| A | B |
|---|
| Often in business the greater the risk, the greater the | potential reward |
| If revenue is $1,000 and and expenses are $300 what is net profit/loss | $700 net profit |
| economic system in which individuals and businesses make the decisions about what to produce and what to buy, and the market determines how much is sold at what prices | market |
| the strategy of using borrowed funds to increase the rate of return for stockholders | Leverage |
| two consecutive three-month periods of decline in a country's gross domestic product. | recession |
| customers, employees, stockholders, suppliers, creditors, and others who stand to gain or lose by the policies and activities of a business | stakeholders |
| If the demand for a product declines, what happens to the price of the product | price decreases. |
| resources that contribute to the creation of wealth | factors of production |
| small firm can demonstrate THIS by donating all reusable and recyclable goods and having a neighborhood clean-up day | corporate social responsibility |
| telling about your company's unethical practices to the press for instance | whistle-blowing |
| THIS behavior covers a wider range of conduct than legal behavior. | ehtical |
| government agency with the power to investigate complaints of discrimination and to sue firms practicing employment discrimination | Equal Employment Opportunity Commission(EEOC) |
| Type of competitive market where companies produce similar, but not identical, products. | monopolistic competition |
| By definition, every country has THIS type of advantage in some product | comparative |
| Purchasing products or materials in other nations and bringing them into one's own country | importing |
| a statistic used to compute the pace of inflation or deflation | consumer price index |
| import restriction based on the number of items allowed to be imported in a year | import quota |
| contractual agreement where one firm gives another permission to produce and market its product and brand name in exchange for a fee | Licensing |
| the differences among people in a work force | Cultural diversity |
| THIS agency manages the U.S. money supply and interest rates | Federal Reserve Bank (the Fed) |
| a firm that has made sizeable investments and has a physical presence in several foreign countries as a manufacturer and marketer of products and services | multinational corporation |
| three countries participating in NAFTA | Canada, Mexico, and the United States |
| simplest form of business owned and operated by one person | sole proprietorship |
| THIS form of business ownership is taxed as an individaul NOT double taxed like corporations | sole proprietorships |
| the owner is responsible for all business debts | Unlimited liability |
