Question 1

You supervise a team at work, but morale has been low lately. In business class you are learning about various techniques for motivating employees to perform at a higher level. After trying some of these techniques at work, you notice the team is performing better and customers are happier. As a result, upper management decides to put you in charge of an additional location. In this case, what you learned in business class helped you in doing which of the following?

Accepted Answer

Learning techniques for motivating employees in business class improved the supervisor's skills in managing their team, resulting in better performance and happier customers. This ultimately led to a promotion and improved career opportunities.

Question 2

In business class you really enjoy learning about balance sheets and income statements and how those documents can help analyze a company's financial position. You decide you will major in accounting and become a certified public accountant. In this case, what you learned in business class helped you to do which of the following?

Accepted Answer

Learning about balance sheets and income statements in business class helped the individual to choose a career in accounting and become a certified public accountant.

Question 3

GM once employed thousands of people in Ontario. For a variety of reasons GM closed factories or moved them to different locations. As a result, thousands of people were laid off and not able to find jobs that paid as well. This is an example of which of the following?

Accepted Answer

Social disruption, as the closure of factories and relocation of jobs resulted in thousands of people losing their jobs and facing economic hardship.

Question 4

How can the relationship between sales and profits be written?

Accepted Answer

The relationship between sales and profits can be written as sales revenue minus expenses equals profit. This is because profit is what is left over after all expenses have been subtracted from sales revenue.

Question 5

Oil- and gas-producing companies, eager to find additional sources of oil and gas, began using hydraulic fracturing, or "fracking," to help stimulate the release of oil and gas underground. Fracking is controversial as the water and chemicals used in the process can contaminate ground and surface water. In addition, fracking may trigger earthquakes. Companies that utilize fracking are likely to cause which social concern?

Accepted Answer

Fracking poses both health and safety risks (such as contaminated water) and environmental damage (such as potential earthquakes).

Question 6

Merck, a global pharmaceutical company, donates its pharmaceuticals and vaccines in support of disaster relief and emergency situations worldwide through the Merck Medical Outreach Program (MMOP). This is an example of providing which benefit to society?

Accepted Answer

Merck's donation of pharmaceuticals and vaccines to support disaster relief and emergency situations worldwide through the Merck Medical Outreach Program is an example of charitable giving, which provides a benefit to society by supporting important causes and helping those in need. While other choices such as paying taxes, contributing to economic growth, and providing employment can also have a positive impact on society, they are not directly related to the specific act of charitable giving.

Question 7

You would like to use some of your savings to purchase shares in a local company. You've narrowed your decision to two companies. You remember from your business class that it is better for a company to have a higher return on sales than a lower one. Which benefit of studying business does this understanding demonstrate?

Accepted Answer

Understanding the importance of higher return on sales helps you be a more informed investor, which is a benefit of studying business.

Question 8

The Dairy Diner's profits are down from the previous quarter. Which of the following would NOT be an explanation for the decrease in profits?

Accepted Answer

If expenses decreased while sales revenue stayed the same, that would typically result in an increase in profits, not a decrease. Therefore, A would not be a valid explanation for the decrease in profits.

Question 9

When a firm's sales revenues are greater than its expenses, what has the firm earned?

Accepted Answer

A firm has earned a profit when its sales revenues are greater than its expenses. A profit is the amount of money that remains after deducting expenses from revenues. It is a measure of a firm's financial success and can be used to reinvest in the business or distribute to shareholders.

Question 10

Which of the following best demonstrates how studying business can help improve your career?

Accepted Answer

You learn about business and management best practices, which can help you improve your performance in your current role and prepare you for future leadership positions.

Question 11

You prefer to purchase products from a certain retailer over others because it donates a percentage of its profits to community organizations. This demonstrates which benefit of studying business?

Accepted Answer

Studying business can help individuals become more informed and educated consumers, as well as more influential members of their communities. In this scenario, the individual's decision to support a retailer that donates a percentage of its profits to community organizations demonstrates how studying business can help individuals become more socially responsible and engaged individuals in their communities.

Question 12

In business class you learn that a leading manufacturer of kitchen products uses more expensive raw materials than its competitors, but as a result the products last much longer. Learning about trade-offs like this can help you in doing which of the following?

Accepted Answer

Learning about trade-offs between different products and companies can help one become a more informed consumer and investor, as it allows for better decision-making when it comes to purchasing, investing, and comparing different options in the market.

Question 13

In the course of a year, Canadian businesses pay billions of dollars in taxes to federal, provincial, and municipal governments. How does this benefit society?

Accepted Answer

When businesses pay taxes, the government is able to fund public services and programs that improve the quality of life for citizens, such as healthcare, education, and infrastructure. This in turn creates a safer and more stable society, which benefits everyone. Additionally, businesses that pay taxes are typically contributing to the economy and providing jobs, which can also improve overall quality of life.

Question 14

If Nike offers a variety of shoe styles, upgrades its shoes to last longer, and begins utilizing more environmentally friendly glues in its manufacturing process, this is an example of the company benefiting society in what way?

Accepted Answer

By offering a variety of shoe styles, upgrading shoes to last longer, and utilizing more environmentally friendly glues, Nike is providing valuable products to consumers.

Question 15

Which of the following is a benefit of business in society?

Accepted Answer

Adding jobs to the community is a benefit of business in society as it helps to reduce unemployment, increase income, and improve the standard of living in the community. Using unsafe materials, avoiding taxes, and offering defective products are all negative impacts of business in society.

Question 16

Canadian businesses contribute to communities in many different ways. Which of the following is NOT one of those ways?

Accepted Answer

Raising the standard of living is actually a way in which Canadian businesses contribute to communities. They do so by providing jobs, generating economic growth, and investing in infrastructure and services that benefit the community. Therefore, the correct answer is D - raising the standard of living is not one of the ways in which Canadian businesses do not contribute to communities.

Question 17

During 2019, Luxury Jewellery Inc. had sales revenues of $1,500,000. This retailer also had expenses that totalled $800,000. What is the firm's profit or loss amount?

Accepted Answer

To find the profit or loss amount, we need to subtract the expenses from the sales revenues: 
Profit/Loss = Sales Revenues - Expenses 
Profit/Loss = $1,500,000 - $800,000 
Profit/Loss = $700,000 Therefore, the correct answer is D) $700,000.

Question 18

Aiden just graduated with a degree in business. The local insurance company has experienced tremendous growth and profits in the last three years. As a result, they are expanding, and Aiden immediately gets the opportunity to work in the claims department. If all goes well, he'll move up to management next year. This is an example of the insurance company providing what benefit to society?

Accepted Answer

The insurance company's expansion and hiring of Aiden provides increased employment, which is a benefit to society.

Question 19

Under Armor uses a number of different fabrics in its clothing designed to be moisture wicking, regulate body temperature, or provide support. This is an example of providing what benefit to society?

Accepted Answer

Under Armor's use of specialized fabrics to enhance clothing functionality offers valuable products to consumers by meeting specific needs such as moisture wicking and temperature regulation.

Question 20

The vast majority of businesses in Canada have approximately how many employees?

Accepted Answer

According to Statistics Canada, as of December 2020, 97.9% of businesses in Canada had fewer than 100 employees.

Quiz 1: Exploring the World of Business and Economics