Intro to Bus101
Risk is associated with reward. Business people take a risk that their business might fail in order to get a reward, which is
a healthy economy
employment
profit.
happy customers
a sense of self-satisfaction
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Question 21 pts
Which of the following is NOT true about knowledge workers?
The number of knowledge workers in today’s global economy is increasing
Knowledge workers are primarily employed in manufacturing
Knowledge workers are highly educated
Knowledge workers can easily transfer to other companies or countries
Knowledge workers are easily promoted to higher positions
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Question 31 pts
Which of the following is NOT true about society’s demand curve?
The demand curve depends on the supply curve
A steep slope indicates price inelastic demand
The demand curve slopes downward
The demand curve shows the relationship between price and quantity demanded.
The demand curve shows aggregate demand
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Question 41 pts
In a publicly traded, for profit business corporation, the owners are the
workers
unions
customers
managers
shareholders
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Question 51 pts
Which of the following is NOT one of the trends in e-commerce today?
Pressure for efficiency is becoming less intense
Markets are increasingly looking for openness and transparency
Customers are becoming more demanding
Knowledge is becoming a more important asset to businesses
Companies are working more closely in a network of buyers and suppliers
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Question 61 pts
Peter van Stolk, founder of Jones Soda, develops offbeat flavors that appeal to teens, who he knows are also interested in the Internet and extreme sports. Peter van Stolk has a good understanding of his company’s target group.
True
False
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Question 71 pts
One of the most significant drawbacks of international mergers and acquisitions is the difficulty of integrating the operations, finances, and cultures of two very different organizations.
True
False
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Question 81 pts
Which of the following is NOT one of the benefits of free trade among nations?
Increased job security
Higher quality of goods
Lower prices
Greater consumer choice
Higher standards of living
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Question 91 pts
Who or what benefits most from barriers to trade, also called protection?
Foreign firms, because they can sell all of their quotas
Domestic firms, because of lower competition
The consumers, who pay lower prices
The government, because it can collect more tariffs
Foreign firms, because of the increase in the market size
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Question 101 pts
Japan limits the amount of foreign-grown rice that can be sold in that country by imposing a very high import tax. This protects high-cost domestic rice producers because it forces rice importers to raise prices, making imported rice less competitive against rice grown in Japan. This type of trade barrier is called
counter trade
voluntary restraint
a tariff
a quota
an embargo
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Question 111 pts
Globalization is
bad for developing countries, but good for developed countries
good for both developed and developing countries, if implemented fairly
usually bad for both developed and developing countries
always good for both developed and developing countries
bad for developed countries, but good for developing countries
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Question 121 pts
When Home Depot donated millions of dollars of supplies to victims of hurricanes in New Orleans, it was primarily adopting a societal responsibility model of business governance.
True
False
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Question 131 pts
A U.S. corporation’s decision to reincorporate in Bermuda may be both legal and unethical.
True
False
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Question 141 pts
Jeffrey Wigand was a research scientist employed by Brown & Williamson, a tobacco firm, until he was fired following his public statements about the dangers of cigarettes. Wigand was acting as a
proprietor
general partner
director
whistleblower
limited partner
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Question 151 pts
Elsa, Steve, and Adrienne formed a partnership to own and operate a wine shop. Elsa manages the shop and Steve travels the world buying wine. Adrienne contributed some start-up capital but does not help to run the business. Therefore, it is likely that
Elsa and Steve are limited partners and Adrienne is a general partner
Elsa, Steve, and Adrienne are all general partners
Elsa and Adrienne are general partners and Steve is a limited partner
Elsa and Steve are general partners and Adrienne is a limited partner
Elsa, Steve, and Adrienne are all limited partners
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Question 161 pts
Economies of scale occur when
a high volume of production drives costs down
the more numerous small businesses crowd out the large businesses
entrepreneurs do not enter a market that is seen as declining
there is a cycle of business success and failure
the cost per unit rises as production increases
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Question 171 pts
Which of the following is NOT a characteristic common to most entrepreneurs
Commitment
Ambition and drive
Self-confidence
Independence
Low tolerance for risk
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Question 181 pts
Which of the following statements sounds most like an entrepreneur?
“A regular paycheck is very important to me.”
“In a tough situation, I would probably quit.”
“I can’t take the risk of letting down my family.”
“I have a lifelong passion for providing this service.”
“I prefer to be told what to do.”
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Question 191 pts
Which of the following is NOT one of the four basic functions of management
Meeting
Controlling
Organizing
Directing
Planning
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Question 201 pts
An organization chart represents the
organization’s chain of command
arrangement of physical space within the organization
experiences and qualifications of each worker
relative pay of each worker
flow of work within an organization
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Question 211 pts
Looking at their employer’s organization chart, Lisa’s name appears in a box that is directly underneath Nellie’s box and a line connects the two boxes. This means that
Lisa reports to Nellie, her supervisor
Lisa is more highly paid than is Nellie
Lisa has a higher rank than does Nellie
Nellie and Lisa are coworkers at the same organizational level
Nellie performs further tasks on work that Lisa has completed
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Question 221 pts
When managers delegate the __________ for achieving some result to a subordinate, it is very important that they also delegate the __________, to ensure that the subordinates have the power to accomplish the result.
span of control; chain of command
chain of command; span of control
staff authority; committee authority
responsibility; authority
authority; responsibility
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Question 231 pts
Which of the following is NOT one of the trends having a significant impact on human resources management in the U.S. today?
The shift of jobs from service to manufacturing industries
Reduced importance for labor unions
Advances in communications and computing technology
Growth of high-tech industries and white collar workers
More jobs being moved overseas for cost reasons
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Question 241 pts
Job analysis consists of
an evaluation and a forecast
a plan and an evaluation
a description and a plan
a specification and an evaluation
a specification and a description
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Question 251 pts
Of all of the resources commanded by a corporation, which is most likely to lead to a long-term competitive advantage?
Physical facilities and equipment
Financial resources
Access to natural resources
Human capital
Information technology
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Question 261 pts
Willie says, “I love volunteering at Big Brothers. It’s great to see the happiness on a boy’s face when I take him to a ball game or read a book with him.” Willie’s motivation is
economic
intrinsic
extrinsic
unimportant
a primary drive
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Question 271 pts
Gordon, a salesperson, says, “My work requires long hours and lots of travel that I don’t like, but the pay is great.” Gordon’s motivation is
a primary drive
intrinsic
a secondary drive
extrinsic
economic
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Question 281 pts
Which of the following is NOT part of the marketing mix?
Promotion
Market
Product
Distribution
Price
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Question 291 pts
Which of the following is the psychological factor that involves the awareness of cues or stimuli?
Attitudes
Self-concept
Motives
Learning
Perception
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Question 301 pts
Which of the following is considered to be the most important reference group?
Classmates
Church
Family
Coworkers
Friends
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Question 311 pts
Information about which of the following aspect of competitors’ operations is considered to be the least important?
Advertising agencies used
Market share
Strategies
Prices
New product plans
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Question 321 pts
Which of the following is NOT relevant for formulating objectives?
They must recognize company resources
They must be realistic (have a reasonable chance to be achieved
They need to be specific
They are all relevant
They need to be expressed numerically
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Question 331 pts
Which of the following is NOT recommended for a brand name?
Suggest excellence
Not have an obvious meaning
Be short in length
Be easy to spell
Suggest the product’s benefits
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Question 341 pts
What percentage of new products fail?
20 percent
48 percent
75 percent
98 percent
33 percent
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Question 351 pts
Which of the following is NOT a post presentation activity that salespeople need to perform?
Closing
Following up and servicing customers
Evaluation
Managing key and marginal accounts
Paper work
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Question 361 pts
Which of the following is NOT indicated in the text as a recommendation as to how to successfully close.
Review major product benefits
Increase the number of alternative choices available to the buyer
Do not be afraid to ask for the order
Use guarantees and warranties
Look for closing signals from the buyer
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Question 371 pts
Which of the following is NOT identified in the text as a part of a code of ethics for salespeople?
Show up on time when making a sales call
Answer all questions truthfully
Do not misrepresent your purpose
Do not promise what you cannot deliver
Make sure customers are satisfied
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Question 381 pts
Accounting is
the claim that the purpose of a business is to benefit society at large
the recording, summarizing, and reporting of the economic activities and events of an organization
the starting, owning, or running of a large or small business
the determination of and the fulfilling of customer needs and desires while achieving the organization’s goals
the creating of value for the customer and profits for the owners
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Question 391 pts
Theodore Roosevelt, speaking about the importance of ethics education, said, “To educate the person in mind and not in __________ is to educate a menace to society.”
knowledge
business
morals
body
the accounting profession
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Question 401 pts
The simplest form of business organization is the corporation
True
False
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Question 411 pts
Most large organizations do not use just one type of departmentalization. Rather, they mix elements of several types.
True
False
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Question 421 pts
A list of the duties, working conditions, and responsibilities of a job is called a job description.
True
False
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Question 431 pts
Internal recruiting is likely to lead to more resentment among current employees than is external recruiting.
True
False
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Question 441 pts
For a team approach to be successful in an organization, the company should focus on team accomplishments and lessen individual achievements.
True
False
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Question 451 pts
Workers at Ford’s engine manufacturing plant in Cleveland learn how to do each task within their work unit, and then take turns performing each task. This is an example of job rotation.
True
False
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Question 461 pts
For some products, the cost of their packages may exceed the costs of their contents.
True
False
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Question 471 pts
When setting prices for their products or services, companies must consider the amount of marketing support they will receive.
True
False
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Question 481 pts
Digital advertising is the fastest growing advertising medium.
True
False
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Question 491 pts
The Sarbanes-Oxley Act of 2002 increased oversight of accountants and increased the penalties for professional misconduct.
True
False
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Question 501 pts
In a small sole proprietorship, direct observation by the proprietor is a useful internal control on accounting systems.
True
False
