Who is responsible for the day-to-day management and overall performance of an
organization?
A) Officers
B) President
C) Chief Executive Officer
D) Board of Directors
E) Vice President
How do companies achieve continuous sales of more units and higher profits, even with
lower unit prices?
A) Market penetration
B) E-business
C) Profit-maximization strategies
D) Market domination
E) Market share
What type of corporations are those comprised of doctors, lawyers, or accountants
MOST likely to be?
A) Private
B) Public
C) Subchapter S
D) Professional
E) Multinational
Which of the following includes provisions that control air pollution by members?
A) Sarbanes-Oxley
B) GAAP
C) Code of ethics
D) NAFTA
E) FTC
What can be used to determine relationships among different levels of demand and
supply, based on price?
A) Market economies
B) Degrees of competition
C) Surplus to shortage relationships
D) Demand and supply curves
E) Private enterprise competition
What is created when the ownership of a product, including the setting of selling prices,
terms of credit, and ownership documentation is transferred to a customer?
A) Place utility
B) Time utility
C) Value utility
D) Possession utility
E) Form utility
Which of the following strategies is involved with price skimming?
A) Setting an initial low price to establish a new product in the market
B) Setting an initial low price to cover new product costs and still generate a profit
C) Setting a limited number of prices for certain categories or products
D) Setting an initial high price to establish a new product in the market
E) Setting an initial high price to cover new product costs and still generate a profit
As a product line retailer, what services do supermarkets emphasize?
A) Specialized departments for different products
B) Wide variety of services, credit, and delivery options
C) Low prices, self-service, and wide selection
D) Full product line within a narrow product field
E) Knowledgeable sales people and product specialist
Which of the following describes assets such as land, building, and equipment?
A) Liquid assets
B) Fixed assets
C) Intangible assets
D) Current assets
E) Limited assets
If a manager believes their job is to generate profits and is willing to do everything
legally required, but no more, what social responsibility stance is being taken?
A) Proactive
B) Accommodative
C) Defensive
D) Obstructionist
E) Social accommodation
How can a good or service provider stimulate demand during off-peak seasons?
A) Price lining
B) Discounts
C) Skimming
D) Odd-even pricing
E) Bundling
Because of the influence of a more sophisticated and educated public, what approach
should corporations take to develop social responsibility plans?
A) The same approach they take when developing any other business strategy.
B) Create new legal and implied requirements.
C) Develop an informal plan and use it to see what work before incorporating those
ideas to a formal plan.
D) Increase ethical understanding and training for leadership.
E) Increase philanthropic giving.
In which business sector are cooperatives still important?
A) Manufacturing
B) Automotive
C) Public utilities
D) Agriculture
E) Health care
What element of management is being utilized when using computer forecasts to
determine possible outcomes of an intended change?
A) Strategy formulation
B) Goal setting
C) Crisis management
D) Contingency planning
E) Related diversification
How do customers most benefit from packaging design?
A) Increased utility
B) In-store advertisements
C) Less spoilage
D) Reduced risk of dames
E) Less theft of the product
Which of the following use a computer chip that sends a radio-frequency signal when
an individual is making a retail purchase?
A) Smart cards
B) Blink cards
C) Debit cards
D) E-commerce cards
E) Credit cards
Which term refers to the unauthorized stealing of personal information from a computer
system?
A) Espionage
B) Leverage
C) Denial of service
D) Identity theft
E) Network flooding
How can an organization fulfill their organization’s contract obligations to employees?
A) Contributions
B) Psychological contracts
C) Inducements
D) Intention
E) Cognition
What are departments called that resemble separate businesses in that they produce and
market their own products?
A) Regions
B) Divisions
C) Function centers
D) Cost centers
E) Work hubs
Which term refers to the fundamental rethinking and radical redesign of a business
activity to achieve dramatic improvements in performance?
A) Supply chain management
B) Business process reengineering
C) Total quality management
D) Quality ownership
E) Quality control
Why is the long-term solvency ratio important for stakeholders?
A) It may indicate excessive inventories that cannot be sold.
B) It indicates the earnings per share a stakeholder can expect to receive.
C) It indicates the efficiency with which a firm uses resources.
D) It indicates the firm’s ability to generate cash.
E) It may indicate collapse or takeover opportunities.
What is the major limitation of Wi-Fi?
A) High cost
B) Privacy concerns
C) Productivity
D) Short range of distance
E) Installation challenges
In what way can the government use indirect regulation to affect social responsibility?
A) Enacting laws
B) Supporting shareholders
C) Imposing fines to violators
D) Providing tax incentives
E) Cooperating with foreign governments
Which of the following is conducted to attract qualified persons to apply for available
jobs?
A) Realistic job previews
B) Recruiting
C) Selection
D) Hiring
E) Interviews
Accessing a Web site in search of magazine articles about a product before its purchase
is an example of what part of the consumer buying process?
A) Post-purchase evaluation
B) Problem solving
C) Information seeking
D) Purchasing the product
E) Recognizing a need
Which of the following Acts helps to ensure the financial security of pension funds?
A) Employee Retirement Income Security Act
B) Wagner Act
C) Age Discrimination in Employment Act
D) Equal Pay Act
E) Fair Labor Standards Act
What is determined when the value of outstanding shares is multiplied by the number of
outstanding shares?
A) Market capitalization
B) Stock split value
C) Earnings per dollar of investment
D) Dividend value
E) Earnings per share
What is the name for the influences that include the “way of living” that distinguishes
one large group from another?
A) Psychological
B) Personal
C) Social
D) Domestic
E) Cultural
What takes place when buyers purchase more of a product when the price drops, and
less when the price increases?
A) Demand
B) Laws of supply
C) Laws of demand
D) Degree of competition
E) Free market economy
Which of the following managers are responsible for planning and overseeing the firm’s
accounting functions?
A) Financial managers
B) Information managers
C) Production managers
D) Human resource managers
E) Marketing managers
What is emotionality?
A) The ability of a person to get along with others
B) The degree to which someone tends to be positive or negative
C) The number of things a person tries to accomplish at once
D) The relative rigidity of an individual’s beliefs
E) The likelihood that a person will react aggressively
Workers such as computer scientists, engineers, and software developers who typically
require extensive and highly specialized training, are known as what?
A) Technical workers
B) Knowledge workers
C) Contingent workers
D) Labor relation workers
E) Union workers
Which term refers to the specification of jobs to be done within an organization and the
ways in which those jobs relate to one another?
A) Delegation
B) A mission statement
C) Job specialization
D) Role responsibility
E) Organizational structure
Which of the following is the enforcement agency that oversees a market’s activities
and the way securities are issued within that market?
A) SEC
B) FINRA
C) Galleon group
D) Prospectus
E) Attorney general