COBA CORE FALL 2021 - Complete set

A lender and a borrower signed a contract for a $1,000 loan for 1 year. The lender asked the borrower to pay 3% interest. Inflation occurred and prices rose by 2% over the next year. The borrower repaid $1,030. What is the amount worth in real terms, after inflation? A. $1,060.90 B. $1,050.60 C. $1,019.80 D. $1,009.80

$1,009.80

Maxwell Tax Planning Service bought communications equipment for $10,200 on January 1, 2019. The equipment has an estimated useful life of five years and zero residual value. Maxwell uses the straight-line method to calculate depreciation and records depreciation expense in the books at the end of each month. As of June 30, 2019, the balance in the Accumulated Depreciation account for this equipment is ________ A) $170 B) $2,040 C) $850 D) $1,020

$1,020

uring the accounting period, office supplies were purchased on account for $3,200. A physical count, on the last day of the accounting period, shows $1,100 of office supplies on hand. Supplies Expense for the accounting period is $3,300. What was the beginning balance of Office Supplies? A) $4,400 B) $2,100 C) $1,200 D) There is not enough information to answer this question.

$1,200

Carter Co. paid $1,000,000 for land 3 years ago. Carter estimates it can sell the land for $1,200,000, net of selling costs. If the land is not sold, Carter plans to develop the land at a cost of $1,500,000. Carter estimates net cash flow from the development in the first year of operations would be $500,000. What is Carter's opportunity cost of the development? A. $1,500,000 B. $1,200,000 C. $1,000,000 D. $500,000

$1,200,000

Fleetwood, Inc. signed a three-year note payable for $59,000 at 7% annual interest. What is the interest expense for 2019 if the note was signed on August 1, 2019? (Do not round any intermediate calculations, and round your final answer to the nearest dollar.) A) $2,065 B) $1,721 C) $12,390 D) $4,130

$1,721

Singh Enterprises manufactures picture frames. Its production operations are divided into two departments — Assembly and Finishing. The company uses a process costing system. Singh incurred the following costs during the year to produce 6000 picture frames: Assembly $9700 Finishing $2250 If Singh can only sell 5100 picture frames during the year, what will be the cost per unit of the picture frames produced? (Round your answer to the nearest cent.) A) $2.34 B) $1.99 C) $1.62 D) $1.90

$1,99

nderson Corporation has purchased a group of assets for $20,300. The assets and their relative market values are listed below. Land $6800 Equipment 2300 Building 3600 Which of the following amounts would be debited to the Land account? (Round any intermediate calculations to two decimal places, and your final answer to the nearest dollar.) A) $4233 B) $10,962 C) $3654 D) $5684

$10,962

Lakeshore Manufacturing provided the following information for the month ended March 31: Sales Revenue $30,000 Beginning Finished Goods Inventory 17,000 Ending Finished Goods Inventory 11,500 Cost of Goods Manufactured 12,600 Compute gross profit. A) $11,900 B) $17,400 C) $22,900 D) $5900

$11,900

Using the income approach, calculate the national income used to calculate GDP with the information provided below: - Interest: $8,000 - Salaries and wages: 50,000 - Net foreign factor income: 7,000 - Partnership income: 10,000 - Rents: 20,000 - Indirect business taxes: 1,000 - Corporate profits: 25,000 - Proprietor income: 4,000 A. $107,000 B. $117,000 C. $118,000 D. $124,000

$117,000

A small country that uses the U.S. dollar as its currency is measuring its GDP for the current year. Personal consumption expenditure was $69,000 last year, and it increased by 10% this year. Gross private domestic investment was $18,000, and it decreased by 5% this year. Government purchases was $19,000, and it increased by 20% this year. Net exports of $2,000 remained the same as last year. What is the current year's GDP based on the classic expenditure model? A. $117,800. B. $114,000. C. $108,000. D. None of the answers are correct.

$117,800

An asset was purchased for $37,000 on January 1, 2019. The asset's estimated useful life was five years, and its residual value was $9000. The straight-line method of depreciation was used. Calculate the gain or loss if the asset is sold for $19,000 on December 31, 2019, the last day of the accounting period. A) $6200 gain B) $12,400 loss C) $12,400 gain D) no gain or no loss

$12,400 loss

merchandiser uses a perpetual inventory system. The beginning Retained Earnings balance of the merchandiser was $110,000. During the year, Sales Revenue amounted to $90,000, Cost of Goods Sold was $40,000, and all other expenses totaled $12,000. The company declared and paid $27,000 as dividends. The ending balance of Retained Earnings would be ________ A) $148,000 B) $121,000 C) $175,000 D) $110,000

$121,000

A company purchased 500 units for $30 each on January 31. It purchased 550 units for $33 each on February 28. It sold a total of 650 units for $45 each from March 1 through December 31. What is the cost of ending inventory on December 31 if the company uses the first-in, first-out (FIFO) inventory costing method? (Assume that the company uses a perpetual inventory system.) A) $13,200 B) $10,200 C) $12,000 D) $1,8000

$13,200

On January 1, 2018, Benbrook Company purchased equipment and signed a six-year mortgage note for $160,000 at 15%. The note will be paid in equal annual installments of $42,278, beginning January 1, 2019. Calculate the balance of Mortgage Payable after the payment of the first installment. (Round your answer to the nearest whole number.) A) $24,000 B) $117,722 C) $141,722 D) $120,702

$141,722

Fire Cat, Inc. selected cost data for the year are shown below: Cost of Goods Manufactured $145,500 Work-in-Process Inventory, Jan. 1 19,500 Work-in-Process Inventory, Dec. 31 22,000 Direct Materials Used 18,600 What is the total of manufacturing costs incurred by Fire Cat, Inc. during the year? A) $148,000 B) $143,000 C) $22,900 D) $38,100

$148,000

Precision Camera Services started the year with total assets of $90,000 and total liabilities of $65,000. The revenues and the expenses for the year amounted to $100,000 and $70,000, respectively. During the year, the company did not issue any common stock, but it distributed dividends of $40,000. What is the amount of stockholders' equity at the end of the year? A) $70,000 B) $100,000 C) $15,000 D) $40,000

$15,000

The balances of select accounts of Donovan, Inc. as of December 31, 2018 are given below. Debit Credit Building $120,000 Cash 9,000 Office Supplies 1,000 Furniture 4,000 Prepaid Insurance 600 Accumulated Depreciation—Furniture $2,000 Land 33,000 Accumulated Depreciation—Building 4,000 Accounts Receivable 2,000 What amount of total long-term assets would be shown on the balance sheet at December 31, 2018? A) $120,000 B) $151,000 C) $153,000 D) $157,000

$151,000

After the December 31, 2019 adjusting journal entries have been posted, Sinclair Enterprises has the following account balances (all accounts have normal balances) are: Account Title Account Balance Accounts Receivable $159,000 Allowance for Bad Debts $4,600 Bad Debts Expense $8,200 What is the net realizable value as of December 21, 2019? A) $163,600 B) $150,800 C) $146,200 D) $154,400

$154,400

Venus Corp. sold goods, with a selling price of $17,221, for cash. The state sales tax rate is 8%. What amount is credited to the Sales Revenue account? (Round calculations to the nearest dollar.) A) $17,221 B) $18,599 C) $1378 D) $15,843

$17,221

A company reports net accounts receivable of $152,000 on its December 31, 2019 balance sheet. The Allowance for Bad Debts has a credit balance of $19,000. What is the balance of Accounts Receivable? A) $157,000 B) $152,000 C) $171,000 D) $133,000

$171,000

Baldwin, Inc. had the following balances and transactions during 2019: Beginning Merchandise Inventory as of January 1, 2019 125 units at $81 March 10 Sold 50 units June 10 Purchased 225 units at $86 October 30 Sold 175 units What would be reported as Cost of Goods Sold on the income statement for the year ending December 31, 2019 if the perpetual inventory system and the first-in, first-out inventory costing method are used? A) $10,125 B) $14,675 C) $29,475 D) $18,725

$18,725

f bonds with a face value of $209,000 are issued at 93, the amount of cash proceeds is ________. A) $208,907 B) $209,000 C) $194,370 D) $179,740

$194,370

The full-employment gross domestic product (GDP) is $1.3 trillion, and the actual gross domestic product is $1.2 trillion. The marginal propensity to consume (MPC) is 0.8. When inflation is ignored, what increase in government expenditures is necessary to produce full employment? A. $100 billion. B. $80 billion. C. $20 billion. D. $10 billion.

$20 million

Dynamic Production Services started the year with total assets of $120,000 and total liabilities of $55,000. The revenues and the expenses for the year amounted to $100,000 and $80,000, respectively. During the year, the company did not issue any common stock, but it distributed dividends of $50,000. Calculate Dynamic's net income for the year. A) $20,000 B) $100,000 C) $80,000 D) $120,000

$20,000

What is the amount needed to close the recessionary gap if the economy's full-employment real gross domestic product (GDP) is $1.2 trillion and its equilibrium real GDP is $1.0 trillion? A. $200 billion. B. $200 billion divided by the multiplier. C. $200 billion multiplied by the multiplier. D. $200 billion times the reciprocal of the marginal propensity to consume (MPC).

$200 billion divided by the multiplier

Artisan Inspiration, Inc. is a merchandiser of stone ornaments. The company sold 8000 units during the year. The company has provided the following information: Sales Revenue $593,000 Purchases (excluding Freight In) 304,000 Selling and Administrative Expenses 68,000 Freight In 14,000 Beginning Merchandise Inventory 46,000 Ending Merchandise Inventory 42,000 What is the operating income for the year? (Round your answer to the nearest whole dollar.) A) $203,000 B) $322,000 C) $271,000 D) $525,000

$203,000

On January 1, 2018, Jordan, Inc. acquired a machine for $1,100,000. The estimated useful life of the asset is five years. Residual value at the end of five years is estimated to be $61,000. Calculate the depreciation expense per year using the straight-line method. A) $220,000 B) $207,800 C) $268,800 D) $275,000

$207,800

Wellness, a healthy living magazine, collected $504,000 in subscription revenue on May 31. Each subscriber will receive an issue of the magazine in each of the next 12 months, beginning with the June issue. The company uses the accrual method of accounting. What is the balance in the Unearned Revenue account as of December 31? A) $210,000 B) $294,000 C) $504,000 D) $378,000

$210,000

A corporation used $34,000 of direct materials. It incurred $74,000 in direct labor costs and $112,500 in manufacturing overhead costs during the period. What is the cost of goods manufactured if the beginning and ending Work-in-Process Inventories were $27,500 and $20,500, respectively? A) $248,000 B) $227,500 C) $213,500 D) $220,500

$227,500

Bachman, Inc. plans to develop a shopping center. In the first quarter, the following amounts were spent: Acquisition of land $23,000 Surveys and legal fees 1500 Land clearing 400 Fencing 7000 Install lighting and signage 1860 What amount should be recorded as the cost of the land in the corporation's books? A) $31,900 B) $24,900 C) $26,760 D) $30,400

$24,900

Refer to the following adjusted trial balance after the first year of operations. Accounts Debit Credit Cash $1,900 Accounts Receivable 8,900 Office Supplies 200 Equipment 22,300 Accumulated Depreciation— Equipment $2,000 Accounts Payable 1,000 Salaries Payable 850 Unearned Revenue 400 Common Stock 3,600 Dividends 3,000 Service Revenue 55,150 Salaries Expense 23,000 Supplies Expense 2,000 Depreciation Expense— Equipment 1,700 Total $63,000 $63,000 What will the balance of the Retained Earnings account be after the closing entries are posted? A) $25,450 B) $28,450 C) $32,050 D) $31,450

$25,450

An adjusted trial balance is given below. Debit Credit Cash $13,000 Accounts Receivable 2,000 Prepaid Rent 700 Merchandise Inventory 25,000 Accounts Payable $4,100 Salaries Payable 2,000 Notes Payable 800 Common Stock 8,000 Retained Earnings 3,800 Dividends 1,000 Sales Revenue 86,900 Cost of Goods Sold 23,000 Salaries Expense 18,000 Rent Expense 12,000 Selling Expense 8,500 Delivery Expense 1,800 Supplies Expense 600 Total $105,600 $105,600 What will be the final balance in the corporation's Retained Earnings account after recording the closing entries? A) $25,800 B) $26,800 C) $14,000 D) $2,8000

$25,800

Accounts Receivable has a balance of $32,000, and the Allowance for Bad Debts has a credit balance of $3,000. The allowance method is used. What is the net realizable value of Accounts Receivable before and after a $2,100 account receivable is written off? A) $29,000; $29,000 B) $26,900; $26,900 C) $29,000; $26,900 D) $26,900; $31,100

$29,000; $29,000

From the following information, calculate economic profit: - Total sales revenue: $600,000 - Total cost of sales: 200,000 - Selling expenses: 50,000 - General and administrative expenses: 25,000 - Forgone interest: 20,000 - Forgone entrepreneurial income: 15,000 A. $400,000 B. $325,000 C. $305,000 D. $290,000

$290,000

Fact pattern: The financial transactions for the country of Panglossia with values stated in billions of dollars are listed below. - Gross domestic product (GDP): $4,000 - Transfer payments: 500 - Corporate income taxes: 50 - Social Security contributions: 200 - Indirect business taxes: 210 - Personal taxes: 250 - Undistributed corporate profits: 25 - Depreciation: 500 - Net income earned abroad for the country: 0 Panglossia's disposable income is A. $3,500 B. $3,290 C. $4,500 D. $3,265

$3,265

Fact pattern: The financial transactions for the country of Panglossia with values stated in billions of dollars are listed below. - Gross domestic product (GDP): $4,000 - Transfer payments: 500 - Corporate income taxes: 50 - Social Security contributions: 200 - Indirect business taxes: 210 - Personal taxes: 250 - Undistributed corporate profits: 25 - Depreciation: 500 - Net income earned abroad for the country: 0 Panglossia's national income is A. $3,500 B. $3,290 C. $3,515 D. $3,265

$3,290

Zander Company has fixed costs of $14,000. The company's contribution margin ratio is 46%. What is the breakeven point in sales dollars? (Round your answer to the nearest dollar.) A) $70,000 B) $30,435 C) $6440 D) $2800

$30,435

A company purchased 90 units for $20 each on January 31. It purchased 180 units for $25 each on February 28. It sold 180 units for $60 each from March 1 through December 31. If the company uses the first- in, first-out inventory costing method, what is the amount of Cost of Goods Sold on the income statement for the year ending December 31? (Assume that the company uses a perpetual inventory system.) A) $1,800 B) $4,500 C) $4,050 D) $6,300

$4,050

A company purchased 130 units for $20 each on January 31. It purchased 190 units for $25 each on February 28. It sold 190 units for $60 each from March 1 through December 31. If the company uses the weighted-average inventory costing method, calculate the amount of Cost of Goods Sold on the income statement for the year ending December 31. (Assume the company uses the perpetual inventory system. Round any intermediate calculations two decimal places, and your final answer to the nearest dollar.) A) $7,350 B) $4,364 C) $2,600 D) $4,750

$4,364

Venus Manufacturing uses a predetermined overhead allocation rate based on direct labor cost. At the beginning of the year, it estimated the manufacturing overhead rate to be 30% of the direct labor cost. In the month of June, Venus completed Job 13C and its details are as follows: Direct materials cost $6820 Direct labor cost $26,000 Direct labor hours 31 hours Units of product produced 200 What is the total cost incurred for Job 13C? A) $34,866 B) $33,800 C) $14,620 D) $40,620

$40,620

Milton, Inc. had the following transactions in 2019, its first year of operations: • Issued 8000 shares of common stock. Stock has par value of $0.01 per share and was issued at $40.00 per share. • Earned net income of $200,000. • Paid dividends of $8.00 per share. At the end of 2019, what is total stockholders' equity? A) $320,000 B) $456,000 C) $136,000 D) $584,000

$456,000

The net income of Hollywood Talent Services is $26,000. The beginning and ending stockholders' equity balances were $35,000 and $56,000, respectively. The company issued no common stock. Calculate the amount of dividends. A) $15,000 B) $5,000 C) $9,000 D) $8,000

$5,000

A bank with a reserve ratio of 20% and reserves of $1,000,000 can increase its total demand deposits by A. $5,000,000 B. $1,000,000 C. $800,000 D. $200,000

$5,000,000

If Tonya used $10,000 from her savings account, which was paying 5% interest annually, to invest in a coffee shop, the opportunity cost of this investment annually would be A. $500 B. The dividend paid by the coffee shop. C. $10,000 D. $10,500

$500

Given the following information, determine the cost of goods manufactured. Direct Labor Incurred $62,000 Manufacturing Overhead Incurred 177,000 Direct Materials Used 151,000 Finished Goods Inventory, Jan. 1 197,000 Finished Goods Inventory, Dec. 31 99,000 Work-in-Process Inventory, Jan. 1 221,000 Work-in-Process Inventory, Dec. 31 108,000 A) $390,000 B) $503,000 C) $282,000 D) $188,000

$503,000

The following information was obtained from Durand, Inc.: Advertising Costs $11,600 Indirect Labor 8000 CEO's Salary 470,000 Direct Labor 53,000 Indirect Materials Used 8000 Direct Materials Used 390,000 Factory Utilities 840 Factory Janitorial Costs 1000 Manufacturing Equipment Depreciation 1700 Delivery Vehicle Depreciation 2110 Administrative Wages and Salaries 22,300 How much were Durand's period costs? A) $462,540 B) $506,010 C) $13,710 D) $503,900

$506,010

Investment figures are for planned investment. Amounts are in billions. Personal Consumption Real GDP Expenditures $510 $492 520 500 530 508 540 516 550 524 560 532 570 540 Assuming that taxes and net exports are zero, government purchases of goods and services are equal to $12, and gross private domestic investment is equal to $10, the equilibrium real gross domestic product will be A. $510 B. $520 C. $530 D. $570

$530

On March 1, 2018, Mandy Services issued a 3% long-term notes payable for $15,000. It is payable over a 3-year term in $5000 principal installments on March 1 of each year, beginning March 1, 2019. Each yearly installment will include both principal repayment of $5000 and interest payment for the preceding one-year period. What is the amount of total cash payment that Mandy will make on March 1, 2019? A) $5000 B) $5450 C) $15,000 D) $5225

$5450

An invoice of $600 for merchandise purchased is showing 2/15, n/30 as terms of credit. If the invoice is paid on or before the fifteenth day after the invoice date, the amount to be paid is ________. A) $588 B) $600 C) $612 D) $615

$588

Assume that real gross domestic product (GDP), measured in Year 1 dollars, rose from $3,000 billion in Year 1 to $4,500 billion in Year 10. Assume also that the price index rose from 100 to 200 during the same period. The GDP for Year 1 expressed in terms of Year 10 prices is A. $1,500 billion. B. $3,000 billion. C. $4,500 billion. D. $6,000 billion.

$6,000 billion

The following are the current month's balances for selected accounts of Sandlin Marketing Company. Accounts Payable $9,000 Revenue 8,000 Cash 7,650 Expenses 1,100 Furniture 11,000 Accounts Receivable 12,000 Common Stock 10,250 Notes Payable 4,500 What is the net income for Sandlin Marketing for the current month? A) $8,000 B) $6,900 C) $9,100 D) $15,650

$6,900

The financial statements of Carrier Office Furniture Company include the following items: 2019 2018 Cash $42,500 $42,000 Short-term Investments 28,000 19,000 Net Accounts Receivable 102,000 98,000 Merchandise Inventory 166,000 148,000 Total Assets 527,000 547,000 Total Current Liabilities 273,000 285,000 Long-term Note Payable 64,000 60,000 What is working capital for 2019? A) $190,000 B) $65,500 C) $37,500 D) $100,500

$65,500

Aaron, Inc. estimates direct labor costs and manufacturing overhead costs for the coming year to be $760,000 and $520,000, respectively. Aaron allocates overhead costs based on machine hours. The estimated total labor hours and machine hours for the coming year are 16,000 hours and 8000 hours, respectively. What is the predetermined overhead allocation rate? (Round your answer to the nearest cent.) A) $95.00 per machine hour B) $32.50 per labor hour C) $1.46 per labor hour D) $65.00 per machine hour

$65.00 per machine hour

Accounts Receivable has a balance of $8,000, and the Allowance for Bad Debts has a credit balance of $450. The allowance method is used. What is the net realizable value of Accounts Receivable after a $160 account receivable is written off? A) $7,390 B) $7,710 C) $7,550 D) $8,000

$7,550

The following Office Supplies account information is available for Nabors, Inc. Beginning balance $1,100 Office Supplies expensed 7,000 Ending balance 2,000 From the above information, calculate the amount of office supplies purchased. A) $7,900 B) $7,000 C) $1,100 D) $2,000

$7,900

A company had a choice between Project X and Project Y. The net present value of Project X is $1,000,000, and the net present value of Project Y is $750,000. The company chose Project X. What is the opportunity cost of that decision? A. $250,000 B. $750,000 C. $1,000,000 D. $1,750,000

$750,000

Hudson Landscaping Service bought equipment for $9,600 on January 1, 2019. It has an estimated useful life of five years and zero residual value. Hudson uses the straight-line method to calculate depreciation and records depreciation expense in the books at the end of every month. As of June 30, 2019, the book value of this equipment shown on its balance sheet will be ________. A) $8,640 B) $9,600 C) $10,560 D) $9,760

$8,640

Avia Company sells a product for $150 per unit. Variable costs are $70 per unit, and fixed costs are $1200 per month. The company expects to sell 640 units in September. The unit contribution margin is ________. A) $80 per unit B) $70 per unit C) $220 per unit D) $150 per unit

$80 per unit

Clay Earth Company sells ceramic pottery at a wholesale price of $5 per unit. The variable cost of manufacture is $2.50 per unit. The fixed costs are $6200 per month. It sold 5700 units during this month. Calculate Clay Earth's operating income (loss) for this month. A) $22,300 B) $8050 C) ($8050) D) ($6200)

$8050

The controller of Gray, Inc., has decided to use ratio analysis to analyze business cycles for the past 2 years in an effort to identify seasonal patterns. Which of the following formulas should be used to compute percentage changes for account balances for Year 1 to Year 2? A. (Prior balance - Current balance) ÷ Current balance B. (Prior balance - Current balance) ÷ Prior balance C. (Current balance - Prior balance) ÷ Current balance D. (Current balance - Prior balance) ÷ Prior balance

(current balance - prior balance) ÷ prior balance

54) Which of these is true about strategy implementation? A) It is positioning forces before the action. B) It focuses on effectiveness. C) It is primarily an operational process .D) It is primarily an intellectual process. E) It requires intuitive skills.

) It is primarily an operational process.

41) Under which condition would a cost leadership strategy be especially effective? A) When there are many ways to differentiate the product or service and many buyers perceive these differences as having value .B) When buyer needs and uses are diverse .C) When few rival firms are following a similar approach D) When technological change is fast paced and competition revolves around rapidly evolving product features. E) When the products of rival sellers are essentially identical and supplies are readily available from any of several eager sellers.

) When the products of rival sellers are essentially identical and supplies are readily available from any of several eager sellers.

30. What type of probability distribution will most likely be used to analyze warranty repair needs on new cars in the following problem?The service manager for a new automobile dealership reviewed dealership records of the past 20 sales of new cars to determine the number of warranty repairs he will be called on to perform in the next 90 days. Corporate reports indicate that the probability any one of their new cars needs a warranty repair in the first 90 days is 0.05. The manager assumes that calls for warranty repair are independent of one another and is interested in predicting the number of warranty repairs he will be called on to perform in the next 90 days for this batch of 20 new cars sold. A) binomial distribution B) Poisson distribution C) Hypergeometric distribution D) None of the above

*A) binomial distribution

13. The following are the duration in minutes of a sample of long-distance phone calls made within the continental United States reported by one long-distance carrier.RelativeTime (in Minutes)Frequency 0 but less than 50.375 but less than 100.2210 but less than 150.1515 but less than 200.1020 but less than 250.0725 but less than 300.0730 or more0.02What is the width of each class? A) 1 minute B) 5 minutes c) 2% d) 100%

*B) 5 minutes

24. A selection of raffle tickets from a large bowl is an example of A) simple probability B) sampling without replacement C) subjective probability D) None of the above

*B) sampling without replacement

52. When testing for independence in a contingency table with 3 rows and 4 columns, there are degrees of freedom. A) 5 B) 6 C) 7 D) 12

*B)6

47. A survey claims that 9 out of 10 doctors recommend aspirin for their patients with headaches. To test this claim against the alternative that the actual proportion of doctors who recommend aspirin is less than 0.90, a random sample of 100 doctors was selected. Suppose you reject the null hypothesis. What conclusion can you reach? A) There is not sufficient evidence that the proportion of doctors who recommend aspirin is not less than 0.90. B) There is sufficient evidence that the proportion of doctors who recommend aspirin is not less than 0.90. C) There is not sufficient evidence that the proportion of doctors who recommend aspirin is less than 0.90. D) There is sufficient evidence that the proportion of doctors who recommend aspirin is less than 0.90.

*D) There is sufficient evidence that the proportion of doctors who recommend aspirin is less than 0.90.

54. All processes will have what type of variation? a) Random b) Assignable c) Identifiable d) Stochastic e) Common

*a) Random

56. What measures the difference between the largest and smallest observations in a set of data? a) Range b) Coefficient of variation c) Coefficient of kurtosis d) Coefficient of skewness e) Standard deviation

*a) Range

58. Which of the following would imply that data observations are closely clustered around the mean? a) Small range and small standard deviation b) Small range and large standard deviation c) Large range and small standard deviation d) Large range and large standard deviation e) Neither range nor standard deviation has anything to do with "clustering."

*a) Small range and small standard deviation

40. Which of the following would be an appropriate alternative hypothesis? a) The population proportion is less than 0.65 b) The sample proportion is less than 0.65 c) The population proportion is not less than 0.65 d) The sample proportion is not less than 0.65

*a) The population proportion is less than 0.65

62. What is the term for the probability that a value falling outside the control limits is still due to normal variation? a) Type I error b) Type II error c) Normalization anomaly d) Beta risk e) Standard deviation irregularity

*a) Type I error

46. An entrepreneur is considering the purchase of a coin-operated laundry. The current owner claims that over the past 5 years, the mean daily revenue was $675 with a population standard deviation of $75. A sample of 30 days reveals a daily mean revenue of $625. If you were to test the null hypothesis that the daily mean revenue was $675, which test would you use? a) Z-test of a population mean b) Z-test of a population proportion c) t-test of population mean d) t-test of a population proportion

*a) Z-test of a population mean

26. If event A and event B cannot occur at the same time, then events A and B are said to be a) mutually exclusive b) independent c) collectively exhaustive d) None of the above

*a) mutually exclusive

51. In testing a hypothesis using the 2 test, the theoretical frequencies are based on the a) null hypothesis b) alternative hypothesis c) normal distribution d) None of the above

*a) null hypothesis

34. If the expected value of a sample statistic is equal to the parameter it is estimating, then we call that sample statistic a) unbiased b) minimum variance c) biased d) random

*a) unbiased

41. A Type I error is committed when a) you reject a null hypothesis that is true b) you don't reject a null hypothesis that is true c) you reject a null hypothesis that is false d) you don't reject a null hypothesis that is false

*a) you reject a null hypothesis that is true

9.A study is under way in Yosemite National Forest to determine the adult height of American pine trees. Specifically, the study is attempting to determine what factors aid a tree in reaching heights greater than 60 feet tall. It is estimated that the forest contains 25,000 adult American pines. The study involves collecting heights from 250 randomly selected adult American pine trees and analyzing the results. Identify the sample in the study. a) The 250 randomly selected adult American pine trees b) The 25,000 adult American pine trees in the forest c) All the adult American pine trees taller than 60 feet d) All American pine trees, of any age, in the forest

*a)The 250 randomly selected adult American pine trees

5.The chancellor of a major university was concerned about alcohol abuse on campus and wanted to find out the proportion of students at the university who visited campus bars on the weekend before the final exam week. A random sample of 250 students was taken. The answer on "whether you visited campus bars on the weekend before the final exam week" from students in the sample is an example of a) a categorical variable b) a discrete variable c) a continuous variable d) a table of random numbers

*a)a categorical variable

6.The portion of the universe that has been selected for analysis is called a) a sample b) a frame c) a primary data source d) a secondary data source

*a)a sample

35. Major league baseball salaries averaged $3.26 million with a standard deviation of $1.2 million in a certain year in the past. Suppose a sample of 100 major league players was taken. What was the standard error for the sample mean salary? a) $0.012 million b) $0.12 million c) $12 million d) $1,200.0 million

*b) $0.12 million

28. The employees of a company were surveyed on questions regarding their educational background (college degree or no college degree) and marital status (single or married). Of the 600 employees, 400 had college degrees, 100 were single, and 60 were single college graduates. The probability that an employee of the company is married and has a college degree is: a) 0.0667 b) 0.567 c) 0.667 d) 0.833

*b) 0.567

48. If we are testing for the difference between the means of 2 independent populations presuming equal variances with samples of n1 = 20 and n2 = 20, the number of degrees of freedom is equal to a) 39 b) 38 c) 19 d) 18

*b) 38

31. The owner of a fish market determined that the mean weight for a catfish is 3.2 pounds with a standard deviation of 0.8 pound. A citation catfish should be one of the top 2% in weight. A z-score of 2.054 for the top 2% was calculated. Assuming the weights of catfish are normally distributed, at what weight (in pounds) should the citation designation be established? a) 1.56 pounds b) 4.84 pounds c) 5.20 pounds d) 7.36 pounds

*b) 4.84 pounds

43. How many tissues should the Kimberly Clark Corporation package of Kleenex contain? Researchers determined that 60 tissues is the mean number of tissues used during a cold. Suppose a random sample of 100 Kleenex users yielded the following data on the number of tissues used during a cold: X = 52, S = 22. Give the null and alternative hypotheses to determine if the number of tissues used during a cold is less than 60. a) H0 : 60 and H1 : 60 b) H0 : 60 and H1 : 60. c) H0 : X 60 and H1 : X 60 d) H0 : X 52 and H1 : X 52

*b) H0 : 60 and H1 : 60.

57. What measures symmetry of a distribution? a) Range b) Skewness c) Standard deviation d) Mean e) Variance

*b) Skewness

19. Which of the arithmetic mean, median, mode, and geometric mean are resistant measures of central tendency? a) The arithmetic mean and median only b) The median and mode only c) The mode and geometric mean only d) The arithmetic mean and mode only

*b) The median and mode only

37. The standard error of the population proportion will become larger a) as population proportion approaches 0 b) as population proportion approaches 0.50 c) as population proportion approaches 1.00 d) as the sample size increases

*b) as population proportion approaches 0.50

36. The standard error of the mean for a sample of 100 is 30. In order to cut the standard error of the mean to 15, we would a) increase the sample size to 200 b) increase the sample size to 400 c) decrease the sample size to 50 d) decrease the sample to 25

*b) increase the sample size to 400

25. If the outcome of event A is not affected by event B, then events A and B are said to be a) mutually exclusive b) independent c) collectively exhaustive d) None of the above

*b) independent

32. Sampling distributions describe the distribution of a) parameters b) statistics c) both parameters and statistics d) neither parameters nor statistics

*b) statistics

20. In a right-skewed distribution a) the median equals the arithmetic mean b) the median is less than the arithmetic mean c) the median is greater than the arithmetic mean d) none of the above

*b) the median is less than the arithmetic mean

50. The test for the equality of two population variances is based on a) the difference between the 2 sample variances. b) the ratio of the 2 sample variances. c) the difference between the 2 population variances. d) the difference between the sample variances divided by the difference between the sample means.

*b) the ratio of the 2 sample variances.

8.A study is underway in Yosemite National Forest to determine the adult height of American pine trees. Specifically, the study is attempting to determine what factors aid a tree in reaching heights greater than 60 feet tall. It is estimated that the forest contains 25,000 adult American pines. The study involves collecting heights from 250 randomly selected adult American pine trees and analyzing the results. Identify the population from which the study was sampled. a) The 250 randomly selected adult American pine trees b) The 25,000 adult American pine trees in the forest c) All the adult American pine trees taller than 60 feet d) All American pine trees, of any age, in the forest

*b)The 25,000 adult American pine trees in the forest

12.Which of the following is most likely a parameter as opposed to a statistic? a) The average score of the first five students completing an assignment. b) The proportion of females registered to vote in a county. c) The average height of people randomly selected from a database. d) The proportion of trucks stopped yesterday that were cited for bad brakes.

*b)The proportion of females registered to vote in a county.

3.To monitor campus security, the campus police office is taking a survey of the number of students in a parking lot each 30 minutes of a 24-hour period with the goal of determining when patrols of the lot would serve the most students. If X is the number of students in the lot each period of time, then X is an example of a) a categorical variable b) a discrete variable c) a continuous variable d) a statistic

*b)a discrete variable

15. The following are the duration in minutes of a sample of long-distance phone calls made within the continental United States reported by one long-distance carrier.RelativeTime (in Minutes)Frequency0 but less than 50.375 but less than 100.2210 but less than 150.1515 but less than 200.1020 but less than 250.0725 but less than 300.0730 or more0.02If 100 calls were randomly sampled, how many calls lasted 15 minutes or longer? a) 10 b) 14 c) 26 d) 74

*c) 26

16. You have collected data on the monthly seasonally adjusted civilian unemployment rate for the United States over a 10-year period. Which of the following is the best for presenting the data? a) A contingency table b) A stem-and-leaf display c) A time-series plot d) A side-by-side bar chart

*c) A time-series plot

18. Which measure of central tendency can be used for both numerical and categorical variables? a) Arithmetic mean b) Median c) Mode d) Geometric mean

*c) Mode

21. Which of the following is sensitive to extreme values? a) The median b) The interquartile range c) The arithmetic mean d) The 1st quartile

*c) The arithmetic mean

39. Which of the following would be an appropriate alternative hypothesis? a) The mean of a population is equal to 55 b) The mean of a sample is equal to 55 c) The mean of a population is greater than 55 d) The mean of a sample is greater than 55

*c) The mean of a population is greater than 55

38. Which of the following would be an appropriate null hypothesis? a) The population proportion is less than 0.65 b) The sample proportion is less than 0.65 c) The population proportion is not less than 0.65 d) The sample proportion is no less than 0.65

*c) The population proportion is not less than 0.65

27. If either event A or event B must occur, then events A and B are said to be a) mutually exclusive b) independent c) collectively exhaustive d) None of the above

*c) collectively exhaustive

45. Ais a numerical quantity computed from the data of a sample and is used in reaching a decision on whether or not to reject the null hypothesis. a) significance level b) critical value c) test statistic d) parameter

*c) test statistic

10.Most analysts focus on the cost of tuition as the way to measure the cost of a college education. But incidentals, such as textbook costs, are rarely considered. A researcher at Drummand University wishes to estimate the textbook costs of first-year students at Drummand. To do so, she monitored the textbook cost of 250 first-year students and found that their average textbook cost was $600 per semester. Identify the population of interest to the researcher. a) All Drummand University students b) All college students c) All first-year Drummand University students d) The 250 students that were monitored

*c)All first-year Drummand University students

2.Which of the following is a continuous quantitative (numerical) variable? a) The color of a student's eyes b) The number of employees of an insurance company c) The amount of milk in a 2-liter carton. d) The number of gallons of milk sold at the local grocery store yesterday

*c)The amount of milk in a 2-liter carton.

4.Researchers are concerned that the weight of the average American school child is increasing implying, among other things, that children's clothing should be manufactured and marketed in larger sizes. If X is the weight of school children sampled in a nationwide study, then X is an example of a) a categorical variable b) a discrete variable c) a continuous variable d) a table of random numbers

*c)a continuous variable

60. Upper and lower control limits are usually set at how many standard deviations from the mean? a) 0.5 b) 1.0 c) 2.0 d) 3.0 e) 6.0

*d) 3.0

14. The following are the duration in minutes of a sample of long-distance phone calls made within the continental United States reported by one long-distance carrier. RelativeTime (in Minutes)Frequency0 but less than 50.375 but less than 100.2210 but less than 150.1515 but less than 200.1020 but less than 250.0725 but less than 300.0730 or more0.02If 1,000 calls were randomly sampled, how many calls lasted under 10 minutes? a) 220 b) 370 c) 410 d) 590

*d) 590

29. Thirty-six of the staff of 80 teachers at a local intermediate school are certified in Cardio- Pulmonary Resuscitation (CPR). In 180 days of school, about how many days can we expect that the teacher on bus duty will likely be certified in CPR? a) 5 days b) 45 days c) 65 days d) 81 days

*d) 81 days

33. The standard error of the mean a) is never larger than the standard deviation of the population. b) decreases as the sample size increases. c) measures the variability of the mean from sample to sample. d) All of the above.

*d) All of the above.

23 In a perfectly symmetrical bell-shaped "normal" distribution a. the arithmetic mean equals the median b. the median equals the mode c. the arithmetic mean equals the mode d) All the above

*d) All the above

55. What measures the central tendency of a set of data? a) Coefficient of variation b) Variance c) Standard deviation d) Mean e) Range

*d) Mean

17. Which of the following statistics is not a measure of central tendency? a) Arithmetic mean b) Median c) Mode d) Q3

*d) Q3

44. Which of the following statements is not true about the level of significance in a hypothesis test? a) The larger the level of significance, the more likely you are to reject the null hypothesis. b) The level of significance is the maximum risk we are willing to accept in making a Type I error. c) The significance level is also called the level. d) The significance level is another name for Type II error.

*d) The significance level is another name for Type II error.

53.Which of the following is not associated with descriptive statistics? a) mean b) standard deviation c) range d) proportion e) measure of the distribution of data

*d) proportion

42. The power of a statistical test is a) the probability of not rejecting H0 when it is false b) the probability of rejecting H0 when it is true c) the probability of not rejecting H0 when it is true d) the probability of rejecting H0 when it is false

*d) the probability of rejecting H0 when it is false

11.Most analysts focus on the cost of tuition as the way to measure the cost of a college education. But incidentals, such as textbook costs, are rarely considered. A researcher at Drummand University wishes to estimate the textbook costs of first-year students at Drummand. To do so, she monitored the textbook cost of 250 first-year students and found that their average textbook cost was $600 per semester. Identify the sample in the study. a) All Drummand University students. b) All college students. c) All first-year Drummand University students. d) The 250 students that were monitored.

*d)The 250 students that were monitored.

1.Which of the following is a discrete quantitative (numerical) variable? a) The Dow Jones Industrial average b) The volume of water released from a dam c) The distance you drove yesterday. d) The number of employees of an insurance company

*d)The number of employees of an insurance company

7.Which of the following is most likely a population as opposed to a sample? a) respondents to a newspaper survey b) the first 5 students completing an assignment c) every third person to arrive at the bank d) registered voters in a county

*d)registered voters in a county

59. What is a distribution called when the same numbers of observations are below the mean as are above the mean? a) Proportional b) Equalized c) Wholly Uniform d) Balanced e) Symmetric

*e) Symmetric

A hospital is comparing last year's emergency rescue services expenditures to those from 10 years ago. Last year's expenditures were $100,500. Ten years ago, the expenditures were $72,800. The CPI for last year is 168.5, as compared to 10 years ago when it was 121.3. After adjusting for inflation, what percentage change occurred in expenditures for emergency rescue services? A. 38.0% increase. B. 13.8% increase. C. 0.6% decrease. D. 18.1% decrease.

0.6% decrease

Assuming a required reserve ratio of 10%, the value of the monetary multiplier will be A. 4 B. 6 C. 8 D. 10

10

The Assembly Department of Interface, Inc., manufacturer of computers, had 4500 units of beginning inventory in September, and 8000 units were transferred to it from the Production Department. The Assembly Department completed 4000 units during the month and transferred them to the Packaging Department. The weighted-average method is used. Calculate the total number of units to account for by the Assembly Department. A) 3500 units B) 8000 units C) 4500 units D) 12,500 units

12,500 units

Elephant, Inc.'s cost of goods sold for the year is $2,000,000, and the average merchandise inventory for the year is $129,000. Calculate the inventory turnover ratio of the company. (Round your answer to two decimal places.) A) 6.45 times B) 15.50 times C) 7.75 times D) 9.36 times

15.50 times

National, Inc. provides the following data: 2019 2018 Cash $45,000 $25,000 Accounts Receivable, Net 138,000 62,000 Merchandise Inventory 70,000 50,000 Property, Plant, and Equipment, Net 200,000 120,000 Total Assets $453,000 $257,000 For the year ending December 31, 2019: Net Credit Sales $250,000 Cost of Goods Sold (110,000) Gross Profit $140,000 Calculate the accounts receivable turnover ratio for 2019. (Round your answer to two decimal places.) A) 5.00 times B) 3.28 times C) 2.50 times D) 1.81 times

2.50 times

Below are the recent monthly unemployment figures for an economy: - Persons moving to a new city and seeking work: 100,000 - Persons out of work because their industry has just been rendered obsolete by technological change: 12,000 - Persons in all industries laid off due to general economic slowdown: 120,000 - Persons taking 2 months off from work to pursue education: 100,000 Applying the Bureau of Labor Statistics' guidelines for calculating the official unemployment statistics, what is the "natural" level of unemployment for this economy? A. 200,000 B. 212,000 C. 232,000 D. 320,000

212,000

Allstate Moving Company reported the following amounts on its balance sheet as of December 31, 2019 and December 31, 2018: 2019 2018 Cash and Receivables $75,000 $145,000 Merchandise Inventory 175,000 250,000 Property, Plant and Equipment, net 820,000 710,000 Total Assets $1,070,000 $1,105,000 Total Liabilities $455,000 $405,000 For the vertical analysis, what is the percentage of current assets as of December 31, 2019? (Round your answer to two decimal places.) A) 23.36% B) 35.75% C) 55.63% D) 30.49%

23.36%

If 34,000 units are 80% complete with respect to direct materials, then the equivalent units of production for direct materials are ________. The weighted-average method is used. A) 34,000 units B) 27,200 units C) 6800 units D) 40,800 units

27,200

The price elasticity of demand for a good is 2.0, and the quantity demanded is 5,000 units. The price increases by 10%. What is the new quantity demanded? A. 1,000 B. 4,000 C. 4,500 D. 6,000

4,000

According to David Galenson, individuals do their most creative work during their ________. A) teens, 20s, and 30s B) 20s, 30s, and 40s C) 40s, 50s, and 60s D) 30s, 40s, and 50s E) teens, 30s, and 60s

40s, 50s, and 60s

A company reports total assets of $910,000 and stockholders' equity of $530,000. Calculate the debt ratio. (Round your answer to two decimal places.) A) 36.81% B) 41.76% C) 58.24% D) 71.7%

41.76%

Tuscan Bank is required to reserve $20 out of every $100 deposited, and it has $5,000,000 in deposits. What is the current money multiplier? A. .2 B. 5 C. 2,500 D. .5

5

A furniture corporation manufactures two models of furniture—Standard and Deluxe. The total estimated manufacturing overhead costs are $64,200. The following estimates are available: Standard Deluxe Direct materials cost per unit $250 $290 Direct labor cost per unit $125 $140 Number of units 240 600 The company uses direct labor costs as the base to allocate manufacturing overhead. Calculate the predetermined overhead rate. (Round your answer to two decimal places.) A) 27.44% B) 29.23% C) 191.07% D) 56.32%

56.32%

Pizza, Inc. provides the following data: 2019 2018 Assets Current Assets: Cash and Cash Equivalents $30,000 $25,000 Accounts Receivable, Net 37,000 62,000 Merchandise Inventory 59,000 50,000 Total Current Assets $126,000 137,000 Property, Plant, and Equipment, Net $124,000 120,000 Total Assets $250,000 $257,000 For the year ending December 31, 2019: Net Credit Sales $510,000 Cost of Goods Sold (160,000) Gross Profit $350,000 Calculate the asset turnover ratio for 2019. There are no cash sales. (Round your answer to two decimal places.) A) 4.05 times B) 1.01 times C) 0.64 times *D) 2.01 times 46. Walton, Inc. provides the following data: 2019 2018 Cash $44,000 $25,000 Accounts Receivable, Net 101,000 62,000 Merchandise Inventory 78,000 50,000 Property, Plant, and Equipment, Net 182,000 120,000 Total Assets $405,000 $257,000 Additional information for the year ending December 31, 2019: Net Credit Sales $550,000 Cost of Goods Sold 150,000 Interest Expense 24,000 Net Income 184,000 Calculate the rate of return on total assets for 2019. (Round your answer to two decimal places.) A) 45.43% B) 62.84% C) 71.60% D) 51.36%

62.84%

What is the rate of inflation from one year to the next if the consumer price index was 110 in one year and 118 in the next year? A. 7.0% B. 7.3% C. 8.0% D. 18.0%

7.3%

Hughes Company manufactures harmonicas which it sells for $31 each. Variable costs for each unit are $18 and total fixed costs are $3925. How many units must be sold to earn income of $5500? A) 725 B) 423 C) 304 D) 524

725

Bank is willing to lend a business $1 million at an annual real interest rate of 6%. What is the nominal rate Bank will charge the firm if the rate of inflation is anticipated to be 2%? A. 2% B. 4% C. 6% D. 8%

8%

What does "2/10" mean, with respect to "credit terms of 2/10, n/30"? A) A discount of 2 percent will be allowed if the invoice is paid within 10 days of the invoice date. B) Interest of 2 percent will be charged if the invoice is paid after 10 days from the date on the invoice. C) A discount of 10 percent will be allowed if the invoice is paid within two days of the invoice date. D) Interest of 10 percent will be charged if invoice is paid after two days.

A discount of 2 percent will be allowed if the invoice is paid within 10 days of the invoice date.

Olivia, a citizen of Nebraska, wants to file a suit against Micah, a citizen of Kansas. Their diversity of citizenship may be a basis for a. no court to exercise jurisdiction. b. a federal court to exercise original jurisdiction. c. a state court to exercise appellate jurisdiction. d. the United States Supreme Court to refuse jurisdiction.

A federal court to exercise original jurisdiction

A characteristic of a monopoly is that A. A monopoly will produce when marginal revenue is equal to marginal cost. B. There is a unique relationship between the market price and the quantity supplied. C. In optimizing profits, a monopoly will increase its supply curve to where the demand curve becomes inelastic. D. There are multiple prices for the product to the consumer.

A monopoly will produce when marginal revenue is equal to marginal cost.

Vince files a suit against Will. Vince and Will meet, and each party's attorney argues the party's case before a judge and jury. The jury presents an advisory verdict, after which the judge meets with the parties to encourage them to settle their dispute. This is: a. court-ordered arbitration. b. early neutral case evaluation. c. a mini-trial. d. a summary jury trial.

A summary jury trial

You are currently holding a call option on a stock with an exercise price of $100. If the current stock price is $90, your net proceeds by exercising this option will be A. $(10) B. $10 C. $0 D. $90

A. $(10)

Beginning January 2, Year 1, a company deposited $50,000 in a savings account for 2 years. The account earns 10% interest, compounded annually. What amount of interest did the company earn during the 2-year period? A. $10,500 B. $10,000 C. $5,500 D. $5,000

A. $10,500

A vendor offered Wyatt Co. $25,000 in compensation for losses resulting from faulty raw materials. Alternatively, a lawyer offered to represent Wyatt in a lawsuit against the vendor for a $12,000 retainer and 50% of any award over $35,000. Possible court awards with their associated probabilities are as follows: Award Probability $75,000 0.6 $0 0.4 Compared with accepting the vendor's offer, the expected value for Wyatt to litigate the matter to a verdict provides a A. $4,000 loss. B. $8,000 gain. C. $21,000 gain. D. $38,000 gain.

A. $4,000 loss.

Selected information from the accounting records of Bolingbroke Company follows: Net sales $1,800,000 Cost of goods sold 1,200,000 Inventories at January 1 336,000 Inventories at December 31 288,000 Assuming there are 300 working days per year, what is the number of days' sales in average inventories for the year? A. 78 B. 72 C. 52 D. 48

A. 78

Each of the following financial instruments is a derivative except A. A fixed interest, 5-year note payable. B. Interest rate futures. C. An agreement to buy a piece of equipment in 6 months at a price determined today. D. A contract to purchase a commodity in 6 months at a price determined today.

A. A fixed interest, 5-year note payable.

Which of the following corporate characteristics would favor debt financing versus equity financing? A. A high tax rate. B. A high debt-to-equity ratio. C. Low aversion to risk. D. Below average stock issuing costs.

A. A high tax rate.

Each of the following business functions is considered part of a company's value chain except A. Accounting. B. Customer service. C. Marketing. D. Research and development.

A. Accounting.

Global companies that deal with the political and financial risks of conducting business in a particular foreign location face which of the following types of risk? A. Country risk. B. Principal risk. C. Interest rate risk. D. Commodity price risk.

A. Country risk.

Net working capital is the difference between A. Current assets and current liabilities. B. Fixed assets and fixed liabilities. C. Total assets and total liabilities. D. Shareholders' investment and cash.

A. Current assets and current liabilities.

If a firm is considering the use of learning curve analysis in the determination of labor cost standards for a new product, it should be advised that this technique ordinarily is most relevant to situations in which the production time per unit decreases as additional units are produced and the unit cost A. Decreases. B. Does not change. C. Increases or decreases in an unpredictable manner. D. Increases slightly.

A. Decreases.

Which of the following refers to the purchase or sale of goods and services over the Internet? A. E-commerce B . E-business C. Customer relationship management (CRM) D. Management information system (MIS) E. Supply chain management (SCM)

A. E-commerce

Which of the following systems would you use to determine which trends in your supplier's industry will affect your firm the most during the next five years? A. Executive support systems (ESS) B. Transaction processing systems (TPS) C. Management information systems (MIS) D. Decision support system (DSS) E. KWM

A. Executive support systems (ESS)

An analysis of a company's planned equity financing using the Capital Asset Pricing Model (or Security Market Line) incorporates only the A. Expected market earnings, the risk-free rate, and the beta coefficient. B. Expected market earnings and the price-earnings ratio. C. Risk-free rate, the price-earnings ratio, and the beta coefficient. D. Risk-free rate and the dividend payout ratio.

A. Expected market earnings, the risk-free rate, and the beta coefficient.

You have been hired by Inspiration Inc. to help improve its financial performance. Inspiration Inc. is a business communications consulting firm that services many clients in different industries throughout the world. The firm provides its clients with customized written recommendations about how to best use the client's existing resources to improve the client's internal communications. The company has approximately 100 consultants, all of whom are located in its central headquarters in Chicago. Which of the following systems would you recommend to improve Inspiration Inc.'s business processes and improve its financial performance? A. Extranet, to enable quick collaboration via the Internet, minimize the time spent communicating with the client, and minimize the amount of paperwork needed B. CRM, to maintain easily accessible customer records to minimize the time spent looking for client data C. KMS, to minimize redundant work on similar clients D. Video conferencing system, to improve collaboration E. MIS, to produce reports on the firm's operations

A. Extranet, to enable quick collaboration via the Internet, minimize the time spent communicating with the client, and minimize the amount of paperwork needed

Given demand in excess of capacity, no spoilage or waste, and full use of a constant number of assembly hours, the number of components needed for an assembly operation with an 80% learning curve should I. Increase for successive periods. II. Decrease per unit of output. A. I only. B. II only. C. Both I and II. D. Neither I nor II.

A. I only.

A financial institution looking to assess its investment portfolio's exposure to price changes most likely would use which of the following techniques? A. Market value at risk analysis. B. Cash flow at risk analysis. C. Earnings at risk analysis. D. Backtesting analysis.

A. Market value at risk analysis.

Because of the large number of factors that could affect the demand for its new product, interactions among these factors, and the probabilities associated with different values of these factors, the marketing department would like to develop a computerized model for projecting demand for this product. By using a random-number procedure to generate values for the different factors, it will be able to estimate the distribution of demand for this new product. This method of estimating the distribution of demand for the new product is called A. Monte Carlo simulation. B. Linear programming. C. Correlation analysis. D. Differential analysis.

A. Monte Carlo simulation.

If a CPA's client expected a high inflation rate in the future, the CPA would suggest to the client which of the following types of investments? A. Precious metals. B. Treasury bonds. C. Corporate bonds. D. Common stock.

A. Precious metals.

________ are not held liable for the messages they transmit. A. Regulated common carriers B. Private individuals C. Organizations and businesses D. Elected officials E. European ISPs

A. Regulated common carriers

The difference between the required rate of return on a given risky investment and that on a riskless investment with the same expected return is the A. Risk premium. B. Coefficient of variation. C. Standard deviation. D. Beta coefficient.

A. Risk premium.

A put is an option that gives its owner the right to do which of the following? A. Sell a specific security at fixed conditions of price and time. B. Sell a specific security at a fixed price for an indefinite time period. C. Buy a specific security at fixed conditions of price and time. D. Buy a specific security at a fixed price for an indefinite time period.

A. Sell a specific security at fixed conditions of price and time.

A firm that invests in an information system because it is a necessity of doing business does so because it is seeking to achieve which of the following business objectives? A. Survival B. Improved decision making C. Competitive advantage D. Operational excellence E. Customer intimacy

A. Survival

Which of the following is considered the most important U.S. federal statute setting forth conditions for handling information about individuals? A. The Privacy Act B. The Gramm-Leach-Bliley Act C. The Freedom of Information Act D. COPPA E. HIPAA

A. The Privacy Act

Which security is most often held as a substitute for cash? A. Treasury bills. B. Common stock. C. Gold. D. AAA corporate bonds.

A. Treasury bills.

Which of the following classes of securities are listed in order from lowest risk/opportunity for return to highest risk/opportunity for return? A. U.S. Treasury bonds; corporate first mortgage bonds; corporate income bonds; preferred stock. B. Corporate income bonds; corporate mortgage bonds; convertible preferred stock; subordinated debentures. C. Common stock; corporate first mortgage bonds; corporate second mortgage bonds; corporate income bonds. D. Preferred stock; common stock; corporate mortgage bonds; corporate debentures.

A. U.S. Treasury bonds; corporate first mortgage bonds; corporate income bonds; preferred stock.

Short-term interest rates are A. Usually lower than long-term rates. B. Usually higher than long-term rates. C. Lower than long-term rates during periods of high inflation only. D. Not significantly related to long-term rates.

A. Usually lower than long-term rates.

In network economics, the value of a commercial software vendor's software products: A. increases as more people use them. B. decreases as more people use them. C. increases due to higher marginal gain in output. D. decreases according to the law of diminishing returns. E. is unrelated to the number of people that use them.

A. increases as more people use them.

Internet technology: A. makes it easy for rivals to compete on price alone. B. imposes a significant cost of entry, due to infrastructure requirements. C. increases the difference between competitors because of the wide availability of information. D. makes it easy to sustain operational advantages. E. has lessened competitive rivalries.

A. makes it easy for rivals to compete on price alone.

________ is the ability to offer individually tailored products or services using the same production resources as mass production. A. mass customization B. size customization C. personalization D. demand customization E. CAD

A. mass customization

A firm can exercise greater control over its suppliers by having: A. more suppliers B. fewer suppliers C. global suppliers D. local suppliers E. only a single supplier

A. more suppliers

Which of the five moral dimensions of the information age does spamming involve? A. quality of life B. system quality C. accountability and control D. information rights and obligations E. property rights and obligations

A. quality of life

Spencer Hydraulics Corporation's ethics committee is asked a business ethics question should the firm bid low to obtain a contract that it knows it can fulfill only at a higher price? A practical method to investigate and solve this question involves all of the following steps except: a. absolution. b. decision. c. inquiry. d. justification.

Absolution

A business makes a cash payment of $12,000 to a supplier for supplies purchased two weeks earlier. Which of the following accounts is debited? A) Cash B) Accounts Payable C) Supplies D) Accounts Receivable

Accounts Payable

Which of the following is a current asset that is expected to be converted to cash, sold, or consumed during the next year (or the normal operating cycle, if longer)? A) Land B) Equipment C) Building D) Accounts Receivable

Accounts Receivable

Amounts owed for products or services purchased on account are called ________. A) accounts payable B) unearned revenue C) accrued expense D) warranty payable

Accounts payable

Which of the following accounts will have an ending balance after the closing process is completed? A) Dividends B) Rent Expense C) Accumulated Depreciation D) Service Revenue

Accumulated Depreciation

he entry to record depreciation includes a credit to the ________ account. A) Depreciation Payable B) Cash C) Accumulated Depreciation D) Depreciation Expense

Accumulated Depreciation

Which of the following accounts will be included in a post-closing trial balance? A) Accumulated Depreciation—Building B) Rent Expense C) Interest Expense D) Service Revenue

Accumulated Depreciation-Building

The Bay City Planning Department, the Coastal Country Zoning Commission, the california Environmental Quality Agency, and the U.S Bureau of Land Management issue regulations. These rules constitute a. administrative law. b. case law. c. constitutional law. d. statutory law.

Administrative law

Which of the following correctly describes the accounting for advertising costs? A) Advertising costs are product costs and are expensed as incurred. B) Advertising costs are period costs and are expensed as incurred. C) Advertising costs are product costs and are expensed when the manufactured product is sold. D) Advertising costs are period costs and are expensed when the manufactured product is sold.

Advertising costs are period costs and are expensed as incurred

The grapevine within an organization provides which benefit(s)? A) creates a sense of closeness within the organization B) gives managers a feel for the morale of the organization C) gives managers a sense of who is well networked in the organization D) both A and B E) all A, B, and C

All A, B, and C

Leo runs an asset recovery business. In one case, he recruits clients by misrepresenting the facts and pretending to be licensed to practice law in Mississippi. He files gratuitous, malicious pleadings, lies to the court, and otherwise abuses the judicial process. Later, he involves himself in other cases in which he uses similar tactics. Under the decision of the court in Baum v. Blue Moon Ventures LLC (2008), Leo's conduct most likely warrants: a. an admonishment but no other sanctions. b. an injunction against certain court filings plus other sanctions. c. no sanctions but no praise. d. praise for its aggression in recovering the assets of "deadbeat" debtors.

An injuction against certain court filling plus other sanctions

Port Harbor City enacts an ordinance that bans the distribution of all printed materials on city streets. Later, Quint protests a new "revenue-enhancing" measure also enacted by the city by distributing handbills. When Quint is charged with violating the printed-materials ban, he files a suit against the city. Most likely, the court will hold that the ban is a. an unconstitutional restriction of speech. b. constitutional under the First Amendment. c. justified by the need to protect individual rights. d. necessary to protect national interests.

An unconstitutional restriction of speech

The subject of organizational culture has been most influenced by which behavioral science discipline? A) anthropology B) psychology C) social psychology D) political science E) corporate strategy

Anthropology

Aqua Co. manufactures and sells boats in San Francisco, California. Aqua Co. has hired a consultant to evaluate entry into the Fort Lauderdale, Florida, market. The consultant determined that at the projected level of output the price would be $90,000, the average variable cost would be $55,000, the average total cost would be $70,000, and the marginal cost would be $62,000. The consultant's recommendation would include the following remark: A. Aqua Co. should not enter the market. B. Aqua Co. should enter the market. C. Companies are leaving the market. D. None of the answers are correct.

Aqua Co. should enter the market

If Cornel and Deanna resolve their dispute by having a neutral third party render a binding decision, they will have used the method of: a. arbitration. b. conciliation. c. intervention. d. mediation.

Arbitration

Pixie files a suit against Quiver. Before going to trial, the parties meet, with their attorneys to represent them, to present their dispute to a third party who is not a judge but who imposes a resolution on the parties. This is: a. arbitration. b. mediation. c. negotiation. d. not a legitimate form of dispute resolution.

Arbitration

Which of the following sequences states the order in which accounts are listed on a trial balance? A) Equity → Assets → Liabilities B) Liabilities → Assets → Equity C) Assets → Equity → Liabilities D) Assets → Liabilities → Equity

Assets --> Liabilities --> Equity

Rosewood Corporation purchased land for $100,000 by making a cash payment of $38,000 and promising to pay the remaining amount in a later accounting period. What is the net effect of this transaction on Rosewood's accounting equation? A) Assets increase by $100,000 and liabilities decrease by $38,000. B) Assets increase by $100,000 and liabilities decrease by $62,000. C) Assets and equity increase by $62,000. D) Assets and liabilities increase by $62,000.

Assets and liabilities increase by $62,000

Mulberry Corporation collected $16,000 from one of its customers, the amount owed from the previous month. How does this affect the accounting equation for Mulberry? A) Assets increase by $16,000; liabilities decrease by $16,000. B) Assets increase by $16,000; assets decrease by $16,000. C) Assets increase by $16,000; liabilities increase by $16,000. D) Assets increase by $16,000; equity increases by $16,000.

Assets increase by $16,000; assets decrease by $16,000

At what point in the industry life cycle should a firm in a monopolistic competitive market consider acquiring other firms? A. New entrants flood the market due to profitability in the industry. B. Firms begin to differentiate their products further, increasing their average total costs. C. Higher costs eliminate economic profits that attracted the new entrants. D. At no point in the monopolistic competition industry life cycle should the firm be looking to make an acquisition.

At no point in the monopolistic competition industry life cycle should the firm be looking to make an acquisition.

Which of the following answer choices is the best definition of attitude? A) Attitudes indicate how one will react to a given event. B) Attitudes are the yardstick by which one measures ones actions. C) Attitudes are the emotional part of an evaluation of a person, object, or event. D) Attitudes are evaluative statements of what one believes about something or someone. E) Attitudes are a measure of how the worth of an object, person or event is evaluated.

Attitudes are evaluative statements of what one believes about something or someone

A corporation has $50,000 in equity and a debt-to-total-assets ratio of 0.5. The firm wants to reduce this ratio to 0.2 by selling new common stock and using the proceeds to repay principal on outstanding long-term debt. What amount of additional equity financing must the corporation obtain to accomplish this objective? A. $20,000 B. $30,000 C. $80,000 D. $100,000

B. $30,000

Sharif Co. has total debt of $420,000 and equity of $700,000. Sharif is seeking capital to fund an expansion. Sharif is planning to issue an additional $300,000 in common stock and is negotiating with a bank to borrow additional funds. The bank requires a debt-to-equity ratio of .75. What is the maximum additional amount Sharif will be able to borrow? A. $225,000 B. $330,000 C. $525,000 D. $750,000

B. $330,000

Bates Corp. has $100,000 in bonds payable with a fair market value of $120,000. It also has 1,000 shares of common stock issued at $50 per share with a fair market value of $80 per share. What amount represents the corporation's market capitalization? A. $50,000 B. $80,000 C. $170,000 D. $180,000

B. $80,000

A company purchased $10,000 of merchandise inventory on May 1. The terms of the purchase were 2/10, net 30. The company would pay what amount on May 9? A. $7,000 B. $9,800 C. $9,980 D. $10,000

B. $9,800

The coefficient of correlation that indicates the weakest linear association between two variables is A. -0.73 B. -0.11 C. 0.12 D. 0.35

B. -0.11

A company has cash of $100 million, accounts receivable of $600 million, current assets of $1.2 billion, accounts payable of $400 million, and current liabilities of $900 million. What is its acid-test (quick) ratio? A. 0.11 B. 0.78 C. 1.75 D. 2.11

B. 0.78

If the return on the market portfolio is 10% and the risk-free rate is 5%, what is the effect on a company's required rate of return on its stock of an increase in the beta coefficient from 1.2 to 1.5? A. 3% increase. B. 1.5% increase. C. No change. D. 1.5% decrease.

B. 1.5% increase.

Konstans Corp. is considering purchasing an investment security with the following information: Likelihood Return on Investment 50% 2% 40% 4% 10% 14% The expected return on this investment is A. 2% B. 4% C. 25% D. 50%

B. 4%

During the current year, Rand Co. purchased $960,000 of inventory. The cost of goods sold for the year was $900,000, and the ending inventory at December 31 was $180,000. What was the inventory turnover for the year? A. 6.4 B. 6.0 C. 7.2 D. 5.0

B. 6.0

City Development, Inc., is considering a new investment project that will involve building a large office block in Frankfurt-am-Main. The firm's financial analysis department has estimated that the proposed investment has the following estimated rate of return distributions: Rate of Return Probability (5%) 30% 10% 50% 20% 20% Calculate the expected rate of return. A. 5.5% B. 7.5% C. 10.5% D. 11.7%

B. 7.5%

You work for a highly successful advertiser that is about to expand nationally. Of utmost importance will be finding a way to store and disseminate its clients' frequently updated branding and style guides throughout the organization. The guides include multiple image files and text documents. What system will best serve these needs? A. A wiki B. An extranet with knowledge management system (KMS) capabilities C. A transaction processing system (TPS) with knowledge management system (KMS) capabilities D. A telepresence system E. A virtual world

B. An extranet with knowledge management system (KMS) capabilities

A measure that describes the risk of an investment project relative to other investments in general is the A. Coefficient of variation. B. Beta coefficient. C. Standard deviation. D. Expected return.

B. Beta coefficient.

You are the production manager for a manufacturer of bicycle parts. Which of the following tools or technologies would you use to improve production precision? A. value chain B. CAD software C. benchmarking D. industry best practices E. porter's competitive forces model

B. CAD software

The main reason that a firm would strive to reduce the number of days sales outstanding is to increase A. Accounts receivable. B. Cash. C. Cost of goods sold. D. Contribution margin.

B. Cash.

Bander Co. is determining how to finance some long-term projects. Bander has decided it prefers the benefits of no fixed charges, no fixed maturity date, and an increase in the credit-worthiness of the company. Which of the following would best meet Bander's financing requirements? A. Bonds. B. Common stock. C. Long-term debt. D. Short-term debt.

B. Common stock.

Which of the following types of systems could be used to enable different firms to work collaboratively on a product? A. Intranet B. Extranet C. Knowledge management system (KMS) D. Customer relationship management (CRM) E. Decision support system (DSS)

B. Extranet

In general, it is more expensive for a company to finance with equity capital than with debt capital because A. Long-term bonds have a maturity date and must therefore be repaid in the future. B. Investors are exposed to greater risk with equity capital. C. Equity capital is in greater demand than debt capital. D. Dividends fluctuate to a greater extent than interest rates.

B. Investors are exposed to greater risk with equity capital.

The expected monetary value of an event A. Is equal to the conditional value or profit of the event. B. Is equal to the payoff of the event times the probability the event will occur. C. Is the profit forgone by not choosing the best alternative. D. Is the absolute profit from a particular event.

B. Is equal to the payoff of the event times the probability the event will occur.

An example of a business using information systems for supplier intimacy is: A. Apple's creation of the iPad B. JCPenney's information system that allows its contract manufacturers to see what garments have been sold and need to be replaced. C. Citibank's ATM system D. Verizon's web-based digital dashboard providing real-time company information for managers. E . the Mandarin Oriental's use of computers to keep track of guests' preferences.

B. JCPenney's information system that allows its contract manufacturers to see what garments have been sold and need to be replaced.

In decision theory, those uncontrollable future events that can affect the outcome of a decision are A. Payoffs. B. States of nature. C. Probabilities. D. Nodes.

B. States of nature.

The expected monetary value of an act is the A. Sum of the conditional profit (loss) for each event. B. Sum of the conditional profit (loss) for each event times the probability of each event's occurrence. C. Conditional profit (loss) for the best event times the probability of each event's occurrence. D. Revenue minus the costs for the act.

B. Sum of the conditional profit (loss) for each event times the probability of each event's occurrence.

A market analyst has estimated the equity beta of Modern Homes, Inc., to be 1.4. This beta implies that the company's A. Systematic risk is lower than that of the market portfolio. B. Systematic risk is higher than that of the market portfolio. C. Unsystematic risk is higher than that of the market portfolio. D. Total risk is higher than that of the market portfolio.

B. Systematic risk is higher than that of the market portfolio.

Which of the following can typically access a company's intranet? A. The general public B. The firm's employees C. The firm's customers D. The firm's suppliers E. The firm's outside contractors

B. The firm's employees

What does Beta measure in the capital asset pricing model? A. The volatility of a stock relative to its competitors. B. The volatility of a stock relative to the market. C. The additional return required over the risk-free rate. D. Unsystematic risk.

B. The volatility of a stock relative to the market.

If the ratio of total liabilities to equity increases, a ratio that must also increase is A. Times interest earned. B. Total liabilities to total assets. C. Return on equity. D. The current ratio.

B. Total liabilities to total assets.

Which of the following statements about 3-D printing is not true? A. 3-D printing is also known as additive manufacturing. B. Unlike traditional techniques, 3-D printing results in some wasted material. C. 3-D printing can create objects from plastic, metal, or composite materials. D. CAD systems supply data for 3-D printing. E. 3-D printing is often used to fashion items for small production runs.

B. Unlike traditional techniques, 3-D printing results in some wasted material.

The risk of a single stock is A. Interest rate risk. B. Unsystematic risk. C. Portfolio risk. D. Market risk.

B. Unsystematic risk.

A firm that locates all systems development and operations at its headquarters is using a ________ system configuration. A. unilateral B. centralized C. decentralized D. networked E. virtual

B. centralized

The use of digital technology and the Internet to execute the major business processes in the enterprise is called: A. e-commerce B. e-business C. enterprise applications D. Management information system (MIS) E. KWM

B. e-business

Verizon's implementation of a web-based digital dashboard to provide managers with real-time information, such as customer complaints, is an example of: A. improved flexibility B. improved decision making C. competitive advantage D. supplier intimacy E. a new product

B. improved decision making

When a firm provides a specialized product or service for a narrow target market better than competitors, they are using a ________ strategy. A. product differentiation B. market niche C. mass customization D. process efficiency E. market transparency

B. market niche

The ________ strategy concentrates financial management and control out of a central home base while decentralizing production, sales, and marketing operations to units in other countries. A. domestic exporter B. multinational C. franchise D. transnational E. virtual company

B. multinational

When a cookie is created during a website visit, it is stored: A. on the website's server B. on the hard drive of the visitor's computer C. on the ISP's servers D. in the browser's application settings E. nowhere, because they are only used during a visit and are discarded once a visitor leaves the Web site

B. on the hard drive of the visitor's computer

Walmart exemplifies the power of information systems coupled with excellent business practices and supportive management to achieve which of the following? A. new business models B. operational efficiency C. customer intimacy D. competitive advantage E. survival

B. operational efficiency

The U.S. CAN-SPAM Act: A. makes spamming illegal B. requires commercial email senders to identify themselves C. has dramatically cut down spamming D. does not override state anti-spamming laws E. does not outlaw the use of fake return addresses

B. requires commercial email senders to identify themselves

"Look and feel" copyright infringement lawsuits are concerned with: A. the distinction between tangible and intangible ideas. B. the distinction between an idea and its expression. C. using the graphical elements of another product. D. using the creative elements of another product. E. violation of a monopoly on the ideas behind a product.

B. the distinction between an idea and its expression.

The idea that the more any given resource is applied to production, the lower the marginal gain in output, until a point is reached where the additional inputs produce no additional output, is referred to as: A. the point of no return B. the law of diminishing returns C. supply and demand D. inelasticity E. virtual economics

B. the law of diminishing returns

Which of the following statements regarding the allowance method of accounting for uncollectible receivables is incorrect ? A) Bad debt expense is not estimated. B) The Allowance for Bad Debts is used to hold the pool of "unknown" uncollectible accounts. C) The business does not wait to see which customers will not pay when estimating the allowance for bad debts. D) The allowance method is based on the matching principle.

Bad debt expense is not estimated

57) What aims to balance long-term with short-term concerns, financial with non-financial concerns, and internal with external concerns? A) Contingency planning B) The Balanced Scorecard approach C) Taking corrective action D) Benchmarking E) Consonance

Balanced Scorecard Approach

Regarding the double-entry system, which of the following statements is incorrect? A) A transaction would be incomplete if only one side were recorded. B) Because of technology, the use of the double-entry system of accounting is optional. C) The double-entry system is a system of accounting in which every transaction affects at least two accounts. D) If office supplies are purchased on account, the account Office Supplies increases and the account Accounts Payable increases.

Because of technology, the use of the double-entry system of accounting is optional.

Which of the following formulas represent cost of goods sold for a merchandising business? A) Beginning Merchandise Inventory - Ending Merchandise Inventory = Cost of Goods Sold B) Purchases and Freight In + Ending Merchandise Inventory = Cost of Goods Sold C) Ending Merchandise Inventory + Purchases and Freight In - Beginning Merchandise Inventory = Cost of Goods Sold D) Beginning Merchandise Inventory + Purchases and Freight In - Ending Merchandise Inventory = Cost of Goods Sold

Beginning Merchandise Inventory + Purchases and Freight In - Ending Merchandise Inventory = Cost of Goods Sold

At the beginning of Year 1, $100,000 is invested at 5% interest, compounded annually. What amount of interest is earned in Year 2? A. $5,000.00 B. $5,512.50 C. $5,250.00 D. $10,000.00

C. $5,250.00

A company has equity of $9,000. Long-term debt is $1,900. Net working capital, other than cash, is $2,500. Fixed assets are $2,200. What amount of cash does the company have? A. $7,400 B. $6,800 C. $6,200 D. $2,400

C. $6,200

If two projects are completely and positively linearly dependent (or positively related), the measure of correlation between them is A. 0 B. +.5 C. +1 D. -1

C. +1

At the end of the current year, B Co. had total assets of $2,500,000, current liabilities of $500,000, and long-term liabilities of $750,000. What is B Co.'s debt-to-equity ratio? A. 0.5 B. 2.0 C. 1.0 D. 5.0

C. 1.0

What is the weighted-average cost of capital for a firm using 65% common equity with a return of 15%, 25% debt with a return of 6%, 10% preferred stock with a return of 10%, and a tax rate of 35%? A. 10.333% B. 11.275% C. 11.725% D. 12.250%

C. 11.725%

An analyst covering Guilderland Mining Co. common stock estimates the following information for next year: Expected return on the market portfolio 12% Expected return on Treasury securities 5% Expected beta of Guilderland 2.2 Using the CAPM, the analyst's estimate of next year's risk premium for Guilderland's stock is closest to A. 7.0% B. 10.4% C. 15.4% D. 21.4%

C. 15.4%

This year, Nelson Industries increased earnings before interest and taxes (EBIT) by 17%. During the same period, earnings per share increased by 42%. The degree of financial leverage that existed during the year is A. 1.70 B. 4.20 C. 2.47 D. 5.90

C. 2.47

he following information was taken from Culver Co.'s financial statements for the current year ending December 31: Current assets $11,000,000 Noncurrent assets 14,000,000 Total stockholders' equity 10,000,000 Total operating expenses 20,000,000 What was Culver's debt ratio as of December 31? A. 40% B. 50% C. 60% D. 250%

C. 60%

Scrunchy-Tech, Inc., has determined that it can minimize its weighted-average cost of capital (WACC) by using a debt-equity ratio of 2/3. If the firm's cost of debt is 9% before taxes, the cost of equity is estimated to be 12% before taxes, and the tax rate is 40%, what is the firm's WACC? A. 6.48% B. 7.92% C. 9.36% D. 10.80%

C. 9.36%

Which of the following illustrates the use of information systems to strengthen customer and supplier intimacy? A. A hot tub dealer's use of information systems to determine which models and options its customers are most likely to buy B. A shoe manufacturer's use of information systems in selling custom, made-to-order shoes directly to customers C. A PC manufacturer's use of information systems to facilitate direct access from suppliers to their production schedules D. A grocery store chain's use of information systems to produce products and services at a lower price than competitors E. An airline's use of information systems to analyze detailed data on customers to determine each customer's profitability

C. A PC manufacturer's use of information systems to facilitate direct access from suppliers to their production schedules

The relationship of the total debt to the total equity of a corporation is a measure of A. Liquidity. B. Profitability. C. Creditor risk. D. Break even.

C. Creditor risk.

Which of the following terms refers to significant disparities in access to computers and the Internet among different social groups and different locations? A. Computer vision syndrome (CVS) B. Technostress C. Digital divide D. Repetitive Stress Injury (RSI) E. Carpal tunnel syndrome (CTS)

C. Digital divide

The risk of loss because of fluctuations in the relative value of foreign currencies is called A. Expropriation risk. B. Multinational beta. C. Exchange rate risk. D. Undiversifiable risk.

C. Exchange rate risk.

Prior to the introduction of the euro, O&B Company, a U.S. corporation, is in possession of accounts receivable denominated in Deutsche marks. To what type of risk are they exposed? A. Liquidity risk. B. Political risk. C. Exchange-rate risk. D. Price risk.

C. Exchange-rate risk.

If Dexter Industries has a beta value of 1.0, then its A. Return should equal the risk-free rate. B. Price is relatively stable. C. Expected return should approximate the overall market. D. Volatility is low.

C. Expected return should approximate the overall market.

Which of the following is most useful when risk is being prioritized? A. Low- and high-probability exposures. B. Low- and high-degree loss exposures. C. Expected value. D. Uncontrollable risks.

C. Expected value.

You manage the Information Systems department at a small startup Internet advertiser. You need to set up an inexpensive system that allows customers to see real-time statistics, such as views and click-throughs, about their current display ads. Which type of system will most efficiently provide a solution? A. Customer relationship management (CRM) B. Enterprise system C. Extranet D. Intranet E. KWM

C. Extranet

Which one of the following is not a determinant in valuing a call option? A. Exercise price. B. Expiration date. C. Forward contract price. D. Underlying asset price.

C. Forward contract price.

Serial bonds are attractive to investors because A. All bonds in the issue mature on the same date. B. The yield to maturity is the same for all bonds in the issue. C. Investors can choose the maturity that suits their financial needs. D. The coupon rate on these bonds is adjusted to the maturity date.

C. Investors can choose the maturity that suits their financial needs.

The yield curve shown implies that the A. Credit risk premium of corporate bonds has increased. B. Credit risk premium of municipal bonds has increased. C. Long-term interest rates have a higher annualized yield than short-term rates. D. Short-term interest rates have a higher annualized yield than long-term rates.

C. Long-term interest rates have a higher annualized yield than short-term rates.

Osgood Products has announced that it plans to finance future investments so that the firm will achieve an optimum capital structure. Which one of the following corporate objectives is consistent with this announcement? A. Maximize earnings per share. B. Minimize the cost of debt. C. Maximize the net worth of the firm. D. Minimize the cost of equity.

C. Maximize the net worth of the firm.

Which of the following is a data analysis technology that finds hidden connections between data in disparate sources? A. HIPAA B. FIP C. NORA D. COPPA E. Spyware

C. NORA

The use of derivatives to either hedge or speculate results in A. Increased risk regardless of motive. B. Decreased risk regardless of motive. C. Offsetting risk when hedging and increased risk when speculating. D. Offsetting risk when speculating and increased risk when hedging.

C. Offsetting risk when hedging and increased risk when speculating.

A forward contract involves a commitment today to purchase a product A. On a specific future date at a price to be determined some time in the future. B. At some time during the current day at its present price. C. On a specific future date at a price determined today. D. Only when its price increases above its current exercise price.

C. On a specific future date at a price determined today.

Which one of the following statements is correct regarding the effect preferred stock has on a company? A. The firm's after-tax profits are shared equally by common and preferred shareholders. B. Control of the firm is now shared by the common and preferred shareholders, with preferred shareholders having greater control. C. Preferred shareholders' claims take precedence over the claims of common shareholders in the event of liquidation. D. Nonpayment of preferred dividends places the firm in default, as does nonpayment of interest on debt.

C. Preferred shareholders' claims take precedence over the claims of common shareholders in the event of liquidation.

Preferred and common stock differ in that A. Failure to pay dividends on common stock will not force the firm into bankruptcy, while failure to pay dividends on preferred stock will force the firm into bankruptcy. B. Common stock dividends are a fixed amount, while preferred stock dividends are not. C. Preferred stock has a higher priority than common stock with regard to earnings and assets in the event of bankruptcy. D. Preferred stock dividends are deductible as an expense for tax purposes, while common stock dividends are not.

C. Preferred stock has a higher priority than common stock with regard to earnings and assets in the event of bankruptcy.

Which of the following occurs when muscle groups are forced through tens of thousands of repetitions under low-impact loads? A. Carpal tunnel syndrome (CTS) B. Computer vision syndrome (CVS) C. Repetitive Stress Injury (RSI) D. Technostress E. RSS

C. Repetitive Stress Injury (RSI)

A widely used approach that managers use to recognize uncertainty about individual items and to obtain an immediate financial estimate of the consequences of possible prediction errors is A. Expected value analysis. B. Learning curve analysis. C. Sensitivity analysis. D. Regression analysis.

C. Sensitivity analysis.

As described in the chapter case, which of the following constitutes a people element of the UPS tracking system? A. The web-based Post Sales Order Management System B. The ability to provide package status reports to customers C. The decision to use automation D. The implementation of in-house package tracking software E. The ability to embed UPS functions in external sites

C. The decision to use automation

To assist in an investment decision, Gift Co. selected the most likely sales volume from several possible outcomes. Which of the following attributes would that selected sales volume reflect? A. The midpoint of the range. B. The median. C. The greatest probability. D. The expected value.

C. The greatest probability.

To make sure it stocks clothes that its customers will purchase, a department store implements a new application that analyzes spending levels at its stores and cross-references this data to popular clothing styles. Which of the following business objectives is this information intended to support? A. new products B. survival C. customer intimacy D. improved decision making E. operational excellence

C. customer intimacy

All of the following can be considered managerial responsibilities except: A. making action plans to solve organizational problems. B. creating new products and services. C. designing new information systems. D. allocating human resources to coordinate the work to be done. E. setting strategy for responding to business challenges in the environment.

C. designing new information systems.

Which of the following is not one of the competitive forces in Porter's model? A. suppliers B. competitors C. external environment D. customers E. Technology

C. external environment

________ typically develop a single information system, usually at the home base, and then replicate it around the world. A. domestic exporters B. multinational firms C. franchisers D. transnational firms E. virtual companies

C. franchisers

The Internet raises the bargaining power of customers most effectively by: A. creating new opportunities for building loyal customer bases. B. making more products available. C. making information available to everyone. D. lowering transaction costs. E. reducing barriers to entry.

C. making information available to everyone.

The average number of baseball tickets sold at a particular price is an example of: A. input B. raw data C. meaningful information D. output E. feedback

C. meaningful information

Data management technology consists of the: A. physical hardware and media used by an organization for storing data. B. detailed, preprogrammed instructions that control and coordinate the computer hardware components in an information system. C. software governing the organization of data on physical storage media. D. hardware and software used to transfer data. E. universally accepted standards for storing data

C. software governing the organization of data on physical storage media.

When the output of some units can be used as inputs to other units, or if two organizations pool markets and expertise that result in lower costs and generate profits, ________ are created. A. value webs B. value chains C. synergies D. core competencies E. benchmarks

C. synergies

All of the following are factors in U.S. federal sentencing guidelines with respect to business executives except: A. the monetary value of the crime B. the presence of a conspiracy to prevent discovery of the crime C. the use of technology to commit the crime D. the use of structured financial transactions to hide the crime E. the failure to cooperate with prosecutors

C. the use of technology to commit the crime

26) One difference between CPM and EFE is that A) CPM includes both internal and external issues .B) the weights and total weighted scores have different meanings. C) CPM ratings range from 1 to 10 .D) CPM is performed only for the company, whereas EFE is performed for both the company and its competitors. E) CPM is only used in small firms.

CPM includes both internal and external issues

Quest, Inc., a U.S. firm, and Real Treks, Ltd., a Canadian firm, enter into a contract that does not have a forum-selection or choice-of-law clause. Litigation between Quest and Real Treks involving this contract may occur in a. an online forum only. b. Canada or the United States, but not both. c. Canada, the United States, or both. d. an international, United Nations tribunal only.

Canada, the united states, or both

A business collects cash from a customer for services that were performed one month earlier. Which of the following accounts is debited? A) Cash B) Accounts Receivable C) Service Revenue D) Accounts Payable

Cash

A business makes a cash payment to a supplier on account for office supplies that were purchased earlier. Which of the following accounts is credited? A) Cash B) Accounts Payable C) Office Supplies D) Office Supplies Expense

Cash

Which of the following is the most liquid asset? A) Building B) Prepaid Expenses C) Accounts Receivable D) Cash

Cash

Jessie, an employee of Kim's restaurant, believes that her employer has violated her rights in the workplace. Larson argues that a Metro City government agency has imposed an ordinance that violates his rights under the U.S Constitution. The branch of law dealing with the definition and enforcement of all private or public rights is a. administrative law. b. civil law. c. constitutional law. d. federal law.

Civil law

Which of the following accounts will be included in a post-closing trial balance? A) Dividends B) Salaries Expense C) Common Stock D) Supplies Expense

Common Stock

Metal Fabrication, Inc. expends funds and takes steps to ensure that all employees are safe on the job, that all products are safe for consumers, and that the environmental impact of the corporation is minimal. Metal's owners and management appear to believe in the concept of: a. the moral minimum. b. corporate social responsibility. c. the categorical imperative. d. utilitarianism.

Corporate socil responsibility

In a job order costing system, a credit to Finished Goods Inventory will be accompanied by a debit to ________. A) Cost of Goods Sold B) Work-in-Process Inventory C) Sales Revenue D) Accounts Receivable

Cost of Goods Sold

Regarding the Cost of Goods Sold account, which of the following statements is incorrect? A) In a perpetual inventory system, the Cost of Goods Sold account keeps a current balance throughout the period. B) Cost of Goods sold is a contra revenue account. C) Cost of Goods Sold is based on the company's cost, not the retail price. D) Cost of Goods Sold represents the cost of inventory that has been sold to customers.

Cost of Goods sold is a contra revenue account.

What is the price of a 10-year, 10% coupon bond with a $1,000 face value if investors require a 12% return? Assume annual coupon payments. Present Value of an Ordinary Annuity % 10 Periods 10 6.14 12 5.65 Present Value of $1 % 10 Periods 10 .386 12 .322 A. $565.00 B. $322.00 C. $604.50 D. $887.00

D. $887.00

Listed below are four numbers. Which of these numbers represents the coefficient of correlation of a stock portfolio with the least unsystematic risk? A. 100.0 B. 1.0 C. 0.0 D. -1.0

D. -1.0

The following information pertains to a company's potential investment in security X: Maturity risk premium 1% Liquidity risk premium 3% Default risk premium 2% Risk-free rate 4% What is the company's required rate of return for the investment in this security? A. 4% B. 6% C. 9% D. 10%

D. 10%

Using the capital asset pricing model (CAPM), the required rate of return for a firm with a beta of 1.5 when the market return is 10% and the risk-free rate is 8% is A. 5% B. 8% C. 10% D. 11%

D. 11%

Dividends are equal to $5, and the current share price is $50. Dividends are expected to grow at 2% forever. According to the dividend growth model, what is the investor's required rate of return? A. 8.2% B. 10.0% C. 12.0% D. 12.2%

D. 12.2%

What is the after-tax cost of preferred stock that sells for $5 per share and offers a $0.75 dividend when the tax rate is 35%? A. 5.25% B. 9.75% C. 10.50% D. 15%

D. 15%

Using the capital asset pricing model (CAPM), the required rate of return for a firm with a beta of 1.25 when the market return is 14% and the risk-free rate is 6% is A. 6.0% B. 7.5% C. 17.5% D. 16.0%

D. 16.0%

A stock priced at $50 per share is expected to pay $5 in dividends and trade for $60 per share in one year. What is the expected return on this stock? A. 10% B. 20% C. 25% D. 30%

D. 30%

Aaron Co's vendor will be offering discounts next year. Which of the following credit terms offered by the vendor is most beneficial to Aaron? A. 2/10, net 60. B. 3/15, net 30. C. 5/20, net 45. D. 5/20, net 60.

D. 5/20, net 60.

Which of the following is considered a corporate equity security? A. A shareholder's preemptive right. B. A shareholder's appraisal right. C. A callable bond. D. A share of callable preferred stock.

D. A share of callable preferred stock.

One type of risk to which investment securities are subject can be offset through portfolio diversification. This type of risk is referred to as A. Market risk. B. Undiversifiable risk. C. Liquidity risk. D. Company unique risk.

D. Company unique risk.

All of the following are alternative marketable securities suitable for short-term investment except A. U.S. Treasury bills. B. Eurodollars. C. Commercial paper. D. Convertible bonds.

D. Convertible bonds.

Which of the following systems supports making decisions that are unique, rapidly changing, and not easily specified in advance? A. Management information system (MIS) B. Transaction processing system (TPS) C. Executive support system (ESS) D. Decision support system (DSS) E. KWM

D. Decision support system (DSS)

Which of the following systems is designed to support organization-wide process coordination and integration? A. Decision support system (DSS) B. Management information system (MIS) C. Customer relationship management (CRM) D. Enterprise applications E. Executive support system (ESS)

D. Enterprise applications

An investment security with high risk will have a(n) A. Low expected return. B. Lower price than an asset with low risk. C. Lower coefficient of variation. D. High standard deviation of returns.

D. High standard deviation of returns.

Many assumptions and factors may be considered to determine the fair value except A. Net realizable value. B. Expected costs. C. Market value. D. Historical cost.

D. Historical cost.

Which of the following best describes Immanuel Kant's categorical imperative? A. If an action cannot be taken repeatedly, then it is not right to be taken at any time. B. One should take the action that produces the least harm or incurs the least cost. C. One can put values in rank order and understand the consequences of various courses of action. D. If an action is not right for everyone to take, it is not right for anyone to take. E. You should act towards others as you would like them to act towards you.

D. If an action is not right for everyone to take, it is not right for anyone to take.

As a company becomes more conservative with respect to working capital financing policy, it would tend to have a(n) A. Increase in the ratio of current liabilities to noncurrent liabilities. B. Decrease in the operating cycle. C. Decrease in the quick ratio. D. Increase in the ratio of current assets to noncurrent assets.

D. Increase in the ratio of current assets to noncurrent assets.

During the year, Mason Company's current assets increased by $120,000, current liabilities decreased by $50,000, and net working capital A. Increased by $70,000. B. Did not change. C. Decreased by $170,000. D. Increased by $170,000.

D. Increased by $170,000.

If Brewer Corporation's bonds are currently yielding 8% in the marketplace, why is the firm's cost of debt lower? A. Market interest rates have increased. B. Additional debt can be issued more cheaply than the original debt. C. There should be no difference; cost of debt is the same as the bonds' market yield. D. Interest is deductible for tax purposes.

D. Interest is deductible for tax purposes.

Management's financial estimates are based on all of the following except: A. Knowledge. B. Experience. C. Expectations. D. Irrelevance.

D. Irrelevance.

Which of the following is a primary drawback to the "do anything anywhere" computing environment? A. It makes work environments less pleasant. B. It creates a digital divide. C. It centralizes power at corporate headquarters. D. It blurs the traditional boundaries between work and family time. E. It leads to employees being paid less for the total amount of work performed.

D. It blurs the traditional boundaries between work and family time.

If a call option is "out-of-the-money," A. It is worth exercising. B. The value of the underlying asset is more than the exercise price. C. The option no longer exists. D. It is not worth exercising because the value of the underlying asset is less than the exercise price.

D. It is not worth exercising because the value of the underlying asset is less than the exercise price.

Management's financial estimates are based on all of the following except A. Knowledge. B. Experience. C. Assumptions. D. Known outcomes.

D. Known outcomes.

When managing cash and short-term investments, a corporate CFO is primarily concerned with A. Maximizing rate of return. B. Minimizing taxes. C. Investing in Treasury bonds since they have no default risk. D. Liquidity and safety.

D. Liquidity and safety.

When purchasing temporary investments, which one of the following best describes the risk associated with the ability to sell the investment in a short period of time without significant price concessions? A. Interest-rate risk. B. Purchasing-power risk. C. Financial risk. D. Liquidity risk.

D. Liquidity risk.

A human resources system that summarizes the total moving, house-hunting, and home financing costs for employees in all company divisions is an example of which of the following? A. Knowledge management system (KMS) B. Transaction processing system (TPS) C. Executive support system (ESS) D. Management information system (MIS) E. Customer relationship management (CRM) system

D. Management information system (MIS)

From an investor's viewpoint, the least risky type of bond in which to invest is a(n) A. Debenture bond. B. Deep discount bond. C. Income bond. D. Mortgage bond.

D. Mortgage bond.

An organization would usually offer credit terms of 2/10, net 30 when A. The organization can borrow funds at a rate exceeding the annual interest cost. B. The organization can borrow funds at a rate less than the annual interest cost. C. The cost of capital approaches the prime rate. D. Most competitors are offering the same terms, and the organization has a shortage of cash.

D. Most competitors are offering the same terms, and the organization has a shortage of cash.

Which of the following may be used to estimate how inventory warehouse costs are affected by both the number of shipments and the weight of materials handled? A. Economic order quantity analysis. B. Probability analysis. C. Correlation analysis. D. Multiple regression analysis.

D. Multiple regression analysis.

Which of the following statements is (are) correct regarding corporate debt and equity securities? I. Both debt and equity security holders have an ownership interest in the corporation. II. Both debt and equity securities have an obligation to pay income. A. I only. B. II only. C. Both I and II. D. Neither I nor II.

D. Neither I nor II.

A manufacturer of deep-sea oil rigs may be least concerned about which of these marketplace forces? A. Product differentiation B. Traditional competitors C. Low number of suppliers D. New market entrants E. Substitute products

D. New market entrants

The following excerpt was taken from a company's financial statements: " . . . 10% convertible participating . . . $10,000,000." What is most likely being referred to? A. Bonds. B. Common stock. C. Stock options. D. Preferred stock.

D. Preferred stock.

Management's financial estimates are based on all of the following except A. Knowledge. B. Experience. C. Assumptions. D. Prespecifications.

D. Prespecifications.

Through the use of decision models, managers thoroughly analyze many alternatives and decide on the best alternative for the company. Often the actual results achieved from a particular decision are not what was expected when the decision was made. In addition, an alternative that was not selected would have actually been the best decision for the company. The appropriate technique to analyze the alternatives by using expected inputs and altering them before a decision is made is A. Expected value analysis. B. Linear programming. C. Program evaluation review technique (PERT). D. Sensitivity analysis.

D. Sensitivity analysis.

When the U.S. dollar is expected to rise in value against foreign currencies, a U.S. company with foreign currency denominated receivables and payables should A. Slow down collections and speed up payments. B. Slow down collections and slow down payments. C. Speed up collections and speed up payments. D. Speed up collections and slow down payments.

D. Speed up collections and slow down payments.

If a bond sells at a premium, the A. Stated coupon rate must be less than the required market rate. B. Nominal rate must be less than the yield rate. C. Bond purchase price must be lower than the face amount of the bond. D. Stated coupon rate must be more than the required market rate.

D. Stated coupon rate must be more than the required market rate.

Which of the following is not true about the GDPR? A. The GDPR requires Internet companies to obtain explicit consent from consumers for the use of their personal data. B. The GDPR requires Internet companies to delete information at the user's request. C. The GDPR requires Internet companies to retain information only as long as absolutely necessary. D. The GDPR rejects the right to be forgotten. E. The GDPR applies only to all companies providing services in Europe.

D. The GDPR rejects the right to be forgotten.

Which of the following statements about cycle time is not true? A. Cycle time refers to the total elapsed time from the beginning of a process to its end. B. Shorter cycle times mean that problems are caught earlier in the process. C. Finding ways to reduce cycle time often means finding ways to simplify production steps. D. The fewer steps in a production process, the more likely that an error will occur. E. Information systems can help reduce cycle time.

D. The fewer steps in a production process, the more likely that an error will occur.

According to the capital asset pricing model (CAPM), which of the following statements is true regarding the required rate of return for a security with a beta of 1? A. The required rate of return is lower than the risk-free rate. B. The required rate of return is equal to the risk-free rate. C. The required rate of return is higher than the market return. D. The required rate of return is equal to the market return.

D. The required rate of return is equal to the market return.

A Chinese conglomerate owns a construction subsidiary that is building a port in Mozambique. The firm pays its workers in the Mozambican metical but keeps its books for the project in the South African rand. At the end of the fiscal year, the conglomerate must report consolidated financial statements denominated in the yuan. The exchange rate risk encountered by the conglomerate in the currency conversions leading up to its consolidated financial statements is known as A. Transition exposure. B. Economic exposure. C. Transaction exposure. D. Translation exposure.

D. Translation exposure.

An investor is currently holding income bonds, preferred stocks, subordinated debentures, and U.S. Treasury bonds. Which of these securities traditionally is considered to have the least risk? A. Income bonds. B. Preferred stocks. C. Subordinated debentures. D. U.S. Treasury bonds.

D. U.S. Treasury bonds.

In decision making under conditions of uncertainty, expected value refers to the A. Likely outcome of a proposed action. B. Present value of alternative actions. C. Probability of a given outcome from a proposed action. D. Weighted average of probable outcomes of an action.

D. Weighted average of probable outcomes of an action.

All of the following describe the effects of globalization except: A. significant decreases in operating costs. B. reduction of labor costs through outsourcing C. ability to find low-cost suppliers D. increases in transaction costs E. replication of business models in multiple countries

D. increases in transaction costs

The term management information systems refers to a specific category of information systems serving: A. integrated data processing throughout the firm. B. transaction processing reporting C. senior management D. middle management functions E. knowledge workers

D. middle management functions

Which of the following ethical guidelines suggests that you put yourself in the place of others, and think of yourself as the object of the decision? A. Kant's categorical imperative B. the risk aversion principle C. the utilitarian principle D. the Golden rule E. the "no free lunch" rule

D. the Golden rule

The entry to record depreciation includes a debit to the ________ account. A) Equipment B) Cash C) Accumulated Depreciation D) Depreciation Expense

Depreciation Expense

Under the income approach, gross domestic product (GDP) is measured as A. Depreciation charges and indirect business taxes + Wages + Rents + Interest + Profits - Net American income earned abroad. B. Wages + Rents + Interest + Profits. C. Depreciation charges and indirect business taxes + Wages + Rents - Interest + Profits. D. Wages + Rents + Interest - Profits + Net American income earned abroad.

Depreciation charges and indirect business taxes + Wages + Rents + Interest + Profits - Net American income earned abroad.

Which of the following is true of dividends? A) Dividends are a distribution of cash, stock, or other property to stockholders. B) Dividends increase assets and decrease total stockholders' equity of a corporation. C) Dividend payments decrease paid-in capital. D) Dividend payments increase stockholders' equity.

Dividends are a distribution of cash, stock, or other property to stockholders.

Which of the following is not an example of the potential dark side of big data? A. Police visits to individuals whom a computer system identified as likely to commit a crime in the future B. Use of a device installed in a car to analyze driving habits C. Use of a predictive modeling system that predicts life expectancy by using data about individual consumers' buying habits as well as personal and family medical histories D. Use of computerized systems to filter and hire job applicants E. Analyzing data from sensors installed in local parks to monitor soil moisture

E. Analyzing data from sensors installed in local parks to monitor soil moisture

A ________ provides information to coordinate all of the business processes that deal with customers in sales, marketing, and service to optimize revenue, customer satisfaction, and customer retention. A. Transaction processing system (TPS) B. Management information system (MIS) C. Executive support system (ESS) D. CPS E. Customer relationship management (CRM) system

E. Customer relationship management (CRM) system

Which of the following systems is designed to summarize and report on the company's basic operations? A. Knowledge management system (KMS) B. Decision support system (DSS) C. Executive support system (ESS) D. Transaction processing system (TPS) E. Management information system (MIS)

E. Management information system (MIS)

Which of the following replaced the U.S. Department of Commerce safe harbor framework that enabled U.S. businesses to legally use personal data from EU countries? A. COPPA B. P3P C. PGP D. FIP E. Privacy Shield

E. Privacy Shield

Which type of system would you use to change a production schedule if a key supplier was late in delivering goods? A. Executive support system (ESS) B. Customer relationship management (CRM) system C. Management information system (MIS) D. Decision support system (DSS) E. Supply chain management (SCM) system

E. Supply chain management (SCM) system

Which of the following forms of protection of intellectual property requires that the property be the subject of a nondisclosure agreement? A. Copyright B. Patent C. All forms of intellectual property protection D. Trademark E. Trade secret

E. Trade secret

The fundamental set of assumptions, values, and ways of doing things that has been accepted by most of a company's members is called its: A. business process B. environment C. atmosphere D. values E. culture

E. culture

All of the following could be considered substitute products for industrial electricity generation except: A. solar B. wind C. coal D. hydro-power E. ethanol

E. ethanol

The obligations that individuals and organizations have regarding the preservation of existing values and institutions fall within which of the following moral dimensions of the information age? A. family and home B. property rights and obligations C. system quality D. accountability and control E. quality of life

E. quality of life

Identifying potential customers for the businesses' products or services is an activity associated with the ________ function. A. finance and accounting B. human resources C. manufacturing and production D. technology E. sales and marketing

E. sales and marketing

The FIP principle of Notice/Awareness states that: A. customers must be allowed to choose how their information will be used for secondary purposes other than the supporting transaction. B. data collectors must take responsible steps to assure that consumer information is accurate and secure from unauthorized use. C. there must be a mechanism in place to enforce FIP principles. D. consumers should be able to review the data collected about them. E. websites must disclose their information practices before collecting data

E. websites must disclose their information practices before collecting data

EM Co. is considering acquiring Chairy Co., which manufactures wooden rocking chairs. EM's accountant determined, at the projected output level, the following: - Price: $250 - Average variable cost: 125 - Average total cost: 160 - Marginal cost: 140 The accountant's report would include the following remark: A. EM Co. should acquire Chairy Co. B. EM Co. should not acquire Chairy Co. C. Companies are leaving the market. D. None of the answers are correct.

EM Co. should acquire Chairy Co.

On March 1, 2018, Everson Services issued a 4% long-term notes payable for $16,000. It is payable over a 4-year term in $4000 annual principal payments on March 1 of each year plus interest, beginning March 1, 2019. Each yearly installment will include both principal repayment of $4000 and interest payment for the preceding one-year period. On March 1, 2019, ________. The accounting period ends on December 31. A) Everson must accrue $4000 of Interest Expense B) Everson must accrue the next note payment of $4000 as the current portion of principal payment C) Everson must pay $640 of interest to the note holder D) Everson will receive $4000 as an installment payment

Everson must pay $640 of interest to the note holder

It is mandatory for both the employer and employee to pay ________. A) FICA B) SUTA C) employee income tax D) federal unemployment tax

FICA

The theory of cognitive dissonance was proposed by ________. A) Maslow B) Festinger C) Hofstede D) Skinner E) Pavlov

Festinger

Goods that are produced by a manufacturing company and are ready to sell are recorded in the _______ account. A) Raw Materials Inventory B) Work-in-Process Inventory C) Manufacturing Overhead D) Finished Goods Inventory

Finished Goods Inventory

Mont Blanc S.A., a French firm, imports its goods into the United States and offers those goods for sale at "less than fair value." "Fair value" is the price of Mont Blanc's goods in: a. the European market. b. France. c. the United States. d. the world market.

France

A United States-based faculty member goes on sabbatical and works in Finland for a government-run university teaching classes for its International MBA program. The faculty member returns to the U.S. with a paycheck for $50,000 and spends $38,000 of it on a German manufactured car from a dealership in Miami, Florida. Using the classic expenditure model, how much does the GDP increase in each country? (Germany Finland United States) A. $38,000, $50,000, $50,000 B. $0, $0, $50,000 C. $38,000, $50,000, $0 D. None of the answers are correct.

Germany - $38,000 Finland - $50,000 United States - $0

Which is the best manner in which to deal with racial and ethnic diversity in the workplace? A) Ignore the differences...we are all the same. B) Implement policies which prohibit cultural conversations. C) Create work groups which have members of all possible racial groups. D) Hold an orientation in which team members can discuss their differences. E) Force people to work with people with whom they are uncomfortable.

Hold an orientation in which team members can discuss their differences

A utility firm has enjoyed an oligopolistic market due to regulations. Starting next year, these regulations will be repealed. One should expect I. New firms in the market II. Consolidation III. Divestiture A. I only. B. II only. C. I and II only. D. III only.

I and II only

The monopoly firm has a patent that is about to expire. A new start-up firm has entered the market with a new method and has applied for patent protection. Which of the strategies below make the most economic sense for the monopoly firm? I. Acquire the start-up firm II. Continue production III. Divestiture A. I only. B. II only. C. I and II only. D. III only.

I and II only

The U.S. Bureau of Labor Statistics samples American households each month and publishes an official unemployment rate based on the following formula: Which of the following persons are excluded from the denominator of this calculation? I. A homemaker with a part-time job outside the home II. A landscaper in the underground economy III. A laid-off database administrator not actively seeking other employment IV. A 15-year-old, actively seeking other employment, who was laid off by an ice cream stand owner A. I, II, and III. B. I, II, and IV. C. I, III, and IV. D. II, III, and IV.

II, III, and IV

A firm employs 100 workers and has 2 divisions, each in perfectly competitive markets. Division A produces tape measures and Division B produces saws. How should the firm allocate its workers to maximize efficiency? I. Allocate workers between the divisions so the average cost of producing tape measures equals the average cost of producing saws. II. Allocate workers to the division with the lowest marginal product of labor and divest from the other division. III. Allocate workers so the marginal product of labor is the same in both divisions. A. I only. B. II only. C. III only. D. II and III only.

III only

Garage Magic, Inc., contracts for the sale of a certain number of garage door openers to Home & Yard Hardware stores. Ian buys one of openers. The applicable statute of limitations prescribes a period of four years. To bring a product liability claim against Garage Magic, Ian must file a suit within four years of: a. Ian's discovery of an injury caused by the opener. b. Garage Magic's sale of the opener to Home & Yard. c. Garage Magic's design of the opener. d. Home & Yard's sale of the opener to Ian.

Ian's discovery of an injury caused by the opener

A natural monopoly is A. Identified with a one-firm industry with significant economies of scale and in which unit costs are minimized. B. An important part of the analysis of monopolistic competition. C. Identified with an industry in which economies of scale are rapidly exhausted. D. Identified with an industry in which economies of scale are few and diseconomies are quickly incurred.

Identified with a one-firm industry with significant economies of scale and in which unit costs are minimized.

Charlie, the owner of Charlie's Foreign Auto Repair Service, files a suit against the state of Delaware, claiming that a state law violates the Commerce Clause of the U.S. Constitution. The court will agree if the statute: a. affects citizens' private activities. b. imposes a substantial burden on interstate commerce. c. imposes a substantial burden on the state. d. promotes the public order, health, safety, morals, or general welfare.

Impose a substantital burden on interstate commerce

Ceramics Corporation makes ceramic products for commercial uses, including heat-resistant tiles for industrial ovens. When damage occurs in an oven at Dura-mold, Inc., liability may be imposed on Ceramics if the tiles sold to Dura-mold were: a. in perfect condition at the time of their sale. b. damaged by their use. c. substantially changed after their sale. d. in a defective condition that was the proximate cause of the damage.

In a defective condition that was the proximate cause of the damage

Revenues and expenses may be transferred to the ________ account before their final transfer into the Retained Earnings account. A) Net Income B) Income Summary C) Dividends D) Assets

Income summary

59) This time period was a particularly bad time for management A) Industrial Revolution B) World War I C) Roman Empire D) Roaring Twenties E) The Great Depression

Industrial Revolution

Orinoco.com, an online seller of a variety of consumer streaming products, files a suit against the state of Nevada, claiming that a Nevada state law violates the Commerce Clause of the U.S. Constitution. The court will agree if the statute imposes a substantial burden on: a. the local government. b. interstate commerce. c. noneconomic activity. d. the state.

Interstate commerce

Which of the following describes the financing activities section of the statement of cash flows? A) It includes increases and decreases in long-term assets. B) It includes cash inflows and outflows related to long-term liabilities and equity. C) It includes interest and dividend income and cash payments for interest expense. D) It reports on activities that create revenue or expenses for the entity's business.

It includes cash inflows and outflows related to long-term liabilities and equity.

Which of the following describes the operating activities section of the statement of cash flows? A) It reports cash receipts and cash payments that increase or decrease long-term assets. B) It includes cash inflows and outflows related to long-term liabilities and equity. C) It reports on activities that create revenue or expenses for the entity's business. D) It reports on how cash flows affect the total assets and total liabilities.

It reports on activities that create revenue or expenses for the entity's business.

In Coastal Fishing Company's suit against Dockside Marina, Inc., the jury returns a verdict in Coastal's favor. Dockside files a motion stating that even if the evidence is viewed in the light most favorable to Coastal, a reasonable jury should not have found in its favor. This is a motion for: a. a judgment in accordance with the verdict. b. a judgment as matter of law. c. a new trial. d. judgment n.o.v.

Judgement n.o.v

Stan, an air-conditioning and heating technician, files a suit against Temp-Set Corporation, alleging that its thermostats are unreasonably dangerous due to the possibility of electrical shock. Temp-Set's best defense is most likely: a. assumption of risk. b. knowledgeable user. c. commonly known danger. d. none of the choices.

Knowledgeable user

Your friend Leslyn has been driving a Mustang for the past few years and is very vocal about how much she likes her car. Unfortunately, she was recently in an accident and has now purchased a brand new Challenger. Now she talks about how much she likes the Challenger and has started to criticize Mustangs! Which statement would best describe what you should say to Leslyn the next time she talks about cars? A) Leslyn, I liked your Mustang but your Challenger is great too! B) Leslyn, I am sorry about your car. Why did you not get another Mustang? C) Leslyn, I am sorry about your car Mustang. It was a great car but your Challenger is great too! D) Leslyn, I am sorry about your Mustang but do you need to be so negative toward it now? E) Leslyn, your negativity is driving us all nuts!

Leslyn, I am sorry about your car Mustang. It was a great car but your Challenger is great too!

Which of the following is a measure of how quickly an item can be converted to cash? A) Debt ratio B) Return on assets ratio C) Liquidity D) Accounting cycle

Liquidity

Fealty Credit Corporation asks its employees to evaluate their actions and get on the ethical business decision-making "bandwagon." Guidelines for judging individual actions include all of the following except a. an individual's conscience. b. business rules and procedures. c. loopholes in the law or company policies. d. promises to others.

Loopholes in the law or company policies

Mac and Nan engage in a business transaction from which a dispute arises. Mac initiates a lawsuit against Nan by filing a complaint. If Nan responds to Mac's complaint by filing a counterclaim, then a. Mac will also have to file a response. b. Mac will have a judgment entered in his favor. c. Nan will also have to file an amended answer. d. Nan will have a judgment entered in her favor

Mac will also have to file a response

Which of the following is Not considered to be an equitable remedy? a. Specific performance b. Injunction c. Reformation d. Money damages

Money damages

A corporation's net income as presented on its income statement is usually A. More than its economic profits because opportunity costs are not considered in calculating net income. B. More than its economic profits because economists do not consider interest payments to be costs. C. Equal to its economic profits. D. Less than its economic profits because accountants include labor costs, while economists exclude labor costs.

More than its economic profits because opportunity costs are not considered in calculating net income.

Which of the following traits is most likely to aid someone in becoming a leader? A) Machiavellianism B) Narcissism C) Psychopathy D) Type A Personality E) Benevolence

Narcissism

On average, managers spend the least amount of time doing which managerial activity? A) Traditional management B) Communication C) Human resource management D) Networking E) Systems

Networking

During an interview with one team member, you learn that several members of the team have had conflicts regarding the content of a task to which the team was recently assigned. Are these conflicts likely to be reducing the group's productivity? A) Yes, because interpersonal conflicts always hurt a team's performance. B) No, because conflicts based on personal animosity rarely affect team operations. C) Yes, because task-related conflicts lead to poor team decisions. D) No, because task-related conflicts usually benefit the performance of a team. E) Yes, because disagreements about tasks usually lessen groupthink.

No, because task-related conflicts usually benefit the performance of a team

Which of the following should be classified as a long-term asset? A) Interest Receivable B) Accounts Receivable C) Notes Receivable, due in 5 years D) Cash Equivalents

Notes Receivable, due in 5 years

River Rock Company makes spas and hot tubs. Sterling files a product liability suit against River Rock, alleging a warning defect in one of its products. In deciding whether to hold the defendant liable, the court may take note that a manufacturer or seller has no duty to warn about risks that are: a. avoidable by an alternative design. b. foreseeable. c. contrary to the instructions for the use of the product. d. obvious.

Obvious

Which of the following statements is true regarding the degree to which people experience emotions across cultures? A) The degree to which people experience emotions is independent of culture. B) People in China report experiencing fewer positive and negative emotions as compared to people in other cultures. C) Western cultures experience more negative emotions and fewer positive emotions than Eastern cultures. D) The emotions experienced by people in China are more intense as compared to emotions experienced by people in other cultures. E) Eastern cultures like China view emotions like pride more positively than Western individualistic cultures such as the United States.

People in China report experiencing fewer positive and negative emotions as compared to people in other cultures

Which of the following is not a stereotype? A) Older workers will tire more quickly than younger workers. B) Women are too emotional to be police officers. C) College professors are narcissistic. D) Politicians are sleazy and dishonest. E) People of Asian descent have dark hair.

People of Asian descent have dark hair

Which behavioral science discipline is most focused on understanding individual behavior? A) sociology B) social psychology C) psychology D) anthropology E) organizational behavior

Psychology

When using the allowance method, the write-off of a receivable ________ A) involves a contra-revenue account B) reduces the amount of the Allowance for Bad Debts account C) decreases net income D) affects the net realizable value of accounts receivable

Reduces the amount of the Allowance for Bad Debts account

Monopolistic competition is characterized by a A. Relatively large group of sellers who produce differentiated products. B. Relatively small group of sellers who produce differentiated products. C. Monopolistic market where the consumer is persuaded that there is perfect competition. D. Relatively large group of sellers who produce a homogeneous product.

Relatively large group of sellers who produce differentiated products.

The ---- are orderly compilations of the general common law of the United States, prepared by a distinguished group of lawyers, judges, and law teachers a. statutes b. executive orders c. maxims d. restatements of law

Restatements of law

The Income Summary account has a credit balance of $27,000 after the revenue and expense accounts have been closed. Which of the following is credited to close the Income Summary account? A) Dividends B) Sales Revenue C) Cost of Goods Sold D) Retained Earnings

Retained Earnings

Which of the following statements is true of revenues? A) Revenues decrease equity, so a revenue account's normal balance is a credit balance. B) Revenues decrease equity, so a revenue account's normal balance is a debit balance. C) Revenues increase equity, so a revenue account's normal balance is a debit balance. D) Revenues increase equity, so a revenue account's normal balance is a credit balance.

Revenues increase equity, so a revenue account's normal balance is a credit balance.

The "Big Five" personality traits include all but which of the following? A) Conscientiousness B) Self-confidence C) Extraversion D) Openness to experience E) Agreeableness

Self-confidence

Which of the following statements is true regarding the sources of moods and emotions? A) Moods and emotions are independent of the personality of the individuals. B) Sleep quality affects mood. C) The weather strongly affects moods. D) As we grow older, we experience more negative emotions. E) People tend to be in their best moods on Sundays.

Sleep quality affects mood

The Federal Reserve System's reserve ratio is the A. Specified percentage of a commercial bank's deposit liabilities that must be deposited in the central bank or kept on hand. B. Rate that the central bank charges for loans granted to commercial banks. C. Ratio of excess reserves to legal reserves that are deposited in the central bank. D. Specified percentage of a commercial bank's demand deposits to total liabilities.

Specified percentage of a commercial bank's deposit liabilities that must be deposited in the central bank or kept on hand.

Mediocrité, Inc., makes and sells goods that are substandard. Naomi, who has never bought or used a Mediocrité item, files a suit against the firm, alleging that its products are defective. The company's best ground for dismissal of the suit is that Naomi does not have: a. certiorari b. jurisdiction c. standing d. sufficient minimum contacts

Standing

What can be defined as the art and science of formulating, implementing and evaluating cross-functional decisions that enable an organization to achieve its objectives? A) Strategy formulation B) Strategy evaluation C) Strategy implementation D) Strategic management E) Strategic leading

Strategic Management

Roy owns an apartment building that contains units of different sizes. As the landlord of the building, when a prospective tenant asks about the size of an apartment, Roy has a duty to: a. arrange to correct the rent to match the tenant's ability to pay. b. do nothing. c. supply correct information. d. tell tenants what they want to hear even if it is not correct.

Supply correct information

What is the supreme law of he land in the United States? a. Federal statutes b. The state U.C.C. statute c. The common law d. The U.S. Constitution

The U.S Constitution

Lamar Corporation originally purchased land for $20,000. It later sold the land for $20,000 in cash. Which of the following is true of the effect of the sale of land on the accounting equation? A) Assets increase and liabilities decrease by $20,000. B) Assets and equity increase by $40,000. C) Assets increase by $20,000; equity increases by $20,000. D) The amount of total assets remains the same.

The amount of total assets remains the same

Which of the following is true when the estimate of an asset's useful life is changed? A) The new estimate is ignored until the last year of the asset's life. B) The depreciation expense in the prior years are restated. C) Prior years' financial statements must be restated. D) The asset's remaining depreciable book value will be spread over the asset's remaining life.

The asset's remaining depreciable book value will be spread over the asset's remaining life.

Which of the following statements is true if a bond's stated interest rate is the same as the market rate? A) The bond will be issued at a premium. B) The bond will be issued at par. C) The bond will be issued at a discount. D) The bond will be issued for an amount lower than the maturity value.

The bond will be issued at par

Tyler, a citizen of Utah, files a suit in a Utah state court against Virtual Sales Corporation, a Washington state company that does business in Utah. The court has original jurisdiction, which means that a. the case is being heard for the first time. b. the court has a unique method of deciding whether to hear a case. c. the court has unusual procedural rules. d. the subject matter of the suit is interesting and new.

The case is being heard for the first time

Which one of the following scenarios related to Music For You, Inc., who manufactures headphones, is not considered an illegal pricing practice? A. The company sells the same model of headphones at two different prices. A lower price is set for customers who live near low-priced retailers who sell other types of headphones. A higher price is set for customers who live in smaller towns. B. The company allows customers who spend over a hundred dollars to purchase another set of headphones for half the price. The price for other customers who don't spend over a hundred dollars remains the same. C. The company recently began selling its headphones overseas at extremely low prices to give international buyers a price reduction. D. The company works with Beats For You, Inc., to set prices together, causing all customers who purchase their headphones to pay higher prices.

The company allows customers who spend over a hundred dollars to purchase another set of headphones for half the price. The price for other customers who don't spend over a hundred dollars remains the same.

Which of the following is a reason why a job order costing system is appropriate for a custom furniture manufacturer? A) The cost incurred for each job will differ as per the order specifications. B) The direct costs incurred for each job are the same, only indirect costs vary. C) The raw materials used have already been accounted for using process costing. D) Custom furniture manufacturers produce large quantities of similar products.

The cost incurred for each job will differ as per the order specifications.

Which of the following is true of a corporation? A) A corporation cannot be privately held. B) The earnings of a corporation may be subject to double taxation. C) A corporation has a limited life. D) The stockholders of a corporation have unlimited liability for the corporation's debt.

The earnings of a corporation may be subject to double taxation.

Which of the following is not one of the elements of negligence? a. Damage or injury as a result of the breach b. The mens rea (intent) to commit the act c. Breach of the duty of care d. A duty of care e. The breach causes the damage or injury

The mens rea (intent) to commit the act

Which of the following statements is correct regarding the variety and price of products produced under monopolistic competition as compared to production under perfect competition? A. The monopolistically competitive industry produces a greater variety of products at a lower cost per unit. B. The monopolistically competitive industry produces a greater variety of products at a higher cost per unit. C. The monopolistically competitive industry produces a smaller variety of products at a lower cost per unit. D. The monopolistically competitive industry produces a smaller variety of products at a higher cost per unit.

The monopolistically competitive industry produces a greater variety of products at a higher cost per unit.

The accountant for Barnes Auto Repair, Inc. failed to make an adjusting entry to record $5,000 of unpaid salaries for the last two weeks of the year. Which of the following is an effect of this omission? A) The net income will be overstated. B) The total assets will be understated. C) The net income will be understated. D) The total assets will be overstated.

The net income will be overstated

Regarding net pay, which of the following statements is incorrect? A) The net pay amount is not important for accounting purposes. B) The amount of compensation that the employee actually takes home is net pay. C) The employer either writes a paycheck to each employee for his or her net pay or directly deposits the employee's net pay into the employee's bank account. D) Net pay equals gross pay minus all deductions.

The net pay amount is not important for accounting purposes.

Which of the following is NOT an assumption of cost-volume-profit (CVP) analysis? A) The only factor that affects total costs is a change in volume, which increases or decreases total variable and mixed costs. B) The price per unit does not change as volume changes. C) Total fixed costs do not change. D) The price per unit changes as volume changes.

The price per unit changes as volume changes.

Which of the following statements is true regarding oral communication? A) It is often tangible and verifiable. B) It can be stored for an indefinite period. C) The sender can quickly obtain feedback from the receiver. D) As compared to written communication, it is more likely to be well thought out, logical, and clear. E) In the case of oral communication, when the message has to pass through a number of people, as the number of people increases the possibility of distortion of the message decreases.

The sender can quickly obtain feedback from the receiver

A federal law prohibiting the use of a certain pesticide directly conflicts with a state law permitting that use. The state law will be rendered invalid due to which clause of the U.S. Constitution? a. The Supremacy Clause b. The Commerce Clause c. The Equal Protection Clause d. The Due Process Clause

The supremacy clause

In national income terms, aggregate demand is A. Demand for money by the community in a period of full employment. B. Total expenditure on capital goods by entrepreneurs during a period of full employment. C. Demand that is needed if a country's economy is to operate at optimum level and the level of investment is to be raised. D. Total expenditure on consumer goods and investment, including government and foreign expenditure, during a given period.

Total expenditure on consumer goods and investment, including government and foreign expenditure, during a given period.

On average, managers spend most of their time doing which managerial activity? A) Traditional management B) Communication C) Human resource management D) Networking E) Systems

Traditional management

The creation of deposit money by U.S. commercial banks increases the A. Real wealth of the United States. B. Real U.S. national income. C. U.S. money supply. D. Purchasing power of the U.S. dollar.

US money supply

The police obtain a search warrant and search Jordan's apartment. After yelling obscenities at the officers, Jordan confesses to a crime and implicates his friends. The U.S. Constitution protects against: a. obscene speech. b. implication of others. c. unreasonable searches. d. none of the choices.

Unreasonable searches

Discount Retail Corporation's social media policy directs its employees to "avoid negative public comments about your company." Elin is an employee of Discount Retail. When Elin criticizes fellow employees online, Discount Retail fires her. Elin then files a suit against the employer, seeking reinstatement. The court will most likely: a. award Elin reinstatement. b. uphold Discount Retail's right to terminate Elin. c. order the parties to submit to online dispute resolution. d. refer the issue to a higher court.

Uphold Discount Retail's right to terminate Elin

In making decisions for Commercial Janitorial & Maintenance Services, Inc., Isaiah uses a cost-benefit analysis. This analysis is part of: a. duty-based ethics. b. Kantian ethics. c. the principle of rights. d. utilitarianism.

Utilitarianism

60) Systems Management was developed by: A) Taylor B) Drucker 'C) McGregor D) Weber E) von Bertalanaffy

Von Bertalanffy

An oligopolist faces a "kinked" demand curve. This terminology indicates that A. When an oligopolist lowers its price, the other firms in the oligopoly will match the price reduction, but if the oligopolist raises its price, the other firms will ignore the price change. B. An oligopolist faces a non-linear demand for its product, and price changes will have little effect on demand for that product. C. An oligopolist can sell its product at any price but, after the "saturation point," another oligopolist will lower its price and therefore shift the demand curve to the left. D. Consumers have no effect on the demand curve, and an oligopolist can shape the curve to optimize its own efficiency.

When an oligopolist lowers its price, the other firms in the oligopoly will match the price reduction, but if the oligopolist raises its price, the other firms will ignore the price change.

In regards to corporate income tax, which of the following statements is incorrect? A) Federal income taxes are calculated on a corporate tax return. B) Income Tax Expense is recorded when the federal income tax is incurred. C) When the corporation makes payment for federal income taxes, the account Income Tax Payable is credited. D) The amount of income taxes that the corporation owes but has not yet paid is classified as a current liability.

When the corporation makes payment for federal income taxes, the account Income Tax Payable is credited

________, the most widely used intelligence test in hiring decisions, takes only 12 minutes to complete. A) Kaufman Adolescent and Adult Intelligence Test (KAIT) B) Kaufman Brief Intelligence Test (KBIT) C) Myers-Briggs Type Indicator Assessment D) Multidimensional Aptitude Battery (MAB-II) E) Wonderlic Cognitive Ability Test

Wonderlic Cognitive Ability Test

Goods that have been started in the manufacturing process but are not yet complete are included in the ________. A) Finished Goods Inventory account B) Work-in-Process Inventory account C) Raw Materials Inventory account D) Cost of Goods Sold account

Work-in-Process Inventory account

Rupert is a victim of Sara's violation of criminal law. Criminal law is concerned with a. the prosecution of private individuals by other private individuals. b. the prosecution of public officials by private individuals. c. the relief available when a person's rights are violated. d. wrongs committed against the public as a whole.

Wrongs committed against the public as a whole

The legislature of the state of Wyoming enacts a new statute that sets standards for the liability of businesses selling defective products. This statute applies in. a. Wyoming only. b. only Wyoming and its bordering states only. c. all states. d. all states but only to matters not covered by other states' laws.

Wyoming only

The Merchandise Inventory account balance is $52,000. A physical count of inventory reveals that the actual inventory balance is $41,000. Which of the following would be included in the adjusting entry? (Assume a perpetual inventory system.) A) a $41,000 credit to Merchandise Inventory B) a $52,000 debit to Cost of Goods Sold C) a $11,000 credit to Cost of Goods Sold D) a $11,000 credit to Merchandise Inventory

a $11,000 credit to Merchandise Inventory

Metropolitan Casting Services started the year with total assets of $130,000 and total liabilities of $45,000. The revenues and the expenses for the year amounted to $130,000 and $50,000, respectively. During the year, the company did not issue any common stock, but it distributed dividends of $60,000. Calculate the amount of increase or decrease in stockholders' equity for the year. A) a $20,000 increase B) a $105,000 increase C) a $85,000 decrease D) a $60,000 increase

a $20,000 increase

In which of the following situations would there be inelastic demand? A. A 5% price increase results in a 3% decrease in the quantity demanded. B. A 4% price increase results in a 6% decrease in the quantity demanded. C. A 4% price increase results in a 4% decrease in the quantity demanded. D. A 3% price decrease results in a 5% increase in the quantity demanded.

a 5% price increase results in a 3% decrease in the quantity demanded

Modern Clothing, Inc., and National Denim Corporation use the mark "Made by Members of the U.S. Textile Workers Union" on the tags of their products to indicate the participation of the union in the manufacture. Modern and National are not in business together and do not own this mark. The mark is: a. a certification mark. b. a collective mark. c. a service mark. d. trade dress.

a collective mark

Jane enters onto Sam's property to help someone in danger. If Sam charges Jane with trespass to land, Jane has: a. no defense. b. a possible defense. c. a partial defense. d. a complete defense.

a complete defense

Liz files a suit against Moe in a state court. The case proceeds to trial, after which the court renders a verdict. If either party appeals, the clerk of the trial court will send to the clerk of the appellate court within a prescribed period of time: a. a brief including the arguments of both parties. b. a copy of the record on appeal. c. an explanation for the verdict. d. a statement of the grounds for reversal.

a copy of the record on appeal

A normal profit is A. The same as an economic profit. B. The same as the accountant's bottom line. C. An explicit or out-of-pocket cost. D. A cost of resources from an economic perspective.

a cost of resources from an economic perspective

Loren files a suit against Mabel, alleging a failure to pay for the harvest of Mabel's orchards. Mabel denies Loren's charge and claims that Loren breached their contract to harvest a certain number of acres and owes Mabel money for the breach. Mabel's claim is: b. a counterclaim. c. a counterpoint. d. a cross-complaint.

a counterclaim

Sara brings a lawsuit against Tucci over a sale of 1,500 acres of ranchland. During the trial, Tucci's attorney asks questions of the plaintiff's witness Ulysses. This is: a. a cross-examination. b. a direct examination. c. voir dire. d. hearsay.

a cross-examination

If a group of consumers decide to boycott a particular product, the expected result would be A. An increase in the product price to make up lost revenue. B. A decrease in the demand for the product. C. An increase in product supply because of increased availability. D. That demand for the product would become completely inelastic.

a decrease in the demand for the product

The Montana supreme court decided the case of National Co. V Overseas Corp. Of nine justices, six believe the judgement should be in National's favor. Justice Peel, one of the six, writes a separate opinion. The three justices who believe that judgment should be in Overseas' favor join in a third separate opinion. The opinion joined by the three justices who favor Overseas is known as a. a concurring opinion. b. a dissenting opinion. c. a majority opinion. d. a propounding opinion.

a dissenting opinion

Optima Medico Corporation, a U.S. firm, signs a contract with Pharma Beneficial, Ltd., a Canadian firm, to give Pharma the right to sell Optima's products in Canada. This is: a. a distribution agreement. b. a joint venture. c. direct exporting. d. licensing.

a distribution agreement

Pier shops in a Rowdy Ranch & Farm Store store. Enticed by a display, Pier takes an item to examine it and, when she is done, places it on the floor. Tanner, a consumer enticed by the same display, does not see the item on the floor, trips over it, falls, and suffers an injury. With respect to the danger, Rowdy had: a. a duty to advise its patrons that they assume all such risks. b. a duty to discover and remove the hazard. c. a duty to carry insurance to cover such risks. d. no duty.

a duty to discover and remove the hazard

Each of the following describes one of the functions of money except A. A means of storing value over a long period of time. B. A common basis for measuring stored accounts. C. A hedge against inflation. D. A tool for facilitating the exchange of goods and services.

a hedge against inflation

Which one of the following companies is most likely to use job order costing? A) a gold refinery B) a law firm C) a surfboard manufacturer D) a soft drink company

a law firm

The effect of a boycott on a firm's demand curve can be depicted as A. A movement up a given curve. B. A movement down a given curve. C. A leftward shift of the entire curve. D. A rightward shift of the entire curve.

a leftward shift of the entire curve

BurgerBoy Restaurant Corporation allows its trademark to be used as part of a domain name for BurgerBoyNY, Inc., an unaffiliated company. BurgerBoyNY does not obtain ownership rights in the mark. This is: a. goodwill. b. fair use. c. a license. d. a safe harbor.

a license

Riley obtains permission from Saga Company to use the firm's game app on Riley's smartphone, tablet, and other mobile device, but Riley does not obtain ownership rights in the app. This is: a. a license. b. a cookie. c. cloud computing. d. a violation of the law.

a license

Research finds that when nothing in particular is happening, called positivity offset, most individuals experience ________. A) an intensely positive mood B) a mildly positive mood C) a neutral mood D) a mildly negative mood E) an intensely negative mood

a mildly positive mood

Linus hires Mieko to act as his agent to purchase Ngoc's Southeast Asian Buffet. Linus tells Mieko to reveal only that she is buying the restaurant on behalf of a third party, without telling Ngoc's seller who that third party is. Linus is: a. a disclosed principal. b. not a principal. c. an undisclosed principal. d. a partially disclosed principal.

a partially disclosed principal

In an analysis of long-run costs of production, "long run" means A. More than 1 year but less than 5 years. B. Five or more years. C. A period of time long enough to turn over top management. D. A period of time long enough for the firm to make all resource costs variable in nature.

a period of time long enough for the firm to make all resource costs variable in nature

If the price elasticity of demand for a product is inelastic, A. A price decrease causes total revenue to increase. B. A price increase causes total revenue to increase. C. A price decrease leaves total revenue unchanged. D. A price increase leaves total revenue unchanged.

a price increase causes total revenue to increase

Companies that manufacture identical items through a series of uniform production steps use ________ to determine the cost per unit produced. A) a process costing system B) a job order costing system C) both of the above systems D) neither of the above systems

a process costing system

Which of the following individuals would be most hurt by an unanticipated increase in inflation? A. A retiree living on a fixed income. B. A borrower whose debt has a fixed interest rate. C. A union worker whose contract includes a provision for regular cost-of-living adjustments. D. A saver whose savings was placed in a variable rate savings account.

a retiree living on a fixed income

Which of the following results could be expected from an open market operation of the Federal Reserve? A. A sale of securities would lower interest rates. B. A purchase of securities would raise interest rates. C. A purchase of securities would lower security prices. D. A sale of securities would raise interest rates.

a sale of securities would raise interest rates

Filtering is a barrier to effective communication. Filtering takes place when ________. A) the interpretation of the message gets affected by the receiver's emotion B) the information we have to work with exceeds our processing capacity C) a sender purposely manipulates information so the receiver will see it more favorably D) the receivers in the communication process selectively see and hear based on their motivations, experience, and other personal characteristics E) receivers also project their interests and expectations into communications as they decode them

a sender purposely manipulates information so the receiver will see it more favorably

An improvement in technology that in turn leads to improved worker productivity would most likely result in A. A shift to the right in the supply curve and a lowering of the price of the output. B. A shift to the left in the supply curve and a lowering of the price of the output. C. An increase in the price of the output if demand is unchanged. D. A decrease in real wages.

a shift to the right in the supply curve and a lowering of the price of the output

If the federal government regulates a product or service in a competitive market by setting a maximum price below the equilibrium price, what is the short-run effect? A. A surplus. B. A shortage. C. A decrease in demand. D. No effect on the market.

a shortage

Which of the following businesses is most likely to use a process costing system? A) an accounting firm B) a law firm C) a soda manufacturer D) a construction company

a soda manufacturer

Which of the following is true of teams? A) A team consists of two or more people who work independently, with distinct goals and strategies. B) A team works over some time period to accomplish common goals related to some task- oriented purpose. C) Groups are formed with a specific purpose in mind, while teams do not have a specific goal. D) The members of a team operate relatively independently of each other, and other members are not essential to their accomplishment of goals. E) Interactions among members within teams are more personal and informal than interactions between people in groups.

a team works over some time period to accomplish common goals related to some task-oriented purpose

InfoFree Inc. makes and sells devices and services for the circumvention of encryption software. Under the Digital Millennium Copyright Act (DMCA) of 1998, this is: a. a violation of copyright law. b. prohibited but not a violation of copyright law. c. a "fair use" exception to the provisions of the act. d. permitted for reconsideration every three years.

a violation of copyrght law

Jared uses his computer to secretly install software on thousands of personal computers without their owners' knowledge. The program can reproduce itself and spread from one computer to another via any USB port. This program is: a. a hacker. b. a bot. c. a virus. d. a worm.

a worm

Which of the following is not a typical result of the bullwhip effect? a) Absenteeism b) Lost revenues c) Ineffective transportation use d) Poor customer service levels e) Misused manufacturing capacity

a) Absenteeism

Scatter diagrams are particularly useful in detecting the amount of __________, or the degree of linear relationship, between two variables. a) Correlation b) Heteroscedasticity c) Agreement d) Disagreement e) Causality

a) Correlation

Employees of the organization who receive goods or services from others in the company are a) Internal customers b) Ultimate customers c) Downstream customers d) Operators e) External customers

a) Internal customers

Which of the following is an assumption of the basic EOQ model? a) Lead time is known and constant. b) Demand may be seasonal. c) Orders can arrive in partial shipments. d) Quantity discounts are considered. e) Lost sales are allowed, but not back orders.

a) Lead time is known and constant.

The Malcolm Baldrige Award criteria category that includes commitment by top management is a) Leadership b) Strategic planning c) Process management d) Business results e) Information and analysis

a) Leadership

In JIT a Kanban card is used to signal a) The need for more parts b) A supplier needs assistance c) A worker is overloaded d) A machine is ready for preventive maintenance e) Management is inspecting operations

a) The need for more parts

For the current month using JIT a) The same amount of each product is produced in the same order each day b) Production matches that of last month c) Lot sizes are varied week-to-week d) Production differs greatly from day to day e) Production is primarily for next month's sales

a) The same amount of each product is produced in the same order each day

What costs are considered in the basic EOQ model? a) annual ordering costs + annual holding costs b) annual purchasing costs + annual holding costs c) annual ordering costs + annual holding costs + annual shortage costs d) annual purchasing costs + annual ordering costs + annual holding costs + annual shortage costs e) ordering costs per order + annual holding costs

a) annual ordering costs + annual holding costs

Suppose that on Wednesday the cost of inputs summed to $4000, and the value of outputs summed to $10,000. For which of the following values on Thursday will productivity stay the same? a) inputs = $2000, outputs = $5000 b) inputs = $5000, outputs = $10,000 c) inputs = $4000, outputs = $8000 d) inputs = $10,000, outputs = $4000 e) inputs = $12,000, outputs = $40,000

a) inputs = $2000, outputs = $5000

Which type of operation is used to produce many different products with varying process requirements in lower volumes? a) intermittent b) repetitive c) continuous d) downstream e) gateway

a) intermittent

Decisions regarding which of the following are not part of the production process structure? a) management policies b) facilities c) robots d) flow of goods and services through the facility e) flexible manufacturing system (FMS) machines

a) management policies

Operations management is responsible for orchestrating all the resources needed to produce the final product. This includes all of the following except ______________________________________. a) managing cash flow b) arranging schedules c) managing inventory d) controlling quality e) designing work methods

a) managing cash flow

Computer-aided manufacturing is an example of what? a) process technology b) information technology c) environmental technology d) safety technology e) product technology

a) process technology

Evaluating a product idea to determine its likelihood of success is a) product screening b) estimating c) technological forecasting d) product windowing e) product evolution

a) product screening

What are the three primary types of technology? a) product technology, process technology, and information technology b) product technology, process technology, and environmental technology c) product technology, process technology, and safety technology d) information technology, environmental technology, and safety technology e) environmental technology, information technology, and process technology

a) product technology, process technology, and information technology

Which type of process would be least likely to produce goods for inventory rather than for a specific customer request? a) project b) batch c) line d) continuous e) remanufacturing

a) project

Building a bridge over the Mississippi River for a new highway uses a a) project process b) batch process c) line process d) continuous process e) recycle process

a) project process

In break-even analysis, in order to make a profit the company must a) sell above the break-even point b) sell below the break-even point c) sell at a loss d) sell at the break-even point e) sell on consignment

a) sell above the break-even point

Which of the following is not an input? a) services b) managers c) buildings d) technology e) information

a) services

Which of the following is not considered one of the four broad categories of competitive priorities? a) technology b) cost c) quality d) flexibility e) time

a) technology

Which of the following is least likely to be a consideration in facility location? a) the design of the production process b) mistakes in choosing a location can be difficult to correct c) often there are a number of acceptable locations d) expanding capacity at a current location may be an option e) location decisions can have a major impact on operating costs and revenues

a) the design of the production process

What is the Hawthorne effect? a) workers responding to the attention they are given b) stopwatch time studies leading to time standards c) the use of quantitative methods for solving management problems d) the use of interchangeable parts e) more lighting increases productivity

a) workers responding to the attention they are given

If a company's objective were to reach masses of buyers that were geographically dispersed at a low cost per exposure, the company would likely choose which of the following promotion forms? a. Advertising b. Personal selling c. Public relations d. Sales promotion

a. Advertising

Drop shippers perform which of the following functions? a. Assumes title and ships coal, lumber, or heavy equipment to a buyer. b. Stocks the bread rack in a grocery store. c. Maintains, owns, and stocks a CD display in a grocery store. d. Sells jewelry out of a catalog.

a. Assumes title and ships coal, lumber, or heavy equipment to a buyer.

Which of the following statements about passwords is not true? a. Authentication cannot be established by the use of a password. b. Password systems that are too rigorous may hinder employee productivity. c. Passwords can be stolen through social engineering. d. Passwords can be stolen through social engineering. e. Passwords can be sniffed when being transmitted over a network.

a. Authentication cannot be established by the use of a password.

What kind of decision making tool could help you develop a recommended system for your firm's website which has 50,000 visitors a month? a. Big Data Analytics b. Sensitivity Analysis c. Goal seeking d. Forecasting e. Simulation

a. Big Data Analytics

A network that spans a college or corporate facility is called a: a. CAN. b. MAN. c. LAN d. WAN e. WSN

a. CAN.

_____________ includes practices such as overstating the product's features or performance, luring the customer to the store for a bargain that is out of stock, or running rigged contests. a. Deceptive promotion b. Deceptive packaging c. Deceptive pricing d. Deceptive cost structure

a. Deceptive promotion

_____________________ is a philosophy holding that a company's marketing should support the best long-run performance of the marketing system. a. Enlightened marketing b. Myopic marketing c. Fundamental marketing d. Conceptual marketing

a. Enlightened marketing

Given recent information about growth trends and growth potential of ethnic populations within the U.S. market, which of the following ethnic groups would be a best bet to double during the next half century and become one of the U.S. market's most viable segments? a. Hispanics and Asians b. African Americans c. Western Europeans d. Middle Eastern

a. Hispanics and Asians

____________ is a principle of enlightened marketing that requires that a company seek real product and marketing improvements. a. Innovative marketing b. Consumer-oriented marketing c. Value marketing d. Sense-of-mission marketing

a. Innovative marketing

If Mark Mars pays Hershey Foods Corporation for the right to use their name on his line of T-shirts, then Mr. Mars is using which type of branding? a. Licensed brand b. Manufacturer's brand c. Private brand d. Co-brand

a. Licensed brand

If an advertiser wants flexibility, timeliness, good local market coverage, broad acceptability, and high believability, the advertiser will probably choose which of the following mass media types? a. Newspapers b. Television c. Direct Mail d. Radio

a. Newspapers

The shrinking of distances due to technological advances such as computer and fax connections by telephone, are one characteristic of what new challenge to marketing? a. Rapid globalization. b. The changing world economy. c. The call for more socially responsible marketing. d. The micro-chip revolution.

a. Rapid globalization.

________________ have contractual authority to sell a manufacturer's entire output. a. Selling agents b. Rack jobbers c. Manufacturer's agents d. Purchasing agents

a. Selling agents

Which of the following types of computers would you use to support a computer network? a. Server b. Mainframe c. Workstation d. PC e. Tablet

a. Server

In terms of execution styles, a family seated at the dinner table enjoying the advertised product would be an example of which of the following types of advertising? a. Slice of life b. Lifestyle c. Mood or imagery d. Personality symbol

a. Slice of life

Each salesperson is assigned to an exclusive area in which to sell the company's full line of products or services in which type of salesforce structure? a. Territorial sales force. b. Product sales force. c. Customer sales force. d. Hybrid sales force

a. Territorial sales force.

Which of the following is an example of a legacy system? a. Transaction processing system running on a mainframe b. Scalable grid computing system c. Web services running on a cloud computing platform d. MDM software e. Quantum computing system

a. Transaction processing system running on a mainframe

Which of the following would you use to find patterns in user interaction data recorded by web servers? a. Web usage mining b. Web server mining c. Web structure mining d. Web content mining e. Web protocol mining

a. Web usage mining

All of the following are types of information systems general controls except: a. application controls b. computer operations controls c. hardware controls d. software controls e. administration controls

a. application controls

CAD systems: a. are capable of generating realistic-looking three-dimensional graphic designs that can be rotated and viewed from all sides. b. provide an important source of expertise for organizations. c. allow groups to work together on documents. d. are high-end PCs used in the financial sector to analyze trading situations instantaneously and facilitate portfolio management. e. are used for creating virtual reality environments.

a. are capable of generating realistic-looking three-dimensional graphic designs that can be rotated and viewed from all sides.

One common misuse of marketing research findings in contemporary business is the tendency for marketing research to: a. become a vehicle for pitching the sponsor's products. b. become a vehicle for discriminating in the marketplace. c. become a means for raising prices. d. become a means for unfair competition.

a. become a vehicle for pitching the sponsor's products.

A(n) ________ is a structured survey of the accuracy and level of completeness of the data in an information system. a. data quality audit b. systems analysis c. systems audit d. data analysis e. data overview

a. data quality audit

Technological advances, shifts in consumer tastes, and increased competition, all of which reduce demand for a product are typical of which stage in the PLC? a. decline stage b. introduction stage c. growth stage d. maturity stage

a. decline stage

Sellers that handle their own exports are engaged in: a. direct exporting. b. indirect exporting. c. licensing. d. contract manufacturing.

a. direct exporting.

You are answering phones for a local utilities provider and are speaking with an extremely angry customer. Because your company manual advises employees to transfer hostile calls to a superior, you do this. What quality dimension of decisions does your action reflect? a. due process b. justice c. fairness d. coherence e. accuracy

a. due process

A firewall allows the organization to: a. enforce a security policy on data exchanged between its network and the Internet. b. check the accuracy of all transactions between its network and the Internet. c. create an enterprise system on the Internet. d. check the content of all incoming and outgoing email messages. e. create access rules for a network.

a. enforce a security policy on data exchanged between its network and the Internet.

Costs that do not vary with production or sales levels are called: a. fixed costs. b. variable costs. c. standard costs. d. independent costs.

a. fixed costs.

The company that overlooks new and better ways to do things will eventually lose customers to another company that has found a better way of serving customer needs is a major tenet of: a. innovative marketing. b. consumer-oriented marketing. c. value marketing. d. sense-of-mission marketing.

a. innovative marketing.

Using a successful brand name to introduce additional items in a given product category under the same brand name (such as new flavors, forms, colors, added ingredients, or package sizes) is called a(n): a. line extension. b. brand extension. c. multi branding. d. new brands.

a. line extension.

The "in" suppliers are most likely to get nervous and feel pressure to put their best foot forward in which of the following types of buying situations? a. modified rebuy b. new task buying c. straight rebuy d. indirect rebuy

a. modified rebuy

A _________ is a need that is sufficiently pressing to direct the person to seek satisfaction. a. motive b. want c. demand d. requirement

a. motive

The process of streamlining data to minimize redundancy and awkward many-to-many relationships is called: a. normalization b. data scrubbing c. data cleansing d. data administration e. data management

a. normalization

OLAP is a tool that enables users to: a. obtain online answers to ad hoc questions in a rapid amount of time. b. view both logical and physical views of data. c. quickly diagram data relationships. d. normalize data. e. find hidden patterns in large databases.

a. obtain online answers to ad hoc questions in a rapid amount of time.

A company is in the stage of the new product development process when the company develops the product concept into a physical product in order to assure that the product idea can be turned into a workable product. a. product development b. commercialization c. marketing strategy d. business analysis

a. product development

A _____________ is a promotion strategy that calls for using the sales force and trade promotion to move the product through channels. a. push strategy b. pull strategy c. blocking strategy d. integrated strategy

a. push strategy

A price reduction to buyers who buy in large volumes is called a(n): a. quantity discount. b. cash discount. c. seasonal discount. d. trade discount.

a. quantity discount.

When an importing country sets limits on the amount of goods it will accept in certain product categories it is called a(n): a. quota. b. barrier. c. tariff. d. embargo.

a. quota.

The Gramm-Leach-Bliley Act: a. requires financial institutions to ensure the security of customer data. b. specifies best practices in information systems security and control. c. imposes responsibility on companies and management to safeguard the accuracy of financial information. d. outlines medical security and privacy rules. e. identifies computer abuse as a crime and defines abusive activities.

a. requires financial institutions to ensure the security of customer data.

If your company were to make a product such as a suit of clothes and sold that product to a retailer, your company would have sold to the market. a. reseller b. business c. government d. service

a. reseller

Which of the following refers to policies, procedures, and technical measures used to prevent unauthorized access, alteration, theft, or physical damage to information systems? a. security b. controls c. Benchmarking d. algorithms e. identity management

a. security

The typical method of retail operation used by supermarkets and catalog showrooms is called: a. self-service retailing. b. limited-service retailing. c. full-service retailing. d. service-merchandiser.

a. self-service retailing.

Finding out why orders are not being filled on time at a distribution center is what kind of decision scenario? a. semi-structured b. high-velocity c. unstructured d. procedural e. operational

a. semi-structured

One of the most common problems with using internal database information is that: a. since it was probably collected for some other purpose, it may be incomplete or wrong. b. it is usually expensive to retrieve. c. top executives are usually unwilling to relinquish data, therefore, the data has limits. d. the data is almost always unsecured and, therefore, suspect as to reliability.

a. since it was probably collected for some other purpose, it may be incomplete or wrong.

In a relational database, a record is also called a(n): a. tuple b. key field c. entity d. field e. table

a. tuple

A(n) ________ is software for locating and managing stored web pages. a. web server b. net server c. router d. modem e. hub

a. web server

Even though buying roles in the family change constantly, the has traditionally been the main purchasing agent for the family. a. wife b. husband c. teenage children d. grandparent

a. wife

22. Which of the following statements about the median is not true? a. It is more affected by extreme values than the arithmetic mean b. It is a measure of central tendency c. It is equal to Q2 d. It is equal to the mode in bell-shaped "normal" distributions.

a.* It is more affected by extreme values than the arithmetic mean

11. For a population with μ = 100 and σ = 20, what is the z-score corresponding to X = 105? a. +0.25 b. +0.50 c. +4.00 d. +5.00

a.*+0.25

5.What is the variance for the following set of scores? 2, 2, 2, 2, 2 a. 0 b. 2 c. 4 d. 5

a.*0

28. The teacher in a communications class asks students to identify their favorite reality television show. The different television shows make up what scale of measurement? a. Nominal b. Ordinal c. Interval d. Ratio

a.*Nominal

15. How does increasing the sample size influence the likelihood of rejecting the null hypothesis and the power of the hypothesis test? a. The likelihood of rejecting H0 and the power of the test both increase. b. The likelihood of rejecting H0 and the power of the test both decrease. c. The likelihood of rejecting H0 increases but the power of the test is unchanged. d. The likelihood of rejecting H0 decreases but the power of the test is unchanged.

a.*The likelihood of rejecting H0 and the power of the test both increase.

14. A research report summarizes the results of the hypothesis test by stating, "z = 2.13, p < .05." Which of the following is a correct interpretation of this report? a. The null hypothesis was rejected and the probability of a Type I error is less than .05. b. The null hypothesis was rejected and the probability of a Type II error is less than .05. c. The null hypothesis was not rejected and the probability of a Type I error is less than .05. d. The null hypothesis was not rejected and the probability of a Type II error is less than .05.

a.*The null hypothesis was rejected and the probability of a Type I error is less than .05.

13. If all the possible random samples of size n = 25 are selected from a population with μ = 80 and σ = 10 and the mean is computed for each sample, then what shape is expected for the distribution of sample means? a. The sample means tend to form a normal-shaped distribution with the peak around the population mean of 80. b. The sample means should center around the population mean in an unpredictable shape. c. The sample means tend to be distributed evenly across the scale, forming a rectangular-shaped distribution. d. There are thousands of possible samples and it is impossible to predict the shape of the distribution.

a.*The sample means tend to form a normal-shaped distribution with the peak around the population mean of 80.

17. How does the shape of the t distribution compare to a normal distribution? a. The t distribution is flatter and more spread out, especially when n is small. b. The t distribution is flatter and more spread out, especially when n is large. c. The t distribution is taller and less spread out, especially when n is small. d. The t distribution is taller and less spread out, especially when n is small.

a.*The t distribution is flatter and more spread out, especially when n is small.

32. A group of quiz scores ranging from 4-9 are shown in a histogram. If the bars in the histogram gradually increase in height from left to right, what can you conclude about the set of quiz scores? a. There are more high scores than there are low scores. b. There are more low scores than there are high scores. c. The height of the bars always increases as the scores increase. d. None of the above

a.*There are more high scores than there are low scores.

20. ANOVA is necessary to evaluate mean differences among three or more treatments, in order to ____________________ . a. minimize risk of Type I error b. maximize risk of Type I error c. minimize risk of Type II error d. maximize risk of Type II error

a.*minimize risk of Type I error

10. Of the following z-score values, which one represents the location closest to the mean? a. z = +0.50 b. z = +1.00 c. z = −1.00 d. z = −2.00

a.*z = +0.50

________ is an individual's current capacity to perform the various tasks in a job. A) Inductive reasoning B) Dynamic strength C) Deductive reasoning D) Ability E) Social intelligence

ability

All of the following are stages of the business cycle except A. Peak. B. Trough. C. Recovery. D. Acceleration.

acceleration

Jones Supply Services paid $350 cash, the amount owed from the previous month, to a materials supplier. Which of the following accounts decrease? A) Accounts Receivable B) Accounts Payable C) Retained Earnings D) Office Supplies

accounts payable

_______ represents a short-term liability created by purchasing "on account." A) Accounts Receivable B) Notes Payable C) Accounts Payable D) Expenses

accounts payable

_______ represent the right to receive cash in the future from customers for goods sold or for services performed. A) There is an equal decrease in another asset. B) There is an equal decrease in equity. C) There is an equal decrease in a liability account. D) Both liabilities and equity decrease.

accounts receivable

An expense that has been incurred but not yet paid is called a(n) ________. A) accrued revenue B) deferred expense C) deferred revenue D) accrued expense

accrued expense

McClelland's theory of needs concentrates on which three needs? A) achievement, growth, and security B) achievement, power, and affiliation C) self-actualization, stability, and affiliation D) affiliation, control, and security E) control, status, and affiliation

achievement, power, and affiliation

The activities that are included in the operating activities section of the statement of cash flows are ________. A) activities that involve stockholders' equity B) activities that create revenue or expenses C) activities that increase or decrease long-term assets D) activities that pertain to construction of new facilities

activities that create revenue or expenses

Which of the following definitions best describes a business cycle? A. Activity where the decline in the economy's real gross domestic product (GDP) persists for at least a half-year. B. Activity marked by a relatively high level of real GDP, full employment, and inflation. C. Activity that alternates periods of growth and decline in an economy's GDP. D. Activity where real GDP declines, inflation moderates, and unemployment increases.

activity that accelerates periods of growth and decline in an economy's GDP

Erin believes that a higher, or universal, law exists that applies to all human being. Erin asserts that each written law should reflect the principles inherent in this higher law. Erin: a. is a legal positivist. b. adheres to the historical school of legal thought. c. is a legal realist. d. adheres to the natural law tradition.

adheres to the natural law tradition

Which of the following is an example of a period cost for a manufacturing company? A) advertising expense B) depreciation on factory equipment C) indirect materials D) property taxes for the factory

advertising expense

Ben is prone to experiencing emotions in a much stronger manner than most other people. Events that don't provoke any significant emotional response in the average person often send him into fits of happiness, anger, or depression. Ben has a high level of ________. A) emotional dissonance B) negative affect C) emotional intelligence D) positive affect E) affect intensity

affect intensity

Which of the following is the term used for the strength with which individuals experience emotion? A) emotional dissonance B) affect intensity C) emotional labor D) positivity offset E) emotional intelligence

affect intensity

Dyan, the owner of Expert Restoration Services, Inc., adheres to the "principle of rights" theory. Under this theory, a key factor in determining whether a business decision is ethical is how that decision: a. complies with religious principles. b. affects the rights of others. c. causes consequences that would follow if everyone acted the same way. d. supports the right to make a profit.

affects the rihts of others

Despite misperceptions, the majority of studies have shown virtually no relationship between ________. A) age and job performance B) gender and job performance C) age and job satisfaction D) gender and job satisfaction E) job performance and job satisfaction

age and job performance

The matching principle states that ________. A) financial statements can be prepared for specific periods B) a business's activities can be sliced into small time segments C) all expenses should be recorded when they are incurred during the period D) companies should record revenue when it has been earned

all expenses should be recorded when they are incurred during the period

In microeconomics, the distinguishing characteristic of the long run on the supply side is that A. Only supply factors determine price and output. B. Only demand factors determine price and output. C. Firms are not allowed to enter or exit the industry. D. All inputs are variable.

all inputs are variable

17) Which group would be classified as stakeholders?A) Governments B) Creditors C) Suppliers D) Employees E) All of the above

all of the above

56) Which of these is a basic activity of strategy evaluation? A) Reviewing the underlying internal and external factors that represent the bases of current strategies B) Measuring organizational performance C) Taking corrective actions D) All of the above E) Only B and C

all of the above

63) The primary principles in the Christian Worldview of Management are: A) Free-Will B) Private Property C) Individualism D) A & B E) All of the above

all of the above

66) Under which branch of management is strategy? A) Financial Management B) Marketing Management C) Operations Management D) Human Resource Management E) All of the above

all of the above

A business that accepts payments by credit and debit cards ________. A) is usually unable to attract more customers B) must check each customer's credit rating C) generally receives proceeds from credit and debit card transactions 30-45 days after the sale D) almost always pays a fee to the processor to cover the processing costs

almost always pays a fee to the processor to cover the processing costs

Property, plant, and equipment are ________. A) presented in order of the category name, with Land being presented last B) also called fixed or plant assets C) either tangible or intangible assets D) easily converted to cash

also called fixed or plant assets

A country recently experienced a drop in consumer purchases and a rise in business inventories of durable goods. Wages grew slowly and unemployment increased. Business investment in plant and equipment dropped sharply and profits fell. Both interest rates and stock prices fell. Which of the following statements best represents the country's current economy? A. Entering an economic "stagflation". B. Exiting an inflationary period. C. Exiting a depression period. D. Amidst an economic recession.

amidst an economic recession

Elise, an emergency medical technician renders aid to a participant in Forest Trail Marathon, an athletic event. Regarding a suit by the participant against Elise for negligence, Elise is immune from liability under: a. no circumstances. b. the doctrine of res ipsa loquitur. c. the "danger invites rescue" doctrine. d. an applicable Good Samaritan statute.

an applicable Good samaritan statute

Rachel is a state court judge. Salina appears in a case in Rachel's court, claiming that Thomas breached a contract. Possible remedies include a. compensation to Rachel for a favorable ruling. b. Tomas' imprisonment. c. a criminal fine levied by Rachel on either party. d. an award of damages to Salina.

an award of damages to Salina

Some consumers misuse the products of Hardware Supplies, Inc., and are injured. In terms of responsibility, Hardware may have: a. a legal duty only. b. an ethical and a legal duty. c. an ethical duty only. d. neither an ethical nor a legal duty.

an ethical duty only

Myron is an employee of Nero. Either party can terminate the employment relationship at any time for any reason without liability. With respect to the employment-at-will doctrine, this is: a. an example of the doctrine. b. an exception based on contract theory. c. an exception based on public policy. d. an exception based on tort theory.

an example of the doctrine

Which of the following may provide a leading indicator of a future increase in gross domestic product? A. A reduction in the money supply. B. A decrease in the issuance of building permits. C. An increase in the timeliness of delivery by vendors. D. An increase in the average hours worked per week of production workers.

an increase in the average hours worked per week of production workers

The money supply in a nation's economy will decrease following A. Open-market purchases by the nation's central bank. B. A decrease in the discount rate. C. An increase in the reserve ratio. D. A decrease in the margin requirement.

an increase in the reserve ratio

Which of the following will lower the breakeven point? A) a decrease in the sales price per unit B) an increase in total fixed costs C) an increase in the variable cost per unit D) an increase in the sales price per unit

an increase in the sales price per unit

If a product's demand is relatively elastic and the price is lowered, the effect will be A. A decrease in total revenue. B. No change in total revenue. C. A decrease in total revenue and the demand curve shifts to the left. D. An increase in total revenue.

an increase in total revenue

Ollie, an employee of Payroll Management Corporation, is arrested at work. A grand jury issues a formal charge against Ollie for larceny. This charge is: a. an arraignment. b. an indictment. c. an information. d. an inquisition.

an indictment

Sonia manages a Tasty Pastry store for United Food Company. To manage the business, Sonia's authority can be implied by: a. an inference from the position Sonia occupies. b. any inference a reasonable customer or supplier would make. c. any inference Sonia chooses to make. d. no inference.

an inference from the position Sonia occupies

Mike is arrested at a warehouse in North Industrial Park. A government prosecutor issues a formal charge against Mike for receiving stolen property. This charge is: a. an arraignment. b. an indictment. c. an information. d. an inquisition.

an information

Fact pattern: Karen Parker wants to establish an environmental testing company that would specialize in evaluating the quality of water found in rivers and streams. However, Parker has discovered that she needs either certification or approval from five separate local and state governmental agencies before she can commence business. Also, the necessary equipment to begin costs several million dollars. Nevertheless, Parker believes that, if she is able to obtain capital resources, she can gain market share from the two major competitors. The market structure Karen Parker is attempting to enter is best described as A. A natural monopoly. B. A cartel. C. An oligopoly. D. Monopolistic competition.

an oligopoly

Congress enacts the Tight Money Act (TMA) of 2006 to ban "major business entities" from making political contributions that individuals can make. A court would likely hold the TMA to be: a. an unconstitutional restriction of speech. b. constitutional under the First Amendment. c. justified by the need to protect individual rights. d. necessary to protect state interests.

an unconstitutional restriction of speech

18) ________ is not part of an external audit. A) Analyzing competitors B) Analyzing financial ratios C) Analyzing available technologies D) Studying the political environment E) Analyzing social, cultural, demographic and geographic forces

analyzing financial ratios

8) An organization's vision statement A) is a constant reminder to its employees of why the organization exists. B) broadly charts the future direction of an organization. C) addresses the basic question: "What is our business?" D) answers the question: "What do we want to become?" E) none of the above

answers the question what do we want to become

Outstanding stock represents shares of stock that ________. A) are held by the stockholders B) give the owners certain advantages C) have been authorized by state law D) have been issued but may or may not be held by stockholders

are held by the stockholders

As compared to high self-monitors, low self-monitors ________. A) tend to be more mobile in their careers B) pay closer attention to the behavior of others C) receive better performance ratings D) are less likely to emerge as leaders E) show less commitment to their organizations

are less likely to emerge as leaders

Notes receivable ________. A) represent an oral promise to pay a fixed amount of principal plus interest on the maturity date B) are included in a miscellaneous category called other receivables C) are due within 12 months or within the normal operating cycle if the cycle is longer than a year are considered long-term assets D) are supported by a promissory note

are supported by a promissory note

Colorado Company uses the indirect method to prepare the statement of cash flows. Refer to the following section of the comparative balance sheet: Colorado Company Comparative Balance Sheet December 31, 2019 and 2018 2019 2018 Increase/(Decrease) Accounts Payable $4,000 $6,000 $(2,000) Accrued Liabilities 2,000 1,000 1,000 Long-term Notes Payable 84,000 90,000 (6,000) Total Liabilities $90,000 $97,000 $(7,000) How will the change in Accrued Liabilities be shown on the statement of cash flows? A) as an addition to Net Income B) as a deduction from Net Income C) as a deduction from operating cash flows D) as an addition to investing cash flows

as an addition to Net Income

A privately owned subchapter S corporation increases its inventory of paper towels held for sale by 35% this year. How will this be reflected in the GDP calculation? A. As a reduction of personal consumption expenditure. B. As an increase in gross private domestic investment. C. As a government transfer payment. D. As an increase in net exports.

as an increase in gross private domestic investment

For Office Supplies, the category of account and its normal balance is ________. A) liabilities and a debit balance B) assets and a debit balance C) liabilities and a credit balance D) assets and a credit balance

assets and a debit balance

Newton Corporation settles a liability by making a payment in cash. How does paying this liability affect the accounting equation of the business? A) Assets and liabilities decrease. B) Liabilities decrease and equity increases. C) Assets and liabilities increase. D) Assets increase and equity decreases.

assets and liabilities decrease

When a stockholder contributes land to a corporation in exchange for stock, ________. A) liabilities and stockholders' equity are increased B) assets and stockholders' equity are increased C) one asset is increased and another asset is decreased D) assets and liabilities are increased

assets and stockholders' equity are increased

Country Homes Corporation just recorded a transaction in its books. If this transaction increased the total liabilities by $10,000, then ________. A) assets must increase, or equity must decrease by $10,000 B) either assets or equity must decrease by $10,000 C) both assets and equity must each decrease by $5,000 D) assets must decrease by $10,000

assets must increase, or equity must decrease by $10,000

Mrs. Jonas believes strongly that it is important that worker's rights be respected, and that one of the more important ways of doing this is to ensure that all workers be properly documented. She is supervising a contracting company that is building a new warehouse for her company. While doing this she discovers that many of the workers employed by the contractor are undocumented aliens working for well below minimum wage. In this situation Mrs. Jonas has a(n) ________ that is in conflict with a(n) ________. A) behavior; behavior B) attitude; attitude C) social need; social interest D) social need; social need E) attitude; behavior

attitude, behavior

Leon Festinger argued that ________ follow(s) ________. A) behavior; job satisfaction B) behavior; attitude C) attitudes; behavior D) attitudes; job satisfaction E) job satisfaction; behavior

attitudes, behavior

There is a strong link between employee ________ and ________. A) attitudes; skill set B) attitudes; personality C) personality; ability D) ability, attitudes E) ability, skill set

attitudes; personality

Clive is a purchasing agent for Double D Ranch with the authority to buy cattle at a certain auction. After the cattle are bought, the agency relationship terminates: a. automatically. b. following notice to all actual cattle sellers. c. following notice to all potential cattle sellers. d. following published notice in a local newspaper.

automatically

Which of the following conflict-handling intentions is unassertive and uncooperative? A) competing B) collaborating C) avoiding D) compromising E) accommodating

avoiding

If inputs increase by 6% and outputs increase by 24%, what is the percentage productivity increase? a) 400.00% b) 16.98% c) 0.25% d) 4.00% e) 18.00%

b) 16.98%

Who wrote The Wealth of Nations in 1776, describing division of labor? a) James Watt b) Adam Smith c) Eli Whitney d) Henry Ford e) Frederick Taylor

b) Adam Smith

Warranty claims, customer complaints, and costs of litigation are examples of __________ costs. a) Internal failure b) External failure c) Appraisal d) Prevention e) Replacement

b) External failure

Which of the following is more like a product layout as compared to a process layout? a) Resources used are general purpose. b) Facilities are more capital intensive. c) Processing rates are slower. d) Space requirements for inventory storage are higher. e) Scheduling resources is more challenging.

b) Facilities are more capital intensive.

49. The Wall Street Journal recently published an article indicating differences in perception of sexual harassment on the job between men and women. The article claimed that women perceived the problem to be much more prevalent than did men. One question asked of both men and women was: "Do you think sexual harassment is a major problem in the American workplace?" 24% of the men compared to 62% of the women responded "Yes." Assuming W designates women's responses and M designates men's, what hypothesis should The Wall Street Journal test in order to show that its claim is true? a) H0: W M 0 versus H1: W M < 0 b) H0: W M 0 versus H1: W M > 0 c) H0: W M = 0 versus H1: W M 0 d) H0: W M 0 versus H1: W M = 0

b) H0: W M 0 versus H1: W M > 0

Where is the Deming prize awarded? a) U.S. b) Japan c) England d) Germany e) Canada

b) Japan

The Japanese term for continuous improvement is a) Poka-yoke b) Kaizen c) Kanban d) Muda e) Automation

b) Kaizen

__________ analysis is a technique used to identify quality problems based on their degree of importance. a) Deming b) Pareto c) Davis d) Crosby e) Juran

b) Pareto

In a periodic review inventory system, how many units are ordered? a) Target inventory level b) Target inventory level - on hand balance c) Max inventory level - min inventory level d) The EOQ e) Average demand during review period + average demand during lead time

b) Target inventory level - on hand balance

The important thing in Quality Function Deployment competitive evaluation is a) To evaluate the financial strength of competitors b) To identify customer requirements that should be pursued and how we fare relative to our competitors c) Speed of introduction d) The number of competitors e) Knowing our product well

b) To identify customer requirements that should be pursued and how we fare relative to our competitors

The objective of quality at the source is not only to identify a quality problem, but also to a) Determine its extent b) Uncover its root cause c) Rate its seriousness d) Place blame e) Categorize it

b) Uncover its root cause

The first military use of management science was solving complex problems of logistics control, weapons system design, and deployment of missiles during _____________________. a) World War I b) World War II c) The Korean War d) The Vietnam War e) Operation Desert Storm

b) World War II

Which of the following is not primarily performed by the operation management function? a) job design and work measurement b) advertising strategy c) location analysis d) quality management e) facility layout

b) advertising strategy

Percentage of orders shipped on schedule is a good measure of finished goods customer service if: a) all orders and customers have similar cost impacts. b) all orders and customers have similar value. c) all orders and customers have similar backorder requirements. d) later deliveries are not considered. e) late deliveries contribute to the overall demand.

b) all orders and customers have similar value.

If the third stage of a repetitive line process cannot complete its activities as fast as stage one or two it has become a: a) key work location b) bottle neck c) place not to work d) project process location e) none of these

b) bottle neck

What technique is based on computing the quantity of goods a company needs to sell to just cover its costs? a) net present value b) break-even analysis c) internal rate of return d) activity based costing e) variable costing

b) break-even analysis

When using SPC if you plot the variable of interest against a timeline you are using a) scatter diagrams b) control charts c) fishbone diagrams d) pareto charts e) flow charts

b) control charts

Decisions regarding which of the following are not part of the production process infrastructure? a) organization of workers b) facilities c) worker pay d) quality control measures e) management policies

b) facilities

A recent change in supply chain management has been the: a) need for faster computers. b) green supply chain management requirement. c) requirement for advanced educational degrees. d) increased government regulation. e) need for smaller ocean transportation methods.

b) green supply chain management requirement.

What movement started with the publication of the results of the Hawthorne studies? a) scientific management b) human relations c) management science d) marketing research e) operations management

b) human relations

When does productivity increase? a) inputs increase while outputs remain the same b) inputs decrease while outputs remain the same c) outputs decrease while inputs remain the same d) inputs and outputs increase proportionally e) none of the above

b) inputs decrease while outputs remain the same

Which of the following operations management concepts did not evolve from scientific management? a) moving assembly lines b) interchangeable parts c) stopwatch time studies d) piece rate incentives e) setting time standards for task performance

b) interchangeable parts

What outsourcing functions does UPS provide for clients? a) accounting and inventories b) inventories and deliveries c) accounting and deliveries d) accounting and maintenance e) deliveries and maintenance

b) inventories and deliveries

Leveraging core competence is about sharing: a) workers b) knowledge c) machines d) expenses e) financial hedges

b) knowledge

Which product and service strategy is typically seen in repetitive operations? a) assemble-to-deliver b) make-to-stock c) assemble-to-order d) make-to-order e) make-to-package

b) make-to-stock

Which of the following is not a fixed cost? a) land rent b) materials c) overhead d) taxes e) insurance

b) materials

Which of the following is not typically considered to be a core competency? a) workforce b) mission c) market understanding d) technology e) facilities

b) mission

Which of the following is true regarding the relative predictability of the cycle of new product introductions? a) new car models are predictable, but new fashion and new skin care products are not b) new car models and new fashion are predictable, but new skin care products are not c) new car models, new fashion, and new skin care products are all predictable d) new car models, new fashion, and new skin care products are all unpredictable e) new fashion and new skin care products are predictable, but new car models are not

b) new car models and new fashion are predictable, but new skin care products are not

Which of the following is correct sequence for relating product design, process selection, and arrangement of equipment in the factory? a) product design determines arrangement of equipment which determines process selection b) product design determines process selection which determines arrangement of equipment c) process selection determines product design which determines arrangement of equipment d) process selection determines arrangement of equipment which determines product design e) arrangement of equipment determines process selection which determines product design

b) product design determines process selection which determines arrangement of equipment

What are companies that have low customer contact and are capital intensive; yet provide a service, called? a) pseudo-manufacturing organizations b) quasi-manufacturing organizations c) hierarchical manufacturing organizations d) service factories e) servifacturing organizations

b) quasi-manufacturing organizations

Which of the following would not be a basic element into which a job would be split when using predetermined time data? a) reach b) sort c) grasp d) insert e) turn

b) sort

Which of the following is not true with respect to strategic and tactical decisions? a tactical decisions focus on more specific day-to-day decisions b) tactical decisions determine the direction for strategic decisions c) tactical decisions provide feedback to strategic decisions d) tactical decisions are made more frequently and routinely e) tactical decisions must be aligned with strategic decisions

b) tactical decisions determine the direction for strategic decisions

Environmental scanning would not provide information on: a) sources of highly trained workers b) the firm's internal inefficient distribution system c) opportunities and threats d) changes in information technology e) changes in global competition

b) the firm's internal inefficient distribution system

Online retailing, or B2C, has shifted: a) the cost of doing business. b) the power from the suppliers to the consumers. c) the way the internet works. d) internal corporate power to the IT department. e) corporate funding levels to the IT department.

b) the power from the suppliers to the consumers.

__________ factors are the most popular bases for segmenting customer groups. a. Geographic b. Demographic c. Psychographic d. Behavioral

b. Demographic

The study of human populations in terms of size, density, location, age, gender, race, occupation, and other statistics is called: a. Geothermy. b. Demography. c. Ethnography. d. Hemos-popography.

b. Demography.

____________________________ is the practice of adopting policies and developing strategies that both sustain the environment and produce profits for the company. a. Environmentalism b. Environmental sustainability c. Consumerism d. Consumer accountability

b. Environmental sustainability

Rolls Royce uses which of the following distribution formats? a. Intensive distribution b. Exclusive distribution c. Selective distribution d. Open distribution

b. Exclusive distribution

Which of the following is not a type of input device? a. Digital scanner b. Flat panel (LCD) display screen c. Trackball d. Keyboard e. Sensor

b. Flat panel (LCD) display screen

The fact that services are sold, produced, and consumed at the same time refers to which of the following service characteristics? a. Intangibility b. Inseparability c. Variability d. Perishability

b. Inseparability

Which of the following statements is not true about cloud computing? a. It is the fastest-growing form of computing. b. It removes the concern about data and systems security for businesses. c. It allows smaller firms to use resources previously unaffordable. d. It relies on the Internet as the platform for delivering services to users. e. Charges for cloud resources are based on resources actually used.

b. It removes the concern about data and systems security for businesses.

___________________ consists of dividing a market into distinct groups of buyers on the basis of needs, characteristics, or behavior who might require separate products or marketing mixes. a. Product differentiation b. Market segmentation c. Market targeting d. Market positioning

b. Market segmentation

________ are designed to have a generalized capability to learn. a. Knowledge-based systems b. Neural networks c. Fuzzy logic systems d. Expert systems e. Genetic algorithms

b. Neural networks

________ are ads that appear while subscribers are surfing online services or Web sites, including banners, pop-up windows, "tickers," and "roadblocks." a. Online infomercials b. Online ads c. Online broadcasts d. Online bullets

b. Online ads

Which of the following promotional budget methods wrongly views sales as the cause of promotion rather than as the result? a. Affordable method b. Percentage-of-Sales method c. Competitive-parity method d. Objective-and-task method

b. Percentage-of-Sales method

___________ is a person's distinguishing psychological characteristics that lead to relatively consistent and lasting responses to his or her own environment. a. Psychographics b. Personality c. Demographics d. Lifestyle

b. Personality

Setting call objectives is done during which of the following stages of the selling process? a. Prospecting b. Pre approach c. Approach d. Handling objections

b. Pre approach

____________ is the step in the selling process in which the salesperson learns as much as possible about a prospective customer before making a sales call. a. Prospecting b. Pre approach c. Approach d. Handling objections

b. Pre approach

________ is quoted as saying that "everyone lives by selling something. a. Bill Gates b. Robert Louis Stevenson c. Arthur Miller d. Henry Ford

b. Robert Louis Stevenson

All of the following are tools or technologies for extracting information from unstructured data sets except: a. sentiment analysis software b. SQL queries c. Hadoop d. a non-relational DBMS e. text mining

b. SQL queries

3M runs a Pollution Prevention Pays program that has led to a substantial reduction in pollution and costs. This would be an example of responding to which of the following? a. Nader's raiders. b. The "green movement." c. Governmental regulation. d. International competition.

b. The "green movement."

Which of the following statements about client/server computing is not true? a. The client provides the user interface. b. The bulk of processing occurs on the client. c. Computing on the Internet is based on the client/server model. d. The client is normally a desktop or laptop computer. e. The server provides security, remote access, and user authentication.

b. The bulk of processing occurs on the client.

What is the foundation technology for web services? a. HTML b. XML c. SOAP d. UDDI e. Java

b. XML

A KPI is: a. an industry standard for measuring performance along a given dimension. b. a measure proposed by senior management. c. an alternative to the balanced scorecard method. d. an analytic technique for measuring financial performance. e. a measurement of knowledge performance.

b. a measure proposed by senior management.

Traditionally, companies have defined their businesses in product terms or in technological terms. However, mission statements should be all of the following EXCEPT : a. market oriented. b. a statement of religion. c. motivating. d. based on distinctive competencies.

b. a statement of religion.

The goal of the marketing logistics system should be to provide: a. a targeted level of promotional support. b. a targeted level of customer service at the least cost. c. a targeted level of transportation expense ratio. d. a targeted level of field support.

b. a targeted level of customer service at the least cost.

The type of trade-promotion discount in which manufacturers agree to reduce the price to the retailer in exchange for the retailer's agreement to feature the manufacturer's products in some way is called a(n): a. discount. b. allowance. c. premium. d. rebate.

b. allowance.

Which of the following is NOT one of the five stages of the buyer decision process? a. need recognition b. brand identification c. information search d. purchase decision

b. brand identification

If your company were to make light bulbs to be used in photocopiers, you would most likely be selling to a ________ market. a. reseller b. business c. government d. service

b. business

When an international seller sells a plant, equipment, or technology to another country and agrees to take payment in the resulting products, it is called: a. barter. b. buy-back. c. counter purchase. d. like-value exchange.

b. buy-back.

More and more salespeople are being evaluated and compensated based on different measures than in the past. All of the following are illustrations of those measures EXCEPT : a. long-term customer satisfaction. b. competitive predatory pricing performance. c. full customer service. d. retention rates.

b. competitive predatory pricing performance.

In controlling network traffic to minimize slow-downs, a technology called ________ is used to examine data files and sort low-priority data from high-priority data. a. high availability computing b. deep packet inspection c. application proxy filtering d. stateful inspection e. unified threat management

b. deep packet inspection

In evaluating messages for advertising, telling how the product is better than the competing brands aims at making the ad: a. meaningful. b. distinctive. c. believable. d. remembered.

b. distinctive.

The use of multiple computers linked by a communications network for processing is called: a. grid computing b. distributed processing c. client/server computing d. centralized processing e. supercomputing

b. distributed processing

A "three-day cooling off period" in which buyers can cancel a contract after re-thinking it is to protect the consumer from: a. creative selling b. high pressure selling c. detail selling d. hard core selling

b. high pressure selling

The stage is the product life cycle that focuses on expanding market and creating product awareness and trial is the: a. decline stage. b. introduction stage. c. growth stage. d. maturity stage.

b. introduction stage.

A company faces several major decisions in international marketing. The first of these decisions is often: a. deciding whether to go international. b. looking at the global marketing environment. c. deciding which markets to enter. d. deciding how to enter markets.

b. looking at the global marketing environment.

All of the following are ways that marketing plays a key role in the company's strategic planning EXCEPT : a. marketing provides a guiding philosophy. b. marketing is the only discipline that can provide a formal structure for the planning effort. c. marketing provides inputs to strategic planners by helping to identify attractive market opportunities. d. within individual business units, marketing designs strategies for reaching the unit's objectives.

b. marketing is the only discipline that can provide a formal structure for the planning effort.

A company is practicing _______________ if it focuses on subsegments with distinctive traits that may seek a special combination of benefits. a. micromarketing b. niche marketing c. mass marketing d. segment marketing

b. niche marketing

All of the following would be ways to segment within the category of psychographic segmentation EXCEPT : a. social class. b. occupation. c. lifestyle. d. personality.

b. occupation.

A _______________ is the way consumers perceive an actual or potential product. a. product idea b. product image c. product concept d. product feature

b. product image

The ______________ holds that consumers will favor products that are available and highly affordable (therefore, work on improving production and distribution efficiency). a. product concept b. production concept c. production cost expansion concept d. marketing concept

b. production concept

All of the following are methods by which a company can divide up its sales responsibilities EXCEPT: a. territorial sales force structure. b. psychographic trait sales force structure. c. product sales force structure. d. customer sales force structure.

b. psychographic trait sales force structure.

Successful service companies focus their attention on both their customers and their employees. They understand which links service firm profits with employee and customer satisfaction. a. internal marketing b. service-profit chains c. interactive marketing d. service differentiation

b. service-profit chains

Consumer goods with unique characteristics or brand identification often requiring a special purchase effort are called: a. custom products. b. specialty products. c. convenience products. d. shopping products.

b. specialty products.

In terms of special product life cycles, a _______is a basic and distinctive mode of expression. a. genre b. style c. fashion d. fad

b. style

All of the following are commonly recognized promotion budget formats EXCEPT : a. the affordable method. b. the LIFO method. c. the percentage-of-sales method. d. the objective-and-task method.

b. the LIFO method.

All of the following factors can affect the attractiveness of a market segment EXCEPT : a. the presence of many strong and aggressive competitors. b. the likelihood of government monitoring. c. actual or potential substitute products. d. the power of buyers in the segment.

b. the likelihood of government monitoring.

In a multi-tiered network: a. the work of the entire network is centralized b. the work of the entire network is balanced over several levels of servers. c. processing is split between clients and servers. d. processing is handled by multiple, geographically remote clients. e. users interface with the server rather than the client.

b. the work of the entire network is balanced over several levels of servers.

The purpose of strategic planning is to find ways in which the company can best: a. overcome losses. b. use its strengths to take advantage of attractive opportunities in the environment. c. avoid paying taxes. d. avoid the expense of costly research and development while still getting the benefits.

b. use its strengths to take advantage of attractive opportunities in the environment.

Conflicts between different levels of the same channel of distribution are referred to as: a. horizontal conflicts. b. vertical conflicts. c. layer-based conflicts. d. parallel conflicts.

b. vertical conflicts.

In determining sales force size, when a company groups accounts into different size classes and then determines the number of salespeople needed to call on them the desired number of times, it is called the: a. key-size approach. b. work-load approach. c. product-need approach. d. call-service approach.

b. work-load approach.

6.How many scores in the distribution are used to compute the range? a. only 1 b. 2 c. 50% of them d. all of the scores

b.*2

12. A vertical line is drawn through a normal distribution at z = -1.00. How much of the distribution is located between the line and the mean? a. 15.87%b b. 34.13% c. 84.13% d. -15.87%

b.*34.13%

18. Which set of factors would produce the narrowest confidence interval for estimating a population mean? a. A large sample and a large percentage of confidence b. A large sample and a small percentage of confidence c. A small sample and a large percentage of confidence d. A small sample and a small percentage of confidence

b.*A large sample and a small percentage of confidence

30. What is the first step in the calculation of (ΣX)^2? a. Square each score. b. Add the scores. c. Subtract 2 points from each score. d. Add the X - 2 values.

b.*Add the scores.

8.A teacher gave a reading test to a class of 5th-grade students and computed the mean, median, and mode for the test scores. Which of the following statements cannot be an accurate description of the scores? a. The majority of the students had scores above the mean. b. The majority of the students had scores above the median. c. The majority of the students had scores above the mode. d. All of the other options are false statements.

b.*The majority of the students had scores above the median.

16. Which of the following is a fundamental difference between the t statistic and a z-score? a. The t statistic uses the sample mean in place of the population mean. b. The t statistic uses the sample variance in place of the population variance. c. The t statistic computes the standard error by dividing the standard deviation by n - 1 instead of dividing by n. d. All of the above are differences between t and z.

b.*The t statistic uses the sample variance in place of the population variance.

7.A distribution is positively skewed. Which is the most probable order for the three measures of central tendency? a. mean = 40, median = 50, mode = 60 b. mean = 60, median = 50, mode = 40 c. mean = 40, median = 60, mode = 50 d. mean = 50, median = 50, mode = 50

b.*mean = 60, median = 50, mode = 40

23. The data for a chi-square test for goodness of fit are called _________. a. observed proportions b. observed frequencies c. expected proportions d. expected frequencies

b.*observed frequencies

33. A set of scores is presented in a frequency distribution histogram. If the histogram shows a series of bars that tend to decrease in height from left to right, then what is the shape of the distribution? a. Symmetrical b. positively skewed c. negatively skewed d. normal

b.*positively skewed

24. The chi-square distribution is ______. a. symmetrical with a mean of zero b. positively skewed with all values greater than or equal to zero c. negatively skewed with all values greater than or equal to zero d. symmetrical with a mean equal to n - 1

b.*positively skewed with all values greater than or equal to zero

26. A researcher is interested in the sleeping habits of American college students. A group of 50 students is interviewed and the researcher finds that these students sleep an average of 6.7 hours per day. For this study, the average of 6.7 hours is an example of a(n) a. parameter b. statistic c. population d. sample

b.*statistic

4.Standard deviation is probably the most commonly used value to describe and measure variability. Which of the following accurately describes the concept of standard deviation? a. the average distance between one score and another b. the average distance between a score and the mean c. the total distance from the smallest score to the largest score d. one half of the total distance from the smallest score to the largest score

b.*the average distance between a score and the mean

24) If suppliers are unreliable or too costly, which of these strategies may be appropriate? A) Horizontal integration B) Backward integration C) Market penetration D) Forward integration E) Concentric diversification

backward integration

An organizational culture most likely to shape high ethical standards among its members is one that ________. A) is low in risk tolerance B) is high in aggressiveness C) focuses only on outcomes D) takes a short-term perspective E) balances the rights of multiple stakeholders

balances the rights of multiple stakeholders

The terms negotiation and ________ are used interchangeably. A) mediation B) bargaining C) collaboration D) accommodating E) arbitration

bargaining

22) What is not one of Michael Porter's five competitive forces? A) New entrants B) Rivalry among existing firms C) Bargaining power of unions D) Bargaining power of suppliers E) Bargaining power of buyers

bargaining pattern of unions

The predetermined overhead rate is calculated ________. A) after actual overhead costs have been determined B) at the end of the accounting period C) before the accounting period begins D) after indirect materials and labor have been used in production

before the accounting period begins

One of the major disadvantages of oral communication is that ________. A) people unintentionally change the message and meaning B) people intentionally change the message and meaning C) people can ask for immediate feedback D) both A and B E) both A and C

both A and B

Managers in a developing country would see which of the following as ethical responsibility? A) paying people "under the table" B) doing favors for family and friends C) giving the workers a share of the company D) both A and C E) both B and C

both B and C

Investment Holdings Corporation hires Jeri, a business appraiser, to locate investment possibilities for Investment Holdings. Jeri learns of a salsa and hot sauce manufacturing company available for a reasonable price, but neglects to tell Investment Holdings. Most likely, Jeri: a. breached the agent's fiduciary duties to the principal. b. did nothing wrong. c. failed to take advantage of a business opportunity. d. assumed that the information was confidential.

breached the agent's fiduciary duties to the principal

Which of the following would indicate that the economy is in an expansionary phase? A. Businesses increase capital investment. B. The economy's resources are underused. C. Potential national income will exceed actual national income. D. Building up of inventories is in excess of consumer demand.

businesses increase capital investment

If goods are sold on terms FOB shipping point, the ________. A) seller normally pays the transportation costs B) buyer normally pays the transportation costs C) buyer and the seller split the transportation costs D) shipping company bears the transportation cost

buyer normally pays the transportation costs

Irma files a civil suit against Jim. To succeed, Irma must prove her case a. beyond a reasonable doubt. b. by a preponderance of the evidence. c. by indisputable proof. d. within an iota of the truth

by a preponderance of the evidence

Darla serves in a representative capacity for Ellen. To accomplish the objectives of this relationship, Darla's authority can be implied: a. by contradiction. b. by custom. c. by any subjective measure. d. under no circumstances.

by custom

How can United States managers be culturally sensitive? A) by indulging in frequent discussions about religion B) by discussing politics frequently C) by listening more D) by speaking quickly E) by talking in a high tone of voice

by listening more

When were the Hawthorne Studies conducted? a) 1770s b) 1830s c) 1930s d) 1960s e) 1980s

c) 1930s

Raissa's Pizza parlor has an average monthly demand of 1200 pizzas. Statistically, each employee can produce 10 pizzas per hour. The parlor is open 20 days each month. How many employees must they need to meet the demand using a level aggregate plan? a) 4 b) 5 c) 6 d) 7 e) 8

c) 6

Which of the following is not a remedy for the bullwhip effect? a) Allocate units based on past demand b) Price stabilization c) Base forecasts on demand coming from the immediate downstream customer d) Eliminate order batching e) Information sharing

c) Base forecasts on demand coming from the immediate downstream customer

A __________ shows the frequency distribution of observed values of a variable. a) Scatter diagram b) Control chart c) Histogram d) Flow chart e) Process chart

c) Histogram

Which famous economist once suggested that, "The production problem has been solved."? a) John Nash b) Irving Fisher c) John Kenneth Galbraith d) Adam Smith e) John Maynard Keynes

c) John Kenneth Galbraith

The Malcolm Baldrige Award criteria include categories for all of the following except a) Leadership b) Process management c) Product design d) Customer and market focus e) Business results

c) Product design

The strength of the relationship between customer requirements and product characteristics is shown in the __________ matrix. a) Trade-off b) Product c) Relationship d) Strength e) Inverse

c) Relationship

With JIT there are two types of Kanban cards, production Kanban and __________ Kanban. a) Buffer b) Transaction c) Withdrawal d) Logistics e) Sales

c) Withdrawal

Consider a packaged milk products supply chain. A lumber company provides wood to a paper mill, who supplies cardboard to a container manufacturer, who supplies containers to the milk products manufacturer. The lumber company is: a) a tier one supplier. b) a tier two supplier. c) a tier three supplier. d) a tier four supplier. e) not in the supply chain.

c) a tier three supplier.

The challenge in process layouts is to arrange resources to maximize __________ and minimize ___________. a) movement, effectiveness b) effectiveness, efficiency c) efficiency, waste of movement d) efficiency, effectiveness e) efficiency, labor cost

c) efficiency, waste of movement

Highly-skilled hourly workers would be most needed by companies employing which of the following competitive priorities? a) location b) cost c) flexibility d) development speed e) time

c) flexibility

The first step in making a capacity planning decision is ______________________. a) evaluate capacity alternatives b) implementation c) identify capacity requirements d) develop capacity alternatives e) weight capacity objectives

c) identify capacity requirements

Information Technology does not assist the firm in: a) information storage b) information processing c) information creation d) intra firm information communication e) inter firm information communication

c) information creation

The broad view of JIT is now often termed __________________________. a) vendor-managed inventory b) business process reengineering c) lean production d) cycle time management e) e-distribution

c) lean production

What type of process is designed to produce a large volume of a standardized product for mass production, such as automobiles? a) project processes b) batch processes c) line processes d) continuous processes e) recycle processes

c) line processes

What is typically used to quantitatively compare the effectiveness of layouts? a) trial and error b) process control charts c) load-distance model d) mean absolute deviation (MAD) e) exponential smoothing

c) load-distance model

What term describes the process of obtaining goods or services from an outside provider? a) outproviding b) transferization c) outsourcing d) subsourcing e) supersourcing

c) outsourcing

A hospital is an example of which layout type? a) inverted b) hybrid c) process d) fixed position e) product

c) process

A university is an example of which layout type? a) inverted b) hybrid c) process d) fixed position e) product

c) process

When designing the Taurus model, what did Ford Motor Company do with regard to BMW and Toyota? a) benchmarking b) hired some of their employees c) reverse engineering d) copied their quality management techniques e) bought some of their dealerships

c) reverse engineering

According to JIT, workers should perform a) system specification development b) as directed by the supervisor c) routine preventive maintenance activities d) poka-yoke designs e) quality program development

c) routine preventive maintenance activities

When discussing the capacity of a facility, we need what two types of information? a) the amount of available capacity and the productivity of workers b) the speed of the machines and the availability of labor c) the amount of available capacity and the effectiveness of capacity use d) the investment in equipment and the availability of labor e) the investment in equipment and the number of workers

c) the amount of available capacity and the effectiveness of capacity use

1.A population has a mean of μ = 35 and a standard deviation of σ = 5. After 3 points are added to every score in the population, what are the new values for the mean and standard deviation? a. μ = 35 and σ = 5 b. μ = 35 and σ = 8 c. μ = 38 and σ = 5 d. μ = 38 and σ = 8

c. *μ = 38 and σ = 5

Catalog marketing is big business in the United States. The average household receives catalogs per year. a. 25 b. 50 c. 75 d. 100

c. 75

_______________ is a strategy of using a successful brand name to launch a new or modified product in a new category. a. Duo branding b. Line extension c. Brand extension d. Multi branding

c. Brand extension

When a company reviews sales, costs, and profit projections for a new product to find out whether these factors satisfy the company's objectives, they are in which of the following new process development stages? a. Concept development and testing. b. Commercialization. c. Business analysis. d. Marketing strategy development.

c. Business analysis.

The Internet is based on which three key technologies? a. TCP/IP, HTML, and HTTP b. TCP/IP, HTTP, and packet switching c. Client/server computing, packet switching, and the development of communications standards for linking networks and computers d. Client/server computing, packet switching, and HTTP e. Email, instant messaging, and newsgroups

c. Client/server computing, packet switching, and the development of communications standards for linking networks and computers

Setting the promotion budget so as to match the budgets of the competition is characteristic of which of the following budget methods? a. Affordable method b. Percentage-of-Sales method c. Competitive-parity method d. Objective-and-task method

c. Competitive-parity method

If advertising constantly sends out messages about materialism, sex, power, and status, which of the following categories of social criticism most closely matches this problem? a. Too much advertising. b. Too few social goods. c. Cultural pollution. d. Too much political power.

c. Cultural pollution.

150. Marketers are sometimes accused of deceptive practices that lead consumers to believe they will get more value than they actually do. includes practices such as falsely advertising "factory" or "wholesale" prices or a large price reduction from a phony high retail price. a. Deceptive promotion b. Deceptive packaging c. Deceptive pricing d. Deceptive cost structure

c. Deceptive pricing

The advantages of audience selectivity, no ad competition and personalization apply to which type of media? a. Newspapers b. Television c. Direct Mail d. Radio

c. Direct Mail

All of the following are intelligent agents that are able to respond to human voice commands with useful information in voice or written form except: a. Apple's Siri b. Microsoft's Cortana c. FaceBook's DeepFace d. Amazon's Alexa e. Google Now

c. FaceBook's DeepFace

______________ is screening new-product ideas in order to spot good ideas and drop poor ones as soon as possible. a. Idea generation b. Concept development and testing c. Idea screening d. Brainstorming

c. Idea screening

Which of the following is not an example of a computer used as a target of crime? a. Knowingly accessing a protected computer to commit fraud b. Accessing a computer system without authority c. Illegally accessing stored electronic communication d. Threatening to cause damage to a protected computer e. Breaching the confidentiality of protected computerized data

c. Illegally accessing stored electronic communication

__________________ are products bought by individuals and organizations for further processing or for use in conducting a business. a. Consumer products b. Services c. Industrial products d. Specialty products

c. Industrial products

___________________________________ is the concept under which a company carefully integrates and coordinates its many communications channels to deliver a clear, consistent, and compelling message about the organization and its products. a. The promotion mix b. Integrated international affairs c. Integrated marketing communications d. Integrated demand characteristics

c. Integrated marketing communications

A restaurant client has asked you to develop a system that would provide smartphone alerts about special discounts to potential customers in the vicinity. Which of the following tools will provide the solution? a. Genetic algorithms b. Neural Networks c. Location analytics d. Operational analytics e. Big Data Analytics

c. Location analytics

_________ is the process of evaluating each market segment's attractiveness and selecting one or more segments to enter. a. Mass marketing b. Market segmentation c. Market targeting d. Market positioning

c. Market targeting

______ has the advantage of being high in selectivity; low cost; immediacy; and interactive capabilities. a. Direct Mail b. Outdoor c. Online d. Radio

c. Online

According to the price/quality strategy matrix, when a company overprices its product in relation to its quality it is considered to be using which type of strategy? a. Good-value strategy. b. Premium strategy. c. Overcharging strategy. d. Snob strategy.

c. Overcharging strategy.

Which of the following is not a characteristic of packet switching? a. Packets travel independently of each other. b. Packets are routed through many different paths. c. Packet switching requires point-to-point circuits. d. Packets include data for checking transmission errors. e. Packets are reassembled into the original message when they reach their destinations.

c. Packet switching requires point-to-point circuits.

The choice between high markups and high volume is part of which of the following retailer marketing decisions? a. Target market decisions b. Product assortment and services decisions c. Pricing decisions d. Promotion decisions

c. Pricing decisions

_________ is setting the price steps between various products in a product line based on cost differences between the products, customer evaluations of different features, and competitors' prices. a. Optional-product pricing b. Captive-product pricing c. Product line pricing d. By-product pricing

c. Product line pricing

________ refers to the ability of a system to expand to serve a number of users without breaking down. a. Capacity planning b. Management future planning c. Scalability d. Guaranteed levels of service e. Service level agreements

c. Scalability

In 1985, the Coca-Cola Company made a classic marketing blunder with its deletion of its popular Coca-Cola product and introduction of what it called New Coke. Analysts now believe that most of the company's problems resulted from poor marketing research. As the public demanded their "old Coke" back, the company relented and reintroduced Coca-Cola Classic (which has regained and surpassed its former position) while New Coke owns only 0.1 percent of the market. Which of the following marketing research mistakes did Coca-Cola make? a. They did not investigate pricing correctly and priced the product too high. b. They did not investigate dealer reaction and had inadequate distribution. c. They defined their marketing research problem too narrowly. d. They failed to account for the Pepsi Challenge taste test in their marketing efforts.

c. They defined their marketing research problem too narrowly.

Regulations that arise to ensure that firms take responsibility for the social costs of their products or production processes stem from which reason for government legislation of business? a. To protect companies from each other. b. To protect consumers from unfair business practices. c. To protect the interests of society. d. To protect businesses from unfair consumer demands.

c. To protect the interests of society.

The toy manufacturer you work for wants to exchange data with a chain of toy stores in order to improve its distribution and speed to market. The toy stores use different software than your firm. Which of the following tools or technologies presents the best solution? a. Mashups b. Extranet c. Web Services d. Cloud computing e. Intranet

c. Web Services

If a consumer describes a car as being the "most economical car on the market," then this descriptor is a: a. rule. b. attitude. c. belief. d. cue.

c. belief.

All of the following are currently being used as traits that can be profiled by biometric authentication except: a. fingerprints b. facial characteristics c. body odor d. retinal images e. voice

c. body odor

A(n)________ is a name, term, sign, symbol, or design, or a combination of these that identifies the maker or seller of a product or service. a. product feature b. sponsorship c. brand d. logo

c. brand

The practice of going after a large share of a smaller market or subsets of a few markets is called: a. undifferentiated marketing. b. differentiated marketing. c. concentrated marketing. d. turbo marketing.

c. concentrated marketing.

Many U.S. firms have sought relief from foreign competition by demanding protectionism policies by the U.S. government. A better way for companies to compete is to expand into foreign markets and: a. lower prices. b. increase promotion both at home and abroad. c. continuously improve their products at home. d. join into cartels at home.

c. continuously improve their products at home.

Software that organizes, manages, and processes business data, such as data concerned with inventory, customers, and vendors, is called: a. system software b. application software c. data management software d. network software e. web services software

c. data management software

A set of interdependent organizations involved in the process of making a product or service available for use or consumption by the consumer or business user is called a(n): a. retailer. b. wholesaler. c. distribution channel. d. logistics.

c. distribution channel.

When personal interviewing involves inviting six to ten people to gather for a few hours with a trained interviewer to talk about a product, service, or organization, the method is called: a. selective sponsorship. b. probing. c. focus group interviewing. d. the Delphi method.

c. focus group interviewing.

A company's compensation plan should reflect its overall marketing strategy. For example, if the overall strategy is to grow rapidly and gain market share, the compensation plan should reward: a. loyalty and perseverance. b. spot selling and old product rejuvenation. c. high sales performance and encourage capturing new accounts. d. high pressure situations and competitive reaction.

c. high sales performance and encourage capturing new accounts.

All of the following are considered to be drawbacks of local marketing EXCEPT : a. it can drive up manufacturing and marketing costs by reducing economies of scale. b. it can create logistical problems when the company tries to meet varied requirements. c. it can attract unwanted competition. d. it can dilute the brand's overall image.

c. it can attract unwanted competition.

The total number of items that the company carries within its product lines refers to the of the product mix. a. width b. depth c. length d. consistency

c. length

Software applications that combine different components of online software applications are referred to as: a. integrated software b. widgets c. mashups d. grid computing e. web services

c. mashups

The type of sales presentation approach that requires good listening and problem-solving skills is the: a. canned approach. b. formula approach. c. need-satisfaction approach. d. critical-thinking approach.

c. need-satisfaction approach.

The orange juice manufacturers know that orange juice is most often consumed in the mornings. However, they would like to change this and make the drink acceptable during other time periods during the day. Which form of segmentation would they need to work with and establish strategy reflective of their desires? a. gender segmentation b. benefit segmentation c. occasion segmentation d. age and life-cycle segmentation

c. occasion segmentation

The ______________ is a person within a reference group who, because of special skills, knowledge, personality, or other characteristics, exerts influence on others. a. facilitator b. referent actor c. opinion leader d. social role player

c. opinion leader

A manufacturer has four sponsorship options. A _____________ is a brand created and owned by a reseller of a product or service. a. licensed brand b. manufacturer's brand c. private brand d. co-brand

c. private brand

If Toyota describes one of its cars of the future as being "a moderately priced subcompact designed as a second family car to be used around town; the car is ideal for running errands and visiting friends," then the company has just stated a potential new product in terms of a(n): a. product idea b. product image c. product concept d. product feature

c. product concept

Anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need is called a(n): a. idea. b. demand. c. product. d. service.

c. product.

When a marketing research organization chooses a segment of the population that represents the population as a whole, they have chosen a a. group b. bi-variant population c. sample d. market target

c. sample

Yahoo, Info seek, and Excite are all called: a. browsers. b. Webcasters. c. search engines. d. software.

c. search engines.

In a relational database, the three basic operations used to develop useful sets of data are: a. select, project, and where. b. select, join, and where. c. select, project, and join. d. select, from, and join. e. who, what, and where.

c. select, project, and join.

A(n) ______________ is a retail store that carries a narrow product line with a deep assortment within that line. a. shopping goods store b. convenience store c. specialty store d. department store

c. specialty store

According to Engel's law, as income rises: a. the percentage spent on food rises. b. the percentage spent on housing increases. c. the percentage spent on other categories increases. d. the percentage spent on savings remains constant.

c. the percentage spent on other categories increases.

An authentication system in which a user must provide two types of identification, such as a bank card and PIN, is called: a. smart card authentication. b. biometric authentication. c. two-factor authentication. d. symmetric key authorization. e. token authentication

c. two-factor authentication.

The Wheeler-Lea Act gives the Federal Trade Commission the power to regulate: a. interstate commerce. b. marketing ethics. c. unfair and deceptive acts or practices. d. competitive advertising of objective product benefits.

c. unfair and deceptive acts or practices.

The American Marketing Association suggests a list of code of ethics. All of the following are ethics suggested in the area of distribution EXCEPT : a. not manipulating the availability of a product for purpose of exploitation. b. not using coercion in the marketing channel. c. using gray marketers whenever possible to save the consumer money. d. not exerting undue influence over the reseller's choice to handle a product.

c. using gray marketers whenever possible to save the consumer money.

27. In a correlational study, how many variables are measured for each individual and how many groups of scores are obtained? a. 1 variable and 1 group b. 1 variable and 2 groups c. 2 variables and 1 group d. 2 variables and 2 groups

c.*2 variables and 1 group

19. The results of a hypothesis test are reported as follows: "t(20) = 2.70, p , .05." Based on this report, how many individuals were in the sample? a. 19 b. 20 c. 21 d. cannot be determined from the information provided

c.*21

31. In a grouped frequency distribution one interval is listed as 20-24. Assuming that the scores are measuring a continuous variable, what is the width of this interval? a. 3 points b. 4 points c. 5 points d. 44 points

c.*5 points

35. What is the median for the following set of scores: Scores: 3, 4, 6, 8, 9, 10, 11 a. 7 b. 7.5 c. 8 d. 8.5

c.*8

2.What is meant by a biased statistic? a. The average value for the statistic overestimates the corresponding population parameter. b. The average value for the statistic underestimates the corresponding population parameter. c. The average value for the statistic either overestimates or underestimates the corresponding population parameter. d. The average value for the statistic is exactly equal to the corresponding population parameter.

c.*The average value for the statistic either overestimates or underestimates the corresponding population parameter.

25. Which of the following is not an example of binomial data? Classifying college students according to a. gender: male, female b. age: 21 or younger, older than 21 c. college class: freshman, sophomore, junior, senior d. registered voter: yes, no

c.*college class: freshman, sophomore, junior, senior

Carol files a suit against Andy in a state trial court and loses. Carol: a. cannot take her case any higher in the court system. b. can insist that the United States Supreme Court hear her case. c. can plead her case before an appellate court. d. can plead her case before a small claims court.

can plead her case before an appellate court

A government is most likely to reduce taxes on investments when A. The real exchange rate is expected to be unusually high. B. Inflation is expected to be unusually low. C. The gross domestic product is expected to be unusually high. D. Capital spending is expected to be unusually low.

capital spending is expected to be unusually low

Montgomery Equipment Rental Company received $1,000 cash from a customer; the amount was owed to the business from the previous month. What is the effect of this transaction on the accounting equation? A) Accounts Receivable increases and Service Revenue increases. B) Cash increases and Accounts Receivable decreases. C) Cash increases and Service Revenue increases. D) Cash increases and Accounts Payable decreases.

cash increases and accounts receivable increases

Driving his sport utility vehicle negligently, Bart crashes into a streetlight. The streetlight falls, smashing through the roof of a house, killing Chris. But for Bart's negligence, Chris would not have died. Regarding the death, the crash is the: a. cause in fact. b. intervening cause. c. proximate cause. d. superseding cause.

cause in fact

________ refers to the degree to which decision making is concentrated at a single point in the organization. A) Formalization B) Departmentalization C) Centralization D) Work specialization E) Line of command

centralization

When compared with firms in perfectly competitive markets, monopolists ordinarily A. Use more advertising to increase sales. B. Charge a higher price and produce a higher rate of output. C. Use more capital and less labor to avoid problems with workers. D. Charge a higher price and produce a lower rate of output.

charge a higher price and produce a lower rate of output

Managerial accounting includes the planning function. Which of the following items would be part of the planning function of a business's managerial accounting? A) comparing actual to expected results B) choosing goals and deciding how to achieve them C) monitoring operations to keep the company on track D) monitoring and evaluating the results of operations

choosing goals and deciding how to achieve them

The entries that transfer the revenue, expense, and dividends balances to the Retained Earnings account to prepare the company's books for the next period are called ________ entries. A) closing B) opening C) adjusting D) end of period

closing

Sandy, a businessperson, is convicted of Racketeer Influenced and Corrupt Organizations Act (RICO) of 1970 offenses. Sandy's penalties may include: a. closing her business but not forfeiting its assets or selling it. b. forfeiting business assets but not closing or selling the business. c. selling her business but not closing it or forfeiting its assets. d. closing her business, forfeiting its assets, or selling it.

closing her business, forfeiting its asssets, or selling it

The belief that "violence is wrong" is an evaluative statement. Such an opinion constitutes the ________ component of an attitude. A) cognitive B) affective C) reflective D) behavioral E) reactive

cognitive

Which of the following pricing policies results in establishment of a price to external customers higher than the competitive price for a given industry? A. Collusive pricing. B. Dual pricing. C. Predatory pricing. D. Transfer pricing.

collusive pricing

48) The BCG Matrix is designed specifically to enhance which type of firm's efforts to formulate strategies? A) Companies with more than one division B) Large companies C) Companies with annual sales greater than $1 million D) Companies with annual sales of less than $1 million E) All companies

companies with more than one division

The primary purpose of the consumer price index (CPI) is to A. Establish a cost-of-living index. B. Identify the strength of an economic recovery. C. Help determine the Federal Reserve Bank's discount rate. D. Compare relative price changes over time.

compare relative price changes over time

Which of the following best describes horizontal analysis? A) comparing financial statement line items from year to year for the same company B) expressing each financial statement amount as a percentage of a budgeted amount C) comparing a company's financial statements with other companies D) calculating key ratios to evaluate performance

comparing financial statement line items from year to year for the same company

Goal-setting theory and self-efficacy theory do not ________. A) address employee behavior B) compete with one another C) work toward improving motivation D) both A and C E) both B and C

compete with one another

5) Anything that a firm does especially well compared to rival firms is referred to as A) competitive advantage. B) comparative advantage. C) opportunity cost. D) sustainable advantage. E) an external opportunity.

competitive advantage

21) A systematic and ethical process for gathering and analyzing information about the competition's activities and general trends to further a business's own goals is called A) unethical business practice. B) artificial intelligence. C) competitive intelligence .D) information sharing. E) competitive advantage.

competitive intellegence

Tennis rackets and tennis balls are A. Substitute goods. B. Independent goods. C. Inferior goods. D. Complementary goods.

complementary goods

Business Travelers Hotel Corporation hires Conrad, a real estate agent, to locate hotel properties for the company. Conrad learns of a hotel available for $3.2 million, informs Business Travelers, and makes an offer of $2.9 million on Business Travelers's instruction. The offer is rejected. Conrad: a. breached the agent's fiduciary duties to the principal. b. complied with all of the agent's duties to the principal. c. failed to exercise the degree of skill required of an agent. d. did not act strictly for the benefit of the principal.

complied with all of the agent's duties to the principal

Which of the following conflict-handling intentions involves accepting a solution that provides incomplete satisfaction of both parties' concerns? A) collaborating B) compromising C) avoiding D) competing E) accommodating

compromising

Jo files a suit against Lara in a Missouri state court. Lara's only connection to Missouri is an ad on the Web originating in Nebraska. For Missouri to exercise jurisdiction, the issue is whether Lara, through her ad, has: a. a commercial cyber presence in Missouri. b. conducted substantial business with Missouri residents. c. general maximum contact with Missouri. d. solicited virtual business in Missouri.

conducted substantial business with Missouri residents

The primary mechanism of monetary control of the Federal Reserve System is A. Changing the discount rate. B. Conducting open market operations. C. Changing reserve requirements. D. Using moral persuasion.

conducting open market operations

How can the gaps between what managers think employees feel and what employees really feel be reduced? A) conducting regular surveys B) enforcing administrative policies C) improving work place conditions D) providing incentives E) training employees

conducting regular surveys

People scoring high on ________ are valuable in teams because they're good at backing up fellow team members and at sensing when that support is truly needed. A) conscientiousness B) positivity C) emotional stability D) agreeableness E) openness to experience

conscientiousness

Marylyn is a very driven person who seeks to push ideas forward to keep people on their toes; however, she also has a problem with stepping on peoples toes and being overly critical of others. Marylyn probably has high ________ and low ________. A) emotional stability; agreeableness B) openness to experience; agreeableness C) conscientiousness; emotional stability D) conscientiousness; openness to experience E) agreeableness; emotional stability

conscientiousness; emotional stability

27) All of the following are basic duties of a manager except: A) staffing. B) planning. C) consolidating. D) organizing. E) motivating.

consolidating

The measurement of inflation that is a calculation based on a monthly pricing of items on a typical household shopping list is the A. Consumer price index. B. Wholesale price index. C. GDP deflator. D. Demand-pull index.

consumer price index

Which of the following concepts compares the price of goods in a given year to a base year? A. Consumer price index. B. Consumer confidence index. C. Gross national product. D. Net national product.

consumer price index

Which of the following indicators is used by the federal government to measure inflation? A. Dow Jones index. B. Consumer price index. C. Consumer confidence index. D. Corporate profits.

consumer price index

Raymond is completing a study on discrimination in which he has noted that saleswomen who wear skirt suits make more sales than saleswomen who only wear pant suits. However, Raymond determined that his findings only pertained to those industries in which the purchasing decision maker is traditionally masculine. For example, the sales results were the same for all women selling to medical office managers, a female dominated field. Raymond used ________ variables to more accurately explain his results. A) global B) general C) dependent D) non-reactive E) contingency

contingency

10) Long-term objectives should be all of the following except A) measurable. B) continually changing. C) reasonable. D) challenging. E) consistent.

continually changing

Mr. Johnson is hired as a consultant to a firm in a perfectly competitive industry. At the current output level, the price is $60, the average variable cost is $50, average total cost is $75, and the marginal cost is $70. In order to maximize profits in the short-run, Mr. Smith will recommend that the firm should A. Continue to operate. B. Shut down. C. Raise the price of its product. D. Reduce the size of its plant to lower fixed costs.

continue to operate

In the short run, a purely competitive firm operating at a loss will A. Shut down. B. Continue to operate as long as price exceeds average variable costs. C. Raise the price of its product. D. Reduce the size of its plant to lower fixed costs.

continue to operate as long as price exceeds average variable costs

29) Which function of management includes all of those activities undertaken to ensure actual operations conform to planned operations? A) Planning B) Organizing C) Motivating D) Staffing E) Controlling

controlling

The direct labor costs and manufacturing overhead costs required to produce finished goods from raw materials are called ________. A) transferred in costs B) cost of sales C) finished goods costs D) conversion costs

conversion costs

Which of the following represents the combined sum of direct labor costs and manufacturing overhead costs? A) conversion costs B) period costs C) prime costs D) fixed costs

conversion costs

Mace copies Nick's book, Off the Road, in its entirety and sells it to Parkland Books, Inc., without Nick's permission. Parkland publishes it under Mace's name. This is: a. copyright infringement. b. fair use. c. licensing. d. protected expression.

copyright infringement

Each of the following is a pair of substitute resources except A. Automobile assembly workers and robots. B. Data entry clerks and optical scanners. C. Colombian coffee beans and Nigerian coffee beans. D. Court bailiffs and judges.

court bailiffs and judges

The basis for India to give effect to the laws and court decisions of the United States is primarily: a. courtesy and respect. b. fear and intimidation. c. admiration and envy. d. payments of cash and exchanges of property.

courtesy and respect

Price ceilings A. Are illustrated by government price support programs in agriculture. B. Create prices greater than equilibrium prices. C. Create prices below equilibrium prices. D. Result in persistent surpluses.

create prices below equilibrium prices

Research has indicated that in gender-diverse groups, strong politically correct norms increase group ________. A) dissention B) citizenship behaviors C) turnover D) creativity E) expectations

creativity

Martinville, Inc. earned revenues of $18,000 and incurred expenses of $4,000. The company declared and paid cash dividends of $3,500. What is the balance in the Income Summary account prior to closing net income or loss to the Retained Earnings account? A) debit balance of $14,000 B) debit balance of $10,500 C) credit balance of $14,000 D) credit balance of $18,000

credit balance of $14,000

Salaries Payable, Accounts Payable, and Unearned Revenue are examples of ________. A) short-term investments B) fixed assets C) current liabilities D) long-term liabilities

current liabilities

Don sends e-mail to Eve, promising her a percentage of the amount in a foreign bank account if she will assist in transferring the funds to a U.S. bank account. Eve forwards her account number, but the funds are never sent. Instead, Don quickly withdraws the funds in Eve's account. This is: a. hacking. b. identity theft. c. phishing. d. cyber fraud.

cyber-fraud

When was the first mathematical model for inventory management developed? a) 1770 b) 1865 c) 1900 d) 1913 e) 1930

d) 1913

In six-sigma the level of defects is reduced to approximately a) 0 b) 1.4 parts per million c) 2.4 parts per million d) 3.4 parts per million e) 4.4 parts per million

d) 3.4 parts per million

41. If the telecommunication company sold $10,000,000 of internet service using $50,000 of labor, $25,000 of leased bandwidth, $45,000 service fees, and $80,000 or replacement parts, what is the telecommunication multifactor productivity? a) 35 b) 40 c) 45 d) 50 e) 55

d) 50

What percentage of total non-farm jobs in the U.S. economy comes from service-producing industries? a) 20% b) 50% c) 60% d) 80% e) 95%

d) 80%

61. Assuming that data exhibit a normal distribution, control limits set at 3 standard deviations from the mean capture how much common variation? a) 50.00% b) 80.00% c) 95.44% d) 99.74% e) 99.99%

d) 99.74%

A quality circle is a) An approach for the use of control charts b) An award for quality improvements c) An inspection stamp found on meat d) A team of volunteer production employees and their supervisors who meet regularly to solve quality problems e) A symbol used on flow charts

d) A team of volunteer production employees and their supervisors who meet regularly to solve quality problems

Who created "scientific management?" a) James Watt b) Adam Smith c) Eli Whitney d) Frederick W. Taylor e) Henry Ford

d) Frederick W. Taylor

Where was the just-in-time philosophy developed? a) Germany b) United States c) Canada d) Japan e) Italy

d) Japan

In 1997, who performed a large benchmarking study for IBM? a) Boston Consulting Group b) Anderson Consulting c) i2 Technologies d) Mercer Management Consultants e) Manugistics

d) Mercer Management Consultants

Which of the following is not one of the four major causes of the bullwhip effect? a) Demand forecast updating b) Order batching c) Price fluctuations d) The business cycle e) Rationing and shortage gaming

d) The business cycle

According to the financial calculations of the make-or-buy decision, if we need fewer units than the indifference point, then which option should we definitely choose? a) Make b) Buy c) The option with the lower variable costs d) The option with the higher variable costs

d) The option with the higher variable costs

Which company is widely considered to be the leader of just-in-time production? a) Ford b) Timex c) Gateway d) Toyota e) Sony

d) Toyota

Reverse engineering is: a) altering the basic design based on user input. b) reengineering a failing product. c) acquiring a competitor's product and relabeling it for sale. d) acquiring a competitor's product and studying its design features. e) changing your mind on the previous design.

d) acquiring a competitor's product and studying its design features.

Which of the following is not a positive attribute of Multiple Suppliers? a) provides a greater flexibility of volume b) eliminates a supplier's dependence on the purchaser c) probability of assured supply is better d) deliveries can be schedule more easily e) allows for testing of new suppliers without jeopardizing the flow of materials

d) deliveries can be schedule more easily

Operations Management is responsible for increasing the organization's efficiency, which means the company will be able to __________. a) add to the engineering process b) take for granted current operations c) increase the number of positions under the manager's position d) eliminate activities that do not add value e) increasing purchasing opportunities

d) eliminate activities that do not add value

JIT can be traced back to the early 1900's but no one can argue that the philosophy gained worldwide prominence a) at the close of WWII b) in the 1950s c) in the 1960s d) in the 1970s e) in the 1980s

d) in the 1970s

Suppose that last month the cost of inputs summed to $100,000, and the value of outputs summed to $800,000. For which of the following values this month would productivity increase? a) inputs = $110,000, outputs = $800,000 b) inputs = $50,000, outputs = $400,000 c) inputs = $200,000, outputs = $1,600,000 d) inputs = $100,000, outputs = $820,000 e) inputs = $300,000, outputs = $1,600,000

d) inputs = $100,000, outputs = $820,000

The finance function is responsible for: a) sales, generating customer demand, and understanding customer wants and needs. b) plans and coordinates all the resources needed to design, produce, and deliver the merchandise to its various retail locations. c) planning, coordinating, and controlling the resources needed to produce a company's products and services. d) managing cash flow, current assets, and capital investments. e) efficiency and costs.

d) managing cash flow, current assets, and capital investments.

A key feature of scientific management is that workers are motivated only by __________________. a) love b) power c) challenging work d) money e) fame

d) money

An example of an operation that does not add value is ____________________________. a) removing iron ore from the ground and shipping it to a steel mill b) filling the underground gasoline tanks at a service station c) making a wedding cake d) moving components to a warehouse for storage until the factory needs them e) moving luggage from a cab to the airport ticket counter

d) moving components to a warehouse for storage until the factory needs them

At The GAP, which function plans and coordinates all the resources needed to design, produce, and deliver the merchandise to its various retail locations? a) engineering b) human resources c) marketing d) operations management e) purchasing

d) operations management

What are the two primary objectives of aggregate planning? a) material availability and supplier size b) total cost and production rate c) input rate and training for employees d) output rate and workforce size e) transportation rate and workforce size

d) output rate and workforce size

One disadvantage of using undertime is a) employee hourly rate decreases b) employee hourly rate increases c) product labor cost decreases d) product labor cost increases e) product labor cost is constant

d) product labor cost increases

The concept of diseconomies of scale ________________________. a) states that the average cost of a unit produced is reduced when the amount of output increases b) is not realistic c) is not valid for regulated industries d) states that beyond a certain point the cost of each additional unit made increases e) is an approach for measuring unusable output

d) states that beyond a certain point the cost of each additional unit made increases

Which of the following is an open-source operating system designed for mobile devices? a. iOS b. OS X c. Chrome d. Android e. Apache HTTP

d. Android

Which of the following statements about data warehouses is not true? a. They store supply data to be used across the enterprise for management analysis and decision making. b. Data warehouse systems provide a range of ad hoc and standardized query tools, analytical tools, and graphical reporting facilities. c. They may include data from website transactions. d. Data warehouse systems provide easy-to-use tools for managers to easily update data. e. Data warehouses make data available for anyone to access as needed.

d. Data warehouse systems provide easy-to-use tools for managers to easily update data.

The biggest or greatest amount of involvement in a foreign market comes through which of the following? a. Exporting b. Joint venturing c. Licensing d. Direct investment

d. Direct investment

___________________ is the general term for a buying and selling process that is supported by electronic means. a. Internet commerce b. Web commerce c. Computer commerce d. Electronic commerce

d. Electronic commerce

Which of the following information forms available to the marketing manager can usually be accessed more quickly and cheaply than other information sources? a. Marketing intelligence b. Marketing research c. Customer profiles d. Internal databases

d. Internal databases

________ is an operating system-independent, processor-independent, object-oriented programming language that has become a leading interactive programming environment for the web. a. XML b. SOA c. HTML d. Java e. COBOL

d. Java

_____________ describes changes in an individual's behavior arising from experience. a. Modeling b. Motivation c. Perception d. Learning

d. Learning

________ are an essential component of a knowledge work system. a. Computer-aided design tools b. Three-dimensional modeling tools c. Tagging and classification tools d. Links to external knowledge bases e. Virtual reality tools

d. Links to external knowledge bases

________ help users gain information from large amounts of geographically linked data. a. Data Visualization Tools b. GIS c. GDSS d. Location analytics tools e. CAD systems

d. Location analytics tools

The process that turns marketing strategies and plans into marketing actions in order to accomplish strategic marketing objectives is called: a. Marketing strategy. b. Marketing control. c. Marketing analysis. d. Marketing implementation.

d. Marketing implementation.

Which of the following statements about neural networks is not true? a. Neural network applications are used to address problems of control and optimization. b. Neural networks are being used to help detect credit card fraud. c. Neural networks are being used to screen patients for coronary artery disease. d. Neural networks are best used as a substitute for human decision makers. e. Neural networks are being used to predict the performance of equities.

d. Neural networks are best used as a substitute for human decision makers.

When a company enters a new product category for which its current brand names are not appropriate, it will likely follow which of the following brand strategies? a. Product extensions b. Line extensions c. Brand extensions d. New brands

d. New brands

The most logical budget setting method is found in the list below. Which is it? a. Affordable method b. Percentage-of-Sales method c. Competitive-parity method d. Objective-and-task method

d. Objective-and-task method

Cognitive dissonance occurs in which stage of the buyer decision process model? a. Need recognition b. Information search c. Evaluation of alternatives d. Post purchase behavior

d. Post purchase behavior

R&D and engineering first produce the product concept into a physical product during which of the following stages of the new product development process? a. Concept development and testing b. Marketing strategy c. Business analysis d. Product development

d. Product development

The use of price points for reference to different levels of quality for a company's related products is typical of which product-mix pricing strategy? a. Optional-product pricing b. Captive-product pricing c. By-product pricing d. Product line pricing

d. Product line pricing

Which of the following is an example of a high-velocity automated decision process? a. Strategic decision making b. Operational decision making c. Credit granting decisions d. Providing online search results e. Discovering and identifying the nature of a decision problem

d. Providing online search results

_________ beliefs and values are open to some degree of change. a. Crucial b. Core c. Primary d. Secondary

d. Secondary

When companies make marketing decisions by considering consumers' wants and the long-run interests of the company, consumer, and the general population, they are practicing which of the following principles? a. Innovative marketing b. Consumer-oriented marketing c. Value marketing d. Societal marketing

d. Societal marketing

Which of the following types of computers are used for weather forecasting on a national or worldwide scale? a. Mainframe b. Server c. Minicomputer d. Supercomputer e. PC

d. Supercomputer

Pricing to cover variable costs and some fixed costs, as in the case of some automobile distributorships that sell below total costs, is typical of which of the following pricing objectives? a. Current profit maximization b. Product quality leadership c. Market share leadership d. Survival

d. Survival

If a firm were to bid to do a "turnkey" operation where they would choose a building site, designing a cement factory to build the plant, hire construction crews, assemble materials and equipment to run the new factory, and turn over the finished factory ready to operate to the owners, the firm would be using which of the following? a. Core process products selling b. Design products selling c. Reciprocal selling d. Systems selling

d. Systems selling

In an example discussed in your text, Johnson & Johnson's recall of their Tylenol product following the discovery that several bottles of Tylenol had been laced with cyanide is consistent with which business philosophy? a. The marketing concept. b. The product concept. c. The selling concept. d. The societal marketing concept.

d. The societal marketing concept.

Concerns that the manufacturers of harmful products such as tobacco have influence on lawmakers to the detriment of the public interest is used as evidence of which criticism of marketing? a. Too much advertising. b. Too few social goods. c. Cultural pollution. d. Too much political power.

d. Too much political power.

Which of the following is foreign owned (even though it is traditionally thought of as a U.S. company)? a. IBM b. Xerox c. Kodak d. Universal Studios

d. Universal Studios

Pre-configured hardware-software systems that use both relational and non-relational technology optimized for analyzing large data sets are referred to as: a. hybrid DBMS b. Hadoop c. BI d. analytic platforms e. data marts

d. analytic platforms

If Honda uses its company name to cover such different products as its automobiles, lawn mowers, and motorcycles, it is practicing which of the following strategies? a. new brand strategy b. line extension strategy c. multibrand strategy d. brand extension strategy

d. brand extension strategy

The place in the business buying behavior model where interpersonal and individual influences might interact is called the: a. environment. b. response. c. stimuli. d. buying center.

d. buying center.

A child in the United States is normally exposed to all of the following values EXCEPT : a. achievement and success. b. activity and involvement. c. material comfort. d. collectivism.

d. collectivism.

Data mining is more ________ than OLAP. a. data-focused b. multidimensional c. query oriented d. discovery driven e. streamlined

d. discovery driven

If a company (considering its options on the product/market expansion grid) chooses to move into different unrelated fields (from what it has ever done before) with new products as a means to stimulate growth, the company would be following which of the following general strategies? a. market penetration b. market development c. product development d. diversification

d. diversification

The major advantage of survey research is its: a. simplicity. b. structure. c. organization. d. flexibility.

d. flexibility.

One of the most promising developments in multivariable segmentation is called where a host of demographic and socioeconomic factors are used. a. terragraphic segmentation b. fermagraphic segmentation c. geothermy segmentation d. geodemographic segmentation

d. geodemographic segmentation

All of the following are criticisms leveled against marketing by critics EXCEPT : a. harming consumers through high prices. b. harming consumers through deceptive practices. c. harming consumers through high-pressure selling. d. harming consumers through too many product choices.

d. harming consumers through too many product choices.

When Coca-Cola and Nestle formed a joint venture to market a ready-to-drink coffee and tea worldwide, the type of marketing system that was formed would best be described as being a(n): a. vertical marketing system b. parallel marketing system c. diversified marketing system d. horizontal marketing system

d. horizontal marketing system

When hackers gain access to a database containing your personal private information, this is an example of: a. phishing b. spoofing c. social engineering d. identity theft e. pharming

d. identity theft

A(n) _________ are computerized collections of information obtained from data sources within the company. a. retrieval systems b. marketing research reports c. flow diagrams and PERT charts d. internal databases

d. internal databases

Joining with foreign companies to produce or market products and services is called: a. direct exporting. b. indirect exporting. c. licensing. d. joint venturing.

d. joint venturing.

Successful depends on how well a company blends its people, organizational structure, decision and reward systems, and company culture into a cohesive program that supports its strategies. a. marketing strategy b. marketing control c. marketing analysis d. marketing implementation

d. marketing implementation

It is a fact that there are 24 million left-handed people in the United States, however, most marketers do not attempt to appeal to or design products for this group because there is little in the way of census data about this group. Therefore, this group fails in one of the requirements for effective segmentation. Which of the following is most likely to apply in this case? a. actionable b. substantial c. differentiable d. measurable

d. measurable

If a government uses barriers to foreign products such as biases against a foreign company's bids, or product standards that go against a foreign company's product features, the government is using: a. protectionism. b. exchange controls. c. exchange facilitators. d. nontariff trade barriers.

d. nontariff trade barriers.

The fact that services cannot be stored for later use or sale is evidence of their: a. intangibility. b. inseparability. c. variability. d. perishability.

d. perishability.

When Michael Jordan and Tiger Woods use marketing to promote their careers and improve their impact and incomes, they are using: a. cause-related marketing. b. idea marketing. c. nonprofit marketing. d. person marketing.

d. person marketing.

A ______________ is a good offered either free or at low cost as an incentive to buy a product. a. patronage reward b. spiff c. price pack d. premium

d. premium

A _______ is any activity or benefit offered for sale that is essentially intangible and does not result in the ownership of anything. a. demand b. basic staple c. product d. service

d. service

According to the text, the most dramatic of the environments that affect marketing and appears to be now shaping our world is the________________ environment. a. natural b. demographic c. economic d. technological

d. technological

If the field sales force has been supplied with new leads (via the telephone) that have been qualified, they have probably been assisted by: a. master salespersons. b. sales assistants. c. technical support persons. d. telemarketers.

d. telemarketers.

The Internet evolved from a network created by during the 1960s. a. the Commerce Department b. the Massachusetts Institute of Technology (MIT) c. Northwestern University d. the Defense Department

d. the Defense Department

All of the following are thought to be sources of new product ideas EXCEPT: a. internal sources. b. customers. c. competitors. d. the local library.

d. the local library.

The course of a product's sales and profits over its lifetime is called: a. the sales chart. b. the dynamic growth curve. c. the adoption cycle. d. the product life cycle.

d. the product life cycle.

The primary reason that many companies work to become the "low-cost producers" in their industry is because: a. they can generate more advertising. b. they can please top management. c. they can gain tax advantages. d. they can set lower prices that result in greater sales and profits.

d. they can set lower prices that result in greater sales and profits.

A client computer networked to a server computer, with processing split between the two types of machines, is called a(n) ________ architecture. a. service-oriented b. on-demand c. multi tiered client/server d. two tiered client/server e. grid

d. two tiered client/server

When producers, wholesalers, and retailers act as a unified system, they comprise a: a. conventional marketing system. b. power-based marketing system. c. horizontal marketing system. d. vertical marketing system.

d. vertical marketing system.

Wal-Mart owned Sam's club is an example of a retail form called a(n): a. factory outlet. b. super specialty store. c. seconds store. d. warehouse club.

d. warehouse club.

When a hacker discovers a security hole in software that is unknown to the software vendor it is an example of: a. sniffing b. social engineering c. phishing d. zero-day engineering e. snooping

d. zero-day engineering

3.What is the standard deviation for the following population of scores? Scores: 1, 3, 7, 4, 5 a. 20 b. 5 c. 4 d. 2

d.*2

34. For the scores shown in the following stem and leaf display, what is the lowest score in the distribution?9 3748 9457 70426 685 14 a. 7 b. 15 c. 50 d. 51

d.*51

29. What is the value of Σ(X - 2) for the following scores: 6, 2, 4, 2? a. 12 b. 10 c. 8 d. 6

d.*6

21. A negative value for a correlation indicates which of the following? a. much stronger relationship than if the correlation were positive b. a much weaker relationship than if the correlation were positive c. increases in X tend to be accompanied by increases in Y d. increases in X tend to be accompanied by decreases in Y

d.*increases in X tend to be accompanied by decreases in Y

22. In the general linear equation, Y = bX + a, what is the value of b called? a. X intercept b. Y intercept c. correlation between X and Y d. slope

d.*slope

9.Of the following z-score values, which one represents the most extreme location on the left-hand side of the distribution? a. z = +1.00 b. z = +2.00 c. z = −1.00 d. z = −2.00

d.*z = −2.00

Which of the following items is a measure of a company's ability to collect receivables? A) inventory turnover ratio B) current ratio C) days' sales in receivables D) account receivable balance

days' sales in receivables

Which of the following entries will be necessary to close the Insurance Expense account at the end of the year? A) debit Insurance Expense and credit Income Summary B) debit Insurance Expense and credit Common Stock C) debit Retained Earnings and credit Insurance Expense D) debit Income Summary and credit Insurance Expense

debit Income Summary and credit Insurance Expense

On September 1, 2018, Real Estate Professionals, Inc. paid $7,000 in advance for an eight-month rental space covering the period of September 1, 2018 through April 30, 2019. The deferred expense was initially recorded as an asset. The company makes adjusting entries once a year at year-end. The adjusting entry on December 31, 2018 would include a ________. A) debit of $7,000 to Cash B) credit of $7,000 to Prepaid Rent C) debit of $3,500 to Rent Expense D) credit of $3,500 to Rent Expense

debit of $3,500 to rent expense

The Golden Company issues $539,000 of 7%, 10-year bonds at 104 on March 31, 2019. The bonds pay interest on March 31 and September 30. Assume that the company uses the straight-line method for amortization. The journal entry to record the issuance includes a ________. A) debit to Cash for $539,000 B) credit to Bonds Payable for $560,560 C) debit to Premium on Bonds Payable for $21,560 D) debit to Cash for $560,560

debit to Cash for $560,560

A bureaucracy is characterized by all of the following except ________. A) highly routine operating tasks B) formalized rules and regulations C) tasks that are grouped into functional departments D) decentralized decision making E) high work specialization

decentralized decision making

As a judge, jay applies common law rules. These rules develop from a. decisions of the courts in legal disputes. b. regulations issued by administrative agencies. c. statutes enacted by Congress and the state legislatures. d. uniform laws drafted by legal scholars.

decisions of the courts in legal disputes

On the ________, cash dividends become a liability of a corporation. A) declaration date B) date of record C) last day of the fiscal year D) payment date

declaration date

For a given level of tax collections, prices, and interest rates, a decrease in governmental purchases will result in a(n) A. Increase in aggregate demand. B. Increase in aggregate supply. C. Decrease in aggregate demand. D. Decrease in aggregate supply.

decrease in aggregate demand

Price tends to fall in competitive markets when there is a(n) A. Increase in demand for the product. B. Decrease in demand for the product. C. Decline in available labor. D. Increase in interest rates.

decrease in demand for the product

In relation to the laws of supply and demand, an increase in supply will A. Increase the equilibrium price and the equilibrium quantity exchanged. B. Decrease the equilibrium price and the equilibrium quantity exchanged. C. Increase the equilibrium price and decrease the equilibrium quantity exchanged. D. Decrease the equilibrium price and increase the equilibrium quantity exchanged.

decrease the equilibrium price and increase the equilibrium quantity exchanged

Alberto is working with a group of fifteen people to coordinate the merger of two corporations. Everyone in the group is highly qualified, offers relevant information, and has high norms. Still, the group seems to be slow at outlining a definitive plan for the merger. With the information provided, what would be the fastest and best way for Alberto to increase cohesiveness and productivity? A) hold long meetings at a restaurant or in a social setting B) stimulate competition within the group C) decrease the time members spend together D) decrease the size of the group E) invite more members into the group

decrease the size of the group

An increasing federal deficit implies which of the following conditions? A. Increased tax revenues and decreased entitlement payments. B. Decreased tax revenues and increased entitlement payments. C. The U.S. is importing more than it is exporting. D. The economy is in an inflationary phase.

decreased tax revenues and increased entitlement payments

When the total fixed costs decrease, the breakeven point ________. A) increases B) decreases C) remains the same D) increases proportionately

decreases

Treasury stock ________. A) decreases the number of shares issued B) increases the number of shares issued C) increases the number of shares outstanding D) decreases the number of shares outstanding

decreases the number of shares outstanding

Differences in characteristics such as personality, values, and beliefs form part of ________.A A) surface-level diversity B) deep-level diversity C) lateral-level diversity D) organizational-level diversity E) individual-level diversity

deep-level diversity

47) What type of strategy would divestiture be classified as? A) Aggressive B) Defensive C) Competitive D) Offensive E) Conservative

defensive

If an adjusting entry includes a debit to Rent Expense, it indicates that the payment of rent had been previously recorded as a(n) ________. A) deferred expense B) depreciation expense C) accrued expense D) accrued revenue

deferred expense

Which of the following economic terms describes a general decline in prices for goods and services and in the level of interest rates? A. Expansion. B. Inflation. C. Deflation. D. Recession.

deflation

If the average household income increases and there is relatively little change in the price of a normal good, then the A. Supply curve will shift to the left. B. Quantity demanded will move farther down the demand curve. C. Demand will shift to the left. D. Demand curve will shift to the right.

demand curve will shift to the right

If the price of apples declines and total revenue received by the firm increases, the A. Demand for apples is elastic. B. Demand for apples is inelastic. C. Elasticity of demand for apples is 1.0. D. Elasticity of demand for apples is less than 1.0.

demand for apples is elastic

A city ordinance that freezes rent prices may cause A. The demand curve for rental space to fall. B. The supply curve for rental space to rise. C. Demand for rental space to exceed supply. D. Supply of rental space to exceed demand.

demand for rental space to exceed supply

The phrases "too many dollars chasing too few goods" and "supply shock" are associated with, respectively, A. Cost-push inflation and demand-pull inflation. B. Demand-pull inflation and cost-push inflation. C. Stagflation and cost-push inflation. D. Cost-push inflation and deficient-demand inflation.

demand-pull inflation and cost-push inflation

The allocation of a plant asset's cost to expense over its useful life is called ________. A) residual value B) book value C) accrued revenue D) depreciation

depreciation

How does inflation distort reported income? A. Wages are not reflective of current labor rates. B. Sales are not reflective of current product prices. C. Depreciation is not reflective of current fixed-asset replacement costs. D. Interest expense is not reflective of current borrowing rates.

depreciation is not reflective of current fixed-asset replacement costs

Which of the following is a product cost? A) sales commissions B) CEO's salary C) delivery van depreciation D) depreciation on production equipment

depreciation on production equipment

Which of the following is the major drawback of job sharing from management's perspective? A) increase in supervisory workload B) increased costs for providing supporting infrastructure (such as desk and computer) to two employees instead of one C) difficulty in finding compatible partners D) difficulty in designing the reward structure E) difficulty in coordinating schedules

difficulty in finding compatible partners

The costs most easily traced to each product manufactured are ________. A) direct materials and direct labor B) direct materials and indirect materials C) direct labor and manufacturing overhead D) indirect materials and indirect labor

direct materials and direct labor

Which of the following is a variable cost? A) property taxes B) salary of plant manager C) direct materials cost D) straight-line depreciation expense

direct materials cost

The Federal Reserve Board most directly influences a corporation's decision whether or not to issue debt or equity financing when it revises the A. Corporate income tax rate. B. Prime rate at which the Federal Reserve Bank lends money to member banks. C. Discount rate at which the Federal Reserve Bank lends money to member banks. D. Discount rate at which member banks lend money to their customers.

discount rate at which the federal reserve bank lends money to member banks

Personal income is equal to A. Gross domestic product minus net domestic product. B. Net domestic product plus transfer payments to individuals. C. Disposable income minus personal tax payments. D. Disposable income plus personal tax payments.

disposable income plus personal tax payments

With reference to the attribution theory, which of the following terms indicates the extent to which an individual displays different behaviors in different situations? A) continuity B) integrity C) stability D) flexibility E) distinctiveness

distinctiveness

Which of the following statements is true regarding conflict? A) The smaller the group, the greater the likelihood of conflict. B) The less specialized the activities of the group, the greater the likelihood of conflict. C) People low in the personality traits of disagreeableness, neuroticism, or self-monitoring are more likely to engage in a conflict. D) Diversity of goals among groups is a major source of conflict. E) As the ambiguity about where responsibility for actions lies decreases, the potential for conflict increases.

diversity of goals among groups is a major source of conflict

2) Cadbury PLC selling its Australian drinks business to Asahi Breweries Ltd. of Japan is an example of which type of strategy? A) Related diversification B) Unrelated diversification C) Retrenchment D) Divestiture E) Liquidation

divestiture

40) Which strategy should be implemented when a division is responsible for an organization's overall poor performance? A) Backward integration B) Divestiture C) Forward integration D) Cost leadership E) Related diversification

divestiture

20) Which of the following is not a characteristic that describes the most competitive companies in America? A) Divestiture is essential to growth. B) People make a difference. C) Innovate or evaporate .D) There is no substitute for quality and no greater threat than failing to be cost-competitive on a global basis. E) Whether it's broke or not, fix it.

divestiture is essential to growth

The demand curve for a normal good is A. Upward sloping because firms produce more at higher prices. B. Upward sloping because higher-priced goods are of higher quality. C. Vertical. D. Downward sloping because of the income and substitution effects of price changes.

download sloping because of the income and substitution effects of price changes

________ is a systematic effort to make an organization leaner by selling off business units, closing locations, or reducing staff. A) Removing boundaries B) Departmentalizing C) Decentralizing D) Downsizing E) Formalizing

downsizing

15) Who is referred to as "the father of modern management?" A) Deming B) Peters C) Drucker D) McGinnis E) Smith

drucker

Center City enacts an ordinance that imposes a jail term, without a trial, on all contractors who solicit business without a city permit. A court would likely review this ordinance under the principles of: a. equal protection. b. free exercise. c. due process. d. free speech

due process

Wang Ltd., a Chinese firm, imports its goods into the United States and offers those goods for sale at "less than fair value." This is: a. confiscation. b. defalcation. c. dumping. d. expropriation.

dumping

Variations between business cycles are most likely attributable to which of the following factors? A. The law of diminishing returns. B. Comparative advantage. C. Duration and intensity. D. Opportunity costs.

duration and intensity

If inputs increase by 30% and outputs increase by 15%, what is the percentage change in productivity? a) 50.00% decrease b) 88.46% increase c) 88.46% decrease d) 11.54% increase e) 11.54% decrease

e) 11.54% decrease

Consider a workstation that can process 4000 units per hour. It takes 15 minutes to receive an order from the previous station. The container size is 20 units. The factory sets safety stock at 20 percent of demand during lead time. How many kanbans are needed for the workstation? a) 16 b) 3600 c) 50 d) 10 e) 60

e) 60

JIT considers waste anything that a) Fits in a waste basket b) Reduces production capacity c) Has been discarded d) Cannot be recycled e) Does not add value

e) Does not add value

What was the first US company to receive the Deming Prize? a) IBM b) Microsoft c) Wal-Mart d) AT&T e) Florida Power & Light

e) Florida Power & Light

JIT uses a pull system where communication starts with either the customer or with the _________ work station in the production line. a) First b) Bottleneck c) Dominant d) Most expensive e) Last

e) Last

Which activity appears to be most frequently outsourced by large companies? a) Purchasing b) Marketing c) Finance d) Accounting e) Manufacturing

e) Manufacturing

According to several studies, what are the three most important criteria for selecting suppliers? a) Price, quality, fast delivery b) Quality, fast delivery, on-time delivery c) Price, flexibility, on-time delivery d) Quality, flexibility, fast delivery e) Price, quality, on-time delivery

e) Price, quality, on-time delivery

According to JIT, by eliminating inventory we can clearly identify __________ and work on eliminating them. a) Obsolete products b) Malfunctioning machines c) Grievances d) Product imperfections e) Problems

e) Problems

In what company were the Hawthorne Studies conducted? a) Westinghouse b) General Electric c) Hawthorne Incorporated d) General Motors e) Western Electric

e) Western Electric

Which of the Malcolm Baldrige Award criteria is allocated the most points? a) leadership b) information and analysis c) human resource focus d) process management e) business results

e) business results

Every business is managed through what three major functions? a) accounting, finance, and marketing b) engineering, finance, and operations management c) accounting, purchasing, and human resources d) accounting, engineering, and marketing e) finance, marketing, and operations management

e) finance, marketing, and operations management

Vertical integration is a good strategic option for a manufacturing company when a) it needs several different parts and subassemblies b) it makes many different products c) its facilities are obsolete d) it uses distributed processing e) it needs one input material in large volumes

e) it needs one input material in large volumes

A higher level of vertical integration implies: a) more outsourcing and more insourcing. b) less outsourcing. c) more insourcing. d) less insourcing. e) less outsourcing and more insourcing.

e) less outsourcing and more insourcing.

What are the Institute for Supply Management's principles of ethical supply chain management conduct? a) objectivity always, loyalty to your organization, and faith in your profession b) objectivity always, justice to those with whom you deal, and faith in your profession c) objectivity always, justice to those with whom you deal, and loyalty to your organization d) objectivity always, know the law, and justice to those with whom you deal e) loyalty to your organization, justice to those with whom you deal, and faith in your profession

e) loyalty to your organization, justice to those with whom you deal, and faith in your profession

Operational efficiency is: a) driving the business strategy b) ensuring the right tasks are performed c) decreasing the firm's input requirements d) increasing the firm's output e) performing operations tasks well

e) performing operations tasks well

In what area does General Motors earn its highest return on capital? a) selling cars b) selling logo merchandise c) financing d) selling racing engines e) post-sales parts and service

e) post-sales parts and service

Service design differs from product design by including _____________ . a) customer needs b) marketing personnel in the decision making process c) speed d) quality e) the esthetic and psychological benefits of the product

e) the esthetic and psychological benefits of the product

Which of the following is a reason capacity and location decisions are usually made simultaneously? a) in order to get them in the operating budget on a consistent basis b) it makes it easier to understand capacity c) often there is not enough time available to separate them d) they require the same types of information e) the size of a new facility may affect its location

e) the size of a new facility may affect its location

What are the two key components of the operations strategy of Federal Express? a) they own their own fleet of tractor trailers, and they use a sophisticated bar code technology b) they own their own fleet of tractor trailers, and they have a large warehouse in every state c) they own their own fleet of airplanes, and they have a large warehouse in every state d) they use a sophisticated bar code technology, and they have a large warehouse in every state e) they own their own fleet of airplanes, and they use a sophisticated bar code technology

e) they own their own fleet of airplanes, and they use a sophisticated bar code technology

Costs that are proportional to the amount of units produced, such as materials and labor, are a) fixed costs b) marginal revenue c) sunk costs d) cost drivers e) variable costs

e) variable costs

What percent of the Fortune 500 companies uses Twitter to communicate with their customers? a. 20 percent b. 40 percent c. 50 percent d. 60 percent e. 80 percent

e. 80 percent

Implementation controls: a. can be classified as input controls, processing controls, and output controls. b. govern the design, security, and use of computer programs and the security of data files in general throughout the organization. c. apply to all computerized applications and consist of a combination of hardware, software, and manual procedures that create an overall control environment. d. include software controls, computer operations controls, and implementation controls. e. Audit the systems development process at various points to ensure that the process is properly controlled and managed.

e. Audit the systems development process at various points to ensure that the process is properly controlled and managed.

Which of the following is considered to be the fastest-growing form of computing? a. Wearable computing b. Green computing c. Nanocomputing d. Enterprise computing e. Cloud Computing

e. Cloud Computing

What service converts IP addresses into more recognizable alphanumeric names? a. html b. FTP c. IP d. HTTP e. DNS

e. DNS (Domain Name System)

Which of the following would not be classified as a knowledge work system? a. Computer-aided design b. 3D visualization system c. Investment workstations d. Virtual reality system e. Digital asset management system

e. Digital asset management system

Which of the following involves slicing digital messages into parcels, transmitting them along different communication paths, and reassembling them at their destinations? a. Multiplexing b. packet shifting c. packet routing d. ATM e. Packet switching

e. Packet switching

Currently, the protocols used for secure information transfer over the Internet are: a. TCP/IP and SSL. b. S-HTTP and CA. c. HTTP and TCP/IP. d. S-HTTP and SHTML. e. SSL, TLS, and S-HTTP.

e. SSL, TLS, and S-HTTP.

Comprehensive security management products, with tools for firewalls, VPNs, intrusion detection systems, and more, are called ________ systems. a. DPI b. MSSP c. NSP d. PKI e. UTM

e. UTM

An inference engine is: a. a data mining strategy used by intelligent agents. b. the programming environment of an expert system. c. a method of organizing expert system knowledge into chunks. d. a set of rules used to model human knowledge in an expert system. e. a strategy used to search through the rule base in an expert system.

e. a strategy used to search through the rule base in an expert system.

The smallest unit of data a computer can handle is called a: a. file b. record c. field d. byte e. bit

e. bit

Data mining is a tool for allowing users to: a. quickly compare transaction data gathered over many years. b. perform multidimensional data analysis. c. obtain online answers to ad hoc questions in a rapid amount of time. d. summarize massive amounts of data into much smaller, traditional reports. e. find hidden relationships in data.

e. find hidden relationships in data.

In a table for customers, the information about a single customer would reside in a single: a. field b. entity c. column d. table e. row

e. row

Which one of the following is not a key assumption of perfect competition? A. Firms sell a homogeneous product. B. Customers are indifferent about which firm they buy from. C. The level of a firm's output is small relative to the industry's total output. D. Each firm can price its product above the industry price.

each firm can price its own product above the industry price

When long-run average cost is declining over a range of increasing output, the firm is experiencing A. Increasing fixed costs. B. Technological efficiency. C. Decreasing returns. D. Economies of scale.

economics of scale

_______ is an emotion that falls into the category of high positive affect. A) Serenity B) Elation C) Fatigue D) Boredom E) Relaxation

elation

Kathryn expresses her anger against her supervisor for denying her a well-deserved promotion. Which of the following terms best describes the intense feelings that she directs at him? A) affect B) cognition C) moods D) emotional labor E) emotions

emotions

Emotional intelligence (EI) is critical to effective leadership because one of its core components is ________. A) conscientiousness B) empathy C) optimism D) introversion E) perfectionism

empathy

An individual's involvement with, satisfaction with, and enthusiasm for the work he/she performs is known as ________. A) employee engagement B) job involvement C) loyalty D) job satisfaction E) psychological empowerment

employee engagement

Which of the following is an example of an intrinsic reward? A) bonus B) profit-sharing plan C) employee stock option D) employee recognition E) gainsharing

employee recognition

The University of Michigan studies define a(n) ________ leader as one who takes a personal interest in the needs of his/her subordinates. A) contingency B) task-oriented C) employee-oriented D) production-oriented E) structure initiating

employee-oriented

To create a more ethical culture, management should do all of the following except ________. A) serve as a visible role model B) encourage unbridled competition C) provide ethical training D) communicate ethical expectations E) provide protective mechanisms

encourage unbridled competition

In order for the Federal Reserve System to increase the money supply, the appropriate policy is to A. Encourage banks to increase their holdings of excess reserves. B. Increase the discount rate. C. Engage in open-market purchases of government securities. D. Raise margin requirements on stock market purchases.

engaged in open-market purchases of government securities

Which of the following is an effective means of countering social loafing? A) increase the rewards the group is given if it succeeds B) increase the amount by which the group's progress is monitored C) ensure that individual contributions to the group's outcome are identified D) increase the size of the group E) increase the group's work load

ensure that individual contributions to the group's outcome are identified

The matching principle ________. A) guides accounting for revenues and expenses B) results in the matching of expenses incurred during the period to the cash paid for expenses C) ensures that all expenses are recorded when they are incurred during the period D) results from a natural link between all expenses and revenues

ensures that all expenses are recorded when they are incurred during the period

In Call-Me Cell Company's suit against Rude Ringtones, Inc., the jury returns a verdict in Call-Me's favor. Call-Me will most likely ask the court to: a. enter a judgment in accordance with the verdict. b. enter a judgment n.o.v. (JNOV). c. enter a judgment on the pleadings. d. order a new trial.

enter a judgement in accordance with the verdict

The most innovative companies are often characterized by all of the following except ________. A) vision-driven B) collaborative C) entrenched cultures D) unconventional E) openness

entrenched cultures

Fact pattern: Karen Parker wants to establish an environmental testing company that would specialize in evaluating the quality of water found in rivers and streams. However, Parker has discovered that she needs either certification or approval from five separate local and state governmental agencies before she can commence business. Also, the necessary equipment to begin costs several million dollars. Nevertheless, Parker believes that, if she is able to obtain capital resources, she can gain market share from the two major competitors. The large capital outlay necessary for the equipment is an example of a(n) A. Entry barrier. B. Minimum efficient scale. C. Created barrier. D. Production possibility boundary.

entry barrier

The owners' claims to the assets of the business are called ________. A) return on assets B) expenses C) equity D) debt

equity

Role ________ indicates the way others believe you should act in a given context. A) perception B) identity C) expectation D) criterion E) style

expectation

Trucking Dispatch Company and Ucello put their agency agreement into a written document that describes the rights and duties of both parties. Ucello, as the agent, has: a. apparent authority. b. express authority. c. implied authority. d. none of the choices.

express authority

Miranda is a U.S. citizen working in Europe for Tourist Vacations, Inc., a U.S. travel agency. Tourist fires Miranda for reasons that she believes violate U.S. antidiscrimination laws. Those laws apply: a. extraterritorially. b. only to signatories of the North American Free Trade Agreement (NAFTA). c. only to members of the World Trade Organization (WTO). d. only within U.S. borders.

extraterritorially

State Street Beverage Company issues $805,000 of 9%, 10-year bonds on March 31, 2017. The bonds pay interest on March 31 and September 30. Which of the following statements is true? A) If the market rate of interest is 10%, the bonds will issue at a premium. B) If the market rate of interest is 10%, the bonds will issue at a discount. C) If the market rate of interest is 10%, the bonds will issue at par. D) If the market rate of interest is 10%, the bonds will issue above par.

f the market rate of interest is 10%, the bonds will issue at a discount.

Any business firm that has the ability to control the price of the product it sells A. Faces a downward-sloping demand curve. B. Has a supply curve that is horizontal. C. Has a demand curve that is horizontal. D. Will sell all output produced.

faces a downward-sloping demand curve

Price discrimination is accomplished most effectively in markets with which of the following characteristics? A. Fairly distinct segments of customers. B. High competition that generates many price changes. C. Advanced technology capabilities that determine optimal pricing. D. Excess capacity that meets high demand at different price levels.

fairly distinct segments of customers

A good example of monopolistic competition is the A. Agriculture market. B. Fast food industry. C. Steel industry. D. Auto industry.

fast food industry

Fresh Harvest Company, which is based on Georgia, packages and sells vegetables. Hayden, who is a resident of Indiana, buys a Fresh Harvest product, eats it, and suffers severe food poisoning. Hayden wants to file a suit against Fresh Harvest. The diversity of citizenship between these parties means that: a. federal and state courts have concurrent jurisdiction. b. federal courts have exclusive jurisdiction. c. no court has jurisdiction. d. state courts have exclusive jurisdiction.

federal and state courts have concurrent jurisdiction

Providing an adequate supply of money to accommodate the needs of U.S. business is the task of the A. United States Treasury. B. Controller of the Currency. C. Bureau of Printing and Engraving. D. Federal Reserve System.

federal reserve system

In regards to job engagement, having a good manager they enjoy working for and ________ were found to be the top causations. A) job satisfaction B) job involvement C) job stability D) organizational commitment E) social embeddedness

feeling appreciated by one's supervisor

Demand for a product tends to be price inelastic if A. The product is considered a luxury item. B. More substitute products become available in the market. C. The population in the market area is large. D. Few good substitutes are available for the product.

few good substitutes are available for the product

Mr. Smith is hired as a consultant to a firm evaluating entry into a perfectly competitive industry. Mr. Smith determined that at the projected level of output the price would be $100, the average variable cost would be $50, average total cost would be $80, and marginal cost would be $70. Mr. Smith's report will include the following remarks: A. Firms are leaving the industry. B. Firms should enter the market. C. Firms should not enter the market. D. None of the answers are correct.

firms should enter the market

Under which of the following inventory costing methods is the ending inventory based on the costs of the most recent purchases? A) specific identification B) weighted-average C) last-in, first-out D) first-in, first-out

first-in, first-out

When inventory costs are declining, which of the following inventory costing method will result in the lowest ending merchandise inventory? A) first-in, first-out B) last-in, first-out C) weighted-average D) specific identification

first-in, first-out

Which of the following inventory costing methods yields the highest net income during a period of rising inventory costs? A) specific identification B) weighted-average C) last-in, first-out D) first-in, first-out

first-in, first-out

Which of the following inventory costing methods yields the lowest cost of goods sold during a period of rising inventory costs? A) specific identification B) weighted-average C) last-in, first-out D) first-in, first-out

first-in, first-out

Generally speaking, the most effective teams have ________ members. A) two to four B) three to five C) five to nine D) ten to fifteen E) fifteen to twenty

five to nine

The major advantage of the virtual organization is its ________. A) decentralized structure B) ability to enhance role clarity C) flexibility D) highly departmentalized structure E) ability to minimize organizational politics

flexibility

Fabiola, Gabriella, or any foreign citizen, can bring a civil suit in a U.S. court: a. for a violation of a treaty of the United States only. b. for a violation of a treaty of the United States or the law of nations. c. for a violation of the law of nations only. d. under no circumstances.

for a violation of a treaty of the United States or the law o nations

During what stage of strategic management are a firm's specific internal strengths and weaknesses determined? A) Formulation B) Implementation C) Evaluation D) Feedback E) Goal-setting

formulation

31) Microsoft opening its own retail stores is an example of which type of strategy? A) Forward integration B) Backward integration C) Horizontal integration D) Related diversification E) Unrelated diversification

forward integration

City Slick, Inc., makes cosmetics. City Slick intentionally mislabels its packaged products to conceal a defect. Trusting and relying on the mislabeling, Dora buys a City Slick product and suffers an injury. City Slick is most likely liable for: a. product misuse. b. fraud. c. privity. d. puffery.

fraud

Macroeconomic stability theory includes the concepts of full employment and price stability. Which of the following are usually considered unavoidable factors preventing the achievement of 100% employment? A. Frictional and structural unemployment. B. Effects of demand-pull and cost-push inflation. C. Decisions of employable persons to voluntarily remain unemployed or to cease seeking employment. D. Some workers working part-time.

frictional and structural unemployment

________ conflict supports the goals of the group while ________ conflict hinders group performance. A) Interactionist; dysfunctional B) Functional; dysfunctional C) Dysfunctional; functional D) Dysfunctional; interactionist E) Functional; interactionist

functional; dysfunctional

Which of the following concepts can best be used to understand oligopoly behavior? A. Concentration ratio. B. Interindustry competition. C. Game theory model. D. Herfindahl index.

game theory model

Whereas ________ focuses on differences among people from different countries, ________ addresses differences among people within given countries. A) workforce diversity; globalization B) globalization; workforce diversity C) culture; diversity D) culturalization; workforce diversity E) psychology; social psychology

globalization; workforce diversity

The Work-in-Process Inventory account includes the ________. A) goods that are ready to be sold B) goods that are partially completed C) goods that have been sold in the market D) goods that are returned by customers

goods that are partially completed

52) What analytical tool has four quadrants based on two dimensions: competitive position and market growth? A) Competitive Profile Matrix B) Internal-External Matrix C) SPACE Matrix D) Grand Strategy Matrix E) QSPM

grand strategy matrix

Which one of the following components of gross domestic product (GDP) has the greatest fluctuation from year to year? A. Personal consumption expenditures. B. Gross domestic private investment. C. Government spending. D. Net exports.

gross domestic private investment

The level of aggregate demand will decline if the level of A. Imports decrease. B. Gross private domestic investment decreases. C. Personal consumption expenditures increase. D. Government purchases increase.

gross private domestic investment decreases

A concerted effort to avoid doing business with a particular supplier is known as a A. Cartel. B. Group boycott. C. Monopolistic competition. D. Monopsony.

group boycott

As organizational behaviorists, we organize characteristics by overall traits describing the ________ and ________ of a person's personality. A) strength; growth B) growth; development C) development; positivity D) positivity; negativity E) negativity; strength

growth; development

It was Marisol's first day at work. At first she was very nervous, but when she was introduced to her cubicle neighbor, Hanna, she was reassured by Hanna's soothing smile. Marisol thought that a person with such a beautiful smile could not be bad, and that she would enjoy having her in such close proximity. Which of the following concepts best describes this example? A) contrast effect B) fundamental attribution error C) halo effect D) selective perception E) self-serving bias

halo effect

According to the traditional view of conflict, conflict is ________. A) harmful B) natural C) necessary D) healthy E) rational

harmful

6) The fact that Apple has no manufacturing facilities of its own A) has caused it to build up massive debt on its balance sheet. B) has enabled it to remain financially lean with virtually no long-term debt. C) has been problematic for Apple in terms of debt. D) illustrates that having more fixed assets than rival firms can provide major competitive advantages in a global recession. E) means that it is in the same position as Sony.

has enabled it to remain financially lean with virtually no long term debt

When markets are perfectly competitive, consumers A. Are able to avoid the problem of diminishing returns. B. Have goods and services produced at the lowest cost in the long run. C. Do not receive any consumer surplus unless producers choose to overproduce. D. Must search for the lowest price for the products they buy.

have good and services produced at the lowest cost in the long run

Which of the following statements is true regarding Maslow's hierarchy of needs theory? A) "Social" needs relate to autonomy and achievement. B) Having a substantially satisfied need no longer motivates. C) "Esteem" needs relate to affection and friendship. D) Social needs are lower-order needs. E) Lower-order needs are satisfied internally.

having a substantially satisfied need no longer motivates

Which of the following segments of the economy will be least affected by the business cycle? A. Commercial construction industry. B. Machinery and equipment industry. C. Residential construction industry. D. Healthcare industry.

healthcare industry

A ________ allows management to make the most efficient use of its employees' skills and even successfully improve them through repetition. A) low degree of centralization B) high degree of formalization C) wider span of control D) low degree of departmentalization E) high degree of work specialization

high degree of work specialization

If you were using the Fiedler contingency model of leadership to establish a scenario in your company which gives managers maximum control, which of the following combinations of situational dimensions would you seek to achieve? A) high task structure, good leader-member relations, and strong position power B) limited position power, good leader-member relations, and low task structure C) less structured jobs, strong position power, and moderate leader-member relations D) broad employee responsibilities, low position power, and moderate leader-member relations E) good leader-member relations, low position power, and unstructured jobs

high task structure, good leader-member relations, and strong position power

Your trainees are given a case study concerning a local manufacturing firm called Acme Products. In assessing Acme's organizational structure, your trainees notice that all of the company's decisions are made by top management, with little or no input from lower-level personnel. The trainees most likely identify Acme as a(n) ________ organization. A) highly decentralized B) highly formalized C) highly departmentalized D) highly centralized E) informally structured

highly centralized

The selection process helps sustain the organization's culture by ________. A) encouraging discussion about norms B) hiring candidates who fit well within the organization C) selecting employees who deserve to be promoted D) developing performance evaluation criteria E) rewarding conformity of skills

hiring candidates who fit well within the organization

David is of the opinion that people who drive SUVs are dangerous drivers. He often thinks that people driving SUVs are driving rashly, even when other observers can see nothing wrong with the behavior of the SUV drivers. What factor is affecting his perception in this case? A) his interests B) his personality C) his expectations D) his motives E) his attitude

his expectations

The Allowance for Bad Debts account ________. A) is a liability account B) holds the pool of "unknown" uncollectible accounts C) increases with a debit D) is added to accounts receivable

holds the pool of "unknown" uncollectible accounts

34) What refers to a strategy of seeking ownership of, or increased control over a firm's competitors? A) Forward integration B) Conglomerate diversification C) Backward integration D) Horizontal integration E) Concentric diversification

horizontal integration

62) The Hawthorne Studies opened the era of: A) Scientific Management B) Empathy Management C) Systems Management D) Human Management E) Theory Management

human managment

During which of the following periods will prices generally increase the fastest? A. Deflation. B. Recession. C. Inflation. D. Hyperinflation.

hyperinflation

25) What is the first step in designing an EFE Matrix? A) Identifying key external factors in the industry B) Summing the weighted score for each competitor C) Calculating the sales of each competitor D) Drawing the horizontal and vertical lines for the matrix E) Determining four competitors

identifying key external factors in the industry

Posing as Platinum Bank, Quentin e-mails Rachel, asking her to update her personal banking information through a link in the e-mail. She clicks on the link and types in the data, which Quentin promptly sells to Spence. This is a. hacking. b. identity theft. c. cyberterrorism. d. bribery.

identity theft

Consolidated Waste, Inc., lays off 50 of its 500 workers, including Don. Consolidated can eliminate Don's medical insurance coverage: a. if Consolidated changes its group insurer. b. if Consolidated completely cancels its group benefit plan. c. if Don files a suit against Consolidated for wrongful discharge. d. under any circumstances.

if Consolidated completely cancels its groups benefits plan

Which one of the following statements about supply and demand is true? A. If supply increases and demand remains constant, equilibrium price will rise. B. If demand increases and supply decreases, equilibrium price will fall. C. If demand increases and supply increases, equilibrium quantity will fall. D. If demand increases and supply decreases, equilibrium price will increase.

if demand increases and supply decreases, equilibrium price will increase

Organizations following a(n) ________ strategy try to both minimize risk and maximize opportunity for profit, moving into new products or new markets only after innovators have proven their viability. A) innovation B) cost-cutting C) imitation D) organic E) mechanistic

imitation

The argument in favor of minimum wage laws is that they A. Can raise wages above the equilibrium level. B. Reduce employment. C. Cause some people to lose their jobs. D. Improve the economic status of some workers.

improve the economic status of some workers

Flo is 17 years old. Under the Fair Labor Standards Act (FLSA) of 1938, she cannot work: a. in the entertainment industry. b. in a hazardous occupation. c. for her parents. d. in the agriculture industry.

in a hazardous occupation

Brewster, the chief executive officer of Cog & Gear Lubricants Corporation, wants to ensure that Cog & Gear's activities are legal and ethical. The best course for Brewster and Cog & Gear is to act: a. in good faith. b. out of ignorance of the law. c. with regard for the firm's shareholders only. d. in their own self-interest.

in good faith

All of the following are true about perfect competition except that A. There is free market entry without large capital costs for entry. B. There are many firms participating in the market. C. In the long run, an increase in profit will have no effect on the number of firms in the market. D. Firms are price takers.

in the long run, an increase in profit will have no effect on the number of firms in the market

The matching principle requires businesses to report Warranty Expense ________. A) in the same period that the company records the revenue related to that warranty B) in the period prior to which the company records the revenue related to that warranty C) in the period after the related revenue is recorded D) in the long-term assets section of the balance sheet

in the same period that the company records the revenue related to that warranty

Disposable income is equal to A. All earned income received. B. Earned income minus unearned income. C. Income after taxes have been removed. D. National income minus personal income.

income after taxes have been removed

Demand-pull inflation occurs when A. Incomes rise suddenly. B. There are excessive wage increases. C. There are rapid increases in raw materials prices. D. There are substantial changes in energy prices.

incomes rise suddenly

The fixed costs per unit will ________. A) increase as production decreases B) decrease as production decreases C) remain the same as production levels change D) increase as production increases

increase as production decreases

Research on employee stock ownership plans indicates that they ________. A) increase employee satisfaction B) decrease company profits C) reduce stress experienced by employees D) decrease productivity of employees E) increase employee turnover

increase employee satisfaction

During a recession, the goal of government fiscal policy is to raise equilibrium output. An appropriate governmental action in this situation is to A. Decrease government spending. B. Increase government taxes. C. Increase government spending. D. Increase government taxes and decrease government spending by equal amounts.

increase government spending

Which of the following methods may the Federal Reserve use to reduce inflationary pressures? A. Decrease reserve requirements. B. Increase margin requirements. C. Increase the money supply. D. Decrease the target interest rate.

increase margin requirements

In any competitive market, an increase in both demand and supply can be expected to always A. Increase both price and market-clearing quantity. B. Decrease both price and market-clearing quantity. C. Increase market-clearing quantity. D. Increase price.

increase market-clearing quantity

The most effective fiscal policy program to help reduce demand-pull inflation would be to A. Decrease the rate of growth of the money supply. B. Increase both taxes and government spending. C. Decrease taxes and increase government spending. D. Increase taxes and decrease government spending.

increase taxes and decrease government spending

An increase in the market supply of beef would result in a(n) A. Increase in the price of beef. B. Decrease in the demand for beef. C. Increase in the price of pork. D. Increase in the quantity of beef demanded.

increase the quantity of beef demanded

MacMan, Inc. reported the following data: 2019 2018 Amount Percentage Revenues $6370 $4940 $1430 28.95% Cost of goods sold 3450 2200 1250 56.82% Gross profit 2920 2740 180 6.57% Operating expenses: Sales and marketing expense 710 630 80 12.7% General and administrative expenses 410 425 -15 -3.53% Research and development expense 480 490 -10 -2.04% Other expense 440 710 (270) (38.03)% Total operating expenses 2040 2255 (215) (9.53)% Income before income tax 880 485 395 81.44% Income tax expense 260 240 $20 8.33% Net income (loss) $620 $245 $375 153.06% The horizontal analysis shows that cost of goods sold has ________. (Round your answer to two decimal places.) A) increased by 28.95% B) decreased by 28.95% C) increased by 56.82% D) decreased by 56.82%

increased by 56.82%

When the sales price per unit decreases, the breakeven point ________. A) increases B) decreases C) remains the same D) decreases proportionately

increases

A period of rising inflation A. Increases the price level, which benefits those who are entitled to receive specific amounts of money. B. Enhances the positive relationship between the price level and the purchasing power of money. C. Will not cause contracts that include the indexing of payments to change. D. Increases the price level, which is negatively related to the purchasing power of money.

increases the price level, which is negatively related to the purchasing power of money

Product demand increases and product supply decreases. Which of the following statements is correct regarding resulting market changes? (Price; Quantity) A. Decreases; Increases B. Uncertain; Increases C. Increases; Decreases D. Increases; Uncertain

increases; uncertain

Which of the following changes would most effectively halt a period of inflation? A. Decreasing interest rates by a large amount. B. Decreasing savings by a small amount. C. Increasing interest rates by a large amount. D. Increasing savings by a small amount.

increasing interest rates by a large amount

Which of the following actions is the acknowledged preventive measure for a period of deflation? A. Increasing interest rates. B. Increasing the money supply. C. Decreasing interest rates. D. Decreasing the money supply.

increasing the money supply

Because of the existence of economies of scale, business firms may find that A. Each additional unit of labor is less efficient than the previous unit. B. As more labor is added to a factory, increases in output will diminish in the short run. C. Increasing the size of a factory will result in lower average costs. D. Increasing the size of a factory will result in lower total costs.

increasing the size of a factory will result in lower average costs

Which of the following will be included in manufacturing overhead costs? A) indirect labor and indirect materials used B) salaries of salesmen C) direct materials and direct labor D) delivery costs to ship goods to customers

indirect labor and indirect materials used

The activity-based costing system improves the allocation of ________. A) indirect manufacturing costs B) direct labor C) direct materials D) sales commissions

indirect manufacturing costs

________ is the ability to identify a logical sequence in a problem and then solve the problem. A) Verbal comprehension B) Perceptual speed C) Inductive reasoning D) Spatial visualization E) Deductive reasoning

inductive reasoning

he Ohio State Studies narrowed the independent dimensions of leader behavior to two dimensions that substantially accounted for most of the leadership behavior described by employees: consideration and ________. A) employee-orientation B) empathy C) constructing vision D) initiating structure E) charisma

initiating structure

45) Which stage of the strategy-formulation framework contains the Internal-Factor Evaluation Matrix? A) Input stage B) Analysis stage C) Matching stage D) Decision stage E) Output stage

input stage

A(n) ________ organization is an organization that takes on a life of its own, apart from its founders or members and is valued for itself and not for the goods or services it produces. A) virtual B) matrix C) team D) institutionalized E) centralized

institutionalized

Patents, copyrights, and trademarks are examples of ________. A) short-term investments B) fixed assets C) long-term investments D) intangible assets

intangible assets

Motivation can be defined by three key elements. ________ is one of these three key elements and it is the element most of us focus on when we talk about motivation. A) Intelligence B) Experience C) Expertise D) Intensity E) Knowledge

intensity

The retained earnings of a corporation is ________. A) internally generated equity that is earned by profitable operations that is not distributed to stockholders B) externally generated equity that is contributed by shareholders C) externally generated equity that is acquired from banks and other creditors D) internally generated equity that is received from employee stock purchases

internally generated equity that is earned by profitable operations that is not distributed to stockholders

The value of money varies A. Directly with the tax rates. B. Directly with government spending. C. Directly with investment. D. Inversely with the general level of prices.

inversely with the general level of prices

Paolo has cerebral palsy, Quincy has kleptomania, and both work for Reality Insurance Company. Considered disabled under the Americans with Disabilities Act (ADA) of 1990: a. are Paolo and Quincy. b. is Paolo only. c. is Quincy only. d. is neither Paolo nor Quincy.

is Paolo only

The profit margin ratio ________. A) focuses on the liquidity of the business B) is computed by dividing net sales by net income C) shows how much gross profit a business earns on every $1.00 of sales D) is often compared to the industry average

is often compared to the industry average

The long-run average total cost (ATC) curve A. Is horizontal and parallel to the demand curve. B. Is strongly influenced by diminishing returns. C. Is the same as the rising portion of the marginal cost curve. D. Is ordinarily U-shaped.

is ordinarily U-shaped

If a normal good competes with 30 similar goods and all 31 goods give the consumer equal satisfaction, the demand for the normal good A. Is relatively elastic. B. Is relatively inelastic. C. Responds as an inferior good. D. Is perfectly inelastic.

is relatively elastic

If oil producers and retailers were to increase the price of gasoline for cars during the summer season by $.05 per gallon, these suppliers anticipate that the demand for gasoline A. Is relatively elastic. B. Is relatively inelastic. C. Responds as an inferior good. D. Is perfectly inelastic.

is relatively inelastic

The allowance method of accounting for uncollectible receivables ________. A) is used to measure bad debts B) violates the matching principle C) records bad debt expense in the period the accounts receivable is written off D) requires the use of a contra liability account.

is used to measure bad debts

For a manager, it is worth understanding the grapevine in the organization because ________. A) it is the least costly way of transmitting information B) it improves employee motivation C) it helps tap into employee anxieties D) it increases job satisfaction for the employees E) it improves team efficiency

it helps tap into employee anxieties

In addition to increasing the demand for lendable funds, government borrowing to finance large deficits has which of the following effects? A. It decreases the rate of inflation. B. It puts upward pressure on interest rates. C. It increases the supply of lendable funds. D. It exerts downward pressure on interest rates.

it puts upward pressure on interest rates

12) All of the following are guidelines for effective strategic planning except: A) it should be simple and nonroutine. B) it should be a learning process for all managers and employees. C) it should be a paper process more than a people process. D) it should not disregard qualitative information. E) it should not be a formal system for control.

it should be a paper process more than a people process

3) What is not a guideline given for effective strategic planning? A) Continually strengthen the "good ethics is good business" policy. B) It should not include jargon or arcane planning language .C) It should not be too formal, predictable, or rigid. D) It should welcome bad news. E) It should be controlled by "technicians."

it should be controlled by technicians

Investment Sales Corporation wants to monitor its employees' electronic communications. Investment Sales's best course of action to avoid liability under laws related to employee monitoring is to notify: a. no one. b. its employees. c. its clients. d. the public generally.

its employees

The ultimate source of an organization's culture is ________. A) its top management B) its environment C) the country in which the organization operates D) its founders E) the sociocultural backgrounds of its employees

its founders

The degree to which a person identifies with his or her job, actively participates in it, and considers his or her performance as being important to self-worth is ________. A) job satisfaction B) job involvement C) job stability D) organizational commitment E) social embeddedness

job involvement

What refers to a positive feeling about a job, resulting from an evaluation of its characteristics? A) job satisfaction B) job involvement C) job stability D) organizational commitment E) social investment

job satisfaction

Thad, Jamarcus, and Willy have been working for Davidson International each for three years. While the trio started together as analysts and are all still on the same team, Jamarcus has recently been made a team lead while Willy and Thad are still in their respective positions although Willy did receive a small raise after his last performance evaluation. Of the five major job attitudes, Jamarcus probably has the highest level of ________, while Willy probably has the highest level of ________. A) job satisfaction; perceived organizational support B) job satisfaction; organizational commitment C) organizational commitment; job involvement D) organizational commitment; job satisfaction E) job involvement; job satisfaction

job satisfaction; organizational commitment

To assist in detecting illegal bribes, Cut Rite Contractors, Inc., and all U.S. companies, must: a. conceal financial records that reveal past bribes. b. keep records that "accurately and fairly" reflect financial activities. c. make bribes through third parties rather than directly to officials. d. permit payments to foreign officials that are unlawful in that country.

keep records that "accurately and fairly" reflect financial acitivies

Eartha receives from Fergie a guitar stolen from Harper. To be criminally liable, Eartha must: a. know that Fergie is the thief. b. know that Harper is the true owner. c. know that the guitar is stolen. d. have paid for the guitar.

know that the guitsr is stolen

Biff wrongfully takes an unopened carton from a Cold Storage Warehouse loading dock, puts the carton in his car, and drives away. This is: a. burglary. b. robbery. c. larceny. d. no crime.

larceny

30) Financial objectives involve all of the following except: A) growth in revenues. B) larger market share. C) higher dividends .D) greater return on investment .E) a rising stock price.

larger market share

Which of the following inventory costing methods yields the lowest net income during a period of rising inventory costs? A) specific identification B) weighted-average C) last-in, first-out D) first-in, first-out

last-in, first-out

A government price support program will A. Lead to surpluses. B. Lead to shortages. C. Improve the rationing function of prices. D. Encourage firms to leave the industry.

lead to surpluses

Mitchell Company receives a bill from one of its suppliers for advertising services received and will pay the supplier next month. How does the receipt of the bill from the supplier affect the accounting equation of Mitchell? A) Assets and equity decrease. B) Liabilities increase and equity decreases. C) Assets and liabilities increase. D) Liabilities and equity increase.

liabilities increase and equity decreases

he Salaries Payable account is a(n) ________. A) liability account with a normal debit balance B) asset account with a normal debit balance C) liability account with a normal credit balance D) asset account with a normal credit balance

liability account with a normal credit balance

Innovative Manufacturing Company, a U.S. firm, signs a contract with Librador Corporacion, a Columbian firm, to give Librador the right to use Innovative's production processes. This is: a. a distribution agreement. b. a joint venture. c. direct exporting. d. licensing.

licensing

Research suggests which of the following relationships exists between the weather and mood? A) moderately positive effect B) moderately negative effect C) strong positive effect D) strong negative effect E) limited or little effect

limited or little effect

Under which of the following categories would bonds held as an investment for more than a year appear? A) current assets B) long-term liabilities C) long-term assets D) current liabilities

long-term assets

Teams that consist of team members that score ________ are more likely to perform poorly. A) high on conscientiousness B) high on openness to experience C) high on emotional stability D) low on extraversion E) low on agreeableness

low on agreeableness

According to the attribution theory, if a behavior scores ________, we tend to attribute it to external causes. A) low on distinctiveness B) high on adaptability C) low on consistency D) high on stability E) low on consensus

low on consistency

A country reduces its rate of monetary growth. Which of the following is the expected result for the country's economy? A. Higher net exports. B. Higher investment. C. Lower GDP growth. D. Lower interest rates.

lower GDP growth

If a government were to use only fiscal policy to stimulate the economy from a recession, it would A. Raise consumer taxes and increase government spending. B. Lower business taxes and government spending. C. Increase the money supply and increase government spending. D. Lower consumer taxes and increase government spending.

lower consumer taxes and increase government spending

To address the problem of a recession, the Federal Reserve Bank most likely would take which of the following actions? A. Lower the discount rate it charges to banks for loans. B. Sell U.S. government bonds in open-market transactions. C. Increase the federal funds rate charged by banks when they borrow from one another. D. Increase the level of funds a bank is legally required to hold in reserve.

lower the discount rate it charges to banks for loans

An employer is a monopsonist with respect to hiring labor, but it sells its product in a competitive market. Compared with a firm that must hire from a competitive labor market, the monopsonist will pay a A. Lower wage and hire fewer workers. B. Lower wage and hire more workers. C. Higher wage and hire fewer workers. D. Higher wage and hire more workers.

lower wage and hire fewer workers

In markets that are imperfectly competitive, such as monopoly and monopolistic competition, firms produce at an output at which A. Price equals marginal cost. B. Average costs are minimized. C. Price equals average cost. D. Marginal cost equals marginal revenue.

marginal cost equals marginal revenue

The change in total product resulting from the use of one unit more of the variable factor is known as A. The point of diminishing average productivity. B. Marginal product. C. Marginal cost. D. The point of diminishing marginal productivity.

marginal product

33) Burger King opening its first restaurant in Japan is an example of which type of strategy? A) Forward integration B) Backward integration C) Horizontal integration D) Market development E) Product development

market development

35) Which strategy seeks to increase market share of present products or services in present markets through greater marketing efforts? A) Market penetration B) Forward integration C) Market development D) Backward integration E) Product development

market penetration

43) Which stage in the strategy-formulation framework focuses on generating feasible alternative strategies?A) Input B) Output C) Decision D) Throughput E) Matching

matching

The accounting principle that ensures all expenses are recorded during the period when they are incurred and offsets those expenses against the revenues of the period is called the ________ principle. A) comparison B) accrual C) matching D) revenue recognition

matching

A major problem arising from the use of fiscal policy to help stimulate an economy is that there A. Are too few fiscal goals that have wide public support. B. May be an expansionary and, therefore, inflationary bias to such policies. C. Is too short a lag between recognizing an economic problem and implementing a cure. D. Is a balanced budget that promotes cyclical fluctuations.

may be an expansionary and, therefore, inflationary bias to such policies

The Montana Supreme Court rules against Natural Grocery Mart in a case against One Stop 2 Shop Stores, Inc. Natural Grocery files an appeal with the United States Supreme Court. The Court does not hear the case. This: a. is a decision on the merits that has value as a precedent. b. indicates agreement with the Montana court's decision. c. means nothing. d. means that the Montana court's decision is the law in Montana.

means that the Montana court's decision is the law in Montana

The competitive model of supply and demand predicts that a surplus can arise if there is a A. Maximum price above the equilibrium price. B. Minimum price below the equilibrium price. C. Maximum price below the equilibrium price. D. Minimum price above the equilibrium price.

minimum price above the equilibrium price

Bob's Big Burgers n' Shakes Restaurants brings a suit, seeking a remedy at law. A remedy at is usually a. monetary damages. b. a decree of specific performance. c. a judicial proceeding for the resolution of a dispute. d. an injunction.

monetary damages

A market with many independent firms, low barriers to entry, and product differentiation is best classified as A. A monopoly. B. Monopolistic competition. C. An oligopoly. D. Pure competition.

monopolistic competition

Which of the following terms best describes feelings that tend to be less intense than emotions? A) affect B) cognition C) moods D) thoughts E) reactions

moods

19) The I/O approach to competitive advantage advocates that external factors are ________ internal factors in a firm achieving competitive advantage. A) less important than B) as important as C) more important than D) more common than E) less common than

more important than

The distinguishing characteristic of oligopolistic markets is A. A single seller of a homogeneous product with no close substitute. B. A single seller of a heterogeneous product with no close substitute. C. Lack of entry and exit barriers in the industry. *D. Mutual interdependence of firm pricing and output decisions.

mutual interdependence of firm pricing and output decisions

Liz and Moss disagree over the amount due under their contract. To avoid involving any third party in the resolution of their dispute, Liz and Moss might prefer to use the alternative dispute resolution method of: a. arbitration. b. litigation. c. mediation. d. negotiation.

negotiation

The least expensive method of resolving a dispute between Ronald and Sharon may be a. arbitration because the case will be heard by a mini-jury. b. litigation because each party will pay its own legal fees. c. mediation because the dispute will be resolved by a non-expert. d. negotiation because no third parties are needed.

negotiations because no third parties are needed

Adjusting entries are needed to correctly measure the ________. A) ending balance in the Cash account B) net income (loss) on the balance sheet C) net income (loss) on the income statement D) beginning balance in the Cash account

net income (loss) on the income statement

Contribution margin ratio is the ratio of contribution margin to ________. A) net sales revenue B) cost of goods sold C) total variable costs D) total fixed costs

net sales revenue

Food Packagers Union represents the workers of Garden Variety, Inc. The company does not require its new hires to join the union as a prerequisite to obtaining employment. Food Packagers would like Garden Variety to require the workers to join after a specified amount of time on the job. This would violate: a. federal labor law. b. federal immigration law. c. federal wage and hour laws. d. no federal law.

no federal law

Maia hires Nero, a real estate broker, to sell her warehouse. The warehouse burns down before being sold. Nero is: a. Maia's agent until Maia's insurer pays Nero's commission. b. Maia's agent until the burnt warehouse is sold. c. Maia's agent until the warehouse is rebuilt and sold. d. no longer Maia's agent.

no longer Maia's agent

Each of the following is a limitation of GDP's usefulness as a measure of a nation's prosperity except A. No practical means are available to compare real GDP from different time periods. B. GDP leaves out intermediate goods. C. Increases in GDP often involve environmental damage. D. Cash-only economic activity is not counted in GDP.

no practical means are available to compare real GDP from different time periods

Which of the following is an assumption in a perfectly competitive financial market? A. No single trader or traders can have a significant impact on market prices. B. Some traders can impact market prices more than others. C. Trading prices vary based on supply only. D. Information about borrowing/lending activities is only available to those willing to pay market prices.

no single trader or traders can have a significant impact on market prices

The velocity of money is generally measured as a ratio of the A. Nominal gross domestic product to the money supply. B. Value of domestic manufactured goods to the money supply. C. Total federal debt to the money supply. D. Value of imported and exported goods to the money supply.

nominal gross domestic product to the money supply

The amounts paid to laborers are A. Real wages. B. Nominal wages. C. Productivity wages. D. Minimum wages.

nominal wages

OK Dry-Cleaning advertises so effectively that the regular customers of its competitor Purity Cleaners patronize OK instead of Purity. This is: a. appropriation. b. conversion. c. wrongful interference with a contractual relationship. d. none of the choices.

none of the choices

Which of the following statements regarding leadership is true? A) All leaders are managers. B) Formal rights ensure good leadership. C) All managers are leaders. D) All leaders are hierarchically superior to followers. E) Nonsanctioned leadership is as important as formal influence.

nonsanctioned leadership is as important as formal influence

If both the supply and the demand for a good increase, the market price will A. Rise only in the case of an inelastic supply function. B. Fall only in the case of an inelastic supply function. C. Not be predictable with only these facts. D. Rise only in the case of an inelastic demand function.

not be predictable with only these facts

Mr. Smith is hired as a consultant to a firm in a perfectly competitive industry. At the current output level the price is $20, the average variable cost is $15, average total cost is $22, and marginal cost is $20. In order to maximize profits in the short-run, Mr. Smith will recommend that the firm should A. Not change output. B. Decrease production. C. Increase production. D. Shut down.

not change output

Which of the following is the most appropriate cost driver for allocating the cost of warranty services? A) number of employees B) number of materials purchased C) number of machine hours D) number of service calls

number of service calls

9) Specific results an organization seeks to achieve in pursuing its basic mission are A) strategies. B) rules. C) objectives .D) policies. E) tenets.

objectives

For a manufacturing company, which of the following is a period cost? A) direct materials used B) office rent C) wages expense of factory workers D) indirect materials used

office rent

The kinked demand curve is associated with the analysis of A. Agricultural markets. B. Monopolistic competition. C. Pure competition. D. Oligopoly.

oligopoly

Which type of market structure is most apt to demonstrate "price leadership" by a major firm followed by other firms in the industry? A. Pure competition. B. Monopoly. C. Monopolistic competition. D. Oligopoly.

oligopoly

Economic markets that are characterized by monopolistic competition have all of the following characteristics except A. One seller of the product. B. Economies or diseconomies of scale. C. Advertising. D. Differentiated products.

one seller of the product

Which of the following instruments of monetary policy is the most important means by which the money supply is controlled? A. Open market operations. B. Manipulation of government spending. C. Changing the discount rate. D. Changing tax rates.

open market operations

Teams that are composed of people who score high on ________ are more creative and innovative. A) emotional stability B) agreeableness C) openness to experience D) extraversion E) conscientiousness

openness to experience

Holly is a highly motivated professional who likes to take on new tasks and makes certain that everything she does is done to perfection. In which two of the Big Five personality traits would Holly most likely score high? A) conscientiousness and emotional stability B) emotional stability and extroversion C) extroversion and openness to experience D) openness to experience and emotional stability E) extroversion and conscientiousness

openness to experience and emotional stability

Which of the following is the typical order of the sections on a statement of cash flows? A) operating, financing, investing B) financing, investing, operating C) investing, operating, financing D) operating, investing, financing

operating, investing, financing

The measurement of the benefit lost by using resources for a given purpose is A. Economic efficiency. B. Opportunity cost. C. Comparative advantage. D. Absolute advantage.

opportunity cost

________ influences employees' behavior so strongly that organizations have started employing specific employees to preserve the status quo of the company. A) Organizational culture B) Socio-economic environment C) Politics D) Human resources E) Social media

organizational culture

Which of the following statements is true regarding perception? A) Our perception of reality is independent of our personality. B) The context of the situation in which the perception is made has little effect on our perception of reality. C) Our perception of reality can be different from the objective reality. D) Our perception of reality is independent of our past experiences. E) We form a perception of a target by looking at it in isolation.

our perception of reality can be different from the objective reality

42) When companies take over functional operations of other firms, such as human resources, information systems, payroll, accounting, or customer service, this is called A) marketing. B) outsourcing. C) licensing. D) franchising. E) divestiture.

outsourcing

Elementals, Inc., makes computer chips identical to Flik Quik Corporation's patented chip, except for slight differences in the "look," without Flik's permission. This is most likely: a. copyright infringement. b. patent infringement. c. trademark infringement. d. none of the choices.

patent infringement

Economies and diseconomies of scale are important determinants of the A. Type of product demand faced by individual firms. B. Market demand curve. C. Pattern of costs in the long run. D. Law of diminishing returns.

pattern of costs in the long run

Steel Production Industries, Inc., employs five hundred workers. For the Occupational Safety and Health Administration (OSHA), Steel Production must do all of the following except a. keep occupational injury and illness records for each employee. b. report any work-related diseases. c. report any employee death due to a work-related incident within eight hours. d. pay employees higher wages for working in more dangerous areas.

pay employees higher wages for working in more dangerous areas

Which of the following options describes the phases of business cycle, in order of occurrence? A. Recession, recovery, trough, peak. B. Peak, recession, trough, recovery. C. Peak, recovery, trough, recession. D. Trough, recession, recovery, peak.

peak, recession, trough, recovery

The employees of Eco Engineering Inc. share company-related resources among multiple computers without requiring a central network server. This is: a. digital sampling. b. cybersquatting. c. cloud computing. d. peer-to-peer (P2P) networking.

peer-to-peer (P2P) networking

According to the Myers-Briggs Type Indicator (MBTI) classification, people belonging to the "________" type are flexible and spontaneous. A) thinking B) extraverted C) introverted D) feeling E) perceiving

perceiving

Robbie and Brent are both coaches for a city youth baseball league which has recently experienced a five game losing streak. Robbie is concerned that the team is not practicing enough while Brent thinks that it is just a slump. The discrepancy within their thoughts is explained by ________. A) bounded rationality B) Halo Effect C) perceptual issue D) intuition E) escalation of commitment

perceptual issue

If the coefficient of elasticity is zero, then the consumer demand for the product is said to be A. Perfectly inelastic. B. Perfectly elastic. C. Unit inelastic. D. Unit elastic.

perfectly inelastic

11) Which of the following is not included in the strategic management model? A) Measure and evaluate performance B) Perform internal research to identify customers C) Establish long-term objectives D) Implement strategies E) Develop mission and vision statements

perform internal research to identify customers

According to the expectancy theory, which of the following relationships indicates the degree to which the individual believes that a particular level of output will lead to the attainment of a desired outcome? A) performance-reward B) effort-performance C) rewards-personal goals D) effort-satisfaction E) performance-achievement

performance-reward

An account that is not closed at the end of the period is called a(n) ________. A) expense account B) temporary account C) permanent account D) revenue account

permanent account

n the context of Fiedler's model, the situational dimension termed ________ relates to the degree of influence a leader has over power variables such as hiring, firing, discipline, promotions, and salary increases. A) task structure B) leader-member exchange C) position power D) initiating structure E) leader-member relations

position power

Atlanta Company sold equipment for cash. The income statement shows a gain on the sale of $1020. The net book value of the asset was $3710. Which of the following statements describes the cash effect of the transaction? A) negative cash flow of $4730 for financing activities B) negative cash flow of $2690 for operating activities C) positive cash flow of $4730 from investing activities D) positive cash flow of $2690 from investing activities

positive cash flow of $4730 from investing activities

Which of the following indicates that the economy is in a recessionary phase? A. The rate of unemployment decreases. B. The purchasing power of money declines rapidly. C. Potential national income exceeds actual national income. D. There is a shortage of essential raw materials, and costs are rising.

potential national income exceeds actual national income

Job candidates who prefer ________ are likely to seek out and take employment in mechanistic structures, and those who want ________ are more likely to end up in an organic structure. A) predictability; autonomy B) centralization; decentralization C) job satisfaction; job security D) simple structure; matrix structure E) virtual organizations; team organizations

predictability; autonomy

One issue that does seem to differ between men and women, especially when the employee has preschool-age children, is ________. A) preference for work schedules B) willingness to conform C) willingness to learn new skills D) the ambition to excel E) greater employee participation

preference for work schedules

A supply curve illustrates the relationship between A. Price and quantity supplied. B. Price and consumer tastes. C. Price and quantity demanded. D. Supply and demand.

price and quantity supplied

All of the following actions are valid tools that the Federal Reserve Bank uses to control the supply of money except A. Buying government securities. B. Selling government securities. C. Changing the reserve ratio. D. Printing money when the level of M1 appears low.

printing money when the level of M1 appears low

Jon, a law enforcement official, monitors Kelsey's Internet activities—e-mail and Web site visits—to gain access to her personal financial data and student information. This may violate Kelsey's right to: a. equal protection. b. privacy. c. due process. d. engage in interstate commerce.

privacy

Which of the following is not a characteristic of organizational culture? A) attention to detail B) innovation and risk taking C) process orientation D) team orientation E) outcome orientation

process orientation

Compared with firms in a perfectly competitive market, a monopolist tends to A. Produce substantially less but charge a higher price. B. Produce substantially more and charge a higher price. C. Produce the same output and charge a higher price. D. Produce substantially less and charge a lower price.

produce substantially less but charge a higher price

The basic source of improvements in real wage rates and in the standard of living is A. Inflation growth. B. Aggregate capital stock growth. C. Labor force growth. D. Productivity growth.

productivity growth

Employees' beliefs in the degree to which they influence their work environment, their competence, the meaningfulness of their job, and their perceived autonomy is termed as ________. A) psychological empowerment B) organizational commitment C) perceived organizational support D) employee engagement E) job satisfaction

psychological empowerment

Which of the following strategies would the Federal Reserve most likely pursue under an expansionary policy? A. Purchase federal securities and lower the discount rate. B. Reduce the reserve requirement while raising the discount rate. C. Raise the reserve requirement and lower the discount rate. D. Raise the reserve requirement and raise the discount rate.

purchase federal securities and lower the discount rate

The Federal Reserve wishes to conduct expansionary monetary policy. Which of the following policy approaches will be most successful? A. Sell government securities and raise the required reserve ratio. B. Sell government securities and lower the discount rate. C. Purchase government securities and raise the required reserve ratio. D. Purchase government securities and lower the discount rate.

purchase government securities and lower discount rate

Which of the following is not included in the gross domestic product (GDP)? A. Purchase of a new home. B. Investment in new computers. C. A doctor's fee. D. Purchase of common stock.

purchase of common stock

3) Which analytical tool determines the relative attractiveness of various strategies based on the extent to which key external and internal critical success factors are capitalized? A) BCG Matrix B) SPACE Matrix C) SWOT Matrix D) IE Matrix E) QSPM

qspm

44) Which strategy-formulation technique reveals the relative attractiveness of alternative strategies and thus provides an objective basis for selecting specific strategies? A) SWOT B) SPACE C) QSPM D) IFE E) CPM

qspm

If the price elasticity of demand for a normal good is estimated to be 2.5, a 5% reduction in its price causes A. Total revenue to fall by 5%. B. Total revenue to fall by 12.5%. C. Quantity demanded to rise by 12.5%. D. Quantity demanded to decrease by 5%.

quantity demanded to rise by 12.5%

If the price elasticity of demand for a normal good is estimated to be 1.5, a 10% reduction in its price would cause A. Total revenue to fall by 10%. B. Total revenue to fall by 15%. C. Quantity demanded to rise by 15%. D. Demand to decrease by 10%.

quantity demanded to rise by 15%

X and Y are substitute products. If the price of product Y increases, the immediate impact on product X is that its A. Price will increase. B. Quantity demanded will increase. C. Quantity supplied will increase. D. Price, quantity demanded, and supplies will increase.

quantity demanded will increase

A company has a policy of frequently cutting prices to increase sales. Product demand is significantly elastic. What impact would this have on the company's situation? A. Quantity increases proportionally more than the price declines. B. Quantity increases proportionally less than the price declines. C. Price increases proportionally more than the quantity declines. D. Price increases proportionally less than the quantity declines.

quantity increases proportionally more than the price declines

The consensus of economic forecasts indicates that consumer prices are likely to increase because of increases in aggregate demand. Which of the following outcomes is most likely to occur as prices increase? A. Quantity of output increases if there is capacity to produce. B. Unemployment increases. C. Profits fall if all costs are fixed. D. Profits rise even if costs increase.

quantity of output increases if there is capacity to produce

49) How would a division with a low relative market share position in a high growth industry be described? A) Question Mark B) Cash Cow C) Star D) Stuck-in-the-middle E) Dog

question mark

The prime rate is the A. Size of the commitment fee on a commercial bank loan. B. Effective cost of a commercial bank loan. C. Effective cost of commercial paper. D. Rate charged on business loans to borrowers with high credit ratings.

rate charged on business loans to borrowers with high credit ratings

What does the consumer price index measure? A. Cost of capital. B. Average household income. C. Rate of inflation. D. Prime rate of interest.

rate of inflation

Research has shown that there is a link between our emotions and our ability to be ________. A) successful B) rational C) professional D) a mentor E) healthy

rational

One of the measures economists and economic policy makers use to gauge a nation's economic growth is to calculate the change in the A. Money supply. B. Total wages. C. General price level. D. Real per capita output.

real per capita output

Diana has noticed that many of her coworkers at Bubble, Inc., have been laid off over the past year due to low profits. Also, prices were lowered recently due to economic conditions. Even though Diana is worried about her future at Bubble, she has noticed that employment has risen over the past month and that prices are slowly increasing. Because other companies have had the same experience, what phase of the business cycle is the economy currently in? A. Peak. B. Recession. C. Trough. D. Recovery.

recovery

A business cycle is a record of the A. Currently hottest trends in consumer purchases. B. Duration of a company from its founding date to its dissolution date. C. Recurrent fluctuations that occur in time series data for key macro variables such as real GDP. D. Average duration of product cycles, from introduction to obsolescence.

recurrent fluctuations that occur in time series data for key macro variables such as real GDP

An economy is at the peak of the business cycle. Which of the following policy packages is the most effective way to dampen the economy and prevent inflation? A. Increase government spending, reduce taxes, increase money supply, and reduce interest rates. B. Reduce government spending, increase taxes, increase money supply, and increase interest rates. C. Reduce government spending, increase taxes, reduce money supply, and increase interest rates. D. Reduce government spending, reduce taxes, reduce money supply, and reduce interest rates.

reduce government spending, increase taxes, reduce money supply, and reduce interest rates

According to fiscal policy principles, a tax increase will A. Increase spending and increase aggregate demand. B. Increase spending and reduce aggregate demand. C. Reduce spending and increase aggregate demand. D. Reduce spending and reduce aggregate demand.

reduce spending and reduce aggregate demand

Which of the following Federal Reserve policies would increase the money supply? A. Change the multiplier effect. B. Increase reserve requirements. C. Reduce the discount rate. D. Sell more U.S. Treasury bonds.

reduce the discount rate

55) A firm uses information technology to break down functional barriers and create a work system based on business processes, products, or outputs rather than on functions or inputs in A) restructuring. B) benchmarking. C) reengineering. D) rightsizing. E) delayering.

reengineering

Joy invites Ken into her apartment. Ken commits trespass to land if he: a. enters the apartment with fraudulent intent. b. harms the apartment in any way. c. makes disparaging remarks about Joy to others. d. refuses to leave when Joy asks him to go.

refuses to leave when Joy asks him to go

At its core, reinforcement theory contends that ________ condition(s) ________. A) outcomes; motivation B) motivation; self-fulfilling prophecy C) self-fulfilling prophecy; reinforcement D) reinforcement; behavior E) behavior; outcomes

reinforcement; behavior

36) Adding new, related products or services for present customers is called A) forward integration. B) related diversification. C) backward integration. D) conglomerate diversification. E) unrelated diversification.

related diversification

Entry into monopolistic competition is A. Blocked. B. Difficult, with significant obstacles. C. Rare, as significant capital is required. D. Relatively easy, with only a few obstacles.

relatively easy, with only a few obstacles

If a product has a price elasticity of demand of 2.0, the demand is said to be A. Perfectly elastic. B. Perfectly inelastic. C. Relatively elastic. D. Relatively inelastic.

relatively elastic

When a 5% fall in the price of athletic shoes causes the quantity demanded to increase by 10%, the demand for athletic shoes is said to be A. Perfectly inelastic. B. Relatively elastic. C. Unit elastic. D. Relatively inelastic.

relatively elastic

When the total fixed costs increase, the contribution margin per unit ________. A) increases B) decreases C) increases proportionately D) remains the same

remains the same

Which of the following is not an action characteristic of an organization in flux? A) replacing temporary workers with permanent ones B) reorganizing divisions C) downsizing operations D) subcontracting noncritical services and operations to other organizations E) selling off poorly performing divisions

replacing temporary workers with permanent ones

The manner in which cartels set and maintain price above the competitive market price is to A. Avoid product differentiation in order to decrease demand for the product. B. Advertise more so market demand increases. C. Increase costs so price must rise. D. Require cartel members to restrict output.

require cartel members to restrict output

The expected value of a depreciable asset at the end of its useful life is called ________. A) book value B) residual value C) depreciation expense D) accrued expense

residual value

Which of the following is NOT core topic of organizational behavior? A) motivation B) attitude development C) conflict D) resource allocation E) work design

resource allocation

The Waymand family typically ate hamburger as a staple in their diet. In the last few years, the family's income has doubled, and they have now replaced hamburger with steak as a staple in their diet. This is an example in which the demand for hamburge A. Is relatively elastic. B. Is perfectly elastic. C. Is relatively inelastic. D. Responds as an inferior good.

responds as an inferior good

According to the two-factor theory, ________ is a motivating factor. A) better company policy B) quality of supervision C) responsibility D) job security E) pay

responsibility

________ is the equity earned by profitable operations that is not distributed to stockholders. A) Assets B) Dividend C) Retained earnings D) Common stock

retained earnings

Elsa participates in an investigation into possible violations of the Civil Rights Act of 1964 at Fabrication Foundry, Inc., where she works. As a result, Elsa's employer demotes her. Elsa can file a: a. harassment complaint. b. retaliation claim. c. constructive discharge claim. d. disparate-impact discrimination claim.

retaliation claim

38) Smithfield Foods laying off 1,800 employees, closing 6 of its 40 plants, and cutting production by 10 percent in 2009 in efforts to stop the liquidity drain on the firm is an example of A) divestiture .B) backward integration. C) liquidation. D) retrenchment. E) forward integration.

retrenchment

39) Smithfield Foods laying off 1,800 employees, closing 6 of its 40 plants, and cutting production by 10 percent in 2009 in efforts to stop the liquidity drain on the firm is an example of A) divestiture. B) backward integration. C) liquidation. D) retrenchment. E) forward integration.

retrenchment

51) Which strategy would be most appropriate for a division classified as a Dog? A) Market penetration B) Market development C) Product development D) Retrenchment E) Forward integration

retrenchment

Falser Co. increases all of its input factors by 100%, resulting in increased output of 90%. Which of the following statements identifies the effect of this change? A. Marginal returns rise. B. Marginal costs decrease. C. Returns to scale increase. D. Returns to scale decrease.

returns to scale decrease

Maxwell Plumbing Services earned $500 by completing a job for Smith Company. The $500 earned by Maxwell Plumbing Services is its ________. A) revenue B) equity C) gain D) debt

revenue

Jill is an excellent technical writer. She has never missed a deadline and all her projects are of superior quality. She now wants to telecommute two days a week, so that she can spend more time with her family. She feels that she has proven her reliability. However, her boss is unable to comply with her request and gives her a substantial raise instead. Jill's disappointment demonstrates a breakdown in the ________ relationship. A) performance-reward B) effort-performance C) rewards-personal goals D) effort-satisfaction E) performance-achievement

rewards-personal goals

23) According to Porter, what is usually the most powerful of the five competitive forces? A) Potential development of substitute products B) Bargaining power of suppliers C) Bargaining power of consumers D) Rivalry among competing firms E) Potential entry of new competitors

rivalry among competing firms

Maura enters a gas station and points a gun at the clerk Nate. She then forces Nate to open the cash register and give her all the money. Maura can be charged with: a. burglary. b. robbery. c. larceny. d. receiving stolen property.

robbery

Zach is devout and very active in his church. He is also a very dedicated employee. His manager offers him a promotion but the new role will require him to work Sundays. Zach would like the promotion, but realizes that it would force him to miss some church activities. In such a situation, Zach is most likely to experience ________. A) role conflict B) emotional contagion C) cognitive dissonance D) emotional labor E) self-concordance

role conflict

Which of the following would be considered a period cost for a manufacturing company? A) indirect materials B) factory utilities C) direct labor D) sales salaries

sales salaries

58) Strategy, as compared to chess, is: A) Science, Art and Compromise B) Art, Sport and Tactics C) Science, Sport and Finance D) Science, Art and Sport E) None of the above

science, art and sport

If we consider Maslow's hierarchy of needs in the context of Japan, Greece, and Mexico, where uncertainty-avoidance characteristics are strong, then ________ needs would be on top of the hierarchy. A) self-actualization B) security C) social D) esteem E) growth

security

The main difference between the ideas of self-efficacy and self-esteem is ________. A) self-efficacy cannot be improved B) self-esteem is often baseless C) self-efficacy refers specifically to tasks D) both A and B E) both A and C

self-efficacy refers specifically to tasks

According to the Myers-Briggs Type Indicator (MBTI) classification, people belonging to the "________" type are practical and prefer routine and order. A) sensing B) introverted C) feeling D) perceiving E) extraverted

sensing

Groups of approximately ________ members tend to be more effective for taking action. A) two B) seven C) eleven D) sixteen E) twenty-one

seven

A decrease in the price of a complementary good will A. Shift the demand curve of the other commodity to the left. B. Increase the price paid for a substitute good. C. Shift the supply curve of the other commodity to the left. D. Shift the demand curve of the other commodity to the right.

shift the demand curve of the other commodity to the right

If the Federal Reserve raises the discount rate, which of the following effects is likely to occur? A. Fixed interest rates on mortgages will decrease. B. Short-term interest rates will likely increase. C. Consumer spending will increase. D. Corporate profits will increase.

short-term interest rates will likely increase

Individuals high in self-monitoring ________. A) show considerable adaptability in adjusting their behavior to external situational factors B) are pragmatic, maintain emotional distance, and believe ends can justify means C) have a grandiose sense of self-importance, require excessive admiration, and are arrogant D) are easily distracted, disorganized, and unreliable E) tend to dislike themselves and view themselves as powerless over their environment

show considerable adaptability in adjusting their behavior to external situational factors

An industry that is oligopolistic would be best characterized by A. One firm selling a product with no close substitutes. B. The absence of the profit-maximizing goal. C. Significant barriers to entry. D. Horizontal or flat demand curves for the output of individual firms.

significant barriers to entry

Local electric utilities are considered to be natural monopolies because, for these firms, A. Supply curves are upward sloping. B. Demand curves are upward sloping. C. Average total costs never fall. D. Significant economies of scale are present.

significant economies of scale are present

Economic growth can be depicted as all of the following except: A. An outward shift in the aggregate supply curve with a fixed aggregate demand curve. B. An outward shift in the aggregate demand curve with a fixed aggregate supply curve. C. Simultaneous outward shifts in both the aggregate supply and aggregate demand curves. D. Simultaneous inward shifts in both the aggregate supply and aggregate demand curves.

simultaneous inward shifts in both the aggregate supply and aggregate demand curves

Contingency theories focus on the ________ that impact leadership success. A) leader's personal characteristics and qualities B) leader's abilities to inspire and transform followers C) situational variables D) values and ethics E) aspects of the leader's behavior

situational variables

Which of the following terms indicates the tendency of individuals to spend less effort when working collectively? A) groupthink B) collective efficacy C) social loafing D) groupshift E) clustering

social loafing

Research suggests that when members feel confident to ________ without fear of punishment, ________ can be beneficial and boost team performance. A) speak up; training sessions B) complain; training sessions C) complain; conflict D) speak up; conflict E) speak up; gossip

speak up; conflict

Which of the following is not a form of non-price competition typical under monopolistic competition? A. Advertising. B. Product differentiation. C. Product quality. D. Special discounts.

special discounts

Which of the following will most likely be considered an indirect material cost for a bakery? A) spices B) flour C) milk D) eggs

spices

Which one of the following is a characteristic of pure competition? A. Mutual interdependence. B. Significant research and development programs. C. Product differentiation. D. Standardized product.

standardized product

50) When a division of an organization has a high relative market share and is in a fast-growing industry, it is called a A) Star. B) Cash Cow. C) Cat. D) Question Mark. E) Dog.

star

Jason Repair Corporation incurred $1,500 as advertising expense and promised to pay the advertising agency within 30 days. Which of the following will decrease as a result of this transaction? A) Assets B) Stockholders' equity C) Liabilities D) Revenues

stockholders' equity

Nunya is a computer software company that employs highly intelligent, but somewhat unusual people. Every Friday, free lollipops, toys, or other treats are given out to encourage employees to remember how creative they were when they were children. All the new members of the organization are told about the founders who were three young people who "got lucky" and sold a video game that they invented. The employees are allowed to dress informally and can set their own working hours. Informing employees about the founders is an example of which technique for transmitting culture? A) stories B) material symbols C) language D) rituals E) corporate chants

stories

3) An important activity in ________ is taking corrective action. A) strategy evaluation B) strategy implementation C) strategy formulation D) strategy leadership E) all of the above

strategic evaluation

7) Which individuals are most responsible for the success and failure of an organization? A) Strategists B) Financial planners C) Personnel directors D) Stakeholders E) Human resource managers

strategist

4) Which phase of strategic management is called the action phase? A) Strategy formulation B) Strategy implementation C) Strategy evaluation D) Allocating resources E) Measuring performance

strategy implementation

Which of the following is not one of the characteristics of a spiritual organization? A) Benevolence B) Strong sense of purpose C) Trust and respect D) Open-mindedness E) Strong religious foundation

strong religious foundation

Which of the following types of unemployment typically results from technological advances? A. Cyclical. B. Frictional. C. Structural. D. Short-term.

structural

In a capitalistic society, it is not considered possible to have 100% employment of the labor force. Therefore, full employment is defined as something less than 100% employment because of the existence of A. Structural and cyclical unemployment. B. Structural and frictional unemployment. C. Cyclical and frictional unemployment. D. Frictional and part-time unemployment.

structural and frictional unemployment

Unemployment that is caused by a mismatch between the composition of the labor force (in terms of skills, occupation, industries, or geographic location) and the makeup of the demand for labor is called A. Real wage unemployment. B. Deficient-demand unemployment. C. Frictional unemployment. D. Structural unemployment.

structural employment

Which of the following categories best describes auto workers whose jobs have been replaced by computer-driven robots and are actively seeking employment in new industries? A. Structural unemployment. B. Cyclical unemployment. C. Frictional unemployment. D. Discouraged workers.

structural unemployment

The rate of unemployment caused by changes in the composition of employment opportunities over time is referred to as the A. Frictional unemployment rate. B. Cyclical unemployment rate. C. Structural unemployment rate. D. Full employment unemployment rate.

structural unemployment rate

Participative management is a method of management where ________. A) representatives of workers form work councils and these councils must be consulted when management makes decisions about employees B) few representatives of workers sit on a company's board of directors C) subordinates share a significant degree of decision-making power with their immediate superiors D) low-level workers meet occasionally with the CEO to discuss problems within their department E) low-level workers are responsible for making corporate policy decisions

subordinates share a significant degree of decision-making power with their immediate superiors

Justice For All, a political organization, files a claim to challenge a Colorado statute that limits the liberty of all persons to broadcast "annoying" radio commercials. This claim is most likely based on the right to a. equal protection of the law. b. privacy. c. procedural due process. d. substantive due process.

substantive due process

To match expenses against revenues means to ________. A) add expenses incurred during one period to revenues earned during that same period B) subtract expenses incurred during one period from revenues earned during the previous period C) add expenses incurred during one period to revenues earned during the previous period D) subtract expenses incurred during one period from revenues earned during that same period

subtract expenses incurred during one period from revenues earned during that same period

Ballpark Sportsfield, Inc., files a suit against Concessions & Tailgate Services. The document that informs Concessions & Tailgate that it must file an answer within a specified time period is the __________ a. answer b. complaint c. respondent d. summons

summons

65) Which of the following is not an essential skill for managers? A) Tactical B) Conceptual C) Diagnostic D) Technical E) Political

tactical

A positive organizational culture emphasizes all of the following except which? A) building employee strengths B) tailoring positions to encourage work life balance C) rewarding more than it punishes D) encouraging individual vitality E) encouraging individual growth

tailoring positions to encourage work life balance

Anya is a graphic designer in a firm specializing in making logos for their clients. Last week, she got client specifications on how to make a new logo. She was able to create a prototype, and having got it initially reviewed by her immediate supervisor, she made changes until the client was satisfied with her final product. Based on this description, it's safe to say that Anya's job is high in ________ and ________. A) task significance; feedback B) autonomy; skill variety C) feedback; skill variety D) task identity; feedback E) skill variety; autonomy

task identity; feedback

61) The initiator of Scientific Management was: A) Taylor B) Drucker C) McGregor D) Weber E) von Bertalanaffy

taylor

Individuals with a positive ________ identity but without a positive ________ identity can become fixed to their teams and unwilling to coordinate with other teams within the organization. A) organizational; self-efficacy B) self-efficacy; virtual C) virtual; individual D) individual; team E) team; organizational

team; organizational

Preferred stock is stock ________. A) that sells for a high price B) that is distributed to employees as annual bonuses C) that is distributed by corporations to avoid liquidation D) that gives its owners certain advantages over common stockholders

that gives its owners certain advantages over common stockholders

A decision by the federal Environmental Protection Agency (EPA) on the amount of carbon that can be emitted from a car's exhaust system conflicts with a California state law. In this situation, under the supremacy clause of the U.S. Constitution a. both the decision and the law are invalid. b. both the decision and the law apply concurrently. c. California's law takes precedence. d. the EPA's decision takes precedence.

the EPA's decision takes precedence

Leadership is best defined as ________. A) the ability to influence a group toward the achievement of a vision or set of goals B) the process of drawing up formal plans and monitoring their implementation C) the process of carrying out the vision and strategy provided by management D) the process of coordinating and staffing the organization and handling day-to-day problems E) the proper use of the influence gained exclusively as a result of one's organizational position

the ability to influence a group toward the achievement of a vision or set of goals

The emotional or feeling component of a person's attitude is called ________. A) complex understanding B) the cognitive component C) the affective component D) a complex attitude E) the behavior component

the affective component

Standard business company appeals a decision against it, in favor of Fast Delivey Corporation, from a lower court to a higher court. Standard is a. the appellant. b. the appellee. c. the defendant. d. the plaintiff.

the appellant

Janice is spending the summer working as an intern writing copy for a local firm. Today Janice's senior editor sent back some of Janice's work covered in red ink corrections. Up until now, all of Janice's work had been corrected in green or blue ink. Janice is upset and worried that her senior editor doesn't like her.Which component of an attitude is not represented in the previous scenario? A) the positive component B) the cognitive component C) the affective component D) the negative component E) the behavioral component

the behavioral component

Which of the following statements is true if the variable cost per unit increases while the sales price per unit and total fixed costs remain constant? A) The breakeven point decreases. B) The contribution margin increases. C) The breakeven point remains the same. D) The breakeven point increases.

the breakeven point increases

Marginal revenue is A. Equal to price in monopolistic competition. B. The change in total revenue associated with increasing prices. C. Greater than price in pure competition. D. The change in total revenue associated with producing and selling one more unit.

the change in total revenue associated with producing and selling one more unit

Which of the following concepts represent the time value of money? A) the concept that money becomes obsolete over time B) the concept that money earns interest over time C) the concept that money loses its purchasing power over time D) the concept that money can be converted into other currencies over time

the concept that money earns interest over time

Parker owns and operates Rancho Mirage Corporation, a destination resort in Arizona that features horseback riding and bunkhouse accommodations. The U.S. Constitution provides that no person shall be deprived of "life, liberty, or property without due process of law." Included as "legal persons" under this clause are: a. the bunkhouses and other "manmade creations." b. the corporation and Parker. c. horses and other "beings in nature." d. none of the choices.

the corporation and Parker

Lewis wants to file a suit against Mikayla. Before any court can hear the case: a. the parties to the dispute must agree. b. the court must have jurisdiction. c. the court must issue a deposition. d. the parties must own property.

the court must have jurisdiction

Which of the following would most likely be accounted for using a job order costing system? A) the production of potato chips B) the production of sports energy drinks C) the creation of wedding photography portraits D) the refining of gasoline

the creation of wedding photography portraits

McHenry, a New York resident, files a suit in a New York state court against OneWorld Inc., a company based in California. OneWorld's only contact with McHenry is the company's app, which McHenry downloaded while traveling across the United States. According to the sliding-scale analysis, the factor most likely to confer jurisdiction on the New York court is: a. the geographical distance between McHenry and OneWorld. b. the degree of interactivity via the app between McHenry and OneWorld. c. OneWorld's location when the app was created. d. McHenry's location when the app was downloaded.

the degree of interactivity via the app between McHenry and OneWorld

Derived demand can best be described as A. The demand derived purely from the market structure of a particular industry. B. The demand for a final product generated by the demand for a complementary good. C. The demand for an input generated by the demand for the final product. D. The demand for a final product generated by an abundant supply of inputs.

the demand for an input generated by the demand for the final product

Which of the following statements is correct regarding an economy at the peak of the business cycle? A. The economy will be in a static equilibrium. B. The economy will be at the natural rate of unemployment. C. Incomes will be stable. D. The rate of inflation will decrease.

the economy will be at the natural rate of unemployment

Which of the following statements is correct if there is an increase in the resources available within an economy? A. More goods and services will be produced in the economy. B. The economy will be capable of producing more goods and services. C. The standard of living in the economy will rise. D. The technological efficiency of the economy will improve.

the economy will be capable of producing more goods and services

An increase in the federal debt may create inflationary pressures for which of the following reasons? A. Businesses may have difficulty raising investment capital. B. The government may need to cut spending. C. Lenders may charge higher interest rates. D. The economy's money supply may increase.

the economy's money supply may increase

The elasticity of resource demand tends to be high when A. The elasticity of product demand is high. B. Substitutes are not available. C. The elasticity of product demand is low. D. The resource cost is a lesser percentage of total cost.

the elasticity of product demand is high

Which of the following sections from the statement of cash flows includes the cash paid for the purchase of Treasury Stock? A) the financing activities section B) the operating activities section C) the investing activities section D) the non-cash investing and financing section

the financing activities section

Which of the following sections of the statement of cash flows includes the issuance of stock and the payment of cash dividends? A) the investing activities section B) the financing activities section C) the operating activities section D) the non-cash investing and financing section

the financing activities section

All of the following are characteristics of monopolistic competition except that A. The firms sell a homogeneous product. B. The firms tend not to recognize the reaction of competitors when determining prices. C. Individual firms have some control over the price of the product. D. The consumer demand curve is highly elastic.

the firms sell a homogeneous product

Jennifer has already presented two excellent reports. The third report she has just presented is clearly not as good as the first two reports, yet she is given the same high grade as before. What shortcut has the teacher used in this case? A) the contrast effect B) the halo effect C) stereotyping D) the framing effect E) the hindsight bias

the halo effect

The demand curve for a product reflects which of the following? A. The impact of prices on the amount of the product offered. B. The willingness of producers to offer a product at alternative prices. C. The impact that price has on the amount of a product purchased. D. The impact that price has on the purchase amount of two related products.

the impact that price has on the amount of a product purchased

nformation overload occurs when ________. A) the interpretation of the message gets affected by the receiver's cultural background B) the information we have to work with exceeds our processing capacity C) a sender purposely manipulates information so the receiver will see it more favorably D) the information transmitted to the receiver is distorted by the communication channel E) the information sent by the sender does not reach the receiver

the information we have to work with exceeds our processing capacity

Felicia invents a new valve to cap undersea oil spills, which she names "Great Catch." She also writes the installation manual to be included with each valve. Felicia could obtain copyright protection for: a. the valve. b. the "newness" of the valve. c. the name. d. the installation manual.

the installation manual

Which of the following sections of the statement of cash flows include purchases and sales of long-term assets? A) the financing activities section B) the operating activities section C) the investing activities section D) the non-cash investing and financing section

the investing activities section

Which of the following characteristics would indicate that an item sold would have a relatively high price elasticity of demand? A. The item has many similar substitutes. B. The cost of the item is low compared to the total budget of the purchasers. C. The item is considered a necessity. D. Changes in the price of the item are regulated by governmental agency.

the item has many similar substitutes

If a rent control law in a competitive housing market establishes a maximum or ceiling rent that is above the market or equilibrium rent, A. The law has no effect on the rental market. B. A surplus of rental housing units will result. C. Supply will decrease as price increases. D. Demand will increase as price increases.

the law has no effect on the rental market

Which of the following conditions is the primary cause of fluctuations in business activity resulting in the alternating rise and fall of economic growth? A. The level of innovation brought to market. B. The amount of unemployment. C. The level of total spending. D. Governmental monetary policy.

the level of total spending

AllforOne, Inc., develops a new phone that the company names "OneforAll." AllforOne can obtain trademark protection for: a. the phone. b. the "newness" of the device. c. the name "OneforAll." d. none of the choices.

the name "oneforall"

MedBeat Inc., makes medical devices, including heart pacemakers. Nina, a heart patient, files a product liability suit against MedBeat, alleging a warning defect with respect to its pacemaker. In deciding whether to hold MedBeat liable, the court may consider whether there is a foreseeable risk of harm posed by the pacemaker and: a. the omission of a warning renders the pacemaker not reasonably safe. b. there is a reasonable alternative design. c. MedBeat did not use due care in making the pacemaker. d. Nina lacks insurance coverage.

the omission of a warning renders the pacemaker not reasonably safe

Which of the following sections of the statement of cash flows include activities that create revenue and expenses of the business? A) the investing activities section B) the financing activities section C) the operating activities section D) the non-cash investing and financing section

the operating activities section

Jane enters into a contract with Jill to provide 100 roses for a dinner party. Jill fails to deliver the roses. Jane initiates a suit against Jill, asking the court to order Jill to refund Jane's payment. Jane is: a. the plaintiff. b. the defendant. c. the binding authority. d. the persuasive authority.

the plaintiff

Craig applies for a job at Dispatch Transportation, Inc., for which he is well qualified. He passes a test to determine which applicants are eligible for hiring, but the employer discards the results, and Craig is rejected. Dispatch continues to seek applicants. To successfully defend itself against Craig's suit, Dispatch must show that: a. the practice in question was justified. b. the employer feared it would be sued if it used the test results. c. any discriminatory effect was unintended. d. statistically the practice in question is discriminatory in effect.

the practice in question was justified

Which one of the following changes will cause the demand curve for gasoline to shift to the left? A. The price of gasoline increases. B. The supply of gasoline decreases. C. The price of cars increases. D. The price of cars decreases.

the price of cars increases

Which of the following is correct regarding the consumer price index (CPI) for measuring the estimated decrease in a company's buying power? A. The CPI is measured only once every 10 years. B. The products a company buys should differ from what a consumer buys. C. The CPI measures what consumers will pay for items. D. The CPI is skewed by foreign currency translations.

the products a company buys should differ from what a consumer buys

The discount rate of the Federal Reserve System is A. The specified percentage of a commercial bank's deposit liabilities that must be deposited in the central bank. B. The rate that the central bank charges for loans granted to commercial banks. C. The rate that commercial banks charge for loans granted to the public. D. The ratio of excess reserves to legal reserves that are deposited in the central bank.

the rate that the central bank charges for loans granted to commercial banks

Loud people are more likely to be noticed in a group than quiet ones. So, too, are extremely attractive or unattractive individuals. Which of the following statements best explains the reason behind this fact? A) Our perception of reality depends on our past experiences. B) Our perception of reality depends on our personality. C) The relationship of a target to its background influences our perception of the target. D) The time at which we see an object can influence our perception of the object. E) Our motives and expectations affect our perception of a target.

the relationship of a target to its background influences our perception of the target

John is sales manager for Kleen 'N Brite Products, Inc. Compared to John's personal activities, his business activities involve: a. more complex ethical standards. b. simpler ethical standards. c. the same ethical standards. d. no ethical standards.

the same ethical standards

During the trial phase of Sof' Drink Soda Corporation's suit against TimeOut Convenience Stores, Inc., their attorneys engage in voir dire. This is: a. an assessment of the arguments on the issues. b. the determination of the issues to be argued. c. the testimony by a party to the lawsuit or by any witness, recorded by an authorized court official. d. the selection of jurors.

the selection of jurors

Because of economies of scale, as output from production expands, A. The short-run average cost of production decreases. B. The long-run average cost of production increases. C. The long-run total cost decreases. D. The slope of the demand curve increases.

the short-run average cost of production decreases

46) Which section of the SWOT Matrix involves matching internal strengths with external opportunities?' A) The WT cell B) The SW cell C) The WO cell D) The ST cell E) The SO cell

the so cell

Eton files a suit in a federal district court against Florida, alleging employment discrimination under the Age Discrimination in Employment Act (ADEA) of 1967. The state asks the court to dismiss the suit. The court is most likely to rule that: a. the state is immune from the suit pursuant to the Eleventh (11th) Amendment. b. the suit can proceed. c. Eton is immune from any defense the state might offer. d. the court is immune from such request.

the state is immune from the suit pursuant to the Eleventh (11th) Amendment

The state of Massachusetts regulates employment, traffic, land use, and other private activities to protect or promote the public order, health, safety, and general welfare under: a. the state's police powers. b. the federal government's authority to regulate commerce. c. the Bill of Rights. d. the Supremacy Clause of the U.S. Constitution.

the state's police powers

The U.S. Constitution sets forth specific powers that can be exercised by the national government and provides that the national government has the implied power to undertake actions necessary to carry its expressly designated powers. Under the Tenth (10th) Amendment, all other powers are expressly reserved to: a. the states. b. the national government. c. the people. d. none of the choices.

the states

The definition of economic cost is A. All the dollar costs employers pay for all inputs purchased. B. The opportunity cost of all inputs minus the dollar cost of those inputs. C. The difference between all implicit and explicit costs of the business firm. D. The sum of all explicit and implicit costs of the business firm.

the sum of all explicit and implicit costs of the business firm

Increased demand for Product A increases the demand for resources used to produce Product A. What is the best explanation for the increase in the demand for resources? A. The theory of derived demand is working. B. Product A is in an expanding industry. C. The theory of the "invisible hand" is working. D. The demand for Product A is highly elastic.

the theory of derived demand is working

Gross domestic product includes which of the following measures? A. The size of a population that must share a given output within 1 year. B. The negative externalities of the production process of a nation within 1 year. C. The total monetary value of all final goods and services produced within a nation in 1 year. D. The total monetary value of goods and services including barter transactions within a nation in 1 year.

the total monetary value of all final goods and services produced within a nation in 1 year

All of the following are components of the formula used to calculate gross domestic product except A. The value of a homemaker's work. B. Foreign net export spending. C. Government spending. D. Gross investment.

the value of a homemaker's work

Jackson Co. is considering a project that will use 2,000 square feet of storage space at one of its facilities to store used equipment. What will determine Jackson's opportunity cost? A. The net present value of the project. B. The internal rate of return of the project. C. The value of the next best use of the space. D. The depreciation expense on the space.

the value of the next best use of the space

Emotional sharing is very prominent in the workplace and a way for many individuals to meet their social needs. Why is this? A) People are emotionally unstable and bring that to work. B) People are lazy and just want to socialize at work. C) Sharing while working improves performance. D) The workplace is the primary source of social interaction for most people. E) People have no lives and work all the time.

the workplace is the primary source of social interaction for most people

Which of the following can be an effect of a transaction that increased an asset of a corporation for the accounting equation to balance? A) There is an equal decrease in another asset. B) There is an equal decrease in equity. C) There is an equal decrease in a liability account. D) Both liabilities and equity decrease.

there is an equal decrease in another asset

Which of the following statements is not true regarding values? A) They are partly determined by our genetically transmitted traits. B) They tend to be relatively stable and enduring. C) They have both content and intensity attributes. D) They carry an individual's ideas as to what is right, good, or desirable. E) There is no substantial variability in values across cultures.

there is no substantial variability in values across cultures

Evidence suggests that people tend to default to cooperative strategies in interpersonal interactions unless there is a clear signal that ________. A) they can "win" whatever argument is occurring B) they are faced with a competitive person C) they can advance their position/career D) they can avoid a compromise E) they can achieve a compromise

they are faced with a competitive person

Why are agreeable people usually less successful in their careers? A) They aren't happy in their lives. B) They aren't liked by superiors. C) They don't make many friends. D) They don't negotiate well. E) They are prone to impulsive behavior.

they don't negotiate well

Which of the following statements is true about people with positive core self-evaluations? A) They set ambitious goals. B) They lack persistence. C) They tend to question their capabilities. D) They view themselves as powerless over their environment. E) They are less popular co-workers than those with negative core self-evaluation.

they set ambitious goals

The key to a successful bonus plan is that the reward needs to be ________. A) tied to a recent performance B) tied to a specific amount of deliverables C) equal across everyone in the department D) made very public E) cumulative in nature

tied to a recent performance

Which of the following accounting terms assumes that a business's activities can be divided into small segments and that financial statements can be prepared for specific periods, such as a month, quarter, or year? A) adjusting entry concept B) economic entity concept C) matching principle D) time period concept

time period concept

If the Federal Reserve Banks sell $20 million in government securities to commercial banks and the required reserve ratio is 25%, the effect will be A. To reduce the actual supply of money by $20 million. B. To reduce the actual supply of money by $5 million. C. To reduce the potential money supply by $20 million. D. To reduce the potential money supply by $80 million.

to reduce the potential money supply by $80 million

28) Who does a planning horizon of two to five years apply to? A) Top management B) General management C) Middle management D) Lower management E) All levels of management

top management

Suppose that a stairway manufacturer's price elasticity of demand was relatively inelastic. If this manufacturer decided to increase the price of its stairways, what should have been the result? A. Total revenues decreased. B. Total revenues increased. C. Total revenues remain unchanged. D. Total revenues were perfectly inelastic.

total revenues increased

Which of the following is not a physical manifestation of being a good listener? A) making eye contact B) learning in toward the speaker C) touching the speaker D) encouraging the speaker to continue E) paraphrasing the content back to the speaker

touching the speaker

CallTalk Corporation, a smartphone and phone-time seller, chooses to use and register "calltalk" as its second-level domain. Later, CallTalk's less successful competitor, CellTalk Company, chooses to use and register "caltalk" (an intentional misspelling of "calltalk") as its second-level domain. Still later, Call&Talk, Inc., uses the domain name "callltalk" (also a deliberate misspelling of "calltalk") without CallTalk's authorization, to sell pornographic phone conversations. Call&Talk's use of the domain name "callltalk," without CallTalk's authorization, to sell pornographic phone conversations, is: a. goodwill. b. fair use. c. a license. d. trademark dilution.

trademark dilution

Leaders who clarify role and task requirements to accomplish established goals exhibit a(n) ________ style of leadership. A) transformational B) transactional C) charismatic D) authentic E) situational

transactional

Which of the following represents the correct flow of accounting data? A) transactions occur; transactions are analyzed; transactions are journalized and posted; source documents are prepared B) transactions occur; source documents are prepared; transactions are journalized and posted; C) transactions occur; source documents are prepared; transactions are analyzed; transactions are journalized and posted D) source documents are prepared; transactions occur; transactions are analyzed; transactions are journalized and posted

transactions occur; source documents are prepared; transactions are analyzed; transactions are journalized and posted

________ leaders inspire followers to transcend their self-interests for the good of the organization and can have an extraordinary effect on their followers. A) Transformational B) Transactional C) Task-oriented D) Laissez-faire E) Transcendental

transformational

All of the following are consequences of a relationship of trust between supervisors and employees, except that ________. A) trust facilitates information sharing B) trusting groups are more effective C) trust discourages taking risks D) trust enhances productivity E) company bottom lines are positively influenced by trust

trust discourages taking risks

The conflict-handling intention of accommodating is ________. A) assertive and uncooperative B) assertive and cooperative C) unassertive and uncooperative D) unassertive and cooperative E) reflective and assertive

unassertive and cooperative

According to the Hofstede's framework, ________ indicates the degree to which people in a country prefer structured to unstructured situations. A) collectivism B) power distance C) long-term orientation D) uncertainty avoidance E) individualism

uncertainty avoidance

Basil, a clerk at Cycle World, takes a bicycle from the store without the owner's permission. Basil is liable for conversion: a. if he damages the bicycle. b. if he does not have a good reason for taking the bicycle. c. if he fails to prevent a theft of the bicycle from his possession. d. under any circumstances.

under any circumstances

A liability created when a business receives cash from customers in advance of providing services or delivering goods is called a(n) ________. A) notes receivable B) unearned revenue C) accrued liability D) service revenue

unearned revenue

37) Qualcomm Inc.'s recent expansion beyond cell phones into desktop hardware is an example of A) backward integration. B) divestiture. C) retrenchment. D) unrelated diversification. E) forward integration.

unrelated diversification

The trough of a business cycle is generally characterized by A. Shortages of essential raw materials and rising costs. B. Increasing purchasing power and increasing capital investments. C. Rising costs and an unwillingness to risk new investments. D. Unused productive capacity and an unwillingness to risk new investments.

unused productive capacity and an unwillingness to risk new investments

Rita is appointed as an agent for Superior Sales, Inc. The agency agreement is silent as to the level of sales that Rita is expected to achieve. She must: a. achieve nothing because the agreement says nothing on the issue. b. attain the level that Rita achieved with her previous employer. c. maintain the level Superior attained before Rita became an agent. d. use reasonable diligence and skill in selling.

use reasonable diligence and skill in selling

Savers Mart, Inc., distributes its merchandise on an interstate basis. Under the commerce clause of the U.S. Constitution, Congress has the power to regulate: a. virtually any commercial activity in the United States. b. only activities that are in intrastate commerce. c. only activities that are in local commerce. d. none of the choices.

virtually any commercial activity in the united states

14) Which type of statement should be created first and foremost? A) Strategic B) Vision C) Objectives D) Mission E) Competitive advantage

vision

Which of the following would be considered a direct labor cost for a manufacturing company? A) wages of the assembly line staff B) wages of the factory janitors C) wages of the factory manager D) salaries of the internal auditors

wages of the assembly line staff

Global Distribution Corporation suggests that its employees apply the "categorical imperative" to ethical issues that arise at work. This requires that the employees: a. categorize the issues according to legality, morality, and profitability. b. consider only the benefits that would accrue to them personally. c. look only at the result, regardless of the means to attain it. d. weigh the consequences that would follow if everyone acted the same.

weigh the consequences that would follow if everybody acted the same

The beginning inventory costs and the product costs of the current period are combined to determine the average cost of equivalent units of production under the ________. A) equivalent units method B) conversion costs method C) first-in, first-out method D) weighted-average method

weighted-average method

16) The mission statement answers which question? A) What is our business? B) How can we improve ourselves? C) What do we want to become? D) Who are our stakeholders? E) How can we increase profitability?

what is our buisness

64) What is the last of Drucker's Five Questions? A) What is our mission? B) What is our plan? C) What results do we seek? D) What does our customer value? E) Who is our customer?

what is our plan

Which of the following is not an example of a performance norm? A) when an employee needs to look busy B) how hard an employee should work C) the appropriate levels of tardiness D) the acceptable level of output E) how to get the job done

when an employee needs to look busy

Under which of the following conditions is the supplier most able to influence or control buyers? A. When the supplier's products are not differentiated. B. When the supplier does not face the threat of substitute products. C. When the industry is controlled by a large number of companies. D. When the purchasing industry is an important customer to the supplying industry.

when the supplier does not face the threat of substitute products

Which of the following statements is true about the difference between men and women when it comes to emotional reactions? A) Men are more emotionally expressive than women. B) Men experience emotions more intensely than women. C) Women express anger more frequently than men. D) Women tend to "hold onto" emotions longer than men. E) Men display positive emotions more frequently than women.

women tend to "hold onto" emotions longer than men

The two most common forms of representative participation are ________ and board representatives. A) quality circles B) work councils C) employee unions D) task teams E) self-regulatory organization

work councils

Highly conscientious individuals may tend to do all but which of the following? A) put family behind work B) put themselves before others C) have trouble learning complex skills D) work to create new and more effective methods E) focus more on performing rather than learning

work to create new and more effective methods

Your fellow employees have a terrible work situation. They work in an old, run-down building with an antiquated heating system. The work itself is tedious and the supervisor is rarely available and only shows up to give reprimands for production shortfalls. Nobody has received a promotion in two years. The work is boring, repetitious, and unrewarding. You are trying to improve this situation with the help of Herzberg's two-factor theory. You decide that your first job should be to improve the hygiene factors. Which of the following would you consider a hygiene factor? A) working conditions B) training related to new skills C) recognition D) employee empowerment E) promotion

working conditions

Which of the following is not a consequence of discrimination for employers? A) reduced productivity B) workplace diversity C) citizenship behavior D) negative conflicts E) increased turnover

workplace diversity

All of the following are high in channel richness except ________. A) words B) postures C) writing D) gestures E) smiles

writing