WGU D080 MANAGING IN A GLOBAL BUSINESS ENVIRONMENT EXAM
QUESTIONS AND CORRECT ANSWERS
Which act affects the global business landscape by clarifying auditor
independence issues, accountability of senior executives, disclosure of insider
trading, and intellectual property rights?
Federal Trade Commission Act
Sarbanes-Oxley Act
National Environmental Policy Act
Sherman Antitrust Act - ANS✅✅Sarbanes-Oxley Act
Which intellectual property right describes a chemical company's filing on their
innovative industrial process invention?
Patent
Trademark
Service mark
Copyright - ANS✅✅Patent
Which organization aims to develop a global intellectual property infrastructure?
WRC
WIPO
WTO
TRIPS - ANS✅✅WIPO World Intellectual Property Organization
,An accountant for a transnational company feels pressure from senior
management to hide losses from the firm's operational activities. The requested
action is legal but certainly does not give an accurate financial picture of the
firm's current finances and could influence foreign investment.
What type of stimulus is being used in regards to this company's organizational
ethics?
External
Internal
Technical
Political - ANS✅✅Internal
What does business ethics implicitly regulate?
Employee behavior
External stakeholders
Consumer preference
Consumer action - ANS✅✅Employee behavior
A company is considering establishing a subsidiary in a new host country and
wishes to prepare its expatriates to adapt to the local environment.
How should this company prepare its expatriates?
Negotiation
Operational training
Repatriation
Cultural Training - ANS✅✅Cultural training
,What happens to consumer surplus when tariffs and quotas are discontinued? -
ANS✅✅They increase
Which type of tariff is put in place to specifically ensure that domestic industries
are given an advantage? - ANS✅✅Protective
What is a benefit of implementing a system of free trade? - ANS✅✅Reduced
tariffs would result in lower costs of imported raw materials.
How are free trade agreements handled differently than treaties in the United
States? - ANS✅✅Treaties must be approved by the Senate, whereas a free
trade agreement must pass both houses of Congress.
Treaties must be approved by the Senate, whereas a free trade agreement must
pass both houses of Congress. - ANS✅✅Tariffs
An airplane manufacturer outsources the manufacture of some its parts and sub-
assemblies. They are then returned to the manufacturer's main plant for final
assembly. - ANS✅✅Value chain
Country A exports more goods to Country B than it imports from Country B.
Country A receives more monetary gain by using this practice.
Which relationship does Country A have with Country B? - ANS✅✅Trade
surplus
, Country A has been criticized by other countries for giving generous tax credits to
its corn farmers, which in turn, enables the country's farmers to sell corn on the
international markets cheaper than all other countries.
Which term is used by other countries to describe this practice? -
ANS✅✅Government subsidies
A farmer knows that it takes 100 hours of labor to produce 100 bushels of corn. It
only takes 50 hours of labor to produce 100 bushels of soy. Currently, a bushel of
corn is selling at three times a bushel of soy.
Which type of cost should the farmer use to determine what to plant? -
ANS✅✅Opportunity
A country produces goods more efficiently than all other countries in the same
industry.
Which type of advantage does this country have? - ANS✅✅Absolute
Country A exports farming equipment to Country B, while Country B exports car
manufacturing equipment to Country A. Both countries are highly developed and
could develop these industries separately but instead made the decision to
export and import these products from each other.
Which unique condition caused this practice between the two countries? -
ANS✅✅Skill specialization
A company produces the same product over and over, and it has caused the
manufacturing cost of the product to become cheaper and more competitive in
international markets than similar products in the industry.
Which approach is this company using to achieve this ability? -
ANS✅✅Economies of scale
QUESTIONS AND CORRECT ANSWERS
Which act affects the global business landscape by clarifying auditor
independence issues, accountability of senior executives, disclosure of insider
trading, and intellectual property rights?
Federal Trade Commission Act
Sarbanes-Oxley Act
National Environmental Policy Act
Sherman Antitrust Act - ANS✅✅Sarbanes-Oxley Act
Which intellectual property right describes a chemical company's filing on their
innovative industrial process invention?
Patent
Trademark
Service mark
Copyright - ANS✅✅Patent
Which organization aims to develop a global intellectual property infrastructure?
WRC
WIPO
WTO
TRIPS - ANS✅✅WIPO World Intellectual Property Organization
,An accountant for a transnational company feels pressure from senior
management to hide losses from the firm's operational activities. The requested
action is legal but certainly does not give an accurate financial picture of the
firm's current finances and could influence foreign investment.
What type of stimulus is being used in regards to this company's organizational
ethics?
External
Internal
Technical
Political - ANS✅✅Internal
What does business ethics implicitly regulate?
Employee behavior
External stakeholders
Consumer preference
Consumer action - ANS✅✅Employee behavior
A company is considering establishing a subsidiary in a new host country and
wishes to prepare its expatriates to adapt to the local environment.
How should this company prepare its expatriates?
Negotiation
Operational training
Repatriation
Cultural Training - ANS✅✅Cultural training
,What happens to consumer surplus when tariffs and quotas are discontinued? -
ANS✅✅They increase
Which type of tariff is put in place to specifically ensure that domestic industries
are given an advantage? - ANS✅✅Protective
What is a benefit of implementing a system of free trade? - ANS✅✅Reduced
tariffs would result in lower costs of imported raw materials.
How are free trade agreements handled differently than treaties in the United
States? - ANS✅✅Treaties must be approved by the Senate, whereas a free
trade agreement must pass both houses of Congress.
Treaties must be approved by the Senate, whereas a free trade agreement must
pass both houses of Congress. - ANS✅✅Tariffs
An airplane manufacturer outsources the manufacture of some its parts and sub-
assemblies. They are then returned to the manufacturer's main plant for final
assembly. - ANS✅✅Value chain
Country A exports more goods to Country B than it imports from Country B.
Country A receives more monetary gain by using this practice.
Which relationship does Country A have with Country B? - ANS✅✅Trade
surplus
, Country A has been criticized by other countries for giving generous tax credits to
its corn farmers, which in turn, enables the country's farmers to sell corn on the
international markets cheaper than all other countries.
Which term is used by other countries to describe this practice? -
ANS✅✅Government subsidies
A farmer knows that it takes 100 hours of labor to produce 100 bushels of corn. It
only takes 50 hours of labor to produce 100 bushels of soy. Currently, a bushel of
corn is selling at three times a bushel of soy.
Which type of cost should the farmer use to determine what to plant? -
ANS✅✅Opportunity
A country produces goods more efficiently than all other countries in the same
industry.
Which type of advantage does this country have? - ANS✅✅Absolute
Country A exports farming equipment to Country B, while Country B exports car
manufacturing equipment to Country A. Both countries are highly developed and
could develop these industries separately but instead made the decision to
export and import these products from each other.
Which unique condition caused this practice between the two countries? -
ANS✅✅Skill specialization
A company produces the same product over and over, and it has caused the
manufacturing cost of the product to become cheaper and more competitive in
international markets than similar products in the industry.
Which approach is this company using to achieve this ability? -
ANS✅✅Economies of scale
