Scout Name: _________________________________________________ Unit #: _______________ Date: ______________
Requirements Last Revised: 1/1/03 American Business - Page 1 of 10
Merit Badge Requirements
1) Do the following:
A) Explain four features of the free enterprise system in the United States. Tell its benefits and responsibilities. Describe the
difference between freedom and license. Tell how the Scout Oath and Law apply to business and free enterprise.
B) Describe the Industrial Revolution: Tell about the major developments that marked the start of the modern industrial era in
the United States. Tell about five people who had a great influence on business or industry in the United States. Tell what
2) Do the following:
A) Visit a bank. Talk with one of the officers or staff. Chart the organization of the bank. Show its relationship with other
banks, business, and industry.
B) Explain how changes in interest rates, taxes, and government spending affect the flow of money into or out of business
C) Explain how a proprietorship or partnership gets its capital. Discuss and explain four ways a corporation gets its capital.
D) Explain the place of profit in business.
E) Name five kinds of insurance useful to business. Describe their purposes.
3) Do the following:
A) Pick two or more stocks from the financial pages of a newspaper. Request the annual report or prospectus from on of the
companies by writing, or visit its Web site (with your parent’s permission) to view the annual report online. Explain how a
company’s annual report and prospectus can be used to help you manage your investments.
B) Pretend you have bought $1,000 worth of the stocks from the company you wrote to in requirement 3a. Explain how you
“bought” the stocks. Tell why you decided to “buy” stock in this company. Keep a weekly record for three months of the
market value of your stocks