Business quizzes

A company of 50 employees has had to hire 5 employees to replace 5 who resigned over the course of the past year. We can say that the labour turnover for the year was _____ percent.

10

Which of the following is not an example of a 'sectoral change'?

A farmer in Austria begins growing organic food

Which of the following is not associated with flow production?

Clothing

A multinational company would like to establish a factory in a new country. It does not have the resources to research the entire population of the country. What is the most appropriate form of sampling it should carry out?

Cluster sampling

One of the main disadvantages of debt factoring over other forms of finance is

Debt factoring can be expensive.

All of the following are benefits of Social Media Marketing, except:

Easy for any business to use

Budgets are external documents that have to be shared with the general public. True or false?

False

Raising money through internal sources is free of any cost, true or false?

False

A firm must cover its opportunity cost, variable costs and fixed costs to stay in business. True or false?

False, only variable and fixed costs need to be covered.

Which of the following is not an example of a capital resource?

Forest

Different approaches to structuring an organisation can include divisions according to:

Function, product, and/or region

When a manager has a greater span of control than another, this is to say that he or she:

Has a higher number of employees under his or her direct supervision.

A form of external recruitment that relies on luring an employee away from his or her current employer is known as:

Headhunting

Which of the following is not a benefit of Andon?

It reduces the need to hold on to extra stock

For working capital requirements it is better for businesses to use overdrafts than loans because

It's a temporary arrangement and is useful for short-term purposes

Which of the following is not a characteristic of being a market leader?

Its status doesn't affect its future strategy and objectives

This type of production aims to maximise efficiency and minimise waste.

Kaizen

Which lean production method involves using signals or cards as a means of stock control?

Kanban

All of the following are advantages of operating as a sole trader except:

Lack of continuity of the business

The bargaining strength of labour representatives will depend on a number of factors, including all of the following except:

Legal parameters established by governing bodies such as the International Court of Justice.

Which of the following is not a limitation to sales forecasting?

Marketing strategies can be modified based on future trends in order to increase market share.

Which of the following is one of the major advantages of the matrix structure?

Matrix structures are a good way of sharing resources across functional departments.

Innovation can bring about positive as well as negative impacts on employer-employee relations. Examples of negative impacts on employer-employee relations may include all of the following except:

New technologies have allowed employees to train and educate themselves, making supervisors effectively redundant.

Which of the following is not a pillar of sustainability for businesses to follow?

Political

Which of the following is not associated with quality improvement?

Quality control

A firm may want to reshore jobs in order to:

Reduce the risks of losing intellectual property

A large company with many different departments wants to make changes to its employee health coverage. It wants to survey its employees to get their perspective on the possible changes. A predetermined number of males and females from each department will be selected. What would be the most appropriate type of sampling to use?

Stratified

The point where the business makes neither profit nor loss occurs when

TR = TC

Which of the following organisational structures limits opportunities for employee advancement within the company or organisation?

Tall structures

Which of the following refers to a situation where work is conducted remotely, relying on a network connection such as phone or internet?

Teleworking

John Paul Kotter, professor of Harvard Business School and change management guru, suggested that there are six change approaches to helping deal with resistance to change in an organisation. One of these approaches is 'facilitation and support', which refers to:

The need for managers to be more paternalistic and nurturing of staff in difficult times.

Debentures are better than share capital for businesses because

They do not provide voting rights to the holders

Venture capitalists prefer investing in start-ups because

They see a higher rate of return in start-ups in the future with an equity stake

Which of the following is an unlikely reason for having a no-strike agreement?

To provide employers with greater leverage in negotiations with employee union representatives.

All of the following are elements of being a non-profit organisation except:

Using a market-led approach, focusing on the needs of customers

Contribution is what is left after ____________ costs have been paid.

Variable

Stock that is held just in case there is an unexpected order or late delivery is called:

buffer stock

Which of the following planning tools is used with complex decisions in order to simplify the options for strategic planning?

decision tree

When selecting suppliers, supply chain managers are least likely to consider:

location

Interest rates charged on bank loans are ____________________ than overdrafts.

lower

Sales revenue is given by the formula: (Use x)

units sold x sales price

Which of the following is not a feature of a partnership?

A partnership has less legal accountability than a sole trader

Which secondary market research method is not considered a good source for general-interest topics?

Academic journals

All of the following are features of a company except:

Access to funding is difficult

Which of the following denotes the extent to which a person is held responsible for oversight of a duty or task?

Accountability

When employees engage in methods such as slowdowns or overtime bans, the main purpose is to:

Achieve objectives such as improved compensation and working conditions.

Which of the following is the correct order of the hierarchy of objectives, from top to bottom?

Aim, strategic objectives, tactical objectives, operational objectives

Which of the following is not directly linked to sustainable production?

Aims and objectives that are poorly articulated

Dismissal can be distinguished from redundancy in that the latter could be a result of a cost-cutting measure, an employee's position being eliminated, or both. The former involves:

An employee being replaced by another employee in the same job

When a hair stylist locates herself in a posh locality the rent that she has to pay for her high-end salon is

An overhead

The six change approaches to change management involve management using all of the following except:

Assessment and dismissal

The advantage for a company to issue shares instead of bonds is

Bond holders do not have voting rights

IPO (Initial Public Offering) is when

Businesses or companies offer their shares to the public

All of the following are costs of e-commerce to a firm except...?

By selling expensive space on web pages, high levels of revenue can be obtained.

What is the method that helps in developing accurate trend lines, smoothing out any fluctuations in the data?

Calculating moving averages

Which of the following is a benefit of cell production?

Can boost employee motivation

What is the term for a process by which the employer and employees agree to use an independent mediator to help them settle their differences, but not to deliver a judgment, as with arbitration?

Conciliation

This involves actions taken to reduce tensions and manage conflict in the work environment (2 words):

Conflict resolution

When the marketing department plans the sales of one million units of a product, budgeting within the production and purchasing departments fulfils the function of

Coordination

_______ is defined as the values that guide people's behaviour in society and that translate into work-related behaviour and attitudes

Culture

A home construction company has decided to increase production of its single family homes, as demand for them has steadily increased over the past two years. Increased home sales in an economy is an indication of overall growth. The company is experiencing which type of fluctuation in regards to its sales?

Cyclical fluctuation

A shoe manufacturer is experiencing an increased level of competition and thus sales have significantly declined. Its position is weak and the threat of competition is drastic. It is considering lowering the price of its products to the cost of production. What type of strategy is the manufacturer considering?

Defensive strategies

Which of the following is a most likely disadvantage of cell production?

Factories may need to be redesigned to meet the needs of teams. This could potentially be a huge cost.

Steve has decided to acquire a business further down the chain of production from his current business. This is known as vertical integration. This will result in all of the following except:

Increased market share

Global advertising expenses for an auto manufacturer is a form of ______________ cost.

Indirect

Using a model such as break-even is useful because

It helps managers to predict safety margins and possible profit or loss with some certainty.

Which of the following is least likely to be a benefit of job production?

It is a cheap form of production

Marketers use a position map as a tool to plan their positioning strategies, in order to give their products a competitive advantage. Which of the following is not a characteristic of a position map?

It is a complicated and time consuming process

One advantage for a business of raising equity capital over long-term loans is

It never has to be repaid

A firm may make use of hire purchase for its machinery for the new plant. Hire purchase is:

Medium-term finance

Which of the following is a kind of training that involves an experienced member of staff working closely with another employee in order to coach him or her, imparting specific knowledge and skills?

Mentoring

Which of the following is not a feature of a public-private partnership (PPP)?

Profit is the priority

Businesses operating in industries such as construction, oil extraction, and software development benefit from this kind of organisational structure, where teams are assembled from different functional departments to complete a specific programme.

Project-based organisation

Which is the most likely reason to buy a product as opposed to making it?

Purchasing economies of scale

Which of the following is not an advantage associated with decentralisation in an organisation?

Reduced chance of mistakes in decision making

Which of the following is a disadvantage of mass production?

Reliance on machinery

Average fixed cost in a restaurant will __________ when its clientele increases.

Remain the same

Capacity utilisation is:

The percentage of a firm's total capacity which is currently being used.

Marginal revenue is

The revenue obtained from selling an additional unit of output

Which of the following is not a benefit of using a Gantt chart?

The timing of each task is based on an estimate

For a profit centre it is possible to carry out three different variances: cost, revenue and profit. True or false?

True

Revenue comes from the sale of goods or services; revenue streams include other forms of earnings besides sales of goods and services. True or false?

True

Which form of analysis looks at the differences in the budgeted revenues and costs and tries to understand the reason behind them?

Variance analysis

A business strategy needs to include:

Where the business is; a plan on how to achieve aims; evaluation of whether the plan is working or not.

Due to a fall in inflation the costs of raw materials for National Aluminium Corporation went down from $150,000 to $125,000 resulting in ____________

a favourable variance

Variation

actual sales - four year moving average

A _____________________________ is a type of business organisation in which more than 20 members actively own and run the business. The purpose is to lower costs to members rather than making a profit.

cooperative

Lack of ______________ is one of the limitations of budgeting.

flexibility

The length of time it takes a supplier to make a delivery to a business is called ___________ __________.

lead time

A problem with cost calculations in a break-even analysis is to assume that all costs are

linear

The difference between the break-even output and actual output is the ____________

margin of safety

A business making exclusive wedding gowns for the fashion elite is using which production method?

niche production

For a marketing manager, a break-even analysis is useful because

product portfolio decisions can be taken

The canteen facility at a school is a ____________ centre while the accounting department is a ___________ centre.

profit/cost

Business activity includes:

resource inputs, adding value and product output

Market share is the percentage of a firm's share of total _______________________ in the market.

sales

A problem with BEA is to assume that all output produced is ___________

sold

Break-even analysis helps in operational decisions because if the total output increases the

total cost per unit decreases

Market size is measured by volume and ______

value

In _______ budgeting the different heads/departments of an organisation will justify the needs for finance for the coming period as budgets are set to zero at the start of the period.

zero-based