INTRODUCTİON TO BUSİNESS - Deneme Sınavı - 14

Suppliers are businesses that supply material resources or services to other businesses.

Standard of living is the degree of wealth and material aspects available to a person, a family or groups of people in an economic system.

Regional businesses would serve a larger geographical area like Southern Turkey or the Black Sea region. However, they do not extend their businesses to the whole country. Successful local businesses may want to expand to larger regional areas but still stay within their capabilities as business conditions may not be all that different from each other. So (II) is not correct. (I) and (III) are correct.

Production or manufacturing function for both goods and services involves making products or creating services for customers which include activities such as purchasing (of material resources) and logistics (incoming and outgoing flow of material resources and products).

Businesses use natural resources such as land, oil, minerals, water, and trees. Physical resources include raw materials used by businesses such as equipment, machines, offices, factories, and computers.

Socialism can be thought of as a form of mixed market economy as a government would own and operate selected major industries in such a system.

A monopoly exists when a supplier of goods or services has control of all (or nearly all) of its market. Here, only one supplier dominates the market such that others are not able to compete. Therefore, the firm has considerable control over prices.

Frictional unemployment results when a person is in-between jobs, careers and locations. This is a temporary unemployment and always present in an economy, therefore is not considered serious

Commandite companies. A commandite company  is equivalent to the limited partnership in which the partners can be active (called general partner) or dormant (called silent partner). Active partners manage the firm and have unlimited liability while silent partners have no role in the management of the firm but have limited liability. There is no minimum share capital required for any partners.

Insider trading involves the use of private or special company information for financial gains, often in the form of buying or selling of stocks.

Not-for-profit organizations often service local communities through educational and social means such as public schools, charity groups, and government agencies. Red Cross, United Nations, Wikimedia and public libraries are examples of such non-profit organizations. B is the correct answer.