APP EC Reviewer PDF

A person who owns the business, responsible for the success or future of the business, enjoys all the business profits, and is a problem solver. Answer: B. Entrepreneur A small business that originates an idea in the mind of an entrepreneur. Answer: B. Market plan A business that comprises less...

A person who owns the business, responsible for the success or future of the business, enjoys all the business profits, and is a problem solver. Answer: B. Entrepreneur A small business that originates an idea in the mind of an entrepreneur. Answer: B. Market plan A business that comprises less than 100 employees and has a turnover of less than 150 million per annum. Answer: D. Small business A person who is not responsible for the turnout of the business venture, expecting that management will solve the existing problem of the business. Answer: C. Employer The buying of a product at a wholesale price and then selling it at double the wholesale price. Answer: B. Venture A portion of the business in which they are losing money. Answer: D. Lumpsum The money that you make is more than what you use to pay the bills. Answer: A. Income Someone who earns a living by working in a particular business. Answer: B. Profession The branch of economics that deals with the exchange of goods and services with foreign countries. Answer: D. International Trade Is the portion of current income not spent on consumption. Answer: A. Savings The ability of an investment to be converted into cash quickly without losing its value. Answer: C. Money The ability to convince people to see your point of view and get them interested in your ideas. Answer: A. Risk taker Refers to the amount of money to which an investment will grow over a finite period of time at a given interest rate. Answer: D. Investment value Purchasing of assets with the goal of increasing future income. Answer: A. Stock exchange The courage to expose oneself to possible loss. Answer: B. Risk The ability to see the end results of your goal while working to achieve them. Answer: G. Goal If a refusal to quit, willingness to keep goals in sight, and work towards them despite obstacles. Answer: B. Perseverance The ability to cope with changing situations in the business. Answer: C. Adaptability The desire to work hard to accomplish one's goal. Answer: C. Desire The profit or yield from an investment. Answer: A. Return A belief that you can do what you set out to do. Answer: A. Confidence Tax on goods that are being shipped internationally. Answer: B. Tariff What is the relationship between risk and return? Answer: C. High risk will result in high return. The willingness to compete and test oneself against others. Answer: B. Competitiveness What things could you change to adjust your profit? Answer: C. Less expensive supply sources The following are key for the business to succeed except: Answer: C. Keep good records Define a company's overall direction and answer the fundamental question, "Why am I in business?" Answer: B. Strategies The primary purpose of a business plan is to: Answer: A. Attract lenders and investors Being an entrepreneur to take his or her company public. Answer: C. Guide a company by plotting a strategy for its success Meet SEC and other legal requirements designed to protect lenders and investors. Answer: D. Meet SEC and other legal requirements designed to protect lenders and investors 29\. The primary cause of small business failure is: Answer: C. Management incompetence 30\. A marketing plan should: Answer: D. All of the above 31\. Product planning tells you: Answer: A. Cost to produce your product 32\. The majority of customers who stop patronizing a particular store do so because: Answer: C. An indifferent employee treated them poorly 33\. Which of the following is an example of an external growth strategy? Answer: A. Licensing 34\. Which of the following is an example of an external growth strategy? Answer: C. Strategic alliances and joint ventures 35\. What can a company do to achieve stellar customer service and satisfaction? Answer: D. Hire friendly, courteous sales and service representatives 36\. Global international organization dealing with the rules of trade between nations: Answer: A. WTO 37\. When counting change back to a customer, you should always give the \_\_\_\_\_\_ amount of coins possible. Answer: B. Current 38\. A firm can use different technologies for what reason? Answer: D. None of the above 39\. You can always make more money but you cannot make more time. What does it imply? Answer: C. Time management 40\. In saving, the most important thing or necessary is: Answer: A. Money 41\. President of the Philippines is known for his arrogant statement to our allies, especially America. Does it affect the relation of the Philippines to international trade over other countries? Answer: D. It will not affect the trading because we have the same law to follow 42\. Is there any advantage in a country if they have delegates or representatives in the World Trade Organization? Answer: A. Yes, it can promote a good relationship with other countries 43\. Investors in the Philippines are declining. The following are the reasons except: Answer: B. High performance of workers 44\. Mr. LO LUNG is experiencing an increase of loss in his business because of the law that mandates all business establishments to lessen their contractual workers or stop contractualization. If you are in his place, what action will you make to solve the said problem? Answer: D. Temporarily close your business 45\. How can a tariff be considered a barrier? Answer: C. It increases the prices of the products 46\. Pedro, a grade-11 student, wants to increase his savings to buy a motorcycle he can use for school. If you are Pedro, how can you solve the problem? Answer: D. Decrease my expenses and try to put first my money to my savings account 47\. Every country free to join a free trade area, as its business sector would gain because: Answer: A. It could get tariff-free raw materials from countries inside the free trade area 48\. There would be exchange rate stability between the member countries. Answer: C. Prices of goods are cheaper 49\. Free trade creates fewer barriers to establishing subsidiaries in other countries in the free trade area. Answer: D. There would be fewer barriers to establishing subsidiaries in other countries in the free trade area 51\. Semi-processed goods that are not yet ready for final use by the consumer Answer: B. Intermediate goods 52\. The buying and selling of goods and services between countries Answer: C. Trade flows 53\. Commonly employs a man-machine setup with the division of labor in a large-scale production Answer: D. Manufacturing 54\. Studies how economic activity affects and is shaped by social processes Answer: A. Socio economics 55\. Analytical framework that can help identify business risks and rewards Answer: F. SWOT Analysis 56\. Goods that are ready for consumption Answer: G. Final goods 57\. An economy sells goods to other countries Answer: O. Imports 58\. The movement of money for the purpose of investment, trade, or business production Answer: E. Capital flows 59\. Simplest way to set up a business owned by a single individual Answer: J. Sole Proprietorship 60\. Resources used in the production of goods and services Answer: K. Inputs 61\. A group of companies producing similar goods and/or services Answer: L. Industry 62\. Social, biological, and geographical objects involved in producing fish for human consumption Answer: I. Fisheries 63\. A legal entity that is separate from its owners, the shareholders Answer: M. Corporation 64\. A process that creates and/or adds value or utility Answer: N. Production 65\. The use of goods and services to satisfy human wants Answer: P. Consumption Principles, Tools, and Techniques a\. Competition Competition is about understanding what other businesses are doing. By studying them, you can find ways to make your business stand out. -Examples: 1\. A small grocery store offers lower prices than nearby supermarkets. 2\. A bakery introduces unique flavors of bread not available at other shops. 3\. A clothing store adds free alterations to attract customers. b\. Customer Customers are the people who buy your products. Knowing their needs and preferences helps your business succeed. Examples: 1\. A coffee shop offers vegan milk options for health-conscious customers. 2\. A toy store focuses on educational toys because parents want learning tools for their children. 3\. A food truck sells affordable meals near schools to cater to students. c\. Supplies Supplies are the materials or goods a business needs to operate. Having reliable suppliers ensures smooth business operations. Examples 1\. A restaurant sources fresh vegetables from local farmers. 2\. A printing shop ensures it has a steady supply of paper and ink. 3\. A beauty salon buys high-quality hair products from trusted suppliers. d\. Competitors Competitors are businesses offering the same or similar products or services as yours. Understanding them helps you improve your strategies. Examples: 1\. A pizza place offers faster delivery than its competitors. 2\. A hardware store provides better customer service than other stores nearby. 3\. An online store includes free shipping, unlike competitors. e\. Substitutes Substitutes are alternative products customers might choose instead of yours. Knowing your substitutes helps you position your business better. Examples: 1\. A bakery competes with convenience store snacks. 2\. A taxi service competes with ridesharing apps. 3\. A bookstore competes with e-books or online platforms. Types of Industries a\. Agribusiness -Businesses that involve farming, livestock, or food production. Examples: 1\. A farmer grows organic vegetables and sells them in local markets. 2\. A business processes milk to create cheese and yogurt. 3\. A flower farm supplies fresh flowers to event planners. b\. Manufacturing Businesses that make products from raw materials. Examples: 1\. A factory produces wooden furniture. 2\. A company makes eco-friendly paper bags. 3\. A business manufactures school uniforms. c\. Rental and Services Businesses that offer services or rent out products. Examples: 1\. A car rental service for tourists. 2\. A cleaning service for offices and homes. 3\. A party rental company providing chairs, tables, and decorations. d\. International (Exports and Imports) Businesses that sell products abroad or bring goods from other countries. Examples: 1\. Exporting dried mangoes to other countries. 2\. Importing high-quality coffee beans from South America. 3\. Selling handmade crafts internationally through an online store. Identifying Business Opportunities 1\. Look at local problems: Solve issues like lack of affordable food options or convenient transportation.