Final Examination in Applied Economics 12

S.Y. 2018- 2019

Name: ______________________________________ Grade/Strand: ________________________
Date: _______________________________________ Score: _______________________________
I. Read the statements below carefully and encircle the letter of your choice. NO ERASURES.
1. A person who owns the business, responsible for the success or future of the business, enjoy all the business profits and a
problem solver.
A. Proprietor B. Entrepreneur C. Employer D. Employee
2. A small business that originates idea in the mind of an entrepreneur.
A. Proprietor B. Market plan C. Ventures D. business plan
3. A business that composing less than 100 employees and have turnover of less than 150 million per annum.
A. Corporation B. Incorporation C. Partnership D. Small business
4. A person who are not responsible for the turnout of the business venture, expecting that management will solve the existing
problem of the business.
A. Employee B. Entrepreneur C. Employer D. Manager
5. The buying of a product at wholesaler price and then selling it double of the wholesale price.
A. Keystoning B. Venture C. Market D. Profit
6. A problem of the business in which they are losing money
A. Insolvency B. Bankruptcy C. Holiday D. Lumpsum
7. The money that you make is more than what you use to pay the bills.
A. Income B. Asset C. Profit D. Liabilities
8. Someone who earns a living by working in a particular business.
A. Supervisor B. Profession C. Manager D. Employee
9. The branch of economics that deals with the exchange of goods and services with foreign countries
A. International barrier B. ASEAN C. Applied economics D. International Trade
10. Is the portion of current income not spent in consumption?
A. Savings B. Investment C. Money D. Budget
11. The ability of an investment to be converted into cash quickly without losing its value.
A. Owning B. Liquidity C. Selling D. Return
12. The ability to convince people to see your point of view and get them interested in your ideas.
A. Risk taker B. Appeal C. Persuasiveness D. Guessing
13. Refers to the amount of money to which an investment will grow over a finite period of time at a given interest rate.
A. Money valueB. Time value C. Future value D. Investment value
14. Purchasing of assets with the goal of increasing future income.
A. Stock exchange B. Credits C. Investor D. Investment
15. The courage to expose oneself to possible loss
A. Risk taking B. Risk C. Braveness D. Accepting
16. The ability to see the end results of your goal while working to achieve them.
A. Mission B. Vision C. Goal D. Planning
17. It is the refusal to quit, willingness to keep goals in sight and work towards them despite obstacles.
A. Persuasiveness B. Perseverance C. Confidence D. Discipline
18. The ability to cope with changing situation in the business
A. Acceptance B. Honesty C. Adaptability D. Ideal
19. The desire to work in hand to accomplish one’s goal.
A. Wants B. Seriousness C. Desire D. Accomplishment
20. The profit or yield from an investment.
A. Return B. Change C. Interest D. Debit
21. A belief that you can do what you set out to do.
A. Confidence B. Coincidence C. Optimistic D. Discipline
22. Tax on goods that is being shipped internationally
A. Poll tax B. Tariff C. Value Added Tax D. Export tax
23. What is the relationship between risk and return?
A. No return will result to high risk. C. High risk will result to high return.
B. Low risk result to high return. D. More return less risk.
24. The willingness to compete and test oneself against others
A. Feud B. Competitiveness C. Rivalry D. Self- competitiveness
25. What things could you change to adjust your profit?
A. Price B. Number C. Less expensive supply sources D. All of the above.
26. The following are key for the business to succeed except;
A. By law B. Sell C. Keep good records D. Train more people
27. Define a company's overall direction and answer the fundamental question, "Why am I in business"?
A. Goals B. Strategies C. Key performance indicators D. Objectives
28. The primary purpose of a business plan is to: A. Attract lenders and investors.
 B. Enable an entrepreneur to take his or her company public.
C. Guide a company by plotting a strategy for its success.
D. Meet SEC and other legal requirements designed to protect lenders and investors.
29. The primary cause of small business failures is,
A. Lack of capital C. Management incompetence
B. Poor location D. Improper inventory control
30. A marketing plan should,
A. Determine customer needs and wants through market research.
B. Pinpoint specific target markets the company will serve.
C. Analyze the firm's competitive advantages and build a marketing Strategy around them.
D. All of the above
31. Product planning tells you:
A. Cost to produce your product C. Your Net profits
B. Where you will produce your product D. Total revenues
32. The majority of customers who stop patronizing a particular store do so because _____. A. Its prices are high. C.
An indifferent employee treated them poorly
B. Its quality is too low D. It failed to advertise enough
33. Which of the following is an example of an external growth strategy?
A. Licensing B. New product development C. Merger D. Strategic Alliance
34. Which of the following is an example of an external growth strategy? A. Increasing the market penetration of an
existing product or service B. Improving an existing product or service
C. Strategic alliances and joint ventures.
D. Extending product lines.
35. What can a company do to achieve stellar customer service and satisfaction?
A. Listen to customers with the help of suggestion boxes, focus groups, surveys, and other tools.
B. Define what "superior service" means so that customers and employees know exactly what to expect and what to provide.
C. Hire friendly, courteous sales and service representatives.
D. All of the above.
36. Global international organization dealing with the rules of trade between nations.
A. WTO B. OTW C. BTS D. CBN
37. When counting change back to a customer, you should always give the ____________ amount of coins possible.
A. Correct B. Current C. Best D. Least
38. International trade is important for what reason?
A. It can give us different technologies and strategy to form business.
B. It can give tourist and money to the country.
C. It gives opportunities to less develop country.
D. None of the above
39. You can always make more money but you cannot make more time. What does it implies?
A. Time is gold. C. Time management
B. Grab the opportunity.D. Time is not enough to create money
40. In savings the most important thing or necessary is _____
A. Money B. Profit C. Gains D. Income
41. President of the Philippines is known with his arrogant statement to our allies especially America. Does it affects the relation of
the Philippines to international trade over other country?
A. Yes, because the might get angry and stop us to trade in their country
B. No, Philippines is a strong country we can live without the help of others
C. It will not affect they are merciful they will understand us
D. It will not affect the trading because we have same law to follow
42. Is there any advantage in a country if they have delegates or representative in the World trade Organization?A. Yes, it can
promotes a good relationship to other country
B. Yes, country will be updated in all
means C. No, it’s just a waste of time
D. No, it creates a disadvantage on their part
43. Investors in the Philippines is declining, the following are the reason except:
A. Security of investors C. Adaptation
B. High performance of workers D. Poverty
44. Mr. LO LUNG is experiencing an increase of loss in his business because of the law, that mandating all the
businessestablishment to lessen their contractual workers or stop contractualization. If you are in his place what action will you
make to solve the said problem?
A. Layoff some of your workers C. Hire another workers
B. Stop the business D. Temporarily close your business
45. How can a tariff be considered a barrier?
A. It decreases the customers. C. It increases the prices of the
 products.
B. It creates defects to the products. D. It lessen the prices of the products.
46. Pedro, a grade-11 student want to increase his savings for the reason of, he wanted to buy a motorcycle that can be used to
hisevery day journey in going to school. If you are Pedro, how can you solve the problem?
A. Borrow money
B. I will not consume products and services
C. Have a plan on how to save and how much to save
D. Decrease my expenses and try to put first my money to my savings account
47. If a country were to join a free trade area, its business sector would gain because ______.A. It could get tariff-free raw
materials from countries inside the free trade area.
B. There would be exchange rate stability between the member countries.
C. Prices of competitors from countries not in the free trade area would rise.
D. There would be fewer barriers to establishing subsidiaries in other countries in the free trade area.
48. Policy allowing foreign investment and goods to freely enter the country by removing trade restrictions.
A. Export Policy B. Liberalization Policy C. Tariff Policy D. Contractualization Policy
49. Government income mainly from taxes.
A. Marginal Utility B. Government Revenues C. National Budget D. Wage
50. Written estimate of anticipated government revenues and expenditures during a specific period of time.
A. Marginal Utility B. Government Revenues C. National Budget E. Wage