23) A ________ organization is a business structure in which each person reports to a single
supervisor.
A) line
B) staff
C) flat
D) tall
E) bureaucratic
Learning Obj.: LO 5
AACSB: Analytical thinking
24) A relatively “________” organization may work with few employees and ready
communications.
A) flat
B) tall
C) large
D) big
E) narrow
Learning Obj.: LO 5
AACSB: Analytical thinking
25) Madame C.J. Walker was an entrepreneur who became ________.
A) The first self-made female millionaire
B) The first entrepreneur to franchise a business
C) The first woman to fly around the world
D) The first woman entrepreneur
E) The first African-American businessperson to become a millionaire
Learning Obj.: LO 1
AACSB: Analytical thinking
26) As you hire employees you will need to become aware of laws and taxes, including
________.
A) Fair Labor Standards Act and The Equal Pay Act of 1963
B) Antidiscrimination laws
C) Payroll taxes
D) All of the above
E) None of the above
Learning Obj.: LO 6
AACSB: Analytical thinking
7
27) When a business grows too big for the entrepreneur to run it alone, he or she should consider
________.
A) Raising capital and using it to hire managers
B) Slowing down marketing efforts to bring the business’s growth back under control
C) Taking management classes to become a better manager
D) Selling the business to people who can run it effectively
E) All of the above
Learning Obj.: LO 1
AACSB: Analytical thinking
28) Which one of these is NOT a type of planning performed by a manager?
A) Program
B) Strategic
C) Tactical
D) Operational
E) None of the above
Learning Obj.: LO 1
AACSB: Analytical thinking
29) ________ plans are for one year or less.
A) Program
B) Strategic
C) Tactical
D) Operational
E) Business
Learning Obj.: LO 1
AACSB: Analytical thinking
30) This function is about the style in which managers direct the company.
A) Planning
B) Organizing
C) Leading
D) Controlling
E) Innovating
Learning Obj.: LO 1
AACSB: Analytical thinking
8
31) Controlling involves measuring the business’s performance and determining how to improve
it.
Learning Obj.: LO 1
AACSB: Analytical thinking
32) Retention is paramount for companies to keep the employees who drive the business.
Learning Obj.: LO 6
AACSB: Analytical thinking
33) Payroll tax is a series of wage taxes based on earnings that will be deducted from your
employees’ pay.
Learning Obj.: LO 6
AACSB: Analytical thinking
34) One good way to get good employees is to bring people in as partners.
Learning Obj.: LO 2
AACSB: Analytical thinking
35) A resume is a concise summary of an individual’s education and work experience.
Learning Obj.: LO 2
AACSB: Analytical thinking
36) The time to find out whether a candidate is capable is after you hire them.
Learning Obj.: LO 2
AACSB: Analytical thinking
37) An example of a job competency that may be included in an interview is salary expectations.
Learning Obj.: LO 2
AACSB: Analytical thinking
9
38) Performance appraisal is the formal process used to evaluate and support employee
performance, and when done well is valuable only for employers.
Learning Obj.: LO 6
AACSB: Analytical thinking
39) An interview guide is a document that assists you or your interviewer in developing
questions regarding an applicant’s knowledge, skills, abilities, and interests.
Learning Obj.: LO 2
AACSB: Analytical thinking
40) The culture that you create for your business should not be a translation of your vision and
mission into norms, values, and behaviors.
Learning Obj.: LO 4
AACSB: Analytical thinking
41) Strategic plans provide the short-term implementation to accomplish strategic goals.
Learning Obj.: LO 1
AACSB: Analytical thinking
42) It is not a good practice to scout colleges for potential employees.
Learning Obj.: LO 3
AACSB: Analytical thinking
43) Active listening skills will significantly improve your verbal communication effectiveness.
Learning Obj.: LO 5
AACSB: Analytical thinking
44) The position description identifies the knowledge, skills, and abilities required to perform the
specific tasks of the job.
Learning Obj.: LO 2
AACSB: Analytical thinking
10
45) You must carefully consider what questions to ask, and not to ask, in a job interview. There
are a number of questions that cannot be legally asked of a potential employee.
Learning Obj.: LO 6
AACSB: Analytical thinking
46) What are the best strategies for recruiting employees?
Learning Obj.: LO 1
AACSB: Analytical thinking
47) Describe what your organizational structure would look like.
Learning Obj.: LO 5
AACSB: Analytical thinking
48) What is a position description?
Learning Obj.: LO 2
AACSB: Analytical thinking
49) What is organizational culture?
Learning Obj.: LO 4
AACSB: Analytical thinking
11
50) What is span of control? How is it different from chain of command?
Learning Obj.: LO 5
AACSB: Analytical thinking
12