Spring 2019 True/False Questions Chapter 1 UNDERSTANDING ECONOMIC SYSTEMS AND BUSINESS TRUE FALSE QUESTIONS 1. A business is an organization that strives for a profit by providing goods and services desired by its customers a. True b. False 2. The major difference between a good and a service is how the producer uses the factors of production to create each. a. True b. False 3. Not-for-profit organizations have the same goals as for-profit organizations. a. True b. False 4. Factors of production are common to all productive activities, regardless of the economic system. a. True b. False 5. Labor, as a factor of production, relates only to the production of manufactured goods, services are not included. a. True b. False 6. As a factor of production, capital includes money. a. True b. False