DECA Entrepreneurship Practice MCQ
with verified solutions to pass
Charice creates a new kind of glue using a new chemical formula that she
invented. She wants to make sure that none of her competitors use the formula
for their products. To protect the formula, Charice should __________ it.
a. trademark
b. copyright
c. patent
d. prototype - correct answer ✔✔c. patent
Josh is a small business owner who hires a lawyer to represent him in court. In this
situation, Josh is the
a. representative.
b. agent.
c. judge.
d. principal. - correct answer ✔✔d. principal
Which of the following statements is true regarding joint ventures:
a. Large corporations are the only business structures that can benefit from joint
ventures
,b. Joint ventures are used only when it is necessary to raise a lot of capital.
c. Joint venture arrangements are usually short-term relationships
d. An independent attorney must always be consulted before signing a joint
venture agreement. - correct answer ✔✔c. Joint venture arrangements are
usually short-term relationships
Which of the following statements best describes the taxation of Roth IRAs:
a. Contributions and withdrawals during retirement are both taxed.
b. Contributions are tax deductible, but withdrawals during retirement are taxed.
c. Contributions are taxed, but withdrawals during retirement are not.
d. Contributions and withdrawals during retirement are tax deductible. - correct
answer ✔✔c. Contributions are taxed, but withdrawals during retirement are not.
When businesses want to make their products available to customers but do not
want to over-distribute their goods and services, they are seeking
a. exclusive marketing channels.
b. ideal market exposure.
c. direct distribution capabilities.
d. intense segment coverage. - correct answer ✔✔b. ideal market exposure.
Which of the following often makes it difficult for small manufacturers that have
limited budgets to receive an equal opportunity to distribute their new products:
a. Gray marketing
,b. Slotting allowances
c. Channel strategies
d. Targeted advertising - correct answer ✔✔b. Slotting allowances
Which distribution method is commonly used for consumer shopping goods, such
as high-end clothing:
a. Intensive
b. Selective
c. Direct
d. Exclusive - correct answer ✔✔b. Selective
Which of the following businesses is most likely to violate antitrust laws if it insists
on an exclusive dealing agreement:
a. A firm with dominant market power
b. A small start-up
c. Horizontal business partners
d. The buyer - correct answer ✔✔a. A firm with dominant market power
One benefit a supplier can receive from paying a slotting allowance is
a. better shelf placement.
b. lower customer demand.
c. cheaper shipping costs.
, d. better branding. - correct answer ✔✔a. better shelf placement.
A large online seller partners with a credit card company to leverage each other's
brand values, share marketing expertise and research, and exchange skills. The
two companies are involved in
a. cross linking.
b. affiliate marketing
c. affinity marketing
d. social media marketing. - correct answer ✔✔c. affinity marketing
Sammy is going to a meeting to hear the new procedures for billing clients for
completed work. One of the best ways for Sammy to follow the presenter's oral
instructions is to
a. take notes while the speaker is presenting the material.
b. take notes after listening to the meeting in entirety.
c. listen to the presentation and ask a coworker for notes afterwards.
d. listen to the presentation and attempt the task immediately afterwards. -
correct answer ✔✔b. take notes after listening to the meeting in entirety.
When businesses need to formalize the information provided to employees,
customers, or other businesses, they often use __________ communication.
a. written
b. lateral
with verified solutions to pass
Charice creates a new kind of glue using a new chemical formula that she
invented. She wants to make sure that none of her competitors use the formula
for their products. To protect the formula, Charice should __________ it.
a. trademark
b. copyright
c. patent
d. prototype - correct answer ✔✔c. patent
Josh is a small business owner who hires a lawyer to represent him in court. In this
situation, Josh is the
a. representative.
b. agent.
c. judge.
d. principal. - correct answer ✔✔d. principal
Which of the following statements is true regarding joint ventures:
a. Large corporations are the only business structures that can benefit from joint
ventures
,b. Joint ventures are used only when it is necessary to raise a lot of capital.
c. Joint venture arrangements are usually short-term relationships
d. An independent attorney must always be consulted before signing a joint
venture agreement. - correct answer ✔✔c. Joint venture arrangements are
usually short-term relationships
Which of the following statements best describes the taxation of Roth IRAs:
a. Contributions and withdrawals during retirement are both taxed.
b. Contributions are tax deductible, but withdrawals during retirement are taxed.
c. Contributions are taxed, but withdrawals during retirement are not.
d. Contributions and withdrawals during retirement are tax deductible. - correct
answer ✔✔c. Contributions are taxed, but withdrawals during retirement are not.
When businesses want to make their products available to customers but do not
want to over-distribute their goods and services, they are seeking
a. exclusive marketing channels.
b. ideal market exposure.
c. direct distribution capabilities.
d. intense segment coverage. - correct answer ✔✔b. ideal market exposure.
Which of the following often makes it difficult for small manufacturers that have
limited budgets to receive an equal opportunity to distribute their new products:
a. Gray marketing
,b. Slotting allowances
c. Channel strategies
d. Targeted advertising - correct answer ✔✔b. Slotting allowances
Which distribution method is commonly used for consumer shopping goods, such
as high-end clothing:
a. Intensive
b. Selective
c. Direct
d. Exclusive - correct answer ✔✔b. Selective
Which of the following businesses is most likely to violate antitrust laws if it insists
on an exclusive dealing agreement:
a. A firm with dominant market power
b. A small start-up
c. Horizontal business partners
d. The buyer - correct answer ✔✔a. A firm with dominant market power
One benefit a supplier can receive from paying a slotting allowance is
a. better shelf placement.
b. lower customer demand.
c. cheaper shipping costs.
, d. better branding. - correct answer ✔✔a. better shelf placement.
A large online seller partners with a credit card company to leverage each other's
brand values, share marketing expertise and research, and exchange skills. The
two companies are involved in
a. cross linking.
b. affiliate marketing
c. affinity marketing
d. social media marketing. - correct answer ✔✔c. affinity marketing
Sammy is going to a meeting to hear the new procedures for billing clients for
completed work. One of the best ways for Sammy to follow the presenter's oral
instructions is to
a. take notes while the speaker is presenting the material.
b. take notes after listening to the meeting in entirety.
c. listen to the presentation and ask a coworker for notes afterwards.
d. listen to the presentation and attempt the task immediately afterwards. -
correct answer ✔✔b. take notes after listening to the meeting in entirety.
When businesses need to formalize the information provided to employees,
customers, or other businesses, they often use __________ communication.
a. written
b. lateral
