Question

Question

1
Question
2
A)
Which of the following are benefits enjoyed by sole proprietorships? Select the two correctanswers.
(1 point)
unlimited liability
limited liability
earning goes directly to the owner
easy access to credit
control of decision-making
A)
Which of the following statements is true about sole proprietorships?
(1 point)
A sole proprietorship is the simplest form of business organization.
The owner of the sole proprietorship must report to shareholders.
The owner of the sole proprietorship has limited liability.
A sole proprietorship can continue if the owner dies.
Question
3
Question
4
A)
Which of the following is a characteristic of general partnerships?
(1 point)
The partners have limited liability.
Each partner has different rights when representing the partnership.
The partnership has limited life.
One person is the owner of a general partnership.
A)
What primary responsibility do the shareholders of a corporation have?
(1 point)
electing a board of directors
hiring management to oversee production
overseeing production
providing their own labor for the production process
Question
5
Question
6
A)
You have recently discovered that a local business has been designated 501(c)(3). Which ofthe following must be true?
(1 point)
The business is a public charity.
The business has federal tax exemptions.
The business is a private foundation.
The business does not earn profits.
A)
Which of the following benefits do franchisees enjoy over other small business owners? Selectthe two correct answers.
(1 point)
Franchises have a lower 5-year failure rate than other small businesses.
Franchises have lower start-up costs than other small businesses.
Franchises have more control over the goods and services that they provide.
Franchises benefit from the successful marketing provided by franchisors.
Franchises are less expensive to operate than other small businesses.
Question
7
Question
8
A)
Which of the following is a benefit to you of your charitable giving?
(1 point)
the value of the money that you donated
an income tax deduction you become eligible for
the inability to use the property donated for yourself
the inability to use the money donated to buy something for yourself
A)
Which of the following could explain the relatively high wages earned by certain medicalprofessionals, like nurse practitioners and physicians?
(1 point)
The training and certifications required for these professions lead to a relatively high quantity of labor
supplied at any given wage.
The age of our population leads to a relatively low quantity of labor demanded at any given wage.
The training and certification required for these professions lead to a relatively low quantity of labor
supplied at any give wage.
The age of our population leads to a relatively high quantity of labor supplied at any given wage.
Question
9
Question
10
A)
The Bureau of Labor statistics identifies a trend in the labor market for doctors, where wageshave increased significantly over the past several years. As a result of this trend, more individualswithin the economy enter the labor market to become doctors. How does this influence wages andemployment within the labor market?
(1 point)
The market equilibrium wage will increase, and the equilibrium quantity of labor will increase.
The market equilibrium wage will decrease, and the equilibrium quantity of labor will increase.
The market equilibrium wage will increase, and the equilibrium quantity of labor will decrease.
The market equilibrium wage will decrease, and the equilibrium quantity of labor will decrease.
A)
In arbitration, what do leaders of the labor union and the representatives of companymanagement agree to?
(1 point)
to bring a third party into their negotiations who will help them negotiate, but who does not have the
power to make binding decisions
to negotiate with one another and to understand that management reserves the right to make
binding decisions for both parties
to negotiate with one another and to understand that the labor union reserves the right to make
binding decisions for both parties
to bring a third party into their negotiations who has the ability to make binding decisions
Question
11
Question
12
A)
Which of the following describes the primary difference between craft and industrial unions?
(1 point)
Workers from labor-intensive fields (like manufacturing and agriculture) form industrial unions, not
craft unions.
Workers of a particular trade, not an entire industry, form a craft union.
Workers from labor-intensive fields (like manufacturing and agriculture) form craft unions, not
industrial unions.
Workers of a particular trade, not an entire industry, form an industrial union.
A)
Explain one way in which hiring an additional worker could lead to an increase in humancapital.
(1 point)
Hiring an additional worker could lead to an increase in human capital if the worker were able to
produce more output per number of labor hours worked than other workers.
Hiring an additional worker alone will lead to an increase in human capital.
Hiring an additional worker could lead to an increase in human capital if the worker were to bring
new skills and experience that can be taught to other workers.
Hiring an additional worker could lead to an increase in human capital if the firm were able to make a
profit from the productivity of the new worker.
Question
13
A)
Which of these never has to be paid back?
(1 point)
student loan
work-study
scholarship
private bank loan
Question
14
A)
Compare general, limited, and limited liability partnerships. Formulate reasons as to why agroup of prospective partners might choose each.
(4 points)
    
Short Answer Rubric (4 points)
PointsAwarded
Criteria
4
The answer is very clear.
The answer is fully supported by details.
There may be a few errors in grammar, usage, or mechanics. Errors do not interfere withmeaning.
3
The answer is mostly clear.
The answer is supported by mostly relevant details.
There are a few errors in grammar, usage, or mechanics. Errors do not interfere withmeaning.
2
The answer is somewhat clear.
Details are weak or not related.
There are some errors in grammar, usage, and mechanics. Errors interfere with meaning.
1
The answer is not clear.
There are few or no supporting details.
There are many errors in grammar, usage, and mechanics. Errors interfere with meaning.
0
The question is not answered.
Question
15
A)
In one to two sentences, use the concepts of quantity of qualified providers and level ofdemand for labor to explain which occupations are likely to experience the lowest wages.
(2 points)
    
Short Answer Rubric (2 points)
PointsAwarded
Criteria
2
The answer is very clear.
The answer is fully supported by details.
There may be a few errors in grammar, usage, or mechanics. Errors do not interfere withmeaning.
1
The answer is somewhat clear.
Details are weak or not related.
There are some errors in grammar, usage, and mechanics. Errors interfere with meaning.
0
The question is not answered.
Question
16
A)
In one to two sentences, explain why workers who are engineers have either skilled orunskilled labor, and whether they would command high or low wages.
(2 points)
    
Short Answer Rubric (2 points)
PointsAwarded
Criteria
2
The answer is very clear.
The answer is fully supported by details.
There may be a few errors in grammar, usage, or mechanics. Errors do not interfere withmeaning.
1
The answer is somewhat clear.
Details are weak or not related.
There are some errors in grammar, usage, and mechanics. Errors interfere with meaning.
0
The question is not answered.
Question
17
A)
In one to two sentences, use an example to explain what the learning effect is and how itworks.
(2 points)
    
Short Answer Rubric (2 points)
PointsAwarded
Criteria
2
The answer is very clear.
The answer is fully supported by details.
There may be a few errors in grammar, usage, or mechanics. Errors do not interfere withmeaning.
1
The answer is somewhat clear.
Details are weak or not related.
There are some errors in grammar, usage, and mechanics. Errors interfere with meaning.
0
The question is not answered.

Answer 1

Here are the answers to the multiple-choice questions along with brief explanations, followed by suggestions for the short answer questions:

Multiple Choice Answers

Question 1
Benefits enjoyed by sole proprietorships:

• Earning goes directly to the owner
• Control of decision-making

Question 2
True statement about sole proprietorships:

• A sole proprietorship is the simplest form of business organization.

Question 3
Characteristic of general partnerships:

• The partnership has limited life.

Question 4
Primary responsibility of the shareholders of a corporation:

• Electing a board of directors

Question 5
True about a business designated 501(c)(3):

• The business has federal tax exemptions.

Question 6
Benefits franchisees enjoy over other small business owners:

• Franchises have a lower 5-year failure rate than other small businesses.
• Franchises benefit from the successful marketing provided by franchisors.

Question 7
Benefit of charitable giving:

• An income tax deduction you become eligible for

Question 8
Explanation for high wages of certain medical professionals:

• The training and certification required for these professions lead to a relatively low quantity of labor supplied at any given wage.

Question 9
Influence of increased wages for doctors on labor market:

• The market equilibrium wage will increase, and the equilibrium quantity of labor will increase.

Question 10
Agreement in arbitration:

• To bring a third party into their negotiations who has the ability to make binding decisions.

Question 11
Primary difference between craft and industrial unions:

• Workers of a particular trade, not an entire industry, form a craft union.

Question 12
Hiring an additional worker increases human capital:

• Hiring an additional worker could lead to an increase in human capital if the worker were to bring new skills and experience that can be taught to other workers.

Question 13
Which of these never has to be paid back:

• Scholarship

Short Answers

Question 14:
Comparison of general, limited, and limited liability partnerships:
A general partnership involves partners sharing unlimited personal liability, making it appropriate for those comfortable with risk and joint decision-making. A limited partnership allows some partners to have limited liability, which can attract investors who prefer not to put their personal assets at risk. A limited liability partnership (LLP) protects all partners from personal liability for business debts, appealing to professionals like lawyers or accountants who want protection while maintaining some degree of control. Each structure offers distinct balances of risk and control depending on the partners’ goals.

Question 15:
Occupations likely to experience the lowest wages are those with a high supply of qualified providers and a low demand for labor. For example, jobs in areas with many qualified applicants but limited job openings can drive down wages due to increased competition.

Question 16:
Engineers are considered skilled labor due to their specialized education and technical expertise, which allows them to command high wages. Their advanced skills and knowledge in fields such as software, civil, or mechanical engineering are in high demand, leading to competitive compensation.

Question 17:
The learning effect refers to the idea that individuals gain skills and knowledge through education and experience, leading to higher productivity and, consequently, higher wages. For example, a person who completes a degree in computer science may acquire specialized skills that make them more valuable in the job market, resulting in higher salary offers from employers.

Feel free to customize these responses based on additional insights or details you might want to include!