ec-em long exam.pdf

EM: Midterm Long Exam (60 pts) 1. The responsibility of businesses to employees includes: Meeting overtime requirements Providing unethical incentives Laying off employees frequently Treating employees unfairly.s 2. Which of the following is an advantage of operating a small business? Guar...

EM: Midterm Long Exam (60 pts) 1. The responsibility of businesses to employees includes: Meeting overtime requirements Providing unethical incentives Laying off employees frequently Treating employees unfairly.s 2. Which of the following is an advantage of operating a small business? Guaranteed profits Risk-free environment Control over one’s destiny Fixed working hours.s 3. Which of the following is a key ethical issue in advertising? Advertising to specific income groups Promoting safe and quality products Targeting vulnerable groups, such as children Using celebrity endorsements. 4. The law that promotes clean air in the Philippines is: Republic Act 9275 Republic Act 9003 Republic Act 6969 Republic Act 8749.s 5. Entrepreneurship is defined by how large the business is at inception. True False.s 6. Which of the following best defines business ethics? Maximizing profits at all costs Rules based on moral principles for business operations Policies aimed at gaining competitive advantage Avoiding taxes legally.s 7. A small business can be classified based on its market share or total assets. True False. 8. Corporate social responsibility focuses solely on maximizing profits for shareholders. True False.s 9. Which of the following is NOT a benefit that entrepreneurship brings to society? Job creation Tax revenue for the government Reduction in competition Innovation in products and services.s 10. Strategic planning is a one-time process in a business’s life cycle. True False. 11. Which of the following businesses is engaged in wholesaling? Movie house Fast food shop Grains dealer Billiard pool center.s 12. Which law in the Philippines regulates hazardous and toxic substances? Republic Act 6969 Republic Act 8749 Republic Act 9003 Republic Act 9275. 13. Sweatshops are legal in the Philippines. True False.s 14. Corporate social responsibility only applies to large businesses, not small enterprises. True False. 15. Which of the following is NOT considered a key element in economic development? Natural resources Entrepreneurial risks Technology Climate change.s 16. Unethical business practices can damage a company’s reputation and result in lost sales. True False.s 17. Which factor is NOT a requirement for entering a profession such as medicine? Long years of study Passing board examinations Large capital investments Specialized knowledge. 18. A small business operator can delegate all responsibilities to employees easily. True False.s 19. Small businesses are the backbone of a country’s economy. True False.s 20. Wholesalers sell directly to the final consumer. True False.s 21. Which factor limits the compensation for labor in the production process? Industry rates Personal investment Government legislation both Industry rates and government legislation.s 22. Which of the following is NOT a disadvantage of small business operation? Uncertainty of income Complete responsibility for decisions Easy paperwork and fewer chores Risk of losing capital.s 23. One of the functions of entrepreneurship is assembling resources like labor and capital. True False.s 24. Employees in small businesses are usually guaranteed higher wages than in larger enterprises. True False.s 25. Innovation is important for an entrepreneur to maintain competitiveness in the market. True False.s 26. The Anti-Age Discrimination in Employment Act applies only to public sector employees. True False.s 27. What does CSR stand for in a business context? Corporate Service Relations Corporate Social Responsibility Company Social Report Customer Service Requirement.s 28. The primary goal of economic development is to: Support large enterprises. Improve living standards. Increase population. Focus on reducing capital investments..s 29. What does the Anti-Age Discrimination in Employment Act of 2016 prohibit? Setting retirement age at 60. Discriminating against employees based on their age. Setting a minimum wage for younger employees. Providing fewer benefits to senior employees..s 30. What is a small business according to the market share approach? A business that is not dominant in its field. A business with large capital. A government-owned business. A multinational company..s 31. Offering unsafe products can lead to legal and ethical consequences for a business. True False.s 32. Fair treatment of employees is a key aspect of business ethics. True False.s 33. What is the compensation called for the use of land in production? Interest Rent Salary Profits.s 34. The main responsibility of an entrepreneur to creditors is: To hire them as employees. To regularly pay installments and interest. To inform them about business profits. To provide personal loans..s 35. CSR means businesses only focus on profits and do not consider environmental impact. True False.s 36. Which stage of entrepreneurship involves the highest level of risk-taking? Pre-start-up stage Start-up stage Early growth stage Late growth stage.s 37. Which is a key principle in corporate social responsibility (CSR)? Short-term profit maximization Ignoring environmental impact Balancing people, planet, and profit Encouraging monopolistic behavior.s 38. In strategic planning, which element involves predicting potential future challenges? Formulating strategies Vision and mission setting Forecasting Organizing teams.s 39. Entrepreneurs bear the risk of losses but enjoy profits if successful. True False.s 40. Most small businesses are engaged in local operations rather than international trade. True False. 41. Which of the following factors most contributes to long working hours in small businesses? High customer demand Limited sales volume Inadequate capital High employee turnover.s 42. A sweatshop refers to: A gym facility in a business A shop where workers are employed under poor conditions A company that offers wellness programs A recruitment agency.s 43. Business ethics help companies maintain a good reputation and customer loyalty. True False.s 44. Entrepreneurship thrives only in socialist economies. True False. 45. What is the term used for a business's responsibility to provide a safe product at a reasonable price? Legal responsibility Ethical responsibility Social responsibility Market responsibility.s 46. Which of the following is an example of a service business? Bakery Tricycle sidecar assembly shop Accounting firm Soft drinks wholesaler.s 47. In a capitalist economy, entrepreneurs do not contribute to job creation. True False.s 48. The Clean Air Act (RA 8749) aims to maintain clean air throughout the Philippines. True False. 49. The Magna Carta for Small Enterprises (R.A. 6977) defines a small business based on: Market dominance Total assets Number of employees Export capabilities.s 50. Corporate social responsibility includes providing employment to underprivileged groups. True False.s 51. The profits of a business depend only on external market conditions. True False.s 52. In entrepreneurship, risk is only associated with financial losses. True False.s 53. What is entrepreneurship? Managing a large business. Undertaking risks to manage a business. Government-supported enterprises. A fixed-income profession..s 54. What is innovation in the context of entrepreneurship? The maintenance of existing processes The introduction of new products or processes Copying existing products Reducing capital costs. 55. Manufacturing is the most common type of small business operation. True False.s 56. Business ethics are uniform across all cultures and industries. True False.s 57. What is the ultimate reward for a successful entrepreneur? Profits Rent Interest Wages.s 58. Businesses are required to treat all employees fairly, regardless of gender or age. True False.s 59. Which of the following responsibilities is NOT part of a business's social responsibility? Responsibility to customers Responsibility to investors Responsibility to competitors Responsibility to the environment.s 60. Strategic planning includes forecasting future trends and challenges. True False