DECA Business Administration Core
Exam Questions and Answers
Franchise - correct answer-a contractual agreement between a
parent company and a franchisee to distribute goods and services
Corporation - correct answer-a form of business ownership that is owned by
stockholders who
have purchased units or shares of the company
Elastic Demand - correct answer-demand that changes according to changes in price
Inelastic Demand - correct answer-demand that is not affected by changes in price.
Unitary Demand - correct answer-when sales remain the
same because changes in supply and demand are equal
Tort - correct answer-a private wrongdoing that potentially harms another person or
entity
Doctrine of Sovereign Immunity - correct answer-the universally accepted principle that
each nation has the right to manage its own government and develop
its own laws.
Job Enlargement - correct answer-combining different tasks into one position
Job Rotation - correct answer-moving from one job to another job within an organization
Specialization by Trade - correct answer-the type of work that a person performs in
order to earn a living, such as engineering, public-relations, or accounting.
Frictional Unemployment - correct answer-occurs because there are always workers
who are in transition
Structural Unemployment - correct answer-when the demand for certain types of
workers declines and is often due to technology advancements and the need for new
skills
Cyclical Employment - correct answer-result of changes in the economic and business
cycles
, Wage Garnishments - correct answer-court-ordered initiatives that involve taking
income taken from an employee's salary and submitting it to another person or
organization
Embezzlement - correct answer-theft of valuables that have been entrusted to another's
care
Securities Fraud - correct answer-the use of misleading sales tactics to persuade
investors to purchase securities
Espionage - correct answer-revealing confidential information without the source or
owner's permission and is often associated with spying
Variety-seeking Buying Behavior - correct answer-involves the purchase of routine
items
Brand-insistence Buying Behavior - correct answer-buyer will not buy anything other
than a specific
brand or product
Automation - correct answer-involves the use of machines to carry out production tasks
Ergonomics - correct answer-the study of the use of equipment or technology and
its effects on workers' physical well-being
Innovation - correct answer-taking action to make the idea, item, or process available
for consumers to use
Business-format Franchise - correct answer-involves a close,continuous, working
relationship between the franchisor and the franchisee
Customer Complaints - correct answer-related to the business's policies and procedures
Consumer Products - correct answer-economic goods and services that are purchased
and used by the ultimate consumer
Capital Products - correct answer-purchased by businesses for use in their operations
Communist Command Economy - correct answer-capital for business investment is
provided
by the government, which obtains it by taking the profits of businesses it owns and by
levying taxes
Traditional Economy - correct answer-people produce only what they must have in
order to exist
Exam Questions and Answers
Franchise - correct answer-a contractual agreement between a
parent company and a franchisee to distribute goods and services
Corporation - correct answer-a form of business ownership that is owned by
stockholders who
have purchased units or shares of the company
Elastic Demand - correct answer-demand that changes according to changes in price
Inelastic Demand - correct answer-demand that is not affected by changes in price.
Unitary Demand - correct answer-when sales remain the
same because changes in supply and demand are equal
Tort - correct answer-a private wrongdoing that potentially harms another person or
entity
Doctrine of Sovereign Immunity - correct answer-the universally accepted principle that
each nation has the right to manage its own government and develop
its own laws.
Job Enlargement - correct answer-combining different tasks into one position
Job Rotation - correct answer-moving from one job to another job within an organization
Specialization by Trade - correct answer-the type of work that a person performs in
order to earn a living, such as engineering, public-relations, or accounting.
Frictional Unemployment - correct answer-occurs because there are always workers
who are in transition
Structural Unemployment - correct answer-when the demand for certain types of
workers declines and is often due to technology advancements and the need for new
skills
Cyclical Employment - correct answer-result of changes in the economic and business
cycles
, Wage Garnishments - correct answer-court-ordered initiatives that involve taking
income taken from an employee's salary and submitting it to another person or
organization
Embezzlement - correct answer-theft of valuables that have been entrusted to another's
care
Securities Fraud - correct answer-the use of misleading sales tactics to persuade
investors to purchase securities
Espionage - correct answer-revealing confidential information without the source or
owner's permission and is often associated with spying
Variety-seeking Buying Behavior - correct answer-involves the purchase of routine
items
Brand-insistence Buying Behavior - correct answer-buyer will not buy anything other
than a specific
brand or product
Automation - correct answer-involves the use of machines to carry out production tasks
Ergonomics - correct answer-the study of the use of equipment or technology and
its effects on workers' physical well-being
Innovation - correct answer-taking action to make the idea, item, or process available
for consumers to use
Business-format Franchise - correct answer-involves a close,continuous, working
relationship between the franchisor and the franchisee
Customer Complaints - correct answer-related to the business's policies and procedures
Consumer Products - correct answer-economic goods and services that are purchased
and used by the ultimate consumer
Capital Products - correct answer-purchased by businesses for use in their operations
Communist Command Economy - correct answer-capital for business investment is
provided
by the government, which obtains it by taking the profits of businesses it owns and by
levying taxes
Traditional Economy - correct answer-people produce only what they must have in
order to exist
