BUSINESS ADMINISTRATION EXAM
MASTER QUESTIONS AND ANSWERS
Which of the following is an example of a tort associated with the invasion of privacy: -
Correct Answers -A company uses an athlete's photo without permission to imply the
endorsement of the product.
As an audience member, which of the following should you do to encourage a speaker
during an oral presentation? - Correct Answers -Smile
Roberto has just finished giving a presentation about global warming. An obviously
irritated audience member stands and says that there is no evidence to prove global
warming exists. Roberto calmly reads results from three scientific reports on its
existence. Roberto's response is an example of - Correct Answers -defending an idea
objectively.
A primary use of flow charts in business documents or presentations is to - Correct
Answers -explain relationships.
When writing e-mail correspondence to customers and coworkers, it is important to
remember that the messages - Correct Answers -are often seen by people other than
the recipients.
Jessica must develop an analytical report that assesses the product opportunities for
18- to 34-year-old sports enthusiasts in the greater Seattle area. What type of analytical
report is Jessica writing? - Correct Answers -Market analysis
In which component of a research report should the writer place the following statement:
"Based on our findings, we believe that it is imperative that PNJ Corporation make the
necessary adjustments." - Correct Answers -Recommendations
Which of the following is an example of a purpose statement in a research report: -
Correct Answers -In this study, we will examine the causes and effects of global
warming.
It is appropriate for a participant to ask questions during a staff meeting when - Correct
Answers -s/he needs a point clarified.
,Using computer-data backup procedures on a regular basis reduces a company's level
of risk because the process - Correct Answers -saves information when computer
failures occur.
What can a business do if it is exposed to risks that commercial insurance companies
do not cover? - Correct Answers -Form a captive insurance company
Which of the following levels of managers spend most of their time staffing, directing,
and controlling the day-to-day activities of the business: - Correct Answers -First-line
An example of how a company can reinforce its "environmentally friendly" image
through its employees is by giving a(n) - Correct Answers -extra day of vacation for
riding a bike to work instead of driving.
One form of technology that businesses use to personalize their ongoing
communication with customers is - Correct Answers -opt-in e-mail.
A luxury spa has experienced decreased sales. The owner believes the reason is a rise
in unemployment in the area. What external environmental factor does this represent? -
Correct Answers -Economic
Which of the following is NOT a characteristic of private enterprise: - Correct Answers -
A person's income depends mainly on the income their parents made.
Past sales records show that sales increased at a clothing store when a 10th rack of
clothing was added to the store floor. However, when an 11th rack is added, sales
increased by only 1%. In economics, this is explained by - Correct Answers -the law of
diminishing returns.
Which of the following is NOT a fiscal cost that results from a high unemployment rate: -
Correct Answers -Increase in crime rate recognized
A developing country sets its currency to be the same value as the U.S. dollar. This is
called a(n) - Correct Answers -pegged currency.
To avoid the appearance of bribery, businesspeople should understand a culture's
protocol regarding - Correct Answers -gift giving.
Which of the following scenarios represents a cultural issue associated with personal
space for an American businessperson: - Correct Answers -A European client greets
the person with a kiss on each cheek.
In some countries, pictures are used on packaging to identify contents. Since Gerbers'
baby food products feature smiling, healthy babies, the company had to repackage its
baby food when doing business in those countries. This problem resulted from issues
associated with - Correct Answers -culture.
,Which of the following represents an issue associated with perceptions of time that may
occur when conducting business internationally: - Correct Answers -The business
meetings started several hours later than originally scheduled.
Japanese companies tend to use a "hands off" approach in supervising employees,
allowing them to help shape company policies. However, in many North American
companies, the executive officers set policies and have active supervisory roles. This is
a cultural difference related to - Correct Answers -management style.
What issue is associated with product names that businesses often encounter when
they start to sell their products internationally? - Correct Answers -Translation issues
Because Allison is meeting with a foreign businessperson whose culture places a great
importance on modesty and a simple personal appearance, she should wear - Correct
Answers -conservative apparel.
A businessperson offended a foreign client when s/he continuously made an insulting
gesture. As a result, the client severed ties with the businessperson's company. This
situation could have been avoided if the businessperson had - Correct Answers -taken
the time to learn about the client's culture before the meeting.
Which of the following is an example of an employee exhibiting self-confidence: -
Correct Answers -Jane believes that she can respond to unknown circumstances in a
positive, calm way.
Cameron said to his manager, "The order didn't ship because Sam didn't tell me that we
didn't have enough items in stock." What is Cameron doing? - Correct Answers -
Blaming another person for a communication breakdown
After Caroline told her manager about the pricing mistake she made on a purchase
order, her manager said, "This does present a problem, but we can work it out. Thanks
for letting me know right away." Because Caroline accepted responsibility for her
mistake, her supervisor is likely to - Correct Answers -respect Caroline for her honesty.
As the assistant purchasing manager of a large company, Hannah juggles many
workplace commitments. Last week, Hannah had several meetings with vendors, and
didn't leave herself enough time to finish the weekly inventory report for her manager—a
task that she really doesn't enjoy doing. Because the report was late, Hannah's
manager was annoyed with her. What barrier prevented Hannah from effectively
managing her workplace commitments? - Correct Answers -Procrastination
When having a business conversation with a person who has some difficulty
understanding English, it is important to - Correct Answers -speak slower than you
normally would.
, Cameron, a high school student, is giving a speech to the school board. He wants to
persuade them to begin a recycling program for the school district. When a board
member says the program will cost too much money, Cameron displays a chart proving
the recycling program will make money for the school in five years. Cameron's chart has
- Correct Answers -eliminated a competing alternative.
For several months, June has felt very tired at work. She has a hard time focusing on
her job, is often irritated at her coworkers, and has turned in several late assignments.
At home, June feels considerably better. June is experiencing - Correct Answers -
employee burnout.
To improve the quality of its products and its business processes, a company will install
a single new computer system that will replace the systems currently used across the
company. Every aspect of this change is handled by representatives from the following
departments: manufacturing, accounting, quality control, finance, and IT. This is an
example of a - Correct Answers -project team.
Although Anna works in a different department than Ryan, their job responsibilities
overlap. Anna and Ryan often talk about the mutually job-related problems, and they
share ideas about how they can improve situations in ways that will benefit not only
them, but the company in general. By sharing information and being objective, Anna
and Ryan are - Correct Answers -building collaborative working relationships.
Every year since she was born, Sophia's grandparents invested $100 on her birthday.
Sophia is now 18 and the investment has grown large enough to pay for most of her
college expenses. Her grandparents explain that this is because her money has grown
in two ways: by earning interest, and then by earning interest on that interest. This is an
example of - Correct Answers -compound interest.
When Jane received her first paycheck from her part-time job, she was surprised to see
the amount was much less than her $8.00 per hour pay rate multiplied by the number of
hours she worked. Jane had not planned on __________ tax being taken out of her
paycheck. - Correct Answers -income
Sheila pays the minimum payment shown on her credit card bill each month. For the
remaining amount on the bill she will be charged a(n) - Correct Answers -annual
percentage rate.
What activity does accounting software help businesses do? - Correct Answers -Track
credit transactions
Why do some governments require businesses to use specific accounting methods? -
Correct Answers -To provide external sources with accurate financial information
Joseph is the vice president of finance for a large corporation. Recently, he told his
sister to dump her stock in the company because it is about to declare bankruptcy. In
MASTER QUESTIONS AND ANSWERS
Which of the following is an example of a tort associated with the invasion of privacy: -
Correct Answers -A company uses an athlete's photo without permission to imply the
endorsement of the product.
As an audience member, which of the following should you do to encourage a speaker
during an oral presentation? - Correct Answers -Smile
Roberto has just finished giving a presentation about global warming. An obviously
irritated audience member stands and says that there is no evidence to prove global
warming exists. Roberto calmly reads results from three scientific reports on its
existence. Roberto's response is an example of - Correct Answers -defending an idea
objectively.
A primary use of flow charts in business documents or presentations is to - Correct
Answers -explain relationships.
When writing e-mail correspondence to customers and coworkers, it is important to
remember that the messages - Correct Answers -are often seen by people other than
the recipients.
Jessica must develop an analytical report that assesses the product opportunities for
18- to 34-year-old sports enthusiasts in the greater Seattle area. What type of analytical
report is Jessica writing? - Correct Answers -Market analysis
In which component of a research report should the writer place the following statement:
"Based on our findings, we believe that it is imperative that PNJ Corporation make the
necessary adjustments." - Correct Answers -Recommendations
Which of the following is an example of a purpose statement in a research report: -
Correct Answers -In this study, we will examine the causes and effects of global
warming.
It is appropriate for a participant to ask questions during a staff meeting when - Correct
Answers -s/he needs a point clarified.
,Using computer-data backup procedures on a regular basis reduces a company's level
of risk because the process - Correct Answers -saves information when computer
failures occur.
What can a business do if it is exposed to risks that commercial insurance companies
do not cover? - Correct Answers -Form a captive insurance company
Which of the following levels of managers spend most of their time staffing, directing,
and controlling the day-to-day activities of the business: - Correct Answers -First-line
An example of how a company can reinforce its "environmentally friendly" image
through its employees is by giving a(n) - Correct Answers -extra day of vacation for
riding a bike to work instead of driving.
One form of technology that businesses use to personalize their ongoing
communication with customers is - Correct Answers -opt-in e-mail.
A luxury spa has experienced decreased sales. The owner believes the reason is a rise
in unemployment in the area. What external environmental factor does this represent? -
Correct Answers -Economic
Which of the following is NOT a characteristic of private enterprise: - Correct Answers -
A person's income depends mainly on the income their parents made.
Past sales records show that sales increased at a clothing store when a 10th rack of
clothing was added to the store floor. However, when an 11th rack is added, sales
increased by only 1%. In economics, this is explained by - Correct Answers -the law of
diminishing returns.
Which of the following is NOT a fiscal cost that results from a high unemployment rate: -
Correct Answers -Increase in crime rate recognized
A developing country sets its currency to be the same value as the U.S. dollar. This is
called a(n) - Correct Answers -pegged currency.
To avoid the appearance of bribery, businesspeople should understand a culture's
protocol regarding - Correct Answers -gift giving.
Which of the following scenarios represents a cultural issue associated with personal
space for an American businessperson: - Correct Answers -A European client greets
the person with a kiss on each cheek.
In some countries, pictures are used on packaging to identify contents. Since Gerbers'
baby food products feature smiling, healthy babies, the company had to repackage its
baby food when doing business in those countries. This problem resulted from issues
associated with - Correct Answers -culture.
,Which of the following represents an issue associated with perceptions of time that may
occur when conducting business internationally: - Correct Answers -The business
meetings started several hours later than originally scheduled.
Japanese companies tend to use a "hands off" approach in supervising employees,
allowing them to help shape company policies. However, in many North American
companies, the executive officers set policies and have active supervisory roles. This is
a cultural difference related to - Correct Answers -management style.
What issue is associated with product names that businesses often encounter when
they start to sell their products internationally? - Correct Answers -Translation issues
Because Allison is meeting with a foreign businessperson whose culture places a great
importance on modesty and a simple personal appearance, she should wear - Correct
Answers -conservative apparel.
A businessperson offended a foreign client when s/he continuously made an insulting
gesture. As a result, the client severed ties with the businessperson's company. This
situation could have been avoided if the businessperson had - Correct Answers -taken
the time to learn about the client's culture before the meeting.
Which of the following is an example of an employee exhibiting self-confidence: -
Correct Answers -Jane believes that she can respond to unknown circumstances in a
positive, calm way.
Cameron said to his manager, "The order didn't ship because Sam didn't tell me that we
didn't have enough items in stock." What is Cameron doing? - Correct Answers -
Blaming another person for a communication breakdown
After Caroline told her manager about the pricing mistake she made on a purchase
order, her manager said, "This does present a problem, but we can work it out. Thanks
for letting me know right away." Because Caroline accepted responsibility for her
mistake, her supervisor is likely to - Correct Answers -respect Caroline for her honesty.
As the assistant purchasing manager of a large company, Hannah juggles many
workplace commitments. Last week, Hannah had several meetings with vendors, and
didn't leave herself enough time to finish the weekly inventory report for her manager—a
task that she really doesn't enjoy doing. Because the report was late, Hannah's
manager was annoyed with her. What barrier prevented Hannah from effectively
managing her workplace commitments? - Correct Answers -Procrastination
When having a business conversation with a person who has some difficulty
understanding English, it is important to - Correct Answers -speak slower than you
normally would.
, Cameron, a high school student, is giving a speech to the school board. He wants to
persuade them to begin a recycling program for the school district. When a board
member says the program will cost too much money, Cameron displays a chart proving
the recycling program will make money for the school in five years. Cameron's chart has
- Correct Answers -eliminated a competing alternative.
For several months, June has felt very tired at work. She has a hard time focusing on
her job, is often irritated at her coworkers, and has turned in several late assignments.
At home, June feels considerably better. June is experiencing - Correct Answers -
employee burnout.
To improve the quality of its products and its business processes, a company will install
a single new computer system that will replace the systems currently used across the
company. Every aspect of this change is handled by representatives from the following
departments: manufacturing, accounting, quality control, finance, and IT. This is an
example of a - Correct Answers -project team.
Although Anna works in a different department than Ryan, their job responsibilities
overlap. Anna and Ryan often talk about the mutually job-related problems, and they
share ideas about how they can improve situations in ways that will benefit not only
them, but the company in general. By sharing information and being objective, Anna
and Ryan are - Correct Answers -building collaborative working relationships.
Every year since she was born, Sophia's grandparents invested $100 on her birthday.
Sophia is now 18 and the investment has grown large enough to pay for most of her
college expenses. Her grandparents explain that this is because her money has grown
in two ways: by earning interest, and then by earning interest on that interest. This is an
example of - Correct Answers -compound interest.
When Jane received her first paycheck from her part-time job, she was surprised to see
the amount was much less than her $8.00 per hour pay rate multiplied by the number of
hours she worked. Jane had not planned on __________ tax being taken out of her
paycheck. - Correct Answers -income
Sheila pays the minimum payment shown on her credit card bill each month. For the
remaining amount on the bill she will be charged a(n) - Correct Answers -annual
percentage rate.
What activity does accounting software help businesses do? - Correct Answers -Track
credit transactions
Why do some governments require businesses to use specific accounting methods? -
Correct Answers -To provide external sources with accurate financial information
Joseph is the vice president of finance for a large corporation. Recently, he told his
sister to dump her stock in the company because it is about to declare bankruptcy. In
