Question

1. In economics, firms are assumed to

(a) maximize output prices.

(b) manimize output prices.

(c) maximize profits

(d) maximize consumer surplus

 

2. Kip opens an account a Ltsa Goodies Store, and buys a digital music player and other items, but makes no payments on the account. To collect debt, Mako, the manger, contacts Kip's parents. This volates

(a) no federal law

(b) the fair and Accurate Credit Transactions Act

(c) the Fair Debt Collection Practices Act

(d) the Truth-in-Lending Act.

 

3. Laying by omission involves intentionally

(a) whihoulding materal facts

(b) creating "noise" within the communication that knowingly confuses or deceives the receiver.

(c) using highly technical language that the receiver does not understand.

(d) trying to not hurt someone's feelings.

 

4. All of the following are considered extrinsic motivators in Herzberg's two-factor theory EXCEPT:

(a) company policies.

(b) benefits

(c) work itself

(d) working conditions.

 

5. A dividend will reduce which of the following accounts?

(a) Dividends

(b) Retained Earnings

(c) Common stock

(d) Accounts payable.