With job rotation, conventional office space is redesigned to accommodate jobs that are
less dependent on assigned spaces.
Franchisees may be obligated to contribute a percentage of sales to parent corporations.
An investment’s current dividend yield plus its capital gain rate is known as its total
return.
An S corporation has stock that is widely held and available for sale to the general
public.
For many companies, speed to market with a product is as important as care in
developing it.
Any object can serve as money if it is portable, divisible, durable, and stable.
The Federal Reserve Bank has the responsibility of ensuring the reasonableness of the
interest rates for business and personal loans within the United States.
Increasing sales by 4 percent in the next six months would be an example of an
intermediate goal.
A coaching role may include taking on responsibilities as a mentor.
A doctor’s office buys a multifunction printer. This purchase is an example of a capital
item.
The first step in the control process is to compare actual performance to standards.
An organizations external environment consists of everything that might affect it.
Local content laws guarantee that products sold in a country are at least partly made
there.
Each stage in the supply chain adds value for the final customer.
Materials management involves the flow of materials inside of the production facility,
while distribution management involves the flow of finished goods.
If parts A, B, and C must be produced this week, a detailed schedule will indicate the
sequence of work.
Consumers with less brand loyalty are usually satisfied with a products performance
over time.
The Small Business Development Center provides micro loan programs for members.
The more important the decision, the more attention needs to be directed to developing
alternatives.
In mutual savings banks, all depositors are considered owners of the bank.
The Patriot Act gives Human Resource Managers access to previously confidential
personal information on employees, such as health and financial records.
In order to save money on transactional costs, the U.S. Treasury is moving to electronic
fund transfers for payments rather than issuing checks.
Effective, knowledgeable sales personnel can often be found in the sales force of
specialty stores.
Unethical accounting methods fortunately have only affected public confidence only in
the company found to have committed accounting violations.
The purpose of the General Agreement on Tariffs and Trade is to reduce trade barriers.
Primary data is data already available from previous research.
Hardware consists of programs that tell a computer how to function.
Critics of protectionism charge that it drives up prices by reducing competition.
The customs, values, and demographic characteristics of the society in which an
organization functions are the principal elements of the political-legal environment.
Strategic leadership is a leader’s ability to understand the complexities of both the
organization and its environment.
Once an online catalog is in place, there are high costs in maintaining and accessing it.
Tax increases and decreases are a form of fiscal policy.
A router scrambles e-mail messages to get around security systems.
Speed to market increases the chance that a new product will survive.
The ethical behaviors of top management are less of a concern today compared to the
past.
According to social learning theory, people learn, in part, because others expect them
to.
A work slowdown is an alternative to striking where large numbers of workers perform
at a much slower pace than normal.
The International Accounting Standards Board is the prominent international
organization for global accounting standards.
Business strategy focuses on improving the company’s competitive position.
Which of the following is the BEST example of a B2B market transaction?
A) A college student buys dorm furniture from an on-campus store.
B) A group of teenage girls buy new clothes for the upcoming school year.
C) A high-school coach borrows sports equipment from a neighboring school.
D) A dentist provides free toothbrushes to patients.
E) A chain of ice cream parlors regularly purchases napkins from the same supplier.
How do consumers develop opinions and beliefs about a set of products they will
consider buying?
A) Through evaluation of alternatives
B) Through emotional motives
C) Through need recognition
D) Through post-purchase evaluation
E) Through information seeking
Which of the following managers are directly responsible for getting products from
producers to consumers?
A) Human resource managers
B) Public relations managers
C) Information managers
D) Marketing managers
E) Financial managers
In addition to cost, how are industrial products divided into product categories?
A) What area of the organization will use them
B) Competitive nature of acquiring the item
C) Availability
D) How they will be used
E) How easily the item can be turned into a consumable good
Which of the following describes the requirements that the International Monetary Fund
(IMF) has made on certain developing countries?
A) The government decreases spending in order to bring inflation under control.
B) Private industries decrease prices in order to bring inflation under control.
C) The government increases loans in order to create more money in the local markets.
D) The local banks increase loans in order to create more money in the local markets.
E) The government and private industries partner in creating more jobs in the region.
Which of the following is an indication of how efficiently a firm is using its resources?
A) Earnings per share
B) Debt
C) Activity ratio
D) Leverage
E) Profitability
Which of the following terms refers to the percentage of its deposits a bank must hold,
in cash or on deposit, with a Federal Reserve bank?
A) Discount rate
B) Key rate
C) Prime rate
D) Federal insurance premium
E) Reserve requirement
According to McClelland, which of the following represents the desire to control one’s
environment?
A) The need for power
B) The need for satisfaction
C) The need for achievement
D) The need for motivation
E) The need for affiliation
Which term refers to all the activities involved in making productsgoods and
servicesfor customers?
A) Operations
B) Processes
C) Planning
D) Scheduling
E) Performance
Which of the following best describes production items?
A) Goods consumed within a year by an organization
B) Goods that are specific in nature and where no substitute will be accepted
C) Goods that are consumed rapidly and regularly
D) Goods used in the conversion process
E) Goods consumed within a year by the buyer
Which of the following allows a bank’s customers to conduct account related activities
any time they choose to?
A) Bank acceptance notes
B) Letters of credit
C) Commercial banks
D) Electronic funds transfers
E) Automated teller machines
Which of the following occurs when one Web site gives a commission to another for
referring customers?
A) Business to business brokerage
B) E-intermediary selling
C) Drop shipping
D) Limited merchant wholesaling
E) Syndicated selling
Graphically, what has been achieved when price of goods demanded is equal to the
quantity of goods supplied?
A) Supply curve optimization
B) Potential for surplus
C) Price reductions
D) Freedom of choice opportunities
E) Equilibrium price
What is a prime ingredient in fostering different levels of risk propensity within an
organization?
A) Organizational culture
B) Profitability level
C) Gender differences
D) Cross-cultural interactions
E) Company size
What value of a stock is calculated by dividing total shareholders’ equity by the total
number of shares of stock issued?
A) Par value
B) Market value
C) Book value
D) Dividend value
E) Total value
What type of factors result in a leadership behavior that has been effective in the past no
longer working in a new situation?
A) Substitutes
B) Neutralizers
C) Charisma
D) Transactional
E) Cross-cultural patterns
What feature allows people in remote locations to work simultaneously on one
document?
A) Videoconferencing
B) Voice mail
C) Data conferencing
D) Digital information service
E) Text messaging
What market segment is based on where the target market lives and how location
affects their lifestyle?
A) Demographic
B) Behavioral
C) Positional
D) Geographic
E) Psychographic
Which of the following refers to a person’s ability to think in the abstract, to diagnose
and analyze different situations, and to see beyond the present situation?
A) Human relations skills
B) Decision-making skills
C) Conceptual skills
D) Production skills
E) Technical skills
What is the interest rate offered by banks to only their most creditworthy commercial
customers?
A) Fixed
B) Prime
C) Variable
D) Prime plus 1
E) Below prime
How does a corporate raider attempt to take control of a company and its assets?
A) Buying shares of stock on the open market
B) Joining the Board of Directors
C) Attend the annual shareholders’ meeting to solicit support
D) Increase the value of shares on the market prompting a large sell off
E) Buying stock in competitor’s companies
The process of developing and establishing an easily identifiable product image and the
nature of the product in the minds of consumers is done through what process?
A) Promotion
B) Communication mix
C) Positioning
D) Pull strategy
E) Push strategy
What is the price at which the quantity of goods demanded and the quantity of goods
supplied are equal?
A) The going rate
B) The margin rate
C) The market price
D) The optimum price
E) The cost price
Which of the following BEST describes what the consumer price index is used to
indicate?
A) The average wage rate for a given region
B) The economic performance of key consumer product companies
C) The changes in the cost of consumer products over time
D) The percentage of consumers in the total population looking for work
E) The number of price increases within a given period of time
What stakeholder group is being protected when managers follow proper procedures
and strive to be accurate and candid in assessing future growth?
A) Customers
B) Employees
C) Investors
D) Suppliers
E) Local communities
Why would a government MOST likely be concerned about its country carrying a trade
deficit?
A) A trade deficit means that the country’s productivity is low.
B) A trade deficit means local companies do not have enough competition.
C) A trade deficit ties up money that could be used for economic growth.
D) A trade deficit decreases demand for goods overall.
E) A trade deficit means that consumers do not have enough purchasing power.
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.
E) In a perfectly competitive market, the size of the firms must be large.
Which of the following is NOT a characteristic of a strong contingency plan?
A) Contact information for an on-site crisis manager
B) Information systems backup software
C) An evacuation plan
D) A prioritized list of critical operations
E) A summary of common types of emergencies
What is the MOST common type of partnership?
A) Limited partnership
B) Corporate partnership
C) General partnership
D) Sole partnership
E) Cooperative partnership
Who are the firms who provide goods and services that are used by the purchasing
public?
A) Services markets
B) Industrial markets
C) Reseller markets
D) Government markets
E) Institutional markets
Which of the following helps to create a more visible public presence in foreign
countries and customers?
A) Developing a strategic alliance
B) Outsourcing
C) Licensing products
D) Investing directly in a foreign venture
E) Opening a local branch office
If a business owner needs money for expansion, but does not want to give up sole
control over the business, what type of partnership would be best?
A) General partnership
B) Limited partnership
C) Active partnership
D) Master limited partnership
E) Cooperatives
Discuss how a stock split works if a company has 100,000 common shares outstanding
that are trading at $100 per share.
Explain geographic departmentalization and discuss how and why an organization
might use this structure.
Discuss ways in which managers can link the concept of punishment and rewards as a
form of behavior modification.
Explain how marketers identify different market segments.
Why is speed to market so important?
Discuss the issues of international promotion.
Explain the role of equal employment opportunity and the Equal Employment
Opportunity Commission.
Explain the primary difference between a retailer and a wholesaler.
Compare a sociocultural environment to an economic environment.
Describe the differences among transportation, warehousing, and inventory control in
the materials management process.
Explain how dividend yield and interest dividend yield are computed.
Identify three crucial elements of charismatic leadership.
What is the difference between a public pension fund and a private pension fund?
How can norms and cohesiveness in a work group neutralize leadership?
Under what conditions might the use of work teams be inappropriate?
Explain the difference between mergers and acquisitions, and why they are important
forms of corporate strategy.
Discuss the difference between lobbying and using Political Action Committees as a
means to influence government.
A recent report to the House reveals that unemployment continues to be high and that
the economy is sluggish. At the same time, the discount rate is very close to zero, and
the reserve requirement for banks was recently lowered to an all-time low. What actions
might the Federal Reserve System do in order to stimulate the economy?
Define consumerism.
Why is it important for a company to develop new products?