Intro into business Chapter 5

The Five kinds of business are: Extractors, Manufacturers, Marketers, Service Businesses, and Banks.

True

False

A business that grows products or takes raw materials from nature

Processing

Service business

Mass production

Extractor

All businesses must have some kind of a record keeping system.

True

False

The heart of a successful business is not the production of quality products and services.

True

False

Businesses do not need to know amount they are spending for building repairs, rent, salaries, and Other expenses.

True

False

The three reasons for keeping records are important for?

Determining whether a business is making or losing money

Providing information for management decisions

Supplying data for a variety of government reports, including tax forms

All of the above

Someone must think about a new product, service, or improved process/piece of equipment that can be put on the market.

True

False

Businesses buy goods and services both for resale and for their own use.

True

False

Business do not need capital resources to operate.

True

False

The number of farms in the US had declined to fewer than 2 million by the 1990's, according to who?

The Federal Bureau of Investigation

The Department of Justice

The Census Bureau

The Department of Justice

Contractors or builders replace, on average, $5 billion worth of equipment every year.

True

False

A business that is involved with moving goods from producers to consumers.

Manufacturer

Marketer

Processing

Custom manufacturing

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