MGRADES
NOCTI Business UPDATED Exam
Questions and CORRECT Answers
1. If a business conducts a SWOT analysis to decide whether or not to expand, which of the
following would be categorized as an "O"? - CORRECT ANSWER - there is potential for
increased profits
2. The North American Free Trade Agreement (NAFTA) created a free-trade area for -
CORRECT ANSWER - Mexico, the US, and Canada
3. Two types of business partnerships are general and - CORRECT ANSWER - Limited
4. The planning, pricing, promoting, and distribution of goods and services is known as -
CORRECT ANSWER - marketing
5. The main purpose of an effective performance evaluation is to - CORRECT ANSWER -
help workers develop their strengths and work on their weaknesses
6. A mission statement describes an organization's - CORRECT ANSWER - purpose or
goal
7. The best way to motivate workers to do a good job is - CORRECT ANSWER -
providing positive feedback to reinforce what they do correctly
8. The term for research to determine factors, conditions, and characteristics of a market is -
CORRECT ANSWER - market analysis
9. One difference between strategic and tactical planning is that strategic planning tends to be -
CORRECT ANSWER - longer term and more broadly defined
, MGRADES
10. Motivational praise from an employer should be specific and - CORRECT ANSWER -
work related
11. To gain employee acceptance of new changes in an organization, the owner should provide
adequate training and - CORRECT ANSWER - provide advance notice of the new
changes
12. Which of the following sentences is grammatically correct? - CORRECT ANSWER -
Ann missed the meeting because she was lying in bed with the flu.
13. If a worker's gross pay is $750.00 and 1.25 percent of the worker's earnings are withheld for
Medicare tax, what dollar amount of Medicare tax is being withheld? - CORRECT
ANSWER - $750 x 0.0125 = $9.38
14. According to the law of supply and demand, when high winds in Hawaii damage the coffee
plants, coffee will be - CORRECT ANSWER - in short supply, therefore higher in price
15. A country exported $689,269 worth of goods and imported $3,465,029 worth of goods. What
is the trade surplus or deficit? - CORRECT ANSWER - $689,269 - $3,465,029 = -
$2775760
16. In order to increase sales, a company hired a telemarketing firm. Telemarketers logged 3496
hours, making 46397 presentations and 6350 sales, and increasing the company's revenue by
$295300. The telemarketing firm charged $45 per hour for their services. How successful was
the business venture? - CORRECT ANSWER - A good investment with a profit of over
$137,000
17. Which of the following acts regulates the federal minimum wage for interstate commerce? -
CORRECT ANSWER - Fair Labor Standards Act
19. A CEO urges employees to buy stock in the company and then sells his/her personal stock
because of a coming change that will likely decrease the stock prices. The actions of the CEO
showed - CORRECT ANSWER - unethical behavior
NOCTI Business UPDATED Exam
Questions and CORRECT Answers
1. If a business conducts a SWOT analysis to decide whether or not to expand, which of the
following would be categorized as an "O"? - CORRECT ANSWER - there is potential for
increased profits
2. The North American Free Trade Agreement (NAFTA) created a free-trade area for -
CORRECT ANSWER - Mexico, the US, and Canada
3. Two types of business partnerships are general and - CORRECT ANSWER - Limited
4. The planning, pricing, promoting, and distribution of goods and services is known as -
CORRECT ANSWER - marketing
5. The main purpose of an effective performance evaluation is to - CORRECT ANSWER -
help workers develop their strengths and work on their weaknesses
6. A mission statement describes an organization's - CORRECT ANSWER - purpose or
goal
7. The best way to motivate workers to do a good job is - CORRECT ANSWER -
providing positive feedback to reinforce what they do correctly
8. The term for research to determine factors, conditions, and characteristics of a market is -
CORRECT ANSWER - market analysis
9. One difference between strategic and tactical planning is that strategic planning tends to be -
CORRECT ANSWER - longer term and more broadly defined
, MGRADES
10. Motivational praise from an employer should be specific and - CORRECT ANSWER -
work related
11. To gain employee acceptance of new changes in an organization, the owner should provide
adequate training and - CORRECT ANSWER - provide advance notice of the new
changes
12. Which of the following sentences is grammatically correct? - CORRECT ANSWER -
Ann missed the meeting because she was lying in bed with the flu.
13. If a worker's gross pay is $750.00 and 1.25 percent of the worker's earnings are withheld for
Medicare tax, what dollar amount of Medicare tax is being withheld? - CORRECT
ANSWER - $750 x 0.0125 = $9.38
14. According to the law of supply and demand, when high winds in Hawaii damage the coffee
plants, coffee will be - CORRECT ANSWER - in short supply, therefore higher in price
15. A country exported $689,269 worth of goods and imported $3,465,029 worth of goods. What
is the trade surplus or deficit? - CORRECT ANSWER - $689,269 - $3,465,029 = -
$2775760
16. In order to increase sales, a company hired a telemarketing firm. Telemarketers logged 3496
hours, making 46397 presentations and 6350 sales, and increasing the company's revenue by
$295300. The telemarketing firm charged $45 per hour for their services. How successful was
the business venture? - CORRECT ANSWER - A good investment with a profit of over
$137,000
17. Which of the following acts regulates the federal minimum wage for interstate commerce? -
CORRECT ANSWER - Fair Labor Standards Act
19. A CEO urges employees to buy stock in the company and then sells his/her personal stock
because of a coming change that will likely decrease the stock prices. The actions of the CEO
showed - CORRECT ANSWER - unethical behavior
