WGU C483 Principles of
Management Exam 2025/2026
– Verified Questions & Expert
Rationales | Grade A+
(Proventus)
Section 1: Management Fundamentals (Questions 1–16)
1. Which of the following best defines the planning function of management? A. Directing
and motivating employees B. Setting objectives and determining how to achieve them C.
Measuring performance against standards D. Structuring resources and tasks
Rationale: Planning is the foundational management function in classical theory (Fayol),
involving goal-setting and resource allocation, which informs strategic planning processes like
SWOT analysis and supports transformational leadership by aligning vision with actions.
2. In the POLC framework, what does "C" stand for? A. Coordinating B. Controlling C.
Communicating D. Creating
Rationale: The POLC model (Planning, Organizing, Leading, Controlling) emphasizes
controlling as monitoring performance to ensure alignment with strategic goals, drawing from
systems theory where feedback loops maintain organizational equilibrium.
3. A manager uses scientific management principles by: A. Empowering teams for self-
direction B. Standardizing tasks to improve efficiency C. Focusing on employee satisfaction D.
Encouraging innovation through chaos
Rationale: Taylor's scientific management theory prioritizes task standardization for
productivity, influencing modern strategic planning by optimizing operational processes and
supporting transactional leadership through clear performance metrics.
4. Contingency theory suggests that: A. One management style fits all situations B. Effective
management depends on the situation C. Leaders should always be charismatic D. Structure is
irrelevant to success
, Rationale: Fiedler's contingency theory posits that leadership effectiveness varies by context,
guiding strategic planning in dynamic environments and organizational leadership by adapting
styles to follower readiness and task demands.
5. The systems theory views an organization as: A. A linear hierarchy B. An open system
interacting with its environment C. A closed entity focused internally D. A collection of
independent parts
Rationale: Systems theory (von Bertalanffy) emphasizes inputs, processes, outputs, and
feedback, essential for strategic planning (e.g., environmental scanning) and organizational
leadership in fostering adaptive, holistic decision-making.
6. Behavioral management theory focuses on: A. Economic incentives only B. Human
relations and motivation C. Quantitative analysis D. Bureaucratic rules
Rationale: The human relations movement (Mayo) highlights social factors in productivity,
informing motivational strategies in organizational leadership and strategic planning by
prioritizing employee engagement for competitive advantage.
7. Quantitative management approach uses: A. Qualitative interviews B. Mathematical
models and statistics C. Intuitive decision-making D. Historical precedents
Rationale: Operations research and management science apply analytics for optimization,
supporting strategic planning through forecasting models and transactional leadership via data-
driven performance controls.
8. The primary goal of management is to: A. Maximize short-term profits B. Achieve
organizational objectives efficiently C. Minimize employee input D. Maintain the status quo
Rationale: Management theory (Drucker) centers on effectiveness and efficiency in goal
attainment, underpinning strategic planning cycles and transformational leadership by inspiring
alignment toward long-term vision.
9. Fayol's 14 principles include: A. Just-in-time inventory B. Division of work and unity of
command C. Total quality management D. Servant leadership
Rationale: Administrative theory (Fayol) provides foundational principles for organizational
structure, influencing strategic planning through clear authority lines and leadership by ensuring
cohesive command hierarchies.
10. In management, efficiency refers to: A. Achieving the right goals B. Getting the most
output from the least input C. Employee morale D. Market share growth
Rationale: Efficiency, per classical theory, optimizes resources, complementing strategic
planning's resource allocation and organizational leadership's focus on sustainable performance
metrics.
Management Exam 2025/2026
– Verified Questions & Expert
Rationales | Grade A+
(Proventus)
Section 1: Management Fundamentals (Questions 1–16)
1. Which of the following best defines the planning function of management? A. Directing
and motivating employees B. Setting objectives and determining how to achieve them C.
Measuring performance against standards D. Structuring resources and tasks
Rationale: Planning is the foundational management function in classical theory (Fayol),
involving goal-setting and resource allocation, which informs strategic planning processes like
SWOT analysis and supports transformational leadership by aligning vision with actions.
2. In the POLC framework, what does "C" stand for? A. Coordinating B. Controlling C.
Communicating D. Creating
Rationale: The POLC model (Planning, Organizing, Leading, Controlling) emphasizes
controlling as monitoring performance to ensure alignment with strategic goals, drawing from
systems theory where feedback loops maintain organizational equilibrium.
3. A manager uses scientific management principles by: A. Empowering teams for self-
direction B. Standardizing tasks to improve efficiency C. Focusing on employee satisfaction D.
Encouraging innovation through chaos
Rationale: Taylor's scientific management theory prioritizes task standardization for
productivity, influencing modern strategic planning by optimizing operational processes and
supporting transactional leadership through clear performance metrics.
4. Contingency theory suggests that: A. One management style fits all situations B. Effective
management depends on the situation C. Leaders should always be charismatic D. Structure is
irrelevant to success
, Rationale: Fiedler's contingency theory posits that leadership effectiveness varies by context,
guiding strategic planning in dynamic environments and organizational leadership by adapting
styles to follower readiness and task demands.
5. The systems theory views an organization as: A. A linear hierarchy B. An open system
interacting with its environment C. A closed entity focused internally D. A collection of
independent parts
Rationale: Systems theory (von Bertalanffy) emphasizes inputs, processes, outputs, and
feedback, essential for strategic planning (e.g., environmental scanning) and organizational
leadership in fostering adaptive, holistic decision-making.
6. Behavioral management theory focuses on: A. Economic incentives only B. Human
relations and motivation C. Quantitative analysis D. Bureaucratic rules
Rationale: The human relations movement (Mayo) highlights social factors in productivity,
informing motivational strategies in organizational leadership and strategic planning by
prioritizing employee engagement for competitive advantage.
7. Quantitative management approach uses: A. Qualitative interviews B. Mathematical
models and statistics C. Intuitive decision-making D. Historical precedents
Rationale: Operations research and management science apply analytics for optimization,
supporting strategic planning through forecasting models and transactional leadership via data-
driven performance controls.
8. The primary goal of management is to: A. Maximize short-term profits B. Achieve
organizational objectives efficiently C. Minimize employee input D. Maintain the status quo
Rationale: Management theory (Drucker) centers on effectiveness and efficiency in goal
attainment, underpinning strategic planning cycles and transformational leadership by inspiring
alignment toward long-term vision.
9. Fayol's 14 principles include: A. Just-in-time inventory B. Division of work and unity of
command C. Total quality management D. Servant leadership
Rationale: Administrative theory (Fayol) provides foundational principles for organizational
structure, influencing strategic planning through clear authority lines and leadership by ensuring
cohesive command hierarchies.
10. In management, efficiency refers to: A. Achieving the right goals B. Getting the most
output from the least input C. Employee morale D. Market share growth
Rationale: Efficiency, per classical theory, optimizes resources, complementing strategic
planning's resource allocation and organizational leadership's focus on sustainable performance
metrics.