HTDM State Test #1172

Exactly one year ago, Kim's dad gave her a $10 bill. Kim saved the money "for a rainy day." Now, her $10 bill has less buying power than it did a year ago. What caused the decline in the value of Kim's money? A. Inflation B. Taxes C. Globalization D. Unemployment

A Inflation. Inflation is an increase in the cost of goods and services. What your dollar buys today won't be the same as what it buys next year. Over the years, the value of money declines. That means that the $10 bill Kim was given last year has less buying power today. Taxes are monies that individuals or businesses must pay to the government. There's no indication that Kim paid taxes on her $10. Globalization is the rapid and unimpeded flow of capital, labor, and ideas across national borders. Unemployment is also known as joblessness. Although taxes, globalization, and unemployment levels can impact the economy, none of the three are the direct cause of the decline in the buying power of Kim's money.

A business's managers expected to reduce expenses by four percent last quarter. The financial information, however, shows that expenses were actually reduced by two percent. This is an example of A. variance. B. profitability. C. acquisition. D. a trend.

A Variance. Variance is the difference between what's expected to happen and what actually happens. Managers look at variance in financial information as a way to monitor the business's ongoing operations and strategies. Profitability is a business's ability to yield a financial gain. Acquisition means buying another company. A trend is a change or development in a certain direction—one quarter's change in finances would not constitute a trend.

Which of the following is an example of encouragement: A. "I believe in you!" B. "You did a great job!" C. "I knew you could do it!" D. "Wow, that was impressive!"

A. "I believe in you!" Encouragement is telling someone that you believe in him/her before s/he even begins doing something. It is not congratulating someone on a job well done after s/he completed a task. "I believe in you," therefore, is the only example of proper encouragement because it is given in advance of a person's performance.

Calculate the amount charged to a hotel guest's credit card using the following information: A four-night stay at a room rate of $128 per night and 14.5% sales-tax rate. A. $586.24 B. $594.42 C. $598.42 D. $582.24

A. $586.24. To calculate the amount charged to the hotel guest's credit card, first multiply the number of nights stayed by the room rate (4 X $128 = $512). Then, multiply the dollar amount of the four-night stay by the sales tax rate ($512 X 114.5% = $586.24) or ($512 X 14.5% or .145 = $74.24; $512 + $74.24 = $586.24).

Which of the following is a tangible product that a hotel restaurant markets to its patrons: A. A bowl of French-onion soup B. A short wait to be seated C. A friendly greeting from the server D. An extensive knowledge of the menu

A. A bowl of French-onion soup. Hotel restaurants offer services, which include preparing and serving tangible items—food and beverages. Therefore, the bowl of French-onion soup is a tangible product that the hotel restaurant markets. A short wait time and a friendly server who has extensive product knowledge are intangible factors that affect a restaurant patron's dining experience.

Because changes are always occurring in the hospitality industry, hotel managers must be: A. adaptable. B. empathetic. C. sincere. D. aggressive.

A. Adaptable. Being adaptable is the ability to accept and deal with change effectively. Successful managers are not only adaptable, but they help employees, vendors, and customers adjust to changes, too. Empathetic people have the ability to relate to the feelings, thoughts, and experiences of others. Sincere people are genuine in nature. Expressing empathy and sincerity helps build positive relationships, but these traits do not always relate to adapting to change. Aggressive behavior is conduct based on a willingness to ignore the rights of others and to take advantage of them to achieve personal goals.

Processing customer payments involves recording cash receipts which increase the business's A. assets. B. liabilities. C. costs. D. debts.

A. Assets. When a business receives customer payments, it records the amount of the payment as a receipt of cash. The increase in cash increases the assets of the business. When a business processes customer payments, it credits the customer's account and adds that amount to its cash balance, which is an asset. Recording cash receipts does not increase the business's costs, debts, or liabilities.

Which of the following is a procedure that a tour operator might use when handling emergency situations such as natural disasters: A. Assist with evacuation B. Provide medical advice C. Protect private property D. Activate alarm system

A. Assist with evacuation. On occasion, tour operators and their tour groups might be involved in emergency situations such as natural disasters. If this happens, tour operators should be prepared to assist local authorities with the evacuation of the group. Tour operators need to know where all group members are in order to quickly and safely evacuate them from dangerous situations such as hurricanes. Tour operators are not expected to provide medical advice, protect private property, or activate alarm systems.

Which of the following is the most appropriate item to bundle with a bottle of shampoo: A. Bottle of conditioner B. Bottle of hand lotion C. Bar of soap D. Tube of toothpaste

A. Bottle of conditioner. Product bundling involves combining two or more complementary products and selling them for one all-inclusive price. The price of the bundled products is usually lower than the combined price of the products sold separately. Often, the goal is to get customers to try a product that they might not have considered purchasing. Once the customers have tried it and liked the product, companies hope that customers will purchase the goods or services at another time. It would be most appropriate to bundle a bottle of shampoo with a bottle of conditioner because they are both hair products. A bottle of hand lotion, a bar of soap, and a tube of toothpaste are not complementary products of shampoo.

How have industry structure changes affected the current business environment? A. Business now moves faster than ever. B. Organizations are less willing to change than in the past. C. The manufacturing industry has disappeared. D. Communication is slightly slower than it used to be.

A. Business now moves faster than ever. Because of new technologies and other improvements, business now moves at a faster pace than ever before. The manufacturing industry has become more streamlined due to new technologies, and communication has become almost instantaneous. Organizations are becoming more adaptable to stay competitive.

Carl wanted to make a good impression on his boss, so when he completed a task, he would find other things to do. Frequently, Carl made mistakes because he didn't know how to do everything. How can Carl alleviate this problem in the future? A. Clear the task first with the supervisor B. When he gets stuck, just ask a coworker C. Tell his boss when he has finished each task D. Continue to show initiative as he has in the past

A. Clear the task first with the supervisor. When the task is complete is too late to inform the supervisor. To ask a coworker when you are stuck is not a good idea because the coworker may not give you correct information. Showing initiative is a good trait, but it will cost the company unnecessary money if it has to correct Carl's mistakes.

A company wants to know how to better advertise to specific segments of customers, so it groups its customer data based on their incomes. This company is using the __________ method of data mining. A. clustering B. decision tree C. neural networks D. huddling

A. Clustering. Clustering is a method of data mining that involves grouping data by similarities. If a company groups its customer data based on their incomes, it is using clustering. Clustering is not referred to as huddling. The decision tree model of data mining is organized like a tree, with "branches" and "leaves." The neural network method of data mining is modeled after the brain's neurological functions.

To reconcile cash, which of the following should businesses do: A. Compare cash received with receipts or transaction records B. Total up the money in each of the company's cash registers C. Divide the transaction total by the amount of cash received D. Multiply the cash received by the total number of receipts

A. Compare cash received with receipts or transaction records. To reconcile cash, a business should compare the total amount of cash received with the total on transaction records or receipts. For example, if a business wanted to reconcile its cash daily, it would count the amount of money in its cash registers and then look at all the sales receipts to make sure the numbers match. Reconciling cash does not involve any multiplication or division. Simply counting up the cash in cash registers would not be enough to reconcile a business's cash for any given period.

Which of the following situations is most likely to happen during a period of economic expansion: A. Consumer spending increases. B. The government delays projects. C. Businesses default on loans. D. Unemployment rises.

A. Consumer spending increases. Business cycles, which are the periods of expansion and contraction in economic activities, affect businesses, consumers, and the government. During a period of expansion, unemployment levels drop because businesses are expanding and need workers to perform jobs to support production increases. When people are working, they have income to spend on goods and services, so their spending increases. The government is more likely to delay projects and businesses are more likely to default on loans during the recession and trough phases of the business cycle.

One way that businesses maintain the security of data that they send over the Internet to clients is by using a software program that prevents a(n) A. document from being forwarded. B. virus from being downloaded. C. Attachment from being included. D. search engine from being used.

A. Document from being forwarded. Some businesses use software programs that help maintain the security of data they send over the Internet to clients. These programs prevent documents from being forwarded to others so the information does not end up in the hands of competitors. Also, these programs prevent others from copying, editing, or printing the documents which helps maintain the information in its original form. These software programs do not prevent a virus from being downloaded, an attachment from being included, or a search engine from being used.

Which of the following security measures is often found in lodging establishments: A. Electronic key cards B. Radio frequency tags C. Metal detectors D. Property management system

A. Electronic key cards. These offer excellent security for hotel guests as they do not contain a hotel room number, so that if one is lost or stolen it cannot be easily traced. Metal detectors are used in airports to check passengers entering boarding areas. Retailers use radio frequency identification tags, which are attached to expensive merchandise, to reduce the risk of shoplifting. A property management system is used to store information about reservations, room availability, and room rates.

Which of the following statements best describes consensus building: A. Everyone has equal power B. It is majority rule. C. It is minority rule. D. Decisions are made by a single leader.

A. Everyone has equal power. Making a decision by consensus means that each group member has equal power to say "yes" or "no." Consensus is not majority rule or minority rule—in consensus, every group member agrees. Consensus is also not rule by a single leader. Rule by a single leader is considered a dictatorship.

Financial planning is important because it can help you A. understand economics and finance. B. meet needs and wants. C. predict the future. D. increase your income.

B. Meet needs and wants. Financial planning helps you meet needs and wants by setting goals and working toward them. It does not help you understand economics and finance. It can help you plan for the future, but it does not help you predict it. Financial planning does not increase your income, but it does help you make the most of it.

Which of the following statements is true about project management: A. It involves the coordination of multiple activities. B. It is a continuous series of events with an unlimited life span. C. It requires a signed contract from stakeholders. D. Its primary use is for completing complex activities.

A. It involves the coordination of multiple activities. A project is any type of task that has a distinct beginning and end. Project management is the process of planning, scheduling, and monitoring the progress of a project to achieve a specific goal. To achieve the project goal, the project manager must coordinate the human and financial resources, equipment, and supplies to carry out the project's activities or tasks. Projects can be simple or complex and do not always require a signed contract from stakeholders.

Which of the following is a potential challenge when implementing quality management: A. Lack of integration B. Too specific goals and plans C. A budget surplus D. Difficult laws/regulations

A. Lack of integration. One challenge that an organization might face when implementing quality management is a lack of integration throughout the entire company. Unless the entire organization participates in quality management, it will not be successful. Specific goals and plans are a good thing when it comes to quality management! A lack of money in the budget might be a challenge, but a budget surplus would also be good. Laws and regulations usually do not keep organizations from pursuing quality management.

One of the advantages of using statistics is that individual employees' biases can't impact decision- making. That is because statistics are A. objective. B. affordable. C. accurate. D. persuasive.

A. Objective. Statistics are objective, which means that they are factual and not influenced by bias, prejudice, or outside opinion. When using statistics, decision-making is less likely to be biased by individual employees. While statistics can be affordable, accurate, and persuasive, those are not related to employees' biases.

What is one downside of using online storage for your business records? A. Online storage companies may have problems or go out of business. B. Files are difficult to access when you use online storage. C. Online storage is not as safe as keeping hard copies of documents at your office. D. Online storage is too expensive for most business owners.

A. Online storage companies may have problems or go out of business. Although online storage is usually safe, there is always the chance that the company you're relying on may have problems or go out of business. Files are not difficult to access when you use online storage—they are usually very easy to access. Online storage has pros and cons, but it is not more dangerous than keeping physical copies at your office. In fact, online storage can save your files if there is a fire or vandalism at your office. Online storage is typically affordable.

What can you do to make sure that you understand what a speaker has just said? A. Paraphrase the speaker's message. B. Maintain eye contact with the speaker. C. Focus on details rather than the big picture. D. Anticipate what the speaker will say next.

A. Paraphrase the speaker's message. Paraphrasing involves restating a message in other words to confirm or clarify its meaning. Maintaining eye contact with the speaker, focusing on details, and anticipating what the speaker will say next are not actions that will ensure that you understand the message.

Which of the following is a primary factor that helps a business determine when it should place another order for a regularly stocked item: A. Reorder point B. Profit margin C. Buyer's preferences D. Accounts receivable

A. Reorder point. The reorder point is the level of inventory at which the business needs to place a reorder with the vendor to replenish the inventory, which prevents stock-out situations. The business considers the normal demand for the product, its safety stock, and the vendor's lead time to determine the reorder point of a particular item. Profit margin, buyer's preferences, and accounts receivable are not primary factors that a business considers when it determines when to place a reorder for a regularly stocked item.

Which of the following causes problems in measuring GDP: A. Some figures used in calculating GDP are estimates. B. All economic goods and services produced are sold. C. Transfer payments add to the value of GDP. D. The underground economy has a large volume of records.

A. Some figures used in calculating GDP are estimates. While most figures used in GDP computations are reliable, there are some that have to be estimated. This makes it difficult for economists to measure GDP accurately. Not all goods and services are sold. Some are traded for other goods and services in the underground economy, and no records are kept of these transactions. Other goods are kept by producers for their personal use. Transfer payments do not add to the value of GDP because no new wealth is created.

The Houghten Hotel was overbooked and had to turn away an individual with a telephone confirmation. Since the Super Bowl was in town, the individual was forced to stay at the only available hotel which was located in an unsafe part of town. The individual was attacked while sleeping and sued the Houghten Hotel. What is the likely outcome of a lawsuit against the property? A. The property will be required to pay damages to the individual for breaking a legal contract. B. The case will be dismissed because the individual was able to find a room elsewhere. C. The individual will not be entitled to damages because s/he did not receive a written confirmation. D. The property will be forced to pay a fine for committing fraud by pretending to have a room available.

A. The property will be required to pay damages to the individual for breaking a legal contract. A room reservation is a legal contract that entitles an injured party to compensation when the contract is violated, such as when a property does not follow through with its promise to provide a room. A room reservation does not have to be in writing in order for it to be considered a contract; therefore, the individual is entitled to receive damages. For a property to be considered fraudulent in the eyes of the court, it is necessary to prove that the property overbooks as a rule, rather than as an exception, when a special event is in town. The ability to find a room elsewhere is not grounds for dismissing a case in which an individual is physically harmed as a result of being turned away by the hotel.

When you are trying to justify your actions to yourself and others, you are A. voicing your concerns. B. rationalizing. C. following a code of ethics. D. obeying authorities.

B. Rationalizing. Rationalizing is justifying your actions to yourself or others. It is often a coping mechanism when finance professionals are torn between what they are doing and what they are supposed to do. If you are trying to justify your actions to yourself and others, you are not necessarily voicing your concerns, following a code of ethics, or obeying authorities.

When a purchasing agent ordered products for a national park's gift shop, s/he agreed to the terms F.O.B. destination. What can the purchasing agent expect as a result of these terms? A. The vendor will pay shipping charges to the national park's gift shop. B. The purchasing agent will pay shipping charges from the vendor's shipping point. C. The park will not be charged shipping charges since it's a government agency. D. The transportation company will pay shipping charges to the park's destination.

A. The vendor will pay shipping charges to the national park's gift shop. F.O.B. stands for free (or freight) on board. If terms are F.O.B. shipping point, the buyer pays shipping charges from the point where they are first picked up by the shipping company. If the terms are F.O.B. destination, the vendor is responsible for paying the shipping charges until the goods reach their final destination. In this case, that is the national park's gift shop. Although the park is a government agency, it is still responsible for paying shipping charges. Shipping charges are paid by the vendor or the buyer—not by the shipping company.

Each year, the Big Roy family restaurant sells packets of Valentine's Day gift certificates for free children's meals. Each $3.99 packet contains 10 gift certificates. Each gift certificate has a maximum value of $2.50. What is most likely to be the restaurant's primary motivation for selling these gift certificates? A. To increase the number of families dining at Big Roy B. To publicize Big Roy's Valentine's Day cakes and pies C. To feed underprivileged children in the community D. To generate $1.44 in profit from the sale of each packet

A. To increase the number of families dining at Big Roy. Although Big Roy is potentially selling the gift certificates at a huge loss ($25.00 in gift certificates for $3.99), the restaurant expects to more than cover this loss through future sales. Big Roy is anticipating that when a child receives one of these gift certificates, her/his entire family will accompany the child to Big Roy. The restaurant's overall sales among families will increase because the child's parents will purchase meals for themselves and possibly dessert for everyone in the family. The restaurant's primary motivation is not likely to be to publicize its cakes and pies, feed underprivileged children, or generate any initial profit from the sale of each packet of gift certificates.

Which of the following is a relevant question for a job applicant to ask during an employment interview: A. What type of training do you provide for this position? B. Are there any good restaurants nearby? C. Why didn't the sales department meet its goals last month? D. What is your annual salary?

A. What type of training do you provide for this position? Relevant questions are types of questions that pertain to the issue at hand. If an applicant is interviewing for a job, the applicant would ask the interviewer questions about the company, job responsibilities, job training, professional development, etc. It would be inappropriate to ask the interviewer about his/her salary, nearby restaurants, and sales- department shortfalls—these questions are irrelevant to the issue at hand.

Does the hospitality and tourism industry offer career opportunities for entrepreneurs? A. Yes. Businesses in the hospitality and tourism industry can start small and expand. B. No. Businesses in the hospitality and tourism industry are franchises. C. No. Businesses in the hospitality and tourism industry are too large for start-up businesses. D. Yes. Businesses in the hospitality and tourism industry are started with state funding.

A. Yes. Businesses in the hospitality and tourism industry can start small and expand. There are lots of opportunities for people to dream and actualize those dreams when they open their businesses. Not all hospitality and tourism businesses start out as large companies—many are one-person operations and are not part of a franchise. Most hospitality and tourism businesses are started with the owner's debt or equity financing rather than with state funding.

What is a primary responsibility of a company's financial function? A. Materials allocation B. Product sourcing C. Cash management D. Sales forecasting

C. Cash management. Finance is the process of obtaining funds and using them to achieve the goals of the business. An important aspect of the finance function is managing the cash that flows into and out of the business. Product sourcing, materials allocation, and sales forecasting are not primary responsibilities of a company's financial function.

An effective way to close a job interview follow-up letter is to A. communicate your minimum salary requirements. B. reinforce your interest in the position. C. acknowledge your desire to be promoted. D. ask the interviewer to read your résumé.

B. Reinforce your interest in the position. It is a courteous gesture to write a follow-up letter to thank the interviewer for the opportunity to discuss the job. The letter may include information that you may have forgotten to share with the interviewer. Letting the interviewer know that you are interested in the position when closing the letter can help reinforce a positive image and help the interviewer to remember you. Communicating your minimum salary requirements and your desire for promotion are not appropriate topics for a follow-up letter and may hinder job offers. Interviewers read résumés before setting up interviews with job applicants.

Which of the following statements is true regarding the concept of product in the hospitality and tourism industry: A. Product specifically refers to tangible items such as a meal in the hotel restaurant. B. A hospitality and tourism product includes all goods and experiences that guests encounter. C. Hospitality and tourism products are often developed before considering the customer's needs or wants. D. The level of service is the most important function in the concept of the hospitality and tourism product.

B. A hospitality and tourism product includes all goods and experiences that guests encounter. In the hospitality and tourism industry, product encompasses a wide variety of things. Product includes tangible items, such as a meal in a hotel restaurant and the bed pillows in sleeping rooms. Product also includes service. Service might include facility cleanliness and the timeliness and courtesy of room service attendants. The level of amenities is also part of the guest's overall experience. Heated swimming pools, saunas, and athletic facilities often influence the level of guest satisfaction with the hotel stay. Although service is a very important part of the hospitality product, it is not necessarily true that it is the most important. For example, a restaurant might have an attentive wait staff, but without tasty food with an attractive presentation, the guest's overall experience might not be positive. Members of the hospitality and tourism industry should identify the needs and wants of the intended target market before developing a product.

You're giving a presentation at your job about the company's sales figures. You want to show how much profit the company has made in each of the past 12 months. Which visual aid should you choose to show this? A. A pie chart B. A line graph C. A photograph D. A video

B. A line graph. Line graphs are best used to show changes (particularly small changes) over time. For example, if you want to demonstrate your company's profit in each of the past 12 months, a line graph would be one effective method. Pie charts are more commonly used to show how categories relate to the whole. A photograph or a video would likely not showcase the data you want to present.

An expensive jewelry store provides computer tablets with a fun jewelry design game to entertain customers' children. The store is A. encouraging children to visit the store. B. accommodating the needs of parents. C. preventing children from touching displays. D. developing a new jewelry line for kids

B. Accommodating the needs of parents. By providing kids with a fun activity, the store is helping parents entertain their children so the parents are free to shop. It's not likely that an expensive jewelry store would want to encourage children to visit. There's no indication that the store is planning to develop a jewelry line for kids. Providing an activity for children does not necessarily prevent them from touching displays.

What can happen when employees do not respect one another's lifestyles? A. Language barriers B. An uncomfortable work environment C. Generational misunderstandings D. An increase in productivity

B. An uncomfortable working environment. Sometimes, employees do not respect each other's lifestyles and discriminate against each other because of them. When this occurs, employees might experience an uncomfortable work environment. This can damage productivity. Language barriers are a result of ethnic or cultural differences, rather than differences in lifestyles. Generational misunderstandings are not a result of disrespecting lifestyle choices.

A company received a negative review on social media. How should the company respond to improve the customer's post-sales experience? A. Ignore the negative comment so others aren't encouraged to follow suit B. Apologize and attempt to rectify the problem C. Reply with a witty comment to improve brand image D.Ask the customer to comment again explaining the problem in more detail

B. Apologize and attempt to rectify the problem. When a company receives a negative review on social media, it should use the platform to publicly acknowledge the customer. This gives the customers the attention and respect they are seeking, as well as demonstrating that the company cares about its customers. The company should not ignore the negative comment because this makes it appear that the customer's opinion does not matter. Replying with a witty comment will not necessarily improve brand image because the customer might feel insulted or belittled. While it is a good idea to gather more information about the problem, it might be wise for the company to do so privately rather than publically in a comment.

You are a hotel event planner in charge of a business conference. One of your guest speakers calls you to explain he is running late and will miss the pre-conference dinner. Instead, he explains, he is going to get something fast to eat on the way to the hotel. He still plans to arrive in time for his scheduled presentation, though. Which of the following would be the best thing for you to do to assist him: A. Ask the staff to keep his entrée warm so he can eat when he arrives. B. Ask a valet to help him with parking and luggage when he arrives. C. Cancel his presentation and let attendees know that he won't be there. D. Arrange for a video conference call in case he is late for his presentation.

B. Ask a valet to help him with parking and luggage when he arrives. A guest speaker is an important part of a conference, so you should arrange to make his arrival as easy and stress free as possible. He plans to eat something on the way to the hotel, so there's no need to keep his entrée warm. Cancelling his presentation or arranging for a video conference call would not be helpful because the speaker is planning to arrive on time for his speech.

A luxury resort in the Grand Cayman Islands maintains a special section on its website for couples who are planning a destination wedding and/or honeymoon. This is an example of a hospitality business segmenting a market by A. geographics. B. behavior. C. lifestyle. D age.

B. Behavior. When segmenting by behavior, marketers consider factors such as the market's product knowledge, purchasing habits, and responses to products. Occasion segmentation classifies buying behavior by important events such as birthdays, holidays, and weddings. Geographics involves segmenting a market by location. Psychographic segmentation is the division of a market on the basis of consumers' lifestyles and personalities. Demographic segmentation considers factors such as income, education, age, and gender.

Gerry's Burger Barn produces a spoof video on social media that shows its burgers are "so good that cows eat them." The video goes viral and is shown on different sites on the Internet, which was not Gerry's original intent. This would most likely cause a(n) __________ risk A. legal B. reputational C. employment D. security

B. Reputational. A reputational risk can do damage to a brand or company by twisting the intent and portraying the company or brand in a negative light. Legal risks include employment, privacy, security, intellectual property, and media risks.

What should help businesspeople adapt their communication styles to appeal to clients from other cultures? A. Being confident, biased, and manipulative B. Being patient, flexible, and empathetic C. Being sensitive, transparent, and demanding D. Being respectful, indifferent, and honest

B. Being patient, flexible and empathetic. So that businesspeople don't do something that will offend their clients, they should adapt their communication styles with clients from different cultures. To develop positive relationships with international clients, businesspeople should try to learn as much as they can about their clients' cultures, customs, and social values. Adapting communication styles requires businesspeople to be patient, flexible, empathetic, respectful, confident (but not overly so), honest (transparent), and sensitive to their clients' cultures and customs. Projecting biased, demanding, manipulative, or indifferent attitudes may offend the clients.

What is the first step to problem-solving in a group? A. Assessing solutions B. Defining the problem C. Determining causes of the problem D. Implementing solutions

B. Defining the problem. Understanding and agreeing upon the details of the problem at hand are crucial to eventually developing a feasible and effective solution. This step must be done before any causes or solutions can be discussed. Assessing solutions, determining causes, and implementing solutions are all steps in the group decision-making process, but cannot be done until the problem has been defined.

A salon recently added nail services to its product mix. This strategy is called A. contraction. B. expansion. C. trading up. D. alteration.

B. Expansion. When a business adds product items or lines to its product mix, it is using the product-mix strategy of expansion. Contraction is a product-mix strategy in which a business removes, or deletes, product items or product lines from its product mix. Alteration is a product-mix strategy in which a business makes changes to its products or product lines. Trading up is a product-mix strategy in which a business adds higher-priced product items or lines to its mix.

Jonas is starting a nonprofit organization to save turtles in Mexico. What benefit will Jonas most likely receive from registering as a nonprofit? A. Dual taxation B. Federal tax break C. Bank loan D. Dividends

B. Federal tax break. Nonprofit organizations that are established to benefit society are not generally taxed by the federal government. Dual taxation is the levying of two taxes on the same income, which normally isn't the case for nonprofit organizations. Bank loans are a means of gaining capital funding and are not a benefit of registering as a nonprofit. Dividends are sums of money paid to an investor or stockholder as earnings on an investment. These normally do not apply to nonprofit organizations since they are based on the goal of profit.

Because the company's president was impressed with Ed's willingness to accept additional tasks and carry them out without a lot of direction, s/he promoted Ed to a management position. What personal trait does Ed possess that helped him advance in his career? A. Courage B. Initiative C. Self-confidence D. Self-control

B. Initiative. Workers who show initiative are willing to act without having to be told to do so. They are willing to accept or seek additional duties, which often exceed their employers' expectations. Workers who are competent and show initiative are often promoted to positions that give them more responsibility. Although courage, self-confidence, and self-control are admirable qualities that often lead to career advancement, these traits are not related to accepting additional work and working without a lot of direction.

DeMarcus behaves ethically at his job even when no coworkers or supervisors are watching. DeMarcus is displaying A. transparency. B. integrity. C. viability. D. greed.

B. Integrity. Having integrity means acting ethically even when no one is watching. Transparency and viability are also ethical principles, but DeMarcus is not demonstrating them in this example. DeMarcus is not demonstrating greed

To allow customers to access account information at any time by telephone, businesses often use A. teleconferencing software programs. B. interactive voice response software. C. just-in-time systems. D. technological robotics systems.

B. Interactive voice response software. Many businesses use interactive voice response software to automate their services. When a vendor or customer calls the business, an automated system directs the caller through a series of questions or prompts and guides him/her to the appropriate department or through an activity by processing the caller's verbal response. The software allows callers to process orders or access account information at any time of the day or night. Teleconferencing software allows many callers to communicate simultaneously. Just-in-time is an inventory control method that orders goods just in time for them to be used or sold. Robotics refers to a mass production technique in which robots carry out the repetitive tasks that workers find monotonous and tiring.

Trends indicate that more hotel guests are booking rooms directly with hotel properties over the Internet, which reduces the need for travel A. intranets. B. intermediaries. C. subsidiaries. D. amenities.

B. Intermediaries. Intermediaries are channel members operating between the producer and the consumer that aid in the movement of goods and services. Today, most lodging facilities maintain websites that have capabilities which allow guests to book their reservations via computer. Internet advancements have reduced the need to book hotel accommodations through travel agents and other travel intermediaries. Intranets are internal computer networks that allow users to access information and communicate with others within an organization. A subsidiary is a company that is entirely controlled by a parent company. Amenities are additional goods and services that make the primary hospitality product more attractive (e.g., dry-cleaning service, wake-up calls). Booking hotel reservations directly with the hotel property has not reduced the use of intranets, subsidiaries, and amenities.

Which of the following is a true statement about globalization A. It has had a minimal impact on the world. B. It involves the flow of ideas across national borders. C. Its pace is slowing down. D. It is a purely economic term.

B. It involves the flow of ideas across national borders. Globalization is the rapid and unimpeded flow of capital, labor, and ideas across national borders. The result is that various regions across the globe now have integrated societies, cultures, and economies—this is due to methods of communication, transportation, and trade becoming faster and more efficient all the time. Globalization involves ideas, people, and culture—much more than just economics. It has had a major impact on the world and everyone in it. Experts agree that the pace of globalization is quickening.

What is one way that a business can create or enhance place utility? A. Offer customers financial assistance, such as credit or loans B. Research locations where customers expect to find products C. Order or manufacture products before they are needed D. Add new features to existing products

B. Research locations where customers expect to find products. To create or enhance place utility, businesses must figure out where customers expect to find products. This way, the business can plan and move the product to the right place—the place where customers will purchase the product, which is likely to be the place where the producer or service provider will make the most sales. Offering customers financial assistance creates possession utility. Ordering or manufacturing products before they are needed creates time utility. Adding new features to existing products creates form utility.

The Premier Hotel inserts a coupon offering a midweek special in the local newspaper. What type of promotional activity is the hotel using? A. Public relations B. Sales promotion C. Selling D. Advertising

B. Sales promotion. This refers to any promotional activity other than advertising, publicity, and personal selling. Examples of sales promotions include displays, coupons, and sweepstakes. Advertising is the nonpersonal, paid presentation of ideas, images, goods, or services. Public relations is the process of building goodwill toward an organization. Selling refers to the planned, personalized communication made by a sales representative to influence a customer's purchase decision and enhance future business opportunities.

A standard purchase order should include product specifications, quantities, prices, and what else? A. Location of buyer's customer B. Shipping requirements C. The invoice code D. Credit references

B. Shipping requirements. A regular or stock purchase order should include all of the necessary information for processing the request, which includes the appropriate quantities and prices of the desired goods. The purchase order should provide the shipping location at the desired time for delivery. In some situations, the buyer may also include the desired shipment method on the purchase order. For example, a business that orders a standard part to repair a piece of equipment may want the part shipped by air to ensure that it receives the part quickly. If the business does not indicate that it needs the item quickly, the vendor may ship it by rail or truck, which would take longer to deliver. Unless the order is a drop shipment, the vendor does not need to know the location of the buyer's customer. The invoice is processed by the vendor rather than the buyer; therefore, the buyer would not provide an invoice code or number. The buyer might need to provide the supplier with credit references from their other vendors if company is placing an initial order; however, this information is not necessary to provide on regular purchase orders. In most cases, the buyer must complete a different form to list credit references.

Which of the following is the most rapidly changing category of information included in an environmental scan: A. Demographics B. Technology C. Government D. Competition

B. Technology. Technology is the most rapidly changing category of information included in an environmental scan. Not keeping up with technology can be fatal to a business, so scanning technology is very important. Demographics, the government, and competition tend to change at slower rates than technology.

Which of the following is an example of a business's core values: A. We are decreasing our overall expenses by 5% over the next 12 months. B. We deal honestly and fairly with our customers and ourselves. C. We demonstrate a customer service mindset. D. We use social media to reach our target market.

B. We deal honestly and fairly with our customers and ourselves. A business's core values represent a business's primary values and provide the foundation on which its employees perform their work and conduct themselves. Although goals, strategies, tactics, and employees change, core values remain unchanged. Decreasing overall expenses is a goal. Demonstrating a customer service mindset is a competency or performance indicator. The use of social media is a tactic.

Talia is the marketing director at a resort, and she knows that people usually begin booking their spring break trips in January. Talia wants to regularly promote rate deals in the weeks leading up to this season. What tool would be most beneficial to Talia? A. Web statistics and analytics B. Search engine optimization C. A social media content calendar D. An infographic generator

C. A social media content calendar. A social media content calendar is a way to plan and organize upcoming content for social media. It helps marketers schedule upcoming posts and plan in advance based on important dates and opportunities. Talia could benefit from a social media calendar because it could help her plan in advance to promote her resort during the busy season. Without a calendar, she might miss out on a key promotional opportunity. Search engine optimization, web analytics, and an infographic generator would not necessarily help Talia in this situation.

A restaurant has been extremely busy, but it does not have room in the budget to hire more staff to keep up with demand. What is one strategy the restaurant could take to keep customers happy during peaks in demand? A. Offer discounts for customers to come back another time B. Only accept customers who have a reservation C. Add a consumer-participation option such as a salad bar D. Expand the restaurant to accommodate more tables

C. Add a consumer-participation option such as a salad bar. One way that restaurants can manage high demand without hiring staff is by including a consumer-participation option, such as a salad bar. This eliminates time spent on preparing and serving salads, as well as keeping customers busy. Only accepting customers who have a reservation might not help because the restaurant will still be busy without enough staff to handle demand. Offering discounts for customers to come back another time is a strategy to shift demand, not necessarily to manage customer experience during peaks in demand. Expanding the restaurant to accommodate more tables is a strategy to be able to handle more customers, but it does not solve the issue if the restaurant cannot hire more staff.

Which of the following is a way that businesses can increase productivity by improving their employees' quality of work life: A. By following regulations B. By developing new products C. By paying fair salaries D. By meeting customers' needs

C. By paying fair salaries. Salaries and wages that workers consider to be fair contribute to the quality of work life. Employees will be more productive when they feel that their earnings are equal to or better than the earnings of others doing the same type of work. Paying fair salaries improves the general conditions in which employees work and often results in an increase in productivity. Businesses' research and development programs help to develop new products and meet customers' needs. Businesses try to operate within the guidelines of government regulations.

The purpose of a pre-bid meeting is to A. strengthen relationships between bidders and purchasers. B. filter out potential bidders. C. clarify any bidders' concerns. D. request an extension of the submission date.

C. Clarify any bidders' concerns. A pre-bid meeting is a formal meeting that gives bidders a chance to clarify any concerns with the scope of work, documents, and other details. The pre-bid meeting is usually open to all bidders or a pre-qualified group of bidders. It is not used to filter out potential bidders. The purpose of the pre-bid meeting is not to strengthen relationships. Finally, a request for an extension may come out of a pre-bid meeting, but this is not the only reason for these meetings to occur.

Melissa's family goes to the same remote beach destination every year for one week. All of the family members enjoy the quiet, relaxing atmosphere that the location offers. In this situation, the motive to travel to this location is A. price. B. adventure. C. comfort. D. prestige.

C. Comfort. Some people prefer traveling to familiar places, which in turn, provides comfort. Adventure seekers tend to enjoy visiting different locations and participating in a variety of activities. The situation does not provide enough information to determine if price or prestige play role in the travel motives or decisions.

Which of the following statements about protecting digital customer data is true: A. A company's protection of data has little impact on the customer's perception. B. Protecting digital customer data is a responsibility of the IT department. C. Data protection strategies should be reevaluated often. D. Protecting digital customer data is only necessary for large businesses.

C. Data protection strategies should be reevaluated often. Data protection strategies should be reevaluated often because, as technology changes and hackers become more sophisticated, what was a good strategy five years ago may not be effective today. Protecting digital data is an important task for everyone in the company, not just the IT department. If a company fails to adequately protect its data, customers will likely have a negative perception of that company. Protecting digital customer data is necessary for businesses of all sizes.

In what segment of the hospitality and tourism industry is destination marketing? A. Recreation B. Travel and tourism C. Event management D. Restaurants and managed services

C. Event management. Destination marketers "sell" locations to clients. In many cases, destination marketers are trying to obtain convention or meeting business for a community. Other segments in event management include convention and visitors bureaus and event planning. The travel and tourism segment consists of air, cruise ships, online travel services, rail, bus, car, and tourism. Recreation consists of attractions, gaming, theme parks, clubs, and recreational activities. Restaurants and managed services include full-service restaurants; casual dining; dinner house restaurants; and food operations for institutions, government agencies, airlines, and businesses

Which of the following situations is an example of employees coordinating their work efforts: A. Sarah calls a vendor to verify the delivery date of an order, while Shelley sells products. B. Bob unpacks a shipment and places the items on shelves in the warehouse. C. Gavin orders inventory based on the forecast that Madelyn has prepared for him. D. Ed reviews his monthly financial report to verify his calculations.

C. Gavin orders inventory based on the forecast that Madelyn has prepared for him. Gavin does not know the type and amount of inventory to order until Madelyn provides him with the forecast that she has prepared. Therefore, Gavin and Madelyn's work activities are interdependent—they must work together and coordinate their work efforts to achieve the business's goals. Unpacking a shipment, placing the items on shelves, and reviewing a monthly financial report are not situations that indicate employees are coordinating their work efforts. Sarah and Shelley are working independently rather than coordinating their efforts.

Servers at the Mountain Top Café often seat customers as well as wait on tables. Unfortunately, the servers are often so busy that they aren't very welcoming or friendly to diners wanting to be seated. Which of the following would help servers focus on their responsibilities as wait staff while also maintaining high service standards: A. Display a menu outside so diners can be self-informed. B. Allow guests to seat themselves where they prefer. C. Hire a host/hostess to greet and seat the diners instead. D. Ask servers to tell customers they don't have time to chat.

C. Hire a host/hostess to greet and seat the diners instead. Rather than expecting the servers to do what are essentially two different jobs—waiting on tables as well as acting as hosts or hostesses, the restaurant should hire a host/hostess instead. The host or hostess could greet diners, interact with them, seat them, and share information about menu specials. Allowing guests to seat themselves does not meet high service standards and can cause confusion among wait staff. Displaying a menu outside does not eliminate the need to interact with customers. Telling customers there's no time to chat creates a rude and unwelcoming atmosphere that does not achieve high service standards.

Which of the following presents an ethical issue that may increase a business's level of risk: A. Developing processes to test product durability B. Communicating business information to customers C. Hiring a family member who lacks necessary job skills D. Striving to achieve higher sales than coworkers

C. Hiring a family member who lacks necessary job skills. Nepotism is the practice of hiring employees on the basis of the relationship between the new hire and an employee. Hiring a family member who doesn't possess the skills to perform the job is an example of nepotism. When the family member does not have the appropriate skills to perform the job, it presents an ethical issue (favoritism) and can increase the business's financial risk. The business is paying someone who cannot perform the work efficiently, which means the business isn't getting the most for its payroll dollars. In addition, if the new hire does not have the skills to run equipment safely, s/he is more likely to break equipment or cause injury. As long as the activities are legal and do not harm others, communicating business information to customers, developing processes to test product durability, and striving to achieve higher sales than coworkers are ethical actions.

Which of the following is an example of an organized labor-relations issue: A. Performance reviews B. Employee training C. Continuing education D. Collective bargaining

D. Collective bargaining. Collective bargaining, which is the negotiation of wages and other conditions of employment by a union or other organized body of employees, is an example of an organized labor- relations issue. Employee training, continuing education, and performance reviews are also important workplace activities, but they are not necessarily organized labor-relations issues.

In order for constructive criticism to be effective, it should be delivered: A. during a staff meeting. B. by a committee. C. in private. D. within a week.

C. In private. In order for constructive criticism to be effective, it should be delivered in private. Giving constructive criticism in front of others, such as during a staff meeting, may embarrass the person receiving the criticism. Constructive criticism is given right away. Waiting up to a week to give the criticism is unwise because the message receiver may not remember specific details about the situation. The degree of effectiveness of constructive criticism does not depend much on who gives the criticism (such as a committee). The manner in which the constructive criticism is given to the message receiver is much more important. Constructive criticism is most effective when it is private, thoughtful, nonjudgmental, nonthreatening, immediate, specific, and factual.

Which of the following individuals is an example of a whistleblower: A. Olga admitted that she was changing companies because she was tired of her boss. B. Megan told her human resources manager about an annoying coworker. C. Jake reported that he witnessed a senior manager harassing a new employee. D. Asha told her friend that her manager was too uptight and serious all the time.

C. Jake reported that he witnessed a senior manager harassing a new employee. A whistleblower is an employee who reports unethical or illegal business activity to human resources management, an ethics hotline, or to another authority. Harassment is both unethical and illegal in the workplace and is, therefore, an example of a report that constitutes whistleblowing. Telling human resources management about an annoying coworker, admitting to changing companies because of a boss, and telling a friend about a manager that is too uptight are not examples of whistleblowing.

Billie's whole day was thrown off schedule because she was 20 minutes late to a team meeting. Which time-management principle does she need to learn? A. Know when and how you work best. B. Make the most of your "down time." C. Learn to be on time. D. Focus on goals, not on tasks.

C. Learn to be on time. Billie needs to learn to be on time so she can stick to her schedule. Her problem doesn't have anything to do with knowing when and how she works best, knowing how to make the most of her "down time," or focusing on goals rather than tasks.

If trends indicate that more people are booking airline flights to popular destinations, it is likely that A. the unemployment rate will increase. B. tour attendance will decline. C. lodging occupancy rates will increase. D. consumer spending will decline.

C. Lodging occupancy rates will increase. Hospitality and tourism businesses monitor trends. Trends provide hospitality and tourism businesses with information about changes that are occurring in the industry. By knowing about industry changes, hospitality and tourism businesses can adapt so they can effectively compete in the marketplace. Because hospitality and tourism businesses are often interdependent, they will watch trends for various types of businesses within the industry. For example, if more people are booking airline flights to popular destinations, then they will need lodging, which increases the lodging occupancy rates. If more people need lodging, the hotels need to ensure that they have the resources to accommodate the higher number of guests. If more people are traveling, it is likely that they will spend more money at restaurants and that more people will attend or visit area tour attractions. If tourism increases, then the area's unemployment rate will likely decrease because more businesses will be hiring employees to meet the higher demand for hospitality and tourism products.

One reason why businesses often use databases to analyze information about customers is to A. manage finances. B. prepare invoices. C. make predictions. D. prepare reports.

C. Make predictions. A database is a collection of facts and information arranged in a logical order so that it can be accessed and used when needed. Businesses often maintain a vast amount of information about customers in databases and analyze the information to make predictions about how customers will respond in the future. For example, businesses might analyze customers' purchases to predict the products they will or will not buy in the future and the amount they are likely to spend. A business might use this information to make changes in its products based on what customers were buying. Businesses use spreadsheet software programs to prepare invoices and manage finances. Businesses use word- processing programs to prepare reports.

Free Wheelin' Bus Tours sent an online survey to customers to determine their satisfaction levels with the company's tours. What type of research did the company conduct? A. Unilateral B. Secondary C. Primary D. Bilateral

C. Primary. Primary research involves gathering, recording, and analyzing new information specifically for the purpose at hand. The tour company collected feedback for a specific purpose, which was to determine satisfaction levels with the company's tour products; therefore, the tour company has collected primary research. Secondary research is information that has already been collected for other purposes. Unilateral and bilateral are types of contracts rather than types of marketing research.

Full-service hotels that provide upscale services and amenities usually charge high rates because their guests associate price with A. supply. B. economy. C. quality. D. value.

C. Quality. Customers often associate price with quality. For example, customers assume if the price of a hotel room is high, that the quality is high. Full-service hotels that provide upscale services and amenities usually charge high rates for their rooms because guests expect to pay high prices for the quality services. High prices are realistic to guests who stay in full-service hotels. If the hotels lowered their prices, guests might not stay there because the rates are lower than expected, and they might assume that the quality is also low. Guests of full-service hotels do not associate high prices with value or economy. Supply is the quantity of a good or service that sellers are able and willing to offer for sale at a specified price in a given time period.

Which of the following is a specific goal: A. Increasing sales B. Finding more customers C. Reducing costs by 5% D. Improving customer satisfaction

C. Reducing costs by 5%. Reducing costs by 5% is a specific goal. It is easy to measure because it states a percentage. Finding more customers, increasing sales, and improving customer satisfaction are all general goals. These are difficult (or impossible) to measure because they are too vague.

What is an employee safety issue in the hospitality and tourism industry that is typically most difficult to control? A. Liability B. Fraud C. Terrorism D. Robbery

C. Terrorism. The current rise in terrorist activity is an employee safety issue in the hospitality and tourism industry. The industry is aware of the threat, but terrorism is difficult to control. Most hospitality and tourism businesses explain the issue to employees and take measures to keep employees away from potentially unsafe areas. However, it is virtually impossible for the industry to prevent the threat of terrorism because it is beyond the industry's control. Robbery is a safety issue; however, the hospitality and tourism industry has procedures to follow to reduce the risk and keep employees safe. Fraud is a security issue that involves a deception purposely carried out to secure unfair or unlawful gain. Liability is the industry's responsibility for the safety of its employees.

Which of the following industries has most impacted the development of the hospitality industry? A. Lumber B. Retail C. Transportation D. Financial

C. Transportation. The development of rail, automobile, and air travel in the past 150 years has had the most impact on the growth in the hospitality arena. Business and leisure travel has dramatically expanded because the time, comfort, and ease of travel has improved. This, in turn, creates a demand for facilities to house a wide variety of travelers. The retail, lumber, and banking industries would be impacted by growth or decline of the hospitality industry. The higher demand for hospitality services would naturally result in a higher demand for financial backing, building materials for the facilities, and retail establishments for travelers.

Which of the following is a characteristic of an efficient accounting system: A. Maintenance-free B. High-accessibility C. User-friendly D. Results-oriented

C. User-friendly. An accounting system is the methods and procedures that a business uses in handling its financial information. An efficient accounting system allows the business to retrieve the information it needs quickly and easily. Because most companies use computer-based accounting systems to help them store, track, and retrieve important financial data, it is important for the accounting system's software to be user-friendly, easy to use, and easy to operate. Most companies do not want a lot of people to have access to their financial data, so it is important to keep it secure and accessible for those who need and use the information. Accounting systems require some type of maintenance because people must continuously update the information. Accounting systems do not produce results for the business—they simply store information in an organized way.

Which of the following is a key question project managers ask when identifying needed resources: A. Who is approved to authorize changes to the project plan? B. What might go wrong with this project? C. What level of expertise is required to complete each deliverable? D. Is communication clear and effective

C. What level of expertise is required to complete each deliverable? When identifying resources, project managers must ask what level of expertise is needed, so they can know what human resources will be required. Asking what might go wrong with a project pertains to risk management. Asking who is approved to authorize changes to the project plan pertains to change management. Asking about communication pertains to the communications plan.

Businesses use technology to build positive customer relations by A. sending unsolicited emails. B. calling customers at home. C. placing pop-up advertisements on websites. D. creating targeted marketing campaigns.

D. Creating targeted marketing campaigns. Businesses use technology to build positive customer relations by identifying valuable customers and creating targeted marketing campaigns to reach them. Calling customers at home, placing pop-up ads online, and sending "junk" emails will create negative customer relations instead of positive ones.

In an effective information management system, all information is A. abstract. B. accessible to everyone. C. quantitative in nature. D. accurate.

D. Accurate. A business's information management system isn't very helpful if it contains inaccurate information. While it is important for the information to be accessible to the right people, you don't necessarily want everyone to have access. It could be a disaster if just anyone was able to see your company's tax returns, accounting records, or customer lists. While much information in an effective information system is likely to be quantitative or numerical in nature, some information is also bound to be qualitative or based on opinion (e.g., customer comments). Abstract data or words describe things which are not objects and may have different meanings to different people. Although some data may be abstract, other data or information are concrete in nature (e.g., inventory records, sales reports, etc.).

Which of the following is a good strategy for resolving a customer service issue: A. Disagree with each negative statement B. Agree with the customer's complaints C. Keep the conversation in a public space D. Allow the customer to express his/her feelings

D. Allow the customer to express his/her feelings. Sometimes, frustrated customers want to complain and release anger. Allowing them to express their feelings might help them calm down and make a resolution more likely. Agreeing with a customer's complaints is not a good idea because it undermines the authority of the company. Keeping the conversation in a public space is not a good idea because other employees or customers might hear the conversation, which could damage morale and reputation. Finally, disagreeing with each negative statement is likely to upset the customer rather than helping resolve the conflict.

Which of the following can be learned from monitoring the sales data of any hospitality and tourism business: A. Color most frequently preferred by customers B. Median age of customers C. Average size of customers' families D. Average amount of sales per customer

D. Average amount of sales per customer. By totaling the amount of all sales and dividing by the number of customers, hospitality and tourism businesses can determine the average amount of sales per customer. Hospitality and tourism employees can use this information as a target amount to work toward attaining and exceeding their sales efforts. The age of customers, the size of their families, and their color preferences cannot be obtained from all hospitality and tourism sales data.

Sunny Side Up Café is a small, family-owned business in a quiet part of town. The restaurant does not accept credit cards—only cash. Which of the following is the most likely reason for the restaurant to refuse credit cards: A. The town restricts use of credit cards. B. The business owners are old. C. Residents never carry credit cards. D. Credit cards have high processing fees.

D. Credit cards have high processing fees. When businesses accept credit cards, they are required to give some of the money from each sale they make to several third parties—such as the card provider, the banks that are involved, and various credit-card associations. These processing fees can sometimes make accepting credit cards too expensive for small businesses that sell inexpensive items like breakfast foods. It is unlikely that the café decided to refuse credit cards because the owners are old, because residents never carry credit cards, or due to town restrictions.

Holiday Inn Express uses the slogan "No excuses, guaranteed" as a money-back promise to guests. This is an example of a A. warranty on goods. B. guarantee on goods and services. C. warranty on service. D. guarantee on service.

D. Guarantee on service. Holiday Inn Express is a pure service-provider. Its guests buy the intangible item of lodging. A guarantee is a promise by the seller to the customer that the seller will refund the customer's purchase price if the product does not perform as expected. Therefore, the statement "No excuses, guaranteed" is an example of a guarantee on a service. A warranty is a promise made by the seller to the customer that the seller will repair or replace a product that does not perform as expected. Goods are tangible items.

Anna is a marketing manager for an upscale resort, and is developing profiles of typical guests who stay at the resort. The best internal source of secondary information for Anna to obtain is A. room status reports. B. government census reports. C. airline passenger lists. D. guest registration records.

D. Guest registration records. Secondary information is information collected by others. Guest registration records are internal sources of secondary information that are collected for one reason and may be used for other purposes, such as for marketing. Guest registration records can provide information about guests' preferences. By knowing this type of information, the resort can customize promotional information for guests. External secondary information is obtained from sources outside the hotel chain, such as competitors' websites, government documents (e.g., census reports), or online industry reports. Airline passenger lists are external sources of information that are often confidential. Room status reports are internal reports that advise hotel personnel which rooms are occupied and which rooms are not occupied.

A business must ensure that it hires employees who possess the appropriate skills to A. set the appropriate standards. B. determine if the business needs to seek additional funding. C. analyze the business's profit margins. D. help the business achieve its organizational goals.

D. Help the business achieve its organizational goals. A business must hire employees who have the skills to carry out the tasks that are needed to achieve its organizational goals. Without the appropriate skills, the business will not run efficiently and compete effectively in the marketplace, which is likely to result in financial losses. Hiring skilled employees will not help a business determine funding needs or analyze profit margins. Managers, rather than employees, set the business's organizational standards.

Which of the following is a reason why innovation is important: A. Innovation eliminates competition. B. Innovation ensures a business will succeed. C. Innovation leads to creativity. D. Innovation helps the economy.

D. Innovation helps the economy. Innovation is important because it helps the economy. Innovation creates new products and services that, in turn, create new jobs. Innovation can help a business succeed, but it does not guarantee success. In fact, innovation carries a risk of failure. Innovation does not eliminate competition, but it does give an innovative company a competitive advantage. Innovation doesn't necessarily lead to creativity; instead, creativity is more likely to lead to innovation. Innovation involves the process of putting creative ideas into action.

Which 1990s technological development has allowed travel and tourism information to be obtained by the general public on personal computers: A. Central Reservation Systems B. Fax machines C. Cellular telephones D. Internet

D. Internet. A personal computer is used to access Internet services. In addition, the Internet can be accessed through cell phones and personal digital assistants (PDAs). Internet services can be used to research, reserve, cancel, and pay for travel and tourism services. Fax machines were developed prior to 1990. Cellular telephones do not require personal computers for usage. Central Reservation Systems were implemented prior to 1990 and are used by persons employed in the travel and tourism industry, not the general public.

A frequent customer is early for his Tuesday appointment with your coworker, Antonio. What should you do or say to the customer? A. Ask him what he thinks of Antonio's ability. B. Ignore him since he is familiar with the company. C. Tell him that Antonio always runs late on Tuesdays. D. Invite him to be seated in a waiting area

D. Invite him to be seated in a waiting area. It is important to be friendly and make all visitors feel welcome. Ignoring a visitor can make him/her feel unwelcome. Telling a customer that an associate always runs late or asking for opinions of his performance is unprofessional and may make the visitor feel uncomfortable.

Eduardo just took over the job of maintaining customer records at his company. Which of the following things should he do: A. Allow everyone to update records B. Maintain incomplete data C. Allow duplicate records D. Maintain a consistent style

D. Maintain a consistent style. It's important to make sure that all records are input the same way. For example, if states were referred to by abbreviations and their full names, the record keeping system might not be accurate. A style sheet should tell Eduardo how to consistently input data like addresses, company names, etc. He should maintain complete data and avoid duplicate records. Records should not be updated by everyone; this can lead to duplicates and incorrect information.

Laws that prohibit violence against others are an example of which function of the law? A. Resolving disputes B. Enacting social change C. Ensuring equality D. Maintaining order

D. Maintaining order. Maintaining order is an important purpose of the law. Laws help to control society and set the standards for being a part of civilization. The punishments for breaking the law aim to prevent people from harming themselves, others, or society as a whole. Laws against violence are a part of maintaining order. Laws can also enact social change and resolve disputes, but the prohibition of violence is not an example of these functions. While laws may aim to ensure equality, this is not necessarily a function of law, and it is not relevant to this situation.

If you are tracking and managing progress, issues, and changes during a project, you are A. ending the project. B. starting the project. C. communicating with key stakeholders. D. monitoring and controlling the project.

D. Monitoring and controlling the project. Monitoring and controlling projects is an important aspect of project management. It includes tracking the project's progress, controlling issues, and managing changes. Tracking its progress, issues, and changes does not happen during the start of the project because at the beginning, there is nothing to track and manage. Communicating with key stakeholders is an important aspect of project management, but it does not include managing progress, issues, and changes. Finally, ending the project does not include tracking and managing progress, issues, and changes because that has already been completed by the end of the project.

Just as Ryan is leaving work to get dinner with friends, his coworker asks for help with a project that needs to be finished immediately. Ryan agrees to help his coworker, even though this means he'll be late to meet his friends. Ryan is behaving A. forcefully. B. aggressively. C. assertively. D. passively.

D. Passively. Passive behavior is conduct in which people fail to exercise their own rights or to respect their own needs. A passive person usually displays an attitude based on the desire to avoid conflict at all costs. When Ryan puts his own needs aside to help a coworker, he is behaving passively. Aggressive behavior is conduct based on a willingness to ignore the rights of others and to take advantage of them to achieve personal goals. Forceful behavior would likely be considered aggressive. Assertiveness is the ability to express yourself, communicate your point of view, and stand up for your rights, principles, and beliefs.

Knowing your strengths and weaknesses can help you A. receive a raise each year. B. make the right decision every time. C. obtain any job you want to. D. perform better in your current job.

D. Perform better in your current job. Knowing your strengths and weaknesses gives you the ability to apply your talents where they are best used, which can in turn help you to perform better in your current job. Knowing your strengths and weaknesses will not necessarily ensure that you will make the right decision every time, obtain any job you want to, or receive a raise each year.

Sally is sure she won't like her new coworker, Lily, because Lily is from New England. Sally doesn't know anyone from New England, but she believes people from that region are cold and unfriendly. Sally's attitude is an example of A. generosity. B. thoughtfulness. C. grievance. D. prejudice.

D. Prejudice. Prejudice is opinions or judgments based on feelings or hearsay, rather than fact. Sally is basing her opinion of her coworker on what she has heard, not on fact. Her prejudice will keep her from feeling empathy for Lily. Thoughtfulness is consideration for others. Generosity is the willingness to give to others. A grievance is a complaint about unfairness.

It's appropriate to write a letter of inquiry when A. you're summarizing a business report. B. thanking a potential employer for an interview. C. informing employees of a payroll change. D. requesting more information about a company.

D. Requesting more information about a company. When you need to request information or ask a question, you send a letter of inquiry. Letters of inquiry can be written for many different reasons—to request more information about a company, to ask a question about a product, to inquire about a job opening, to ask for advice, to request paperwork, etc. A letter that thanks a potential employer for an interview is a follow- up letter, not a letter of inquiry. When informing employees of a payroll change, you'd likely write a memo. A business report summary is known as an executive summary. This is meant for people who don't have time to read the entire business report, and it's not the same thing as a letter of inquiry.

Where in the Microsoft Word word-processing program should you look to determine what page of a document you're on and how many words are in the document? A. Title Bar B. Ribbon C. Quick Access Toolbar D. Status Bar

D. Status Bar. The Status Bar appears at the very bottom of your window and provides such information as the current page and the number of words in your document. You can change what displays on the Status Bar by right-clicking on the Status Bar and selecting the options you want from the Customize Status Bar menu. The Ribbon in Microsoft Word 2007 is used to issue commands. The Ribbon is located near the top of the screen, below the Quick Access Toolbar. The Title Bar displays the title of the document on which you are currently working.

Janet is a busy advertising executive trying to balance her job, family, and social responsibilities. Four days a week, Janet runs on a treadmill for an hour. After her workouts, Janet feels relaxed and focused. Janet's exercise program helps her manage A. work. B. goals. C. time. D.stress.

D. Stress. Stress is a mental, physical, or emotional feeling of pressure or tension. When individuals do not effectively manage their stress levels, their work productivity tends to decrease, and they often experience burnout and develop health problems. Individuals can combat stress by getting plenty of rest, using relaxation techniques, and exercising on a regular basis. Running is one of many ways to achieve the health-related benefits of exercise. Exercise can help individuals feel relaxed and focused, which greatly reduces stress. When individuals manage their stress, they can better manage their time and work activities and achieve their goals.

Why is it important for a business to identify its product's competitive advantage? A. To plan a distribution system B. To create a realistic trademark C. To evaluate the marketing research process D. To develop an appropriate marketing strategy

D. To develop an appropriate marketing strategy. Competitive advantage is the edge achieved by businesses that offer something better than their competitors. Businesses usually try to identify a product's competitive advantage in order to develop a marketing strategy to achieve the business's goal of selling the product to the target market. For example, a product may have a unique feature that makes it better than similar products. Businesses focus on promoting that feature when marketing the product. A business does not identify its product's competitive advantage to create a realistic trademark, evaluate the marketing research process, or to plan a distribution system.

One way to resolve conflict with customers in the hospitality and tourism industry is to A. always escalate conflict to upper management. B. be aware of common triggers of conflict. C. maintain an authoritative attitude. D. understand what guests truly want.

D. Understand what guests truly want. In the hospitality and tourism industry, understanding what is truly driving customers' complaints is essential. When you understand what guests want, you can easily fulfill their needs and resolve conflict. Being aware of common triggers of conflict can help prevent conflict rather than resolving it. Hospitality and tourism employees should maintain a positive attitude rather than an authoritative attitude. Finally, hospitality and tourism employees do not always necessarily need to escalate conflict to upper management.