DECA Entrepreneurship and Small
Business Management Exam fully
solved
1.A business that fails to protect its employees from unnecessary risk or health
hazards on the job may be
sued for - correct answer ✔✔C. Negligence. A business might be sued for
negligence if it does not take reasonable precautions to protect workers from risks
or health hazards on the job.
2.What requirement of a legally enforceable contract requires that both of the
parties who are entering into
the contract are sane, sober, and of legal age? - correct answer ✔✔C. Capacity.
Certain conditions must be met for a contract to be legally enforceable.
3.The owner receives all of the profits of the business and can act quickly in
making business decisions
when the form of business ownership is a - correct answer ✔✔D. Sole
proprietorship. Other advantages of a sole proprietorship are that it is easy to
start, it has certain tax advantages, and the details of the business can be kept
private.
4.Which of the following is the type of tax that businesses are required to collect
from customers when they
purchase certain goods or services: - correct answer ✔✔C. Sales. Sales taxes are
monies charged on sales of certain goods and services by state and/or local
governments.
,5.Which of the following is a condition that must exist for channels to be effective:
- correct answer ✔✔D. They must be properly managed. To be effective, channels
must be properly managed.
6.Which of the following is a marketing function that can be performed by channel
intermediaries: - correct answer ✔✔A. Promoting products. Channel
intermediaries are persons or businesses that perform channel functions in an
indirect channel of distribution.
7. A manufacturer of dishwashing soap has just invented a new type of soap that
cleans better. The
manufacturer should choose to distribute the soap through __________
distribution. - correct answer ✔✔A. Intensive. Producers of consumer goods, such
as dishwashing soap or candy, should use intensive
distribution in order to make their product as available to consumers as possible.
8.What type of information does a well-written proposal include? - correct answer
✔✔B. Specific benefits. A proposal is an informational document that presents
the reader with a call to action. A proposal often suggests ways to solve a problem
or to obtain information by taking a specific course of action.
9.There are several auto repair shops in town, but Patricia's stands out. Her auto
repair shop does great work, but what really sets her shop apart is the customer
service. Every customer is greeted by a friendly employee, and s/he is given
snacks and drinks while s/he waits for the repairs to be completed. The great
customer service that people can expect from Patricia's business is considered her
- correct answer ✔✔C.Brand promise. A business's brand promise is its (spoken or
unspoken) agreement with its customers that it will consistently meet their
expectations. When Patricia's customers visit her business, they know they'll
receive outstanding customer service every time.
, 10. Financial loss from investing time and money to comply with accounting
standards is an example of which strategic risk: - correct answer ✔✔C. Regulatory
and political issues. Revenues and profits are affected by what governments
require.
11.The government's mandating the use of unleaded gas in new cars is an
example of - correct answer ✔✔B. Protecting the environment. Unleaded gas is
less harmful to the environment than leaded gas. Specific businesses are
protected through subsidies or price supports.
12. What type of business usually experiences economies of scale due to
expanded operations? - correct answer ✔✔A. Large manufacturing plant.
Economies of scale is the concept that increasing the scale of production will lead
to a decrease in the cost of production while increasing the output.
13. Business people who respect the unique customs and habits of their foreign
customers are exhibiting - correct answer ✔✔C. Cultural sensitivity. Culture is the
customs, habits, and traditions of a particular group of people. The way that
different people interact with one another is an expression of their culture.
14. "Yes, you'll save money instantly" is an example of a statement with - correct
answer ✔✔C. Persuasive words. "Yes, you'll save money instantly" uses several
persuasive words. It is also directed to the person you're speaking with, instead of
being an impersonal message.
15. Which of the following is a characteristic of a self-confident leader: - correct
answer ✔✔C. S/He is decisive, even in uncertain circumstances. Self-confidence is
a positive belief in your own talents, skills, and objectives.
Business Management Exam fully
solved
1.A business that fails to protect its employees from unnecessary risk or health
hazards on the job may be
sued for - correct answer ✔✔C. Negligence. A business might be sued for
negligence if it does not take reasonable precautions to protect workers from risks
or health hazards on the job.
2.What requirement of a legally enforceable contract requires that both of the
parties who are entering into
the contract are sane, sober, and of legal age? - correct answer ✔✔C. Capacity.
Certain conditions must be met for a contract to be legally enforceable.
3.The owner receives all of the profits of the business and can act quickly in
making business decisions
when the form of business ownership is a - correct answer ✔✔D. Sole
proprietorship. Other advantages of a sole proprietorship are that it is easy to
start, it has certain tax advantages, and the details of the business can be kept
private.
4.Which of the following is the type of tax that businesses are required to collect
from customers when they
purchase certain goods or services: - correct answer ✔✔C. Sales. Sales taxes are
monies charged on sales of certain goods and services by state and/or local
governments.
,5.Which of the following is a condition that must exist for channels to be effective:
- correct answer ✔✔D. They must be properly managed. To be effective, channels
must be properly managed.
6.Which of the following is a marketing function that can be performed by channel
intermediaries: - correct answer ✔✔A. Promoting products. Channel
intermediaries are persons or businesses that perform channel functions in an
indirect channel of distribution.
7. A manufacturer of dishwashing soap has just invented a new type of soap that
cleans better. The
manufacturer should choose to distribute the soap through __________
distribution. - correct answer ✔✔A. Intensive. Producers of consumer goods, such
as dishwashing soap or candy, should use intensive
distribution in order to make their product as available to consumers as possible.
8.What type of information does a well-written proposal include? - correct answer
✔✔B. Specific benefits. A proposal is an informational document that presents
the reader with a call to action. A proposal often suggests ways to solve a problem
or to obtain information by taking a specific course of action.
9.There are several auto repair shops in town, but Patricia's stands out. Her auto
repair shop does great work, but what really sets her shop apart is the customer
service. Every customer is greeted by a friendly employee, and s/he is given
snacks and drinks while s/he waits for the repairs to be completed. The great
customer service that people can expect from Patricia's business is considered her
- correct answer ✔✔C.Brand promise. A business's brand promise is its (spoken or
unspoken) agreement with its customers that it will consistently meet their
expectations. When Patricia's customers visit her business, they know they'll
receive outstanding customer service every time.
, 10. Financial loss from investing time and money to comply with accounting
standards is an example of which strategic risk: - correct answer ✔✔C. Regulatory
and political issues. Revenues and profits are affected by what governments
require.
11.The government's mandating the use of unleaded gas in new cars is an
example of - correct answer ✔✔B. Protecting the environment. Unleaded gas is
less harmful to the environment than leaded gas. Specific businesses are
protected through subsidies or price supports.
12. What type of business usually experiences economies of scale due to
expanded operations? - correct answer ✔✔A. Large manufacturing plant.
Economies of scale is the concept that increasing the scale of production will lead
to a decrease in the cost of production while increasing the output.
13. Business people who respect the unique customs and habits of their foreign
customers are exhibiting - correct answer ✔✔C. Cultural sensitivity. Culture is the
customs, habits, and traditions of a particular group of people. The way that
different people interact with one another is an expression of their culture.
14. "Yes, you'll save money instantly" is an example of a statement with - correct
answer ✔✔C. Persuasive words. "Yes, you'll save money instantly" uses several
persuasive words. It is also directed to the person you're speaking with, instead of
being an impersonal message.
15. Which of the following is a characteristic of a self-confident leader: - correct
answer ✔✔C. S/He is decisive, even in uncertain circumstances. Self-confidence is
a positive belief in your own talents, skills, and objectives.
