REVIEWER IN

APPLIED ECONOMICS (2ND QUARTER)

1. What is the importance of SWOT analysis?

a. It will be helpful in assessing new
ventures / business opportunities c. It will be helpful since it will give us
b. It will be of big importance since it the changes that we need to adjust in
can analyze the rivalry within the the market
market d. None of the above
2. Which objective of environmental analysis examines opportunities and threats in the
environment?
a. To provide input for decision-making.
b. To ensure optimum utilization of resources
c. To identify the threats and opportunities of environment.
d. To understand current and probable change in environment
3. Who are individuals/group of individuals who buy goods and services for personal and
business use?
a. Consumer c. Government
b. Creditors d. Suppliers
4. One of the factors in PESTLE analysis represents demographic characteristics, norms,
customs, and values of the population within which the organization operates.
a. Political c. Social
b. Economic d. Technological
5. A viable business has great effects to the community; which of the following statements
is not true?
a. It provides jobs to the community social welfare
b. It produces taxable income d. It does not support government by
c. It does provide opportunities for paying taxes.
the people in services such as
6. Statement 1: Viability is defined as the ability to survive.
Statement 2: In the business sense, that ability to survive is linked to financial
performance and position.
a. Both statements are True.
b. Both statements are False.
c. The first statement is True; the second statement is False.
d. The first statement is False; the second statement is True.
7. Which of the following statements is correct?
a. Business sustainability is a goal for most enterprises.
b. Business managers play a critical role in the development of the economy as this is
the key contributor to innovativeness and product improvement.
c. In business, viability is the ability to survive that is ultimately linked to financial
problem and position.
d. A business is profitable whether either: it is returning profit to provide returns to
business owners while meeting its commitments to creditors; it has sufficient cash
resources to sustain itself during the period of not returning a profit.
8. The following are examples of positive impact of business to the society, except:
a. Construction of infrastructure like roads that have positive effect on the
neighboring communities and where other business enterprise may be encouraged
to establish their presence nearby to cater the needs of the community.
b. Sourcing labor services, technical professionals, and managers in huge plantations
and mining companies may opt to build communities within their business complex
that has educational, health, social, and cultural religious facilities.
c. The impact of the sales of firm of its outputs to other firms as intermediate inputs
and as capital goods. These repeated transactions of constant sales contribute to
the strengthening of the integration of the economy.
d. Using non-renewable raw materials like oil and minerals have high
environmental costs.
9. We pay taxes for government to provide public goods and services that empower and
enable individuals and institutions alike to pursue their dreams. we can say that:
a. From this taxes, one example of public good is farm access road for farmers
b. We pay taxes for government to provide a worst place where we can exercise our
freedom
c. Taxes cannot distort savings, investment and consumption
d. Taxes cannot dampen the incentive to do business for the benefit of the society
10. The factor that affects business due to different tastes and preferences of consumers
based on the type of their jobs is ___.
a. Education c. Income
b. Government d. Occupation
11. Why study socio-economic factors?
a. To understand the intimate b. To predict the level of understanding
relationship between economics of a consumer in purchasing goods
and social behavior that will impact and services.
on how consumers behave in an c. To seek awareness.
economy and the eventual shape d. To know the intimate relationship
that economy will take. between economics and social
behavior
12. How an educated consumer affects his buying behavior?
a. They are more demanding compared to uneducated consumers.
b. They are very particular with details of the goods to buy.
c. They are very strict when it comes to the price and quality of the goods and
services.
d. They are not only more conscious about the contents of products but may also
come off as demanding as compared to the less educated ones.
13. How do socio-economic factors affect businesses?
a. It will help you make better decisions about the future and direction of your
business.
b. It affects the business decide the future of the country’s economy.
c. It analyzes the socioeconomic factors in deciding what business to establish for the
future.
d. It supports business owners to venture into small-medium scale businesses, which
are in demand today.
14. Which determines how much they can spend on certain products?
a. Demand
b. Income Capacity
c. Purchasing Power
d. Want
15. It is one of the factors of Porter’s five forces which consist of the buyer’s ability to
purchase products based on their income.
a. Power of Buyers c. Threat of Substitutes
b. Power of Suppliers d. Competitive Rivalry
16. Which is NOT associated with socio economic factors?
a. Attitude c. Community Involvement
b. Behavior d. Lifestyle
17. How income capacity affects the decision of a consumer in buying products?
a. If their income is low, they may not afford to buy basic commodities; however,
if the income is high, they are more likely to buy luxurious products.
b. The consumer’s ability to purchase products depends on his or her status in life.
c. The income predicts the financial status of a consumer in purchasing a product.
d. When the consumer’s income is low, he can only afford basic commodities.
18. The creation of databases and electronic communications have enabled vast
quantities of information to be shared and quickly distributed in a modern company
enabling vast cost reductions and improvements in service in part of
a. Economic changes c. Changes in technology
b. Economic conditions d. Social environment
19. What are the factors relating to and influence one another?
a. Economic Factors c. Socio-economic Factors
b. Market Factors d. Social Factors
20. When business is influenced by the earnings of individuals from their daily economic
activities, such factor is related to ___.
a. Education c. Income
b. Government d. Occupation
21. Many climatic changes can alter the trade of industries and how customers react
towards a certain product, and this is related to ___.
a. Environmental Factor c. Government
b. Political Change d. Changes in Technology
22. When business needs to adopt directives and regulations created by the government,
the factor is referred to:
a. Economic changes c. Political changes
b. Economic conditions d. Social environment
23. The following are the impact of the businesses to the government, EXCEPT;
a. Businesses conduct projects like tree planting, and housing
b. Employees hired by the businesses employ a household member
c. Tax is imposed on the income of the business
d. The benefit provided by businesses through payments of taxes
24. When a member of the society acquires skills and knowledge to be employed
in different jobs and profession, this is through ____.
a. Income c. Occupation
b. Education d. Government
25. Consumer protection legislation, environmental legislation, health and safety
and employment law are affecting businesses related to factors created by
a. Education
b. Government
c. Income
d. Occupation
26. Which of the following statements is correct?
a. A product that is sold to global market is an import.
b. Export is an international trade whereby the goods/services are brought into one
country from another.
c. Import is an international trade whereby goods produced in one country are
shipped to another country for future sale or trade.
d. International trade gives countries the opportunity to be exposed to goods and
services not available in their own countries.
27. The country that ordered the goods is the exporter and the country that supplied it is
the importer.
a. This statement is correct.
b. This statement is incorrect.
c. This statement is both correct and incorrect.
d. This statement does not make sense.
28. What scale of business that has total asset of Php1,500,001 to Php15,000,000?
a. Large c. Micro
b. Medium d. Small
29. Which is NOT a characteristic of Porter’s five forces of competitive position analysis
under “threat of new entrants”?
a. Access distribution to channels c. Government Policies
b. Brand loyalty d. Number of customers
30. Which is an entity organized by people with similar needs and is operated for their
mutual benefit and to provide themselves with goods or services to improve their income?
a. Business c. Corporation
b. Cooperative d. Industry
31. Which is the simplest way to setup a business?
a. Cooperative c. Partnership
b. Corporation d. Sole Proprietorship
32. What is the range of total asset for a medium scale of business?
a. Below Php 1,500,001 c. Excess of Php 60,000,000
b. From Php 15,000,001 to Php d. From Php 1,500,001 to Php
60,000,000 15,000,000
33. What do you call a framework that helps to assess new venture and can help identify
the business’s risks and rewards?
a. PEST Analysis c. SEST Analysis
b. Porter’s Five Forces d. SWOT Analysis
34. Which is a characteristic of ‘bargaining power of supplier’?
a. Capital Requirements c. Focal company’s ability to substitute
b. Number of competitors d. Number of customers
35. What is the aggregation of the different businesses engaged in the same line of
undertaking?
a. Business c. Negotiation
b. Industry d. Venture
36. How Porter’s five force of competitive position analysis helped in the business?
a. By serving as a guide for assessing and evaluating the competitive strength
and position of a business organization
b. By serving as a roadmap of a good future of the business organization
c. By providing necessary information in opening a business in an industry full of
competitive entrepreneurs
d. By providing services to business owners who would like to assure a positive
outcome of business
37 Which is an example of a sole proprietorship business organization?
a. Cabinian’s Dental Clinic
b. Sari-sari Store ni Mang Nonie
c. Microsoft
d. Acacia National High School Cooperative
38. Which statement is not true about environmental analysis?
a. It is a process by which organization monitor their relevant environment.
b. It helps identifies opportunities, plan and does take action.
c. It identifies strengths and weaknesses of the business.
d. It does not study various factors affecting the business.
39. What is a business function completed by business owners and other individuals to
assess the current business environment?
a. Environmental Analysis c. Product Analysis
b. Industry Analysis d. Social Analysis
40. How industry analysis helped businesses?
a. By understanding various economic c. By providing sufficient information in
pieces of the marketplace and how putting up a business to gain an
these various pieces may be used advantage to other competitors.
to gain competitive advantage. d. By promoting the business to the
b. By clarifying the dos and don’ts of a industry.
business enterprise in a community.
41. SWOT analysis is a technique use to evaluate business or project. The acronym for
SWOT is ______.
a. Suppliers, Workers, Overtime, Tool c. Strengths, Weaknesses,
b. Staff, Workers, Operation, Time Opportunity, Threats
d. Supreme, Weaknesses, Opportunity,
Threats
42. In an online business, when your online site has thousand followers then your
business has ____.
a. Opportunity c. Weakness
b. Strength d. Threat
43. In an online business, which of the following can be classified as an opportunity?
a. Well known blogger patronize your products.
b. Discover a new level of marketing that increase your sales
c. Customer are supportive
d. Difficulty in distributing products to rural areas
44. When you receive a proposal for new investor, then your business has __.
a. Opportunity c. Weakness
b. Strengths d. Threat
45. Mang Dodjie business is lechon manok in their community. Aside from Mang Dodjie
there are other establishments that sell grilled chicken like Acacia Chicken Inasal,
Malabon’s Lechon, Rommel’s Manok Inihaw. Then Mang Dodjie’s business has_____.
a. Opportunity c. Weakness
b. Strength d. Threat
46. When you encounter a high turnover of employers in your business, then your
business has ___.
a. Opportunity c. Weakness
b. Strength d. Threat
47. Who is the proponent of Forces Competitive Model?
a. Adam Smith c. John Maynard Keynes
b. Albert Humphrey d. Michael Porter
48. This pertains to the characteristics of the business or project that gives advantage
over others.
a. Opportunities c. Weaknesses
b. Strengths d. Threats
49. How did business cope with the behavior of the consumers?
a. By studying consumer needs and
adopting strategies to persuade as c. By doing a market research regarding
many consumers as possible that the current trends in the market.
the products have value. d. By doing a survey to prospective
b. By asking the consumers of what they consumers of the product.
want that could make them happy.
50. What are the factors that have negative influence on an individuals’ economic activity?
a. Economic Factors c. Socio-economic Issues
b. Social Factors d. Technological Influence
51. How does local government earn revenue?
a. Through the money of the people c. Through employment
b. Through fees and licenses d. Through business venture
52. How business impacts the community?
a. By providing new jobs to the people of deserving students and allocating
the community. budgets for housing for low-income
b. By giving away goods and services at families.
an affordable price. d. Businesses assure that needs and
c. Corporations and even small wants of the community are being
businesses provide assistance such met.
as scholarships to poor but
53. What do you call a socioeconomic impact assessment that weighs the socio-economic
cost against the socio-economic benefit?
a. Economic Investigation c. Social Issues Research Report
b. Product Proposal d. Socio-economic Impact Study
54. Where does tax revenues of the national government go?
a. They are used for budget allocations activities
of programs and projects. and for budget allocations for its
b. They are used to buy machineries and programs.
equipment for production d. They are used to pay the national
c. They are used for national debts of the country.
55. Why measure socioeconomic impact of business?
a. It can help companies understand the needs, aspirations, resources, and
incentives of their customers to develop winning new products and services
and improve existing offerings.
b. It can help companies understand the needs, resources, and incentives of their
customers.
c. It can assess the wellbeing of the country’s economy to improve products and
services.
d. It can maximize company opportunities to develop new products and services and
improve existing offerings.
56. How positive economic growth rate helps the citizens of a country?
a. It will increase spending of the people and help businesses to grow.
b. It motivates entrepreneurs to build new business ventures.
c. It supplies all the needs of the people in a country.
d. It ensures the safety of the people in times of crisis.
57. How does investors help in economic growth of the country?
a. Investors provide opportunities to job seekers for a possible employment.
b. Investors get to earn returns on their investments, with capital plowed back
into more investments and generating more income for the economy.
c. Investors make business more prosperous that means more jobs to be offered.
d. Investors seek to promote camaraderie among neighboring countries for a better
deal of partnerships.
58. What important thing does government can get from businesses?
a. Budget Proposal
b. Business Venture
c. Value-added Tax
d. Tax Revenues
59. If a business has a strong support in the market, then your business has __.
a. Opportunity c. Weakness
b. Strength d. Threat
60. When you receive a proposal for new investor, then your business has ____ .
a. Opportunity c. Weakness
b. Strength d. Threat

Laban Grade12! Last quarter na ito at graduated na kayo . Study this reviewer
and all the PDF files for 2nd quarter in our gc. Good Luck Everyone. Practice
INTEGRITY!