BUS101 Final Exam

The Blue Bird Bus Company in Georgia sells buses to the South African government. To South Africa, these buses are an example of:

imports

Making sure that enough cash is on hand to pay bills as they come due and to meet unexpected expenses is called cash:

management

According to Frederick Taylor's scientific management theory, the most important motivator in the workplace is:

money?

One of the primary goals of Burberry, a British retailer, is to expand its market. When the company allocated resources so that it could open two stores in Japan, it was engaged in which management function?

organizing

A manufacturing company in which industrial engineers have maximized efficiency by determining the best way to perform every task from tightening a bolt to operating a forklift would be illustrative of:

scientific management

What is the primary difference between a good and a service?

A good is tangible, and a service is intangible.

_____ is the gap between what is and what is desired, and _____ is the gap between what is and what is required.

A want; a need

Management involves:

All of the above

What type of business organization generates the most total sales?

Corporation

The chain of manufacturer, agent, wholesaler, and retailer through which items like x-ray machines, dental equipment, and safety goggles flow is called a(n) ______ channel.

Distribution

_____ is the set of moral standards for judging whether something is right or wrong.

Ethics

A brokerage firm is an example of a depository financial institution.

False

A computer program that copies itself into other software and can spread to other computer systems is called a software infestation.

False

A term loan is a loan with a maturity of less than a year.

False

A well-designed product transcends cultural barriers. It does not need to be changed to suit different countries or cultures.

False

ASPs, which are also called area server portals, provide computer users with access to e-commerce opportunities.

False

Armenia had a favorable balance of trade in 2018 when it exported $800 million in goods and services and imported $1.5 billion.

False

Crisis, both internal and external, do not affect well-managed organizations.

False

Data tracking is a sophisticated data application that looks for hidden patterns in a group of data to help predict future behavior.

False

Economics is the study of a society's financial institutions.

False

Employee ownership creates too much stress and is a poor motivator.

False

Enlightened firms are realizing that empowerment puts too much stress on employees and are eliminating empowerment programs.

False

Grid computing is another term used for telecommuting.

False

Human resources managers have yet to find any use for Maslow's hierarchy of needs.

False

If the sole proprietorship acquires a legal business name, the owner then has limited liability.

False

In business, an example of a protected class would be the spotted owl, whose habitat loggers and the paper industry may not disturb.

False

In finance, the potential for loss is called probability.

False

In the past few years, the federal government has cut back burdensome government regulations and paperwork to the point that they are almost non-existent for small business owners.

False

Labor, as a factor of production, relates only to the production of manufactured goods; services are not included.

False

Of all the forms of equity capital, venture capital is the easiest to obtain.

False

Organization charts show the formal and informal relationships among people, jobs, and departments.

False

Process departmentalization is a grouping of jobs by activity, such as marketing, finance, and production.

False

Scientific management focused primarily on how human behavior and relations affect organizational performance.

False

Selling a firm's accounts receivables to a financial institution at a discount is called countertrading.

False

Strategic planning is long-range, formulated by top management, and made as if the company operated in a vacuum

False

Supervisory managers are the ones that primarily need to have strong conceptual skills.

False

The $350 charged to the homeowner for electrical work performed one month ago is an example of a note receivable.

False

The critical path method (CPM) is used to design, test, and modify new and existing products.

False

The exchange rate is the interest rate that foreign banks receive when borrowing money from the United States.

False

The final stage of the selling process is closing the sale.

False

The internal labor market is made up of all employees in an industry.

False

The matrix structure is a combination of a line and a staff organization.

False

The reason that Castle and Cooke processes and packages Dole pineapple products in Hawaii is more than likely because of low energy costs.

False

The short-range, detailed planning that focuses on current operations is called functional planning.

False

The three participative leadership styles are consultative, democratic, and socialistic.

False

The two types of cooperatives are wholesale and retail.

False

Venture capitalists provide a source of debt financing and usually charge high interest for loans because of the high risk of the enterprises they finance.

False

Verna Knight is doing observation research when he asks people to describe how to fold sheets, towels, and pillowcases.

False

When workers in a union elect their officers to represent them, it is an example of division of labor.

False

With the goal-setting theory, managers have learned that easier goals motivate more effectively than challenging ones.

False

Due to their size large businesses tend to have greater flexibility than small businesses.

False?

_____ management is the art and science used to determine the most effective ways to acquire and use funds to achieve the firm's goals.

Financial

A company with few managerial levels and a short chain of command usually has a wide span of control. This is called a _____ organizational structure.

Flat

_____ refers to all of the equipment and techniques needed to manage and process information.

Information technology

One of the documents that help human resource planners find the right person for a specific job is a list of tasks and responsibilities required of the job. This document is known as a:

Job Description

When Allison Logue found out her children were allergic to corn, she started looking for sweets and starches that were corn-free and was dismayed to find very few such products on the market. As a result, she has started her own small business to produce and market corn-free desserts. It is a small market, and Logue plans to keep her business small. Logue is an example of a(n):

Micropreneur

_____ involves coordinating and allocating a firm's resources so that the firm can carry out its plans and achieve its goals.

Organizing

_____ is the process that converts inputs into outputs that can be sold as goods and services.

Production

_____ planning is the creation of long-range, comprehensive objectives and the development of long-term courses of action.

Strategic

A current asset is one that can or will be converted into cash within one year.

True

A tall organization structure has many managerial levels and a long chain of command.

True

An enterprise portal is an internal Web site that provides proprietary corporate information to a defined user group.

True

An example of nonstore retailing is the vending machine from which you purchased a soda.

True

An excellent way of putting the informal organization to work for the good of the company is to bring informal leaders into the decision-making process.

True

Arranging a firm's human and material resources to carry out plans is called organizing.

True

At the first level of a management support system is an information-reporting system.

True

Businesses engage in environmental protection activities to show their responsibility to their general public stakeholders.

True

Chewing gum, flashlight batteries, sewing needles, and adhesive tape are considered convenience products.

True

In 2004, Albertson's Inc. purchased Southern California's premier fresh, gourmet, and specialty food retailer, Bristol Farms. This was an example of an acquisition.

True

In deciding how to pay workers, the firm must be concerned with the salaries paid by competitors.

True

In the product development process, most companies utilize the concepts of brainstorming, screening, and test marketing.

True

International trade-dependent jobs have grown at a rate three times the growth of U.S.-dependent jobs.

True

Internet retailing is also called e-retailing.

True

Managers can use equity theory to improve worker satisfaction.

True

Many people consider knowledge to be a fifth factor of production.

True

One of the biggest advantages that a small business has over a large business is a greater ability to serve specialized markets.

True

Performance appraisals are comparisons of actual performance with expected performance.

True

Performance appraisals are used most often to make decisions about pay raises, training needs, and advancement opportunities.

True

Recruitment is the attempt to find and attract qualified applicants in the external labor market.

True

Retained earnings are the amounts left over from profitable operations since the firm's beginning. They are equal to total profits minus all dividends paid to stockholders.

True

Service companies generally use a repetitive or intermittent production process rather than the continuous process.

True

Social responsibility is a voluntary obligation.

True

Supply chain management plays a dual role. Its first role is as a communicator of customer demand that extends from the point of sale all the way back to the supplier. The second role is as a physical flow process that engineers timely and effective movement of products.

True

The International Monetary Fund (IMF) was created to promote trade through financial cooperation by working to eliminate trade barriers.

True

The Sarbanes-Oxley Act redefines the public corporation-auditor relationship and restricts the types of services auditors can provide to clients.

True

The line organization is designed with direct, clear lines of authority and communication flowing from the top managers downward.

True

The marketing concept emphasizes a consumer orientation.

True

The situation in which the average of all prices of products is rising is called inflation.

True

The strategy that is based on the demand for the product and the cost of producing it is called the pricing strategy.

True

Types of promotional goals include creating awareness, increasing the use of products, and identifying potential customers.

True

When Ashland Plastics and Melamine Chemicals formed a joint venture to develop flame-resistant plastic sheeting, the relationship most likely ended as soon as the project was completed.

True

Which of the following is a disadvantage of sole proprietor ownership?

Unlimited liability?

Which of the following statements about utilitarianism is true?

Utilitarianism is designed to create both winners and losers.

The difference between small business owners and entrepreneurs is that small business owners:

accept the status quo and take a short-term view of the future

Operations managers:

are accurately described by all of the above

Which of the following is NOT one of the main activities for a human resource manager?

coordinating marketing and production activities?

Leon Georges works in the warehouse for a manufacturer of air-purification systems. He is responsible for the transportation of metal components, preformed plastic, etc. used to manufacture the systems as well as the efficient movement of the finished systems from the manufacturing facility to the warehouse to distribution trucks. Georges is involved in:

distribution

The marketing concept:

does all of the above?

The person who takes the risk of starting and managing a business to make a profit is called a(n):

entrepreneur