5 5101 practice tests
A manager of a business seeks to improve a decision making practice and invites a consultant to explain to employees how X ternal factors can influence ethical choices. Which of the following should the consultant discuss as factors that impact ethical decision making? Select all that apply. A. Family patterns B. Experiences C. Cultural background D. Gender
A, B, and C. Family patterns, personal experiences, and cultural biases are factors that influence a persons ethical behavior.
Which three of the following activities are examples of monetary policy goals for the federal reserve? A. Preventing high inflation rates B. Reducing the size of the banking sector C. Maintaining high interest rates D. Keeping unemployment rates low E. Stabilizing prices
A, D, E The goal of the federal reserve and its monetary policies is to promote maximum employment, stabilize prices, and prevent high inflation rates.
Which of the following terms best describes an auditing tool that helps determine a companies current strategic position? A. SWOT analysis B. Business plan C. Market survey D. Environmental scan
A. A SWOT Analysis is the best tool for audit and analysis of the overall strategic position of a business.
Which of the following is a primary reward for an entrepreneur? A. Showcasing one's unique expertise and skills B. Assuming total responsibility for the business C. Working extensive hours D. Enduring financial risks
A. Advantages of an entrepreneurship or satisfaction from taking a risk and becoming a success, showing expertise and skills, working from home, and gaining a profit.
In which of the following leadership styles does a leader make all decisions and tell subordinates what to do and how to do it? A. Authoritarian B. Democratic C. Existential D. Laissez-faire
A. And authoritarian management style is one in which the manager makes all the decisions and instructs subordinates on what to do and how to do it.
Using padding to reduce direct contact with hard or vibrating services is an example of A. Personal and protective equipment B. Engineering Controls C. Administrative and work practice controls
A. Personal and protective equipment
Which of the following is one of the primary goals of a cooperative office education program? A. Applying business concepts to school and work B. Learning ways to operate and maintain a business C. Working without supervision and direction D. Obtaining a job and a salary after graduation
A. Students learn business skills used for school and work in a cooperative office education program. The program provides students with part-time office employment combined with classroom instruction in human relations, office etiquette, time management, and computer operations and techniques.
Which of the following is true of a persuasive resume? A. It emphasizes skills and achievements aimed at a particular job or company B. It minimizes the length of the document to one page C. It is printed on high-quality stationary paper using a high-resolution printer D. It is accessible to digital scanning
A. The question tests knowledge of resume writing. And effective resume demonstrates how the candidates skills and achievements meet the needs of a particular company.
If a growing firm experiences economies of scale, prices will most likely A. Decrease B. Equal costs C. Increase D. Stay the same
A. When a firm experiences economies of scale, prices will decrease for consumers
A firm buys products directly from a manufacturer and sells them to retailers. Which of the following supply chain positions does the company most closely represent A. Contractor B. Wholesaler C. Transporter D. Dispatcher
B. A firm that buys products directly from the manufacture and sells them to retailers is a wholesaler
The role of an advisory committee primarily involves A. Administrative control B. Promoting public relations C. Evaluating instructors D. Budgetary control
B. The function of an advisory committee is to promote public relations
Vance, the owner of an apparel store, advised Julia, the store manager, to use her best judgment when selecting merchandise for the store. Vance is only caution was, "do not buy designer jeans." Later, Julia did purchase a line of designer jeans from casual wear, Inc., But they did not sell, causing a large inventory build up. Casualwear had no knowledge of Vance's directive to Julia not to buy designer jeans. Vance refused to pay, and casualwear suited for the purchase price. In this situation, Vance is not relieved from liability to pay for the jeans purchased by Julia because Julia A. Had expressed authority to purchase the jeans B. Had implied authority to purchase the jeans C. Had a parent authority to purchase the jeans D. Was an undisclosed principal
C. The manufacturer, casualwear, had every reason to expect that Julia had authority regarding purchasing decisions because of her position as store manager. This is a parent authority.
The market value of a share of common stock is equal to the A. Book value of the stock B. Par value of the stock C. Current price at which the stock is trading D. Liquidating value of the stock
C. The question test your knowledge of investing. I share of common stock is always valued at the current market price
Which of the following is a primary advantage of using a USB flash drive? A. Non-transportable data storage B. Large capacity data storage C. Inexpensive data storage D. Long term data storage
C. USB flash drives are inexpensive and are an easy way to store data.
Mr. Brown has been asked to attend a training seminar. He feels that he should be teaching the seminar rather than attending it. Which of the following obstacles to effective listening is primarily presented in this situation? A. A view about the speaker B. And attitude about the topic C. And environmental distraction D. A personal barrier
D. Assumptions made in advance about Information acts as a personal barrier
A company creates a name and design for a new product that identifies it and differentiates it from other products on the market such a process is best described as A. Advertising B. Promoting C. Trademarking D. Branding
D. Branding is when a business creates a name, symbol, or design.
Which of the following objectives best supports current trends and the United States governments role in international trade? A. Encourage diplomacy between countries B. Improve campaign financing regulations C. Increase the influence of the department of commerce D. Reduce trade barriers such as tariffs and quotas
D. The question requires knowledge of current trends in international business. Since the United States today relies on goods and services from other countries, it is in the country's interest to remove impediments to free trade such as tariffs and quotas.
In developing basic keyboarding skills, a teacher should place greatest emphasis on student behavioral objectives related to the A. Knowledge level of the cognitive domain B. Comprehension level of the cognitive domain C. Characterization level of the affective domain D. Perception level of the psychomotor domain
D. The question tests one knowledge of applied domain theory. Since keyboarding skills are related to psychomotor activity, behavioral objectives should focus on the perception level of the psychomotor domain.
This agency enforces laws and sets standards for financial disclosure and other pertinent information about firms that trade stock
Securities and exchange commission
When a business posts employment openings with required skill descriptions, it is using the Internet to A. Recruit employees B. Train employees C. Conduct financial activities D. Assist the salesforce
The question assesses knowledge of the communication and career development. Listing employment openings with required skill descriptions is by definition recruiting.
Which of the following stages in the product life cycle usually occurs first? A. Growth B. Market introduction C. Maturity D. Saturation and Decline
The question requires that you understand the lifecycle of a product. Once introduced into a market, products grow, mature, and decline.
Using a device to lift and relocate heavy objects to limit force exertion is an example of A. Personal and protective equipment B. Engineering Controls C. Administrative and work practice controls
B. Engineering Controls
Mark inherited a large sum of money and wants to purchase bonds that will be a safe, long-term guaranteed investment. Which two of the following bonds are best for him to purchase? A. I bonds B. Municipal bonds C. Corporate bonds D. Junk bonds E. EE bonds
A, E. Both I bonds and EE bonds are savings bonds sold by the federal government. US savings bonds are considered one of the safest types of investments.
The owner of a company that builds electric car re-charging stations is trying to determine whether or not to develop of the California market. To adequately evaluate expansion conditions and demand for the stations, the owner needs meaningful information. Which of the following types of software systems will best provide the owner with the necessary information? A. Decision support system B. Business information system C. Operational support system D. Management information system
A. A decision support system acts as a what if analysis system by assisting in the evaluation of alternatives courses of action.
Which of the following statements best describes a mutual fund? A. It is an open ended fund operated by an investment company that raises money from shareholders and invests in a group of assets. B. It is a registered non-transferable bond issued by the United States government and back by its full faith and credit. C. It is a negotiable instrument drawn against deposited funds to pay a specified amount of money to a specific person on demand. D. It is a debt investment in which an investor loans money to an entity that borrows the funds for a defined period of time at a fixed interest rate.
A. A mutual fund is a collection of assets (stocks, bonds, etc.) selected and managed by an agent for its shareholders. It is not a government bond, a negotiable instrument, or a debt investment.
Of the following, which primarily benefits an American multinational company? A. Implementation of a positive trade agenda B. Enactment of policies that reduce foreign direct investments C. Increased competition with foreign state owned enterprises D. Exclusion from global supply chains
A. A positive trade agenda is beneficial to American multinational companies
Which of the following is the most appropriate way to begin a sales letter? A. Asking a question to get the readers attention B. Highlighting the product while appealing to the readers intellect C. Supplying evidence for the value of the product D. Asking the reader to make a purchase by a specified date
A. A sales letter should begin with an attempt to get the readers attention by asking a question.
A high school student would like to gain practical hands-on management experience in the restaurant industry, and the restaurant next to the high school offers an unpaid opportunity. Which of the following terms best describes the opportunity? A. Internship B. Apprenticeship C. Job shadow D. Journey work
A. An internship program provides a beginner in an occupation with hands-on experience, usually as an unpaid trainee.
Chester owns a dry cleaning business specializing in the cleaning of fine fabrics. Many of his customers begin buying machine washable clothing, and his business begin to decline. He plans to add shoe repair and tailoring services to his business. He plans to use new signage on the premises of his store to advertise the new services. Which of the following best identifies the entrepreneurial characteristic described? A. Problem solving skills B. Tolerance for ambiguity C. Strong integrity D. Ability to secure capital
A. By figuring out other services to provide at his business to help it succeed, Chester is demonstrating his problem-solving skills.
Which of the following best describes cooperative education? A. The integration of classroom learning with productive work experiences B. The integration of classroom learning with virtual job shadowing experiences C. The participation of students in summer internships D. The participation of students in advisory committees
A. Cooperative education students are directly applying their classroom learning to a work experience that is in line with academic studies or career goals.
Which of the following is a primary cause of a discharge of all contractual duties? A. Complete performance of the terms of the original contract B. Breach of the terms of the original contract C. Default of the terms of the original contract D. Substantial performance of the terms of the original contract
A. Most contracts are discharged by complete performance of the terms of the contract
A business teacher wants to instruct students about effective communication skills. The teacher can best model communication skills by speaking A. In reference to written notes B. In an impromptu fashion C. From memorized lessons D. From a prepared script
A. Referring to notes is an acceptable methodology in communication. The method demonstrates effective planning and best holds and audiences attention.
Miss Jones tells her students that an upcoming assignment will require them to follow a person throughout the workday to see what that person's job involves. Which of the following career exploration programs is the Best example of what the students will be doing? A. Shadowing B. Internship C. Journey work D. Apprenticeship
A. Shadowing means following a person throughout a workday to see what a job involves.
The law of demand states that A. A decline in the price of a good will tend to cause consumers to purchase more of that good B. An increase in the price of a good will tend to cause consumers to purchase more of that good C. An increase in the demand for a good will tend to cause the price of the good to decrease. D. A decrease in the demand for a good will tend to cause the price of the good to increase
A. The law of demand holds that a decline in the price of a good will cause consumers to buy more of that good
Raven must compare her divisions sales over the past five years. She wants the comparison to provide a quick assessment of which years were average and which were below average. Which of the following methods of presentation would work best for Raven? A. Bar chart B. Pie chart C. Statistical chart D. Tabular display
A. The question requires knowledge of various types of charts and displays. Since raven wants to show results and compare sales over time, the bar chart would provide the most effective display.
Which of the following combinations of policies is the United States federal government most likely to follow during a recession? A. Increase in government spending and increasing the money supply B. Decrease in government spending and increasing the money supply C. Increasing taxes and decreasing the money supply D. Decreasing taxes and decreasing the money supply
A. The question tests understanding of government and banking policies. A recession is a period of falling demand and lower interest-rate's. Generally, during a recession. The unemployment rate increases because the demand for goods is depressed. Any increase in taxes would further reduce consumer spending. Increasing the money supply would have the effect of increased employment, since more money would be available to the consumer for spending.
Leland works for a business that is owned by many people. However, according to the law, the business is treated as if it is owned by one person. This form of ownership is best known as a A. Limited liability company B. Corporation C. Nonprofit organization D. Franchise
B. A corporation is a business owned by many people but treated by law as if it is owned by one person.
Which of the following types of information is the most critical to making marketing decisions A. Product quality B. Customer wants C. Competition offerings D. Government regulations
B. A knowledge of customer wants is the most critical element of making marketing decisions
Two friends decide to purchase and operate a food truck together. Each of them makes a $50,000 investment, and they share equally in the profits. Which of the following business arrangements do the two friends have? A. Sole proprietorship B. Partnership C. S corporation D. Corporation
B. A partnership is a type of business organization in which two or more individuals pool money, skills, and other resources and share of the profits or losses.
A company wants to set up a computer network, that will allow its employees to easily communicate with customers, vendors, and suppliers while maintaining a basic level of information security. Which of the following networks is most appropriate for the company to use? A. Telenet B. Extranet C. Local area D. Wide area
B. And extranet is a semi private network that allows more than one company to access the same information. A company may also use the extranet to manage and communicate with customers, vendors, suppliers, and other organizations through secure websites.
Which of the following actions is the best example of an appropriate government intervention in a mixed economy? A. Setting prices for a new product B. Granting a subsidy to a business sector C. Hiring employees for a construction site D. Participating in managerial decision making
B. Granting a subsidy such as a tax credit to a business sector is an example of a direct government intervention in a mixed economy
A manufacturer notices that prices in the market have increased. According to the laws of supply, it is most appropriate for the manufacturer to A. Produce less B. Produce more C. Stop production for a while D. Produce the same amount
B. High prices encourage firms to produce more and low prices discourage production.
The actual rate of interest received on a savings account is called the A. Annual rate B. Effective rate C. Nominal rate D. Periodic rate
B. Interest on a savings account is compounded as the year passes, so the stated rate differs from the actual, or effective, rate.
The principal at a high school conducts a staff meeting to explain a new district policy. A teacher at the back of the room is texting on a phone. Which of the following most closely represents the teachers barrier to receiving the principles message? A. Perceptual difference B. Distraction C. Ethnic difference D. Emotions
B. Texting on the phone is a distraction, which is a type of barrier to communication.
Which of the following theories is most closely associated with motivational management? A. Chaos theory B. Instinct theory C. Contingency theory D. Systems theory
B. The instinct theory of motivation states that leaders are motivated to lead because there is something in it that allows them to be leaders. The theory is associated with internal motivation.
Which of the following statements is primarily true of business plans? A. Most business plans are developed for a five-year period B. Business plans are most commonly used for financial requests C. Entrepreneurs rely on business experts to write their business plans D. Business plans must be approved by a government agency
B. The most popular use of business plans is to obtain funding
Which of the following is defined as an entity's total assets minus its total liabilities? A. Accounts receivable B. Net worth C. Cash receipts D. Marginal profit
B. The question test your understanding of basic accounting concepts. The basic accounting equation is: total assets minus total liabilities equals net worth.
A business owner decides to form a corporation. Which of the following describes where the company must file a charter? A. The state where the company is chief executive officer lives B. The state where the company's headquarters are located C. States where the company will conduct local business D. Countries where the company will conduct Internet business
B. To form a corporation, a company must file a charter in the state where it's headquarters will be located
Mr. Smith, a sales person, describes to his supervisor, Mrs. Thomas, a plan that he believes can improve the product flow in the distribution channel. While listening intently, Miss Thomas shows she recognizes the sales persons point of view and relates to the suggestion to her own thoughts about improving the distribution process. Which of the following communication techniques best describes what the supervisor is doing while listening? mr. Smith, a sales person, describes to his supervisor, Miss Thomas, a plan that he believes can improve the product flow in the distribution channel. While listening intently, Miss Thomas shows she recognizes the sales persons point of view and relates to the suggestion to her own thoughts about improving the distribution process. Which of the following communication techniques best describes what the supervisor is doing while listening A. Reviewing the information B. Understanding the idea C. Providing feedback D. Quantifying the procedure
B. Understanding requires listening, recognizing, and relating information for communication to be effective.
This agency rates the ethical and community standing of a firm to maintain a level of trust between businesses and the public
Better business bureau
A company's IT department designs computer systems that meet the needs of the company. The computer systems are created in layers. Please each of the following components of a computer system in order from bottom to top. Application software End user Hardware Operating system
Bottom: Hardware Operating System Application Software Top: End User
Water, gas, and electric companies are primary examples of which of the following types of monopolies? A. Restricted input B. Technological C. Natural D. Geographic
C. Economy is usually support only one or two utility suppliers due to high operation costs, which is characteristic of a natural monopoly.
In a multifaceted, ever-changing world, business leaders who are (i) ________, Who do more and more, faster and faster, are less likely to be (ii) ________ and are more susceptible to making ethical mistakes. (i) A. Transformational B. Autocratic C. Hyperactive (ii) D. Idealistic E. Innovative F. Independent
C, E. Hyper active leader ship response resulting from an ever-changing complex world. Innovative refers to the development of new ideas or solutions to meet the customers needs. When a leaders in a rush, going faster and faster, taking time to be reflective and innovative suffers and the organization suffers as a result.
A group of teachers decide to pull their hobby skills to create a new business. The skills will be available for any of the teachers in the group to use. Which of the following business models most closely represents the teachers new business? A. Franchise B. Home based business C. Cooperative D. Limited liability corporation
C. A cooperative business belongs to the people who use it.
Sarah wants to thank her manager for allowing her to attend a business related seminar and then share what she learned from the seminar which of the following is the most appropriate form of communication for Sarah to use? A. Text B. Memo C. Letter D. E-mail
C. A letter is a formal form of communication within or outside of an organization. Business letters are considered to be more formal than memos.
Requiring that heavy loads be lifted by two people to limit force exertion is an example of A. Personal and protective equipment B. Engineering Controls C. Administrative and work practice controls
C. Administrative and work practice controls
Which of the following reflects the idea that consumers drive the economy because their preferences affect business decisions regarding production? A. Consumerism B. Consumer activism C. Consumer sovereignty D. Consumer therapy
C. Consumer sovereignty is an economic theory that suggests that the final customers wants and preferences drive the production of goods and services in that economy.
Jesse is thinking about applying for a loan and wants to know what information is in her credit file. Which of the following laws it gives her the right to know that information? A. Fair credit billing act B. Equal credit opportunity act C. Fair credit reporting act D. Consumer credit protection act
C. Fair credit reporting act gives consumers the right to know what is in their file
A teacher needs to send out a high-priority e-mail to her supervisor. Which of the following is the most appropriate way to send an urgent email? A. Sending the message with the subject heading of "urgent!" B. Sending the message with a subject heading of "please read ASAP" C. Send the message with a relevant subject heading, tagged as urgent (!) in the email program D. Sending the message with the urgency of the subject matter stated in the body of the email
C. Indicating the subject of the email and using the urgent feature on the email program notes the urgency in a subtle and professional way
A CEOs administrative assistant wants to be certain that an email written by another employee can be passed onto the CEOs subordinates. Before sending the email, the administrative assistant should first consider if the email A. Includes a chain of messages from several employees B. Contains an exchange between the emails author and the CEO C. Is approved by the author for the CEO to forward D. Involves confidential information
C. It is most important that the administrative assistant is certain that the emails author has given permission for the message to be forwarded.
A company is planning to sell the rights to its brand name for use in other countries. Which of the following terms most closely describes the situation? A. Joint venture B. Free trade agreement C. Licensing agreement D. Direct foreign investment
C. Licensing is selling the right to use some intangible property (production, process, trademark, or brand-name) for a fee or royalty.
Jacob recently started working at a business in which people of many cultures work. When Jacob communicates with someone of another culture, it is most appropriate for him to A. Remain casual by using idioms B. Ignore the person's body language C. Listen actively to the person D. Correct the persons English
C. Listening actively means not just listening but also observing.
A local game store is trying to attract members of generation Y. Which of the following promotional approaches will primarily get the attention of generation Y consumers? A. Coupons in the Local weekly newspaper B. A commercial on a national radio station C. Information posted on a company website D. A full-page advertisement in a national magazine
C. Members of generation Y are technologically savvy; they have grown up with computers and the Internet playing a significant part of their lives.
And office manager prepares a memo to employees regarding the retirement of the company is chief financial officer and the search for a replacement. Which of the following purposes best describes the reason for the memo? A. Providing a record B. Promoting goodwill C. Supplying information D. Stating a policy
C. Memos of this sort are most frequently used to provide information.
Which of the following is a primary reason a country might use import tariffs, quotas, or licensing requirements? A. To expand its export opportunities B. To increase its consumer choices C. To protect its consumers and industries
C. Tariffs, quotas, and licensing can be utilized by governments to equalize and exporting nations manufacturing and labor advantage to protect the importing nations industrial sector labor force and consumers.
The largest number of employees that a small business can have is A. 500 employees B. 750 employees C. Determined by the type of industry of the business D. Determined by the north American industry classification system
C. The definition of "small business "varies by industry.
Which of the following most closely represents an example of using the Grapevine to get information about a company policy change? A. Reading an article from the corporate newsletter. B. Asking upper management in a meeting C. Questioning coworkers during a lunch break D. Posting a news release on the intranet
C. The great sign is an informal channel of business communication. It is called this because it stretches throughout an organization in all directions, irrespective of authority levels. The coworkers discussion during their lunch break is an example of this.
Which of the following statements is primarily accurate about true market economies? A. Everyone's needs and wants are met B. Goods and services are distributed evenly C. The government removes barriers to trade D. Major resources are owned by the state
C. The primary role of government in a market economy is to support the marketplace by removing obstacles such as trade barriers
Which of the following statements is true about strict liability in contracts? A. It requires proof of intent B. It requires a connection to the contract C. It does not require a showing of negligence. D. It does not apply to a third-party in the contract
C. The question assesses knowledge of contract law. Strict liability is a legal doctrine that makes some persons responsible for damages their actions or products cause, regardless of any fault on their part. It does not require proof of negligence.
If a nation begins importing more goods and exports remain constant, it will experience an increase in A. The value of its currency B. The number of foreign markets for its products C. The outflow of its currency D. Inflation
C. The question requires a knowledge of international trade and economics. When a nation imports more than it exports, there is always an increase in the outflow of its currency because the nation is spending more than it is receiving
Human capital is best described as the A. Development of robots in the industry B. Rise of information technology C. Skills and abilities of humans D. Technological ideas of people
C. The question tests knowledge of an economics term used by management. Human capital refers to the skills, knowledge, and abilities of human beings that can be used to create value for themselves, their employers, or their community.
A quick ratio and a current ratio best indicates a company's A. Efficiency B. Growth rate C. Liquidity D. Profit ability
C. The question tests knowledge of basic accounting and finance concepts. Ratios of financial statements items provide snapshots of the financial status of an entity at a single point in time. The quick ratio is simply the result of dividing the difference between current assets and inventories by current liabilities. The larger the number, the greater the liquid assets. Similarly, the current ratio is calculated by dividing current assets by current liabilities. The larger the number, the more cash the entity has on hand. Both ratios measure liquidity.
If federal income tax pair should compare which of the following in order to decide whether or not to itemize deductions? A. Adjustment deductions and total personal exemptions B. Itemized deductions and adjustment deductions C. Standard deductions and itemized deductions D. Adjusted gross income and taxable income
C. The question tests understanding of taxation. Each taxpayer is allocated a particular amount of standard deduction. If the taxpayer is able to demonstrate that the itemized deductions are greater than the standard deduction, then the itemized figure can be used.
A firm pays $1000 for furniture on account, which of the following statements about journal entries made for the transaction is true? A. Cash should be credited; office furniture should be debited B. Office expense should be debited; accounts payable should be credited C. Office furniture should be debited; accounts payable should be credited D. Accounts payable and office furniture should be debited; cash should be credited
C. This question test your knowledge of accounting concepts. The two accounts that are involved with this transaction our office furniture, and asset account, and accounts payable, a liability account. The asset office furniture was chosen because it represents the total of all office furniture owned. Since the transaction will increase the assets office furniture, that account should be debited. Accounts payable was chosen because the furniture was bought on a count for credit. Since accounts payable is a liability and it has increased, it should be credited.
A national car manufacturer is attempting to improve the efficiency of its assembly plant. To most effectively plan and implement a new process, the company should focus on which of the following? A. Equipment ergonomics B. Quality improvement C. Workflow analysis D. Workforce reduction
C. Workflow analysis is a structured approach to identify and enhance work processes.
According to research, the competency most needed for success in most business occupations today is A. Computer Literacy B. Communication Skills C. Records Management D. Time Management
Communication skills Computer literacy, records management, and time management or all skills that can be taught and improved by a business. Communication skills are the one competency that employees must possess as they enter the job.
Which of the following most closely describes a brand name? A. A symbol used to represent a company B. A character used to promote a company C. A legally protected trademark of a company D. A word or phrase used to do identify a company
D. Brands are distinctive words or phrases that represent a company
Which of the following provides a secure, reliable connection within a shared public network? A. Metropolitan area network B. Intranet C. Internet D. Virtual private network
D. A VPN is a secure private network that is constructed with a public network infrastructure, such as the global Internet.
And employee is concerned about the conduct of a colleague. Which of the following is the most appropriate way for the employee to address the matter? A. Emailing the colleague about the problem and sending a copy to the supervisor B. Writing a letter to the colleague and filing a copy with the office manager C. Ignoring the problem and focusing on a positive aspect of the colleague D. Setting up a face-to-face meeting with a colleague and discussing the problem
D. A face-to-face meeting permits both parties to exchange ideas, view nonverbal cues, and move more quickly to solving the problem.
To business people invest $300,000 each in the same new venture and have listed themselves as non-decision-makers in the partnership agreement. Which of the following roles do they have in the new venture? A. General partners B. Stakeholders C. Shareholders D. Limited partners
D. A limited partner invests capital in a business but does not participate in its management.
Which of the following is the best example of something that can be copyrighted? A. List of ingredients used by a company to create a private label of body lotion B. Process for combining the ingredients to create a private label of body lotion C. Exclusive name of a private label of body lotion D. Advertisement for a private label of body lotion
D. Copyright protects original works of authorship, and an advertisement is created by a writer or author.
Which of the following would be classified as other income on an income statement? A. Sales discount B. Merchandise inventory C. Sales returns and allowances D. Interest earned
D. Interest earned would be correctly classified as an "other income" account.
Melinda's mother left a detailed will describing her wishes regarding the division of her real and personal property. Which of the following courts will administer the will and estate? A. Municipal Court B. Circuit court C. Federal district court D. Probate court
D. Probate court deals with the legal certification of wills and the administration of estates of the deceased.
In 1917, a federal legislation provided funding for vocational student organizations. Which of the following legislative acts primarily continues that funding? A. Every student succeeds act B. School to work opportunities act C. Elementary and secondary education act D. Carl D Perkins career and technical education act
D. The Smith-Hughes act of 1917 (sponsored by Smith and Hughes) provided federal support for vocational education programs. The Carl D Perkins career and technical education act of 2006 continues that funding.
The break even point for a profit oriented enterprise is reached when A. Variable costs equal fixed costs B. Net revenue equals fixed costs C. Total revenue equals variable costs D. Total revenue equals total costs
D. The break even point is the point at which the total costs match the total revenue.
And employee sends an email to a colleague at the companies office in Beijing. To ensure that the transmission is clear, the employee carefully select words that the colleague will understand. This is an example of which of the following parts of the communication process? A. Decoding B. Noise C. Feedback D. Encoding
D. The employees actions best demonstrate message encoding, which is the process of converting an idea into words or gestures that will convey meaning.
Which of the following is the primary purpose of an accounting system? A. To develop financial statements in conformity with generally excepted accounting principles. B. To provide as much useful information to decision-makers as possible C. To record changes in the financial position of a company by applying the concepts of double entry accounting D. To meet an organizations need for accounting information as efficiently as possible
D. The primary purpose of an accounting system is to provide actionable accounting information efficiently
The interest charge on $2000 borrowed for one year at a simple interest rate of 12% is A. $120 B. $140 C. $220 D. $240
D. The question assesses knowledge of how to calculate simple interest. Simple interest is calculated by multiplying the principle by the rate of interest by the time of the loan. Multiplying $2,000 by .12 by 1 equals $240
When the totals of a trial balance are equal it can be determined that A. All journal entries have been posted to the correct ledger accounts B. All original entries were made correctly C. The company has made a reasonable amount of profit D. Equal amounts of debits and credits have been posted
D. The question test your knowledge of basic accounting concepts. The purpose of the trial balance is to prove that all entries have been posted equally to the debit and credit side of the affected accounts
Federal funds for business education have tended mostly to support which of the following areas? A. Consumer education B. Economics instruction C. Personal development D. Career and technical skills
D. The question tests knowledge of federal vocational education legislation. The Carl D Perkins vocational and technical education act, re-authorized in 1998, allocates federal funding for the training and development of vocational skills in secondary and post secondary institutions.
Which of the following actions increases the accounts receivable balance? A. Pre-paying warehouse rent for a year B. Increasing employee salaries C. Purchasing inventory with cash D. Selling products on credit
D. The selling of products on credit generates a liability that must be collected, thereby increasing the accounts receivable balance.
To accurately calculate the funds a company has available to pay expenses in the short run, and employee should review the A. Statement of retained earnings B. Income statement C. Balance sheet D. Statement of cash flows
D. The statement of cash flow is the details of the cash a company has available to pay expenses
The owner of an online store queries the customer database for birthdates in order to send customers a digital coupon for five dollars off a single purchase made during their birth month. The owner's actions are an example of which of the following? A. Data mining B. Cluster analysis C. Reciprocity D. Trawling
D. Trawling is the act of searching a database for a specific piece of information, such as a birth date.
A DECA instructor wants to create an effective work-based learning experience for students. Which of the following should be the instructors primary focus for the program? A. Student wages are comparable to the state average B. The students are able to for fill the job requirements C. Job skills meet each students graduation plan D. The real World employment is linked to the classroom
D. Work based students have to be able to see how classroom instruction is relevant to real world experiences.
This agency regulates radio, television, telecommunications, broadband, and emergency communication systems
Federal communications commission
This agencies chief focus is to prevent fraud and deceptive business practices and to ensure fair competition
Federal trade commission
This agency establishes and enforces standards and laws for working conditions in commercial and industrial sectors
Occupational safety and health administration
In communicating with a business person for whom English as a second language, one should talk slowly, enunciate clearly, observe body language, check frequently for comprehension, and do which of the following? A. I assume that the business person understands if he or she nods in agreement B. Avoid smiling, which might come across as lack of seriousness C. Encourage accurate feedback by asking probing questions D. Use vocabulary words that will impress the business person
The question requires an understanding of effective communication strategies. Communication is a two-way process, and one should look for confirmation that a person understands the message. Engaging in dialogue is the most effective indicator.
Which of the following remedies would a buyer most likely seek when a seller breaches a contract and refuses to give up a unique gold coin? A. Compensatory damages B. Exemplary or punitive damages C. Nominal damages D. Specific performance
The question test knowledge of contract law. Since the item purchased was a unique item and was still in the possession of the seller, the only remedy would be to have the coin delivered to the buyer. This is specific performance The question test knowledge of contract law. Since the item purchased was a unique item and was still in the possession of the seller, the only remedy would be to have the coin delivered to the buyer. This is specific performance.
Owners of a prospective start up business has created a business plan identifying projected costs of operation, labor needs, and an appropriate location for the business. If the business fails, however, it is primarily due to A. A lack of cash flow B. The cost of the start up C. A lack of qualified employees D. The location
Well the costs of operation are researched fairly extensively before beginning an enterprise, economic conditions may cause cash flow problems
