GRADE 10 BUSINESS

REVISION WORKSHEET
 Chapter 1: The US Business Environment

Lesson 3 – The economics of Market Systems

1. Suppose this is the demand and supply schedule for a bar of chocolates.

Price Quantity Quantity

AED Demanded Supplied

2 50 10
price below
when demand is greater than supply its a shortage
shortage
4 40 20

6 30 30

price above
8 20 40
when supply is greater than demand it's a surplus
surplus
10 10 50

a) Draw a demand and curve indicating the equilibrium.

supply
price 10
9
8
7
6
5
4
3
2 demand

1 quantity
0 10 20 30 40 50 60 70 80 90
6
b) What is Equilibrium price _________ 30
Equilibrium Quantity__________
 law of demand: as prices increases the quantity demand decreases.

law of supply: as prices increases the quantity supplies increases.

c) if they sell at a price of 10 what will the results be in the market (shortage/surplus)?

d) if they sell at a price of 4 what will the results be in the market (shortage/surplus)?

2. Which of the following does NOT fall into the degrees of competition continuum?

A) Perfect competition

B) Monopolistic competition

C) Competitive advantage

D) Oligopoly

3. When there are many small firms in a specific industry, what is likely to occur?

A) Competitive advantage

B) An oligopoly

C) Private enterprise

D) Perfect competition

4. How does monopolistic competition differ from perfect competition?

A) There are more sellers in a market characterized by monopolistic competition.

B) It is easier for sellers to enter a market or industry characterized by monopolistic competition.

C) In a perfectly competitive market, products are more dissimilar.

D) In a market characterized by monopolistic competition, individual firms have some control

over price.

From most competitive to least competitive

(1) perfect competition: products are similar, many sellers, easy entry and exit, prices controlled by supply and demand, (Ex: agriculture)

(2) monopolistic: similar but differentiated products (products are dissimilar), firms have control over prices, (Ex: Fastfood, fashion industry, restaurant)

(3) oligopoly: few sellers, difficult entry, certain control over prices, products can be similar or different, (Ex: soft drinks, oil and car industry)

(4) monopoly: one seller, (things that stop u to enter the market) barrier to entry, unique products, complete power, (Ex: something no one has)
 balance of trade formula: exports-imports
when exports are greater than imports, we have a positive balance or a
trade surplus.

when we have more imports than exports, we have a negative balance or

Lesson 4: Economic Indicators a trade deficit.

1. What do we call statistical information that indicates the performance of an economy?

economic_________________________________________________________________
indicators (GDP, standard of living, national dept, GDP per capita, aggerate output, balance of trade)

2. If country x made 50 Cars in 2020, and 100 cars in 2021.

A. Aggregate output increased.
B. Aggregate output didn’t change.
C. Aggregate output decreased.

3. Read the table below and extract the information required to find the right answers:

Economy A 2020 2021 Percentage

change
Aggregate 15000 18000 20% if the aggregate output percentage is
output units units more than the population then there is
growth
Population 1,500,000 1,800,000 20%

if the aggregate output percentage is

Economy A less than the population then there is
decline
Economic Indicator
shows:
if the aggregate output percentage is
a. Growth the same as the population, then there
b. No change no change
c. Decline

Economy B 2020 2021 Percentage

change
Aggregate output 15,000 units 18000 units 20%
Population 1,500,000 1,500,000 No change

Economy B

Economic Indicator shows:

a. Growth
b. No change
c. Decline

GDP: value ($)

Ag.output: units
GDP per capita: how much each person in an economy makes up GDP.
standard of living: how much people can buy with their money.
national dept: it's how much money a country owes.
trade balance: exports-imports
 4. According to your answers above, which economy had a better standard of living in 2021?
Explain your answer.

5. Which term refers to the total value of all goods and services produced within a given period by
a national economy through domestic factors of production?

A) Standard of living

B) Aggregate output

C) Gross domestic product

D) Gross national product

6. If Dali’s economy had a total GDP of $3,000,000 and a total population of 1,000,000; calculate
the GDP per capita.
3,000,000,000 / 1,000,000,000 = 3
7. If Dali had total exports of $5.5 Million and total imports of $2.4 Million what is their trade
balance? Is it a deficit or a surplus?
The trade balance for Dali is $3.1 million
______________________________________________________________________________
a trade surplus
___________________________________________________________________________.

Chapter 3: Entrepreneurship, New Ventures and Business Ownership

Lesson 1: What is a small business?

1. List 3 things that Small businesses benefit an economy;

1- innovation
2- contribution to big businesses
3- job creation
 2. Why do small businesses have little influence in the market?

______________________________________________________________________________
because they are small and because they don't have control over the market price, have
lots of competition.
______________________________________________________________________________
____________________________________________________________________________.

3. Look at the pie chart, which area of small business contributes with the highest percentage
among all US businesses? services

hair salon
4. Give an example of such a business. ______________

Lesson 2: Entrepreneurship

1. List some of the qualities of a successful entrepreneur.

______________________________________________________________________________
having creativity, passion, motivation, goal mindset,
money management skills, persuasiveness
______________________________________________________________________________
_____________________________________________________________________________.

2. Explain why not all entrepreneurs have the same goals.

______________________________________________________________________________
Every entrepreneur has different aims when wanting to start their own business, some have the goal to
make a lot of money, some just want to be independent and work alone
______________________________________________________________________________
Others strive to grow their business and hope it becomes a world wide well known idea.
_____________________________________________________________________________.
It depends on why the entrepreneur decided to start his/her own business and what is it they actually
want to achieve from it.

Lesson 3: Starting a new Business

1. What do we call a segment of a market that has not been exploited yet._______________
niche

2. Amazon created the first online bookstore, and it was immensely successful. By the time other
retailers established an online bookstore presence, Amazon had achieved significant brand
recognition. Amazon had the ____________ _____________ _______________.
first mover advantage

3. Define the following words:

Franchise: the agreement to buy the right to sell the goods and services of seller (franchisor)
Franchisee: the person that decides to purchase the names and rights from the franchisor
Franchisor: the person or corporation that owns the trade-marks and business model
 4. What is the role of the franchisor (parent company) during the process of franchising.
Provides the name, the products, sometimes a good location, design of store, train employees
__________________________________________________________________________________
__________________________________________________________________________________
__________________________________________________________________________________
__________________________________________________________________________________
______________________________________________________________.

Lesson 4: Reasons for success and failure.

1. List 3 reasons for the success of a business.

i) luck
______________________________
ii) good managing skills
______________________________
iii) hard work and dictation
______________________________

2. List 3 reasons for failure of a business

neglect
i) ______________________________
not enough capital
ii) ______________________________
not good managing skills
iii) ______________________________

Lesson 5: Non-Corporate Business Ownership

1. A key advantage of a sole proprietorship is that,

a) it is easy and inexpensive to form this type of business.

b) the owner has limited liability for the debts for this type of business.

c) it is very easy to raise financial capital for this type of business.

d) the business has perpetual life.

2. A serious drawback of sole proprietorships is that they

a) are difficult and inexpensive to form.

b) expose their owners to unlimited liability for the company’s debts.

c) result in double taxation of the company’s earnings.

d) are heavily regulated by the federal government

 3. In a _________, all partners have the right to actively participate in the management of the firm
and to share in any profits or losses incurred by the business.

a) general partnership

b) limited liability partnership

c) limited partnership

d) sole proprietorship

4. Sue has a great idea for a business but has limited financial assets. She wants to retain control
over the management of the company, but she needs someone to provide additional financing.
Her friend Tom has some money to invest and likes Sue’s idea. He would like to share in any
profits, but he doesn’t have the time or interest in managing the company and is nervous about
the liability involved in running a business. A _______________ would probably match the needs
of both Sue and Tom.

a) general partnership

b) limited partnership

c) sole proprietorship

d) foreign corporation

Lesson 6: Corporations

1. Suzanne Limley was just elected to the board of directors at United Bank Corporation. As a board
member, she is expected to represent the interests of

a) senior bank management.

b) shareholders.

c) creditors.

d) customers

Chief Executive officer

2. CEO stand for: C_________ E________ O_________

3. What is their position in a corporation?

makes decisions, they're the highest level of management, and is responsible for hoe the corporation operates.
__________________________________________________________________________.
4. Give 2 advantages of a corporation.
i. _______________________________________
limited liability
ii. continues after the owners death
_______________________________________

5. Give 2 disadvantages of a corporation.

iii. _______________________________________
double taxation
start up costs are high
iv. _______________________________________

6. The shareholders of a corporation are also known as;

A. Customers
B. Investors
C. Owners
D. Both B and C.