Every month, David, an assistant at a shoe store, steals money from his employer, after
it has been received and recorded in the books, by altering the accounting records in the
company book. David’s act falls under which of the following categories of theft?
A. Shoplifting
B. Embezzlement
C. Skimming
D. Phony disbursement
Which of the following acts provide training for workers who are injured on the job?
A. The Age Discrimination in Employment Act of 1967
B. The Americans with Disabilities Act of 1990
C. The Civil Rights Act of 1991
D. The Rehabilitation Act of 1973
Which of the following statements is true about products?
A. People such as political candidates and celebrities cannot be considered as products.
B. Most of the products sold today are combinations of both goods and services.
C. Products in terms of goods are generally less homogeneous than services.
D. Products in terms of goods are more inseparable from their providers than services.
Which of the following is one of the ways in which attorneys charge?
A. Quarterly fees
B. Annual fees
C. Hourly fees
D. Continuous fees
The Immigration Reform and Control Act of 1986:
A. requires payment of same wages to males and females.
B. prohibits hiring of unauthorized aliens.
C. includes a prohibition on harassment.
D. governs confidentiality of medical information.
A McDonald’s franchise includes the right to use McDonald’s many trade names,
specifications of the product to be sold, operating methods, marketing plan, and
national advertising. Franchisees pay to the franchisor both an up-front fee to obtain the
franchise rights and a percentage of gross sales. Which of the following types of
franchising does this situation illustrate?
A. Conversion franchising
B. Trade name franchising
C. Business format franchising
D. Product distribution franchising
An imitative business that competes locally with others in the same industry is referred
to as _____.
A. incremental competition
B. niche business
C. linear competition
D. parallel competition
A contract between two or more parties in which one party agrees, for a fee, to assume
the risk of another is called _____.
A. coverage
B. insurance
C. separation of duties
D. bailment
Which among the following is a disadvantage of sole proprietorships?
A. Its owner gets no specific tax advantages.
B. Its owner has to share control with others.
C. Its owner has to share profits.
D. Its owner has unlimited liability for the firm’s debt.
Which of the following is a key component for staving off customer complacency, as
suggested by Zig Ziglar, that refers to being among the people the customers have seen
in the past few days?
A. Recency
B. Urgency
C. Frequency
D. Potency
There is much a small business can do to create memorable images and advertising for
itself, and it does not need expensive television ads to do it. Which element of
SCAMPER is being referred to here?
A. Magnify
B. Saturate
C. Correlate
D. Put to other use
A _____ is a form of money that can be immediately used to make payments.
A. debt investment
B. marketable security
C. commercial paper
D. traveler’s check
Industry analysis is defined as the technique used to:
A. determine the magic number in a particular industry.
B. determine the extent to which a product is similar to another product.
C. study the dynamics and trends of an industry.
D. study the effects of low cost on an industry.
The _____ is the total cost of substituting an asset with an essentially identical asset.
A. cost of disposition
B. replacement cost
C. cost of operating
D. acquisition cost
Debt investments that mature in less than three months are an example of _____.
A. currency
B. cash equivalents
C. demand deposits
D. traveler’s checks
Availability float and _____ float are the two primary causes of float.
A. bank ledger
B. reconciling
C. charge back
D. processing