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1
Which of the following best describes the primary purpose of business organizations according to the text?
A
To meet the needs, wants, and demands of customers
B
To maximize profits for owners regardless of customer needs
C
To provide employment opportunities in the community
D
To compete with other businesses in the market
2
Which of the following is NOT a form of business organization mentioned in the text?
A
Corporation
B
Partnership
C
Franchise
D
Sole proprietorship
3
According to the text, business structures differ based on all of the following EXCEPT:
A
Liability
B
Degree of ownership
C
Number of employees
D
Funding sources
4
A business that extracts raw materials and processes them into finished goods would be classified under which type of business according to activity?
A
Merchandising
B
Manufacturing
C
Sole proprietorship
D
Service
5
Which of the following is an example of a merchandising business?
A
A retail store selling clothing
B
A bank offering loans
C
A law firm providing legal advice
D
A factory producing automobiles