Chemistry

Business Essentials, 9e (Ebert/Griffin)

Chapter 1 The U.S. Business Environment

1) The customs, values, and demographic characteristics of the society in which an organization functions are the principal elements of the political-legal environment.

Answer: FALSE

Explanation: These are the main considerations of the sociocultural environment. The political-legal environment reflects the relationship between business and government, usually in the form of government regulation of business.

Page Ref: 5

Difficulty: Easy

Objective: 1.2

Learning Outcome: Compare and contrast different economic systems

Skill: Concept

2) Physical resources include the data and other information used by businesses.

Answer: FALSE

Explanation: Physical resources are the tangible resources that organizations use to conduct their business such as natural resources, raw materials, offices, storage and production facilities, parts and supplies, computers and peripherals, and a variety of other equipment.

Page Ref: 8

Difficulty: Easy

Objective: 1.3

Learning Outcome: Identify the different types of technologies used in business and describe their uses

Skill: Concept

3) Economic systems differ in how factors of production are used.

Answer: TRUE

Explanation: Different types of economic systems manage the factors of production differently. In capitalism, for instance, they are managed by private individuals with capital resources, while in a command economy the government manages the factors of production.

Page Ref: 9

Difficulty: Easy

Objective: 1.3

Learning Outcome: Compare and contrast different economic systems

Skill: Concept

4) The point at which the supply curve and the demand curve intersect is the market price.

Answer: TRUE

Explanation: When demand and supply curves are plotted on the same graph, the point at which they intersect is the point at which demand matches supply, which determines the market price.

Page Ref: 12

Difficulty:...