This quiz works best with JavaScript enabled. Home > Economy > Business > Business Economics – Quiz 6 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Business Economics Quiz 6 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What happens as a person's or economy's income rises? A) They spend less. B) They spend proportionately more. C) They save proportionately more. D) They save proportionately less. Show Answer Correct Answer: C) They save proportionately more. 2. Which business depends on just one person for the skills and talents to run the business? A) Sole Trader. B) Partnership. C) Limited Company. D) Franchise. Show Answer Correct Answer: A) Sole Trader. 3. What implication(s) does resource scarcity have for the satisfaction of wants? A) Not all wants can be satisfied. B) We will never be faced with the need to make choices. C) We must develop ways to decrease our individual wants. D) The discovery of new natural resources is necessary to increase our ability to satisfy wants. Show Answer Correct Answer: A) Not all wants can be satisfied. 4. APC stands for: A) Average Proportion to Consume. B) Average Propensity to Consume. C) Alternate Propensity to Consumption. D) Average Propensity of Consumers. Show Answer Correct Answer: B) Average Propensity to Consume. 5. Alfred Marshall 's Master piece "The Principles of Economics" in ..... A) 1969. B) 1776. C) 1932. D) 1890. Show Answer Correct Answer: D) 1890. 6. What is NOT a factor affecting consumer choice (of which g/s to buy)? A) Their taste and preference. B) Their income. C) The price of substitutes or complements. D) All of the above. Show Answer Correct Answer: D) All of the above. 7. Which of the following products will be most likely affected by an increase in income tax? A) Petrol. B) Salt. C) Jewellery. D) Bread. Show Answer Correct Answer: C) Jewellery. 8. What you make when you give something up to have something else. A) Trade-off. B) Demand. C) Needs. D) Wants. Show Answer Correct Answer: A) Trade-off. 9. A person who buys and uses goods and services. A) Wants. B) Trade-off. C) Consumer. D) Market Economy. Show Answer Correct Answer: C) Consumer. 10. A charter is a government document that gives permission to create a ..... A) Proprietorship. B) Partnership. C) Corporation. D) Franchise. Show Answer Correct Answer: C) Corporation. 11. Asda would be classified as ..... A) Small. B) Small/medium. C) Large. D) None of above. Show Answer Correct Answer: C) Large. 12. In every economic system, scarcity imposes limitations on A) Households, business firms, governments, and the nation as a whole. B) Households and business firms, but not the governments. C) Local and state governments, but not the federal government. D) Households and governments, but not business firms. Show Answer Correct Answer: A) Households, business firms, governments, and the nation as a whole. 13. Marginal utility approach was given by: A) J.R. Hicks. B) Alfred Marshall. C) Robbins. D) A.C. Pigou. Show Answer Correct Answer: B) Alfred Marshall. 14. Advantages of this type of business include:easy to start, and you can rely on a good company name and expertise. A) Sole Proprietorship. B) Partnership. C) Corporation. D) Franchise. Show Answer Correct Answer: D) Franchise. 15. This business takes raw materials and mass produces goods. Usually it uses robots, computers, assembly lines, and human labor to make goods. A) Proprietorship. B) Partnership. C) Merchandising Business. D) Manufacturing Business. Show Answer Correct Answer: D) Manufacturing Business. 16. Which of the following is a possible cause of diseconomies of scale? A) Similar businesses in the area. B) Easy access to suppliers. C) Greater distance between senior staff and shop floor workers. D) Abundance of skilled labour. Show Answer Correct Answer: C) Greater distance between senior staff and shop floor workers. 17. A country with a strong business activity that includes advanced technology and a highly educated population. A) Developing country. B) Less-developed country. C) Industrialized country. D) None of above. Show Answer Correct Answer: C) Industrialized country. 18. What is a corporate structure in the United States whereby the owners are not personally liable for the company's debts or liabilities? A) Manufacturing business. B) Corporation. C) Limited Liability Company. D) Hybrid Business. Show Answer Correct Answer: C) Limited Liability Company. 19. ..... utility is added when a business changes the form of a good or service to make it more useful. A) Possession. B) Time. C) Form. D) Place. Show Answer Correct Answer: C) Form. 20. Xiaomi launches $ 10bn Hong Kong stock market listing. A) Business news. B) Economic news. C) Microeconomics. D) Macroeconomics. Show Answer Correct Answer: A) Business news. ← PreviousNext →Related QuizzesEconomy QuizzesBusiness Economics Quiz 1Business Economics Quiz 2Business Economics Quiz 3Business Economics Quiz 4Business Economics Quiz 5Business Economics Quiz 7Business Economics Quiz 8Business Economics Quiz 9Business Economics Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books