D072 BUS 2010
Fundamentals for Success in Business
Comprehensive FA Review (Qns & Ans)
2025
1. Which of the following best describes the primary goal of
supply chain management?
- A) To reduce healthcare costs
- B) To optimize the flow of goods, services, and information
- C) To manage hospital resources
- D) To perform diagnostic tests
- ANS: B) To optimize the flow of goods, services, and
information
©2024/2025
, - Rationale: The primary goal of supply chain management is
to optimize the flow of goods, services, and information to meet
customer demands efficiently.
2. What is the primary purpose of a SWOT analysis in business
strategy?
- A) To assess financial performance
- B) To identify strengths, weaknesses, opportunities, and
threats
- C) To develop marketing campaigns
- D) To manage human resources
- ANS: B) To identify strengths, weaknesses, opportunities,
and threats
- Rationale: A SWOT analysis is used to identify a
company's strengths, weaknesses, opportunities, and threats to
inform strategic planning.
3. Which of the following is NOT a component of the marketing
mix (4 Ps)?
- A) Product
- B) Price
- C) Promotion
- D) Profit
©2024/2025
, - ANS: D) Profit
- Rationale: The marketing mix consists of Product, Price,
Promotion, and Place. Profit is not a component of the marketing
mix.
Fill-in-the-Blank Questions
4. The __________ is a tool used to analyze the competitive
forces within an industry.
- ANS: Porter's Five Forces
- Rationale: Porter's Five Forces is a tool used to analyze the
competitive forces within an industry, including the threat of new
entrants, bargaining power of suppliers, bargaining power of
buyers, threat of substitute products, and competitive rivalry.
5. In supply chain management, the __________ effect refers to
the amplification of demand variability as orders move up the
supply chain.
- ANS: Bullwhip
- Rationale: The bullwhip effect refers to the amplification of
demand variability as orders move up the supply chain, leading to
inefficiencies and increased costs.
6. The __________ ratio is a financial metric used to assess a
company's ability to meet its short-term obligations.
©2024/2025
, - ANS: Current
- Rationale: The current ratio is a financial metric used to
assess a company's ability to meet its short-term obligations by
comparing current assets to current liabilities.
True/False Questions
7. True or False: Just-in-time (JIT) inventory management aims
to minimize inventory levels and reduce carrying costs.
- ANS: True
- Rationale: Just-in-time (JIT) inventory management aims to
minimize inventory levels and reduce carrying costs by receiving
goods only as they are needed in the production process.
8. True or False: The primary goal of customer relationship
management (CRM) is to increase customer satisfaction and
loyalty.
- ANS: True
- Rationale: The primary goal of customer relationship
management (CRM) is to increase customer satisfaction and
loyalty by managing interactions with current and potential
customers.
9. True or False: A balanced scorecard is a performance
management tool that focuses solely on financial metrics.
©2024/2025
Fundamentals for Success in Business
Comprehensive FA Review (Qns & Ans)
2025
1. Which of the following best describes the primary goal of
supply chain management?
- A) To reduce healthcare costs
- B) To optimize the flow of goods, services, and information
- C) To manage hospital resources
- D) To perform diagnostic tests
- ANS: B) To optimize the flow of goods, services, and
information
©2024/2025
, - Rationale: The primary goal of supply chain management is
to optimize the flow of goods, services, and information to meet
customer demands efficiently.
2. What is the primary purpose of a SWOT analysis in business
strategy?
- A) To assess financial performance
- B) To identify strengths, weaknesses, opportunities, and
threats
- C) To develop marketing campaigns
- D) To manage human resources
- ANS: B) To identify strengths, weaknesses, opportunities,
and threats
- Rationale: A SWOT analysis is used to identify a
company's strengths, weaknesses, opportunities, and threats to
inform strategic planning.
3. Which of the following is NOT a component of the marketing
mix (4 Ps)?
- A) Product
- B) Price
- C) Promotion
- D) Profit
©2024/2025
, - ANS: D) Profit
- Rationale: The marketing mix consists of Product, Price,
Promotion, and Place. Profit is not a component of the marketing
mix.
Fill-in-the-Blank Questions
4. The __________ is a tool used to analyze the competitive
forces within an industry.
- ANS: Porter's Five Forces
- Rationale: Porter's Five Forces is a tool used to analyze the
competitive forces within an industry, including the threat of new
entrants, bargaining power of suppliers, bargaining power of
buyers, threat of substitute products, and competitive rivalry.
5. In supply chain management, the __________ effect refers to
the amplification of demand variability as orders move up the
supply chain.
- ANS: Bullwhip
- Rationale: The bullwhip effect refers to the amplification of
demand variability as orders move up the supply chain, leading to
inefficiencies and increased costs.
6. The __________ ratio is a financial metric used to assess a
company's ability to meet its short-term obligations.
©2024/2025
, - ANS: Current
- Rationale: The current ratio is a financial metric used to
assess a company's ability to meet its short-term obligations by
comparing current assets to current liabilities.
True/False Questions
7. True or False: Just-in-time (JIT) inventory management aims
to minimize inventory levels and reduce carrying costs.
- ANS: True
- Rationale: Just-in-time (JIT) inventory management aims to
minimize inventory levels and reduce carrying costs by receiving
goods only as they are needed in the production process.
8. True or False: The primary goal of customer relationship
management (CRM) is to increase customer satisfaction and
loyalty.
- ANS: True
- Rationale: The primary goal of customer relationship
management (CRM) is to increase customer satisfaction and
loyalty by managing interactions with current and potential
customers.
9. True or False: A balanced scorecard is a performance
management tool that focuses solely on financial metrics.
©2024/2025
