A new local Super Store publicly announced that when more than three people are
standing in line at cash registers, additional checkout-lines will be opened. After the
announcement, customers quickly noticed that the additional lines were not opened until
six or seven people were standing in line. This indicates a gap between
(A) customer expectation and management perception of customer expectation
(B) management perception of customer expectation and service quality specifications
(C) customer expectation and internal management communication
(D) actual service delivery and how service quality was communicated - Answer-(D)
actual service delivery and how service quality was communicated
/.A state government office wants a special order of furniture. Fjord is not currently
operating at full capacity, but accepting the special order would require a reduction in
production for regular customers. The state order is 10 percent less than Fjord normally
charges. Fjord should produce furniture for the state and reduce other production if
(A) the gross margin on the reduced amount of routine production is less than the gross
margin on the state order
(B) the profit margin on the reduced amount of routine production is less than the profit
margin on the state order
(C) the total revenue for the reduced amount of routine production is less than the total
revenue on the state order
(D) net income for the month would remain unchanged by accepting the state order -
Answer-(A) the gross margin on the reduced amount of routine production is less than
the gross margin on the state order
/.After an extensive recruitment process to select well-qualified individuals, a large
percent ofa company's new hires resigned within the first month of the job. Which of the
following is the most likely explanation for this situation?
(A) The training process to prepare the new hires for their assigned tasks was
inadequate.
(B) The health benefits provided by the company were not competitive with those of the
rest of the industry.
(C) The starting salary for the new hires was not competitive with that of the rest of the
industry.
(D) The new hires lacked the basic skills required to learn the job. - Answer-(A) The
training process to prepare the new hires for their assigned tasks was inadequate
/.All of the following can be considered in the evaluation of a business unit EXCEPT
(A) wages paid to labor
(B) projected annual revenues of competitors
(C) the cost of materials used in the production
process
, (D) the price at which goods produced are sold - Answer-(B) projected annual revenues
of competitors
/.Assume that the average cost of airfare is $400 per chaperone and incidentals are
$150 per day per chaperone. All vacation packages are for 6 days. If a ratio of one
chaperone per 15 travelers is kept, what is the minimum amount that must be included
in the vacation package price charged to each customer to cover the cost of a
chaperone?
(A) $60
(B) $87
(C) $104
(D) $150 - Answer-(B) $87
/.Bertha has concluded that to achieve company growth she must construct a strategic
business plan. The first step of that process is to
(A) conduct a situation analysis
(B) define her field of business
(C) develop a mission statement
(D) stratify the target market - Answer-(C) develop a mission statement
/.Bertha has decided to use demographic segmentation to divide her market before she
gives any additional consideration to redesigning her product offerings or
communications strategies. Which would be the most useful demographic segmentation
variable?
(A) Religion
(B) Education
(C) Age
(D) Socioeconomic status - Answer-(C) Age
/.Bertha is trying to hire a new travel specialist, whose job will be to promote tour
packages and monitor customer satisfaction. Bertha has the following information for
each applicant.
I. Date and place of high school graduation
II. Highest educational level attained
III. Last three jobs held
IV. Hobbies
Which information should Bertha consider carefully before deciding which applicant to
interview?
(A) I and II only
(B) III and IV only
(C) II and III only
(D) II, III, and IV only - Answer-(C) II and III only
/.Bertha Sunshine entered the travel business after having traveled regularly to the
Caribbean and becoming familiar with the businesses in the region. She discovered a
market need, and in the 1960's started Sunny Fun Destinations, a travel agency that
standing in line at cash registers, additional checkout-lines will be opened. After the
announcement, customers quickly noticed that the additional lines were not opened until
six or seven people were standing in line. This indicates a gap between
(A) customer expectation and management perception of customer expectation
(B) management perception of customer expectation and service quality specifications
(C) customer expectation and internal management communication
(D) actual service delivery and how service quality was communicated - Answer-(D)
actual service delivery and how service quality was communicated
/.A state government office wants a special order of furniture. Fjord is not currently
operating at full capacity, but accepting the special order would require a reduction in
production for regular customers. The state order is 10 percent less than Fjord normally
charges. Fjord should produce furniture for the state and reduce other production if
(A) the gross margin on the reduced amount of routine production is less than the gross
margin on the state order
(B) the profit margin on the reduced amount of routine production is less than the profit
margin on the state order
(C) the total revenue for the reduced amount of routine production is less than the total
revenue on the state order
(D) net income for the month would remain unchanged by accepting the state order -
Answer-(A) the gross margin on the reduced amount of routine production is less than
the gross margin on the state order
/.After an extensive recruitment process to select well-qualified individuals, a large
percent ofa company's new hires resigned within the first month of the job. Which of the
following is the most likely explanation for this situation?
(A) The training process to prepare the new hires for their assigned tasks was
inadequate.
(B) The health benefits provided by the company were not competitive with those of the
rest of the industry.
(C) The starting salary for the new hires was not competitive with that of the rest of the
industry.
(D) The new hires lacked the basic skills required to learn the job. - Answer-(A) The
training process to prepare the new hires for their assigned tasks was inadequate
/.All of the following can be considered in the evaluation of a business unit EXCEPT
(A) wages paid to labor
(B) projected annual revenues of competitors
(C) the cost of materials used in the production
process
, (D) the price at which goods produced are sold - Answer-(B) projected annual revenues
of competitors
/.Assume that the average cost of airfare is $400 per chaperone and incidentals are
$150 per day per chaperone. All vacation packages are for 6 days. If a ratio of one
chaperone per 15 travelers is kept, what is the minimum amount that must be included
in the vacation package price charged to each customer to cover the cost of a
chaperone?
(A) $60
(B) $87
(C) $104
(D) $150 - Answer-(B) $87
/.Bertha has concluded that to achieve company growth she must construct a strategic
business plan. The first step of that process is to
(A) conduct a situation analysis
(B) define her field of business
(C) develop a mission statement
(D) stratify the target market - Answer-(C) develop a mission statement
/.Bertha has decided to use demographic segmentation to divide her market before she
gives any additional consideration to redesigning her product offerings or
communications strategies. Which would be the most useful demographic segmentation
variable?
(A) Religion
(B) Education
(C) Age
(D) Socioeconomic status - Answer-(C) Age
/.Bertha is trying to hire a new travel specialist, whose job will be to promote tour
packages and monitor customer satisfaction. Bertha has the following information for
each applicant.
I. Date and place of high school graduation
II. Highest educational level attained
III. Last three jobs held
IV. Hobbies
Which information should Bertha consider carefully before deciding which applicant to
interview?
(A) I and II only
(B) III and IV only
(C) II and III only
(D) II, III, and IV only - Answer-(C) II and III only
/.Bertha Sunshine entered the travel business after having traveled regularly to the
Caribbean and becoming familiar with the businesses in the region. She discovered a
market need, and in the 1960's started Sunny Fun Destinations, a travel agency that
