Principles of Management CLEP Exam 2023/2024

Which of the following words is NOT logically related to the others? (A) Planning (B) Leading (C) Producing (D) Controlling (E) Organizing Correct Answer-(C) Producing Program evaluation and review technique (PERT) is a system for (A) developing the organization chart for a company (B) scheduling and finding the critical path for production (C) evaluating the performance of workers (D) reviewing the overall financial condition of the company (E) programming a computer Correct Answer-(B) scheduling and fi nding the critical path for production Which of the following is a correct statement about controlling as a management function? (A) It can be performed independently of planning. (B) It is performed only by the controller of an organization. (C) It is more prevalent in business than in government. (D) It assumes a certain approach to motivating employees. (E) It must be closely related to planning in order to work efficiently. Correct Answer-(E) It must be closely related to planning in order to work efficiently. Decentralization tends to be encouraged by which of the following business trends? I. Product diversifi cation II. Telecommuting III. Geographical expansion of operations (A) I only (B) II only (C) III only (D) I and III only (E) I, II, and III Correct Answer-(E) I, II, and III Which of the following can be best determined by consulting an organization chart? (A) The size of the company (B) The distribution of company resources (C) The nature of work performed (D) The relationship of positions and people (E) The quality of management of the firm Correct Answer-(D) The relationship of positions and people The number of subordinates who directly report to a superior refers to the manager's (A) span of control (B) organizational role (C) organizational structure (D) chain of command (E) general staff Correct Answer-(A) span of control Which of the following best illustrates informal organization? (A) Line authority, such as that of the field marshal and battalion commander in the military (B) Staff authority, such as that of personnel or cost control in manufacturing (C) Functional authority, such as corporate supervision of the legal aspect of pension plans in branch plants (D) Groupings based on position titles (E) Groupings based on such factors as technical ability, seniority, and personal influence Correct Answer-(E) Groupings based on such factors as technical ability, seniority, and personal influence The choice of organizational structure to be used in a business should be (A) made by mutual agreement among all the people affected (B) made by organization specialists rather than managers (C) subject to definite and fixed rules (D) based on the objectives of each individual business (E) based on consideration of the type of organ izational structures used by competitors Correct Answer-(D) based on the objectives of each individual business