler and sells them to end users (customers), like a department store or online shop.
a) Retailers
A ____ is a unique type of partnership and is usually a group of professionals like lawyers, accountants, or other types of consultants.
a) firm
The CEO runs the company on a ___ basis. He is the top boss of everyone in the company.
a) day-to-day
Goods are things you can ____.
a) touch
Wholesalers keep their products in a giant ____.
a) warehouse
"The Wall Street Journal reports that consumer spending is down this month." means that:
a) people are not spending as much money as usual.
The ____ is the group of people (committee) who run a corporation.
a) board of directors
Net Income (sometimes just called income) Net Income =
a) Revenue - Expenses
An advantage of a corporation is that:
a) if the corporation fails, you do not lose your personal money or property
A person who owns a share of stock is called:
a) stockholder or shareholder
A ____ is someone who shops at a particular store. (specific to one store)
a) costumer
The head of the board of directors is called the ____, or just Chairman.
a) Chairman of the Board
One advantage of a sole proprietor (one owner) is:
a) more flexibility in running the company.
____ are the people who make the products.
a) Manufacturers
A company whose owners are shareholders is called a:
a) corporation
_____ is the process of getting the goods/products to the consumer.
a) Marketing distribution
A company's ____ are its goods and services.
a) products
____ are company's who buy, sell, and ship their products in bulk to the retail stores.
a) Wholesalers
When one person owns a shop he is called a:
a) sole proprietor
Only the board of directors can ____ CEO.
a) fire
Services are things you ____ for people.
a) do
The board of directors ____ the CEO.
a) appoints
A disadvantage of a corporation is:
a) the lack of flexibility and control in running the company.
The money spent on paying bills such as electricity and salaries is called:
a) expenses
An advantage of a partnership is:
a) to combine the investment and knowledge/expertise of more than one person.
All the money that comes into a company is called it's:
a) Revenue
The word ____ is an economic term used to describe all people who have money to spend (buying power).
a) consumer
The disadvantage of a partnership is:
a) similar to sole proprietorship and also you must share the business decisions with others.
Examples of goods are:
a) banana, cell phones, toys, and cars
A legal entity acting in the same capacity and with the same legal obligations as an individual is called:
a) corporation
CEO means:
a) Chief Executive Officer
____ is about more than just advertising. It's also about branding, promotion, and distribution.
a) Marketing
Owning shares of stocks means:
a) You own part of the company and can vote on company policy
Many people buy stocks for investment purposes only and do not ____ their right to vote.
a) exercise