Coba Core MGT 3540 UPDATED Exam
Questions and CORRECT Answers
1. Every business is managed through what three major functions? - CORRECT
ANSWER - finance, marketing, and operations management
2. The finance function is responsible for: - CORRECT ANSWER - managing cash flow,
current assets, and capital investments.
3. At The GAP, which function plans and coordinates all the resources needed to design,
produce, and deliver the merchandise to its various retail locations? - CORRECT
ANSWER - operations management
4. Operations Management is responsible for increasing the organization's efficiency, which
means the company will be able to __________. - CORRECT ANSWER - eliminate
activities that do not add value
5. Which of the following is not an input? - CORRECT ANSWER - services
6. Operations management is responsible for orchestrating all the resources needed to produce
the final product. This includes all of the following except
______________________________________. - CORRECT ANSWER - managing cash
flow
7. What outsourcing functions does UPS provide for clients? - CORRECT ANSWER -
inventories and deliveries
8. An example of an operation that does not add value is ____________________________. -
CORRECT ANSWER - moving components to a warehouse for storage until the factory
needs them
, 9. Which famous economist once suggested that, "The production problem has been solved."? -
CORRECT ANSWER - John Kenneth Galbraith
10. In what area does General Motors earn its highest return on capital? - CORRECT
ANSWER - post-sales parts and service
11. What are companies that have low customer contact and are capital intensive; yet provide a
service, called? - CORRECT ANSWER - quasi-manufacturing organizations
12. What percentage of total non-farm jobs in the U.S. economy comes from service-producing
industries? - CORRECT ANSWER - 80%
13. Which of the following is not true with respect to strategic and tactical decisions? -
CORRECT ANSWER - a tactical decisions focus on more specific day-to-day decisions
14. Which of the following is not primarily performed by the operation management function? -
CORRECT ANSWER - advertising strategy
15. Who wrote The Wealth of Nations in 1776, describing division of labor? - CORRECT
ANSWER - Adam Smith
16. Who created "scientific management?" - CORRECT ANSWER - Frederick W. Taylor
17. A key feature of scientific management is that workers are motivated only by
__________________. - CORRECT ANSWER - money
18. Which of the following operations management concepts did not evolve from scientific
management? - CORRECT ANSWER - interchangeable parts
19. What movement started with the publication of the results of the Hawthorne studies? -
CORRECT ANSWER - human relations
Questions and CORRECT Answers
1. Every business is managed through what three major functions? - CORRECT
ANSWER - finance, marketing, and operations management
2. The finance function is responsible for: - CORRECT ANSWER - managing cash flow,
current assets, and capital investments.
3. At The GAP, which function plans and coordinates all the resources needed to design,
produce, and deliver the merchandise to its various retail locations? - CORRECT
ANSWER - operations management
4. Operations Management is responsible for increasing the organization's efficiency, which
means the company will be able to __________. - CORRECT ANSWER - eliminate
activities that do not add value
5. Which of the following is not an input? - CORRECT ANSWER - services
6. Operations management is responsible for orchestrating all the resources needed to produce
the final product. This includes all of the following except
______________________________________. - CORRECT ANSWER - managing cash
flow
7. What outsourcing functions does UPS provide for clients? - CORRECT ANSWER -
inventories and deliveries
8. An example of an operation that does not add value is ____________________________. -
CORRECT ANSWER - moving components to a warehouse for storage until the factory
needs them
, 9. Which famous economist once suggested that, "The production problem has been solved."? -
CORRECT ANSWER - John Kenneth Galbraith
10. In what area does General Motors earn its highest return on capital? - CORRECT
ANSWER - post-sales parts and service
11. What are companies that have low customer contact and are capital intensive; yet provide a
service, called? - CORRECT ANSWER - quasi-manufacturing organizations
12. What percentage of total non-farm jobs in the U.S. economy comes from service-producing
industries? - CORRECT ANSWER - 80%
13. Which of the following is not true with respect to strategic and tactical decisions? -
CORRECT ANSWER - a tactical decisions focus on more specific day-to-day decisions
14. Which of the following is not primarily performed by the operation management function? -
CORRECT ANSWER - advertising strategy
15. Who wrote The Wealth of Nations in 1776, describing division of labor? - CORRECT
ANSWER - Adam Smith
16. Who created "scientific management?" - CORRECT ANSWER - Frederick W. Taylor
17. A key feature of scientific management is that workers are motivated only by
__________________. - CORRECT ANSWER - money
18. Which of the following operations management concepts did not evolve from scientific
management? - CORRECT ANSWER - interchangeable parts
19. What movement started with the publication of the results of the Hawthorne studies? -
CORRECT ANSWER - human relations
