Business Management exam
questions and answers graded A+
1. Which function of management prepares the final accounts such as profit and loss accounts, cash
flow statements and balance sheets; manages the money of the business?
a. Marketing
b. Finance
c. Human Resources
d. Operations - ANS✅✅Finance
1. Which function of management conducts research to meet the needs of customers and arranges
promotional activities to sell the firm's products? a. Marketing
b. Finance
c. Human Resources
d. Operations - ANS✅✅Marketing
1. Which function of management handles recruitment, training, appraisal and the general welfare
of the workforce?
a. Marketing
b. Finance
c. Human Resources
d. Operations - ANS✅✅Human Resources
1. The advantages of organizing as a sole trader do not include:
a. A high degree of confidentiality in administration and financial reporting
b. Flexibility and freedom in decision-making
c. Profits not having to be shared with others
d. The various sources of finance available - ANS✅✅The various sources of finance available
1. The __________ sector of the economy is owned by individuals and companies, usually in pursuit
of making profit. The __________ sector is controlled by the government and aims primarily to
provide a service by acting in the public's best interest.
,a. Private, Public
b. Public, Private
c. Primary, Tertiary
d. Tertiary, Primary - ANS✅✅Private, Public
1. The secondary sector
a. Provides both goods and services
b. Consists of businesses involved in the manufacturing of goods
c. Is labor intensive
d. Forms the largest employment sector in most economically developed countries -
ANS✅✅Consists of businesses involved in the manufacturing of goods
1. A drawback of public limited companies is that they:
a. Represent high risks to investors
b. Have limited liability
c. Relay on government funding
d. Have to publish certain financial information for all stakeholders to view - ANS✅✅Have to
publish certain financial information for all stakeholders to view
1. ______ have two or more owners and unlimited liability.
a. Sole proprietors
b. Partnerships
c. Corporations
d. Charities - ANS✅✅Partnerships
1. ______ have two or more owners and limited liability.
a. Sole proprietors
b. Partnerships
c. Corporations
d. Charities - ANS✅✅Corporations
1. Which statement does not apply to sole traders?
, a. It is the most common form of ownership
b. There can be more than one employer
c. A business that is owned by one person
d. There may be more than one employee - ANS✅✅There can be more than one employer
1. A ______ statement generally answers three questions: What do we do? Why do we do it? For
whom is it done?
a. Vision
b. Mission
c. Strategic - ANS✅✅Mission
1. A ______ statement points to the future and describes the company's highest aspirations.
a. Vision
b. Mission
c. Strategic - ANS✅✅Vision
1. Microsoft's ______ statement: "A personal computer in every home running Microsoft software"
a. Vision
b. Mission
c. Strategic - ANS✅✅Vision
1. A(n) ________ objective is a medium-term objective set by middle managers to help reach longer
term goals.
a. Tactical
b. Operational
c. Strategic - ANS✅✅Tactical
1. A(n) ________ objective is a long-range goal set by senior managers to guide the company in the
right direction.
a. Tactical
b. Operational
c. Strategic - ANS✅✅Strategic
questions and answers graded A+
1. Which function of management prepares the final accounts such as profit and loss accounts, cash
flow statements and balance sheets; manages the money of the business?
a. Marketing
b. Finance
c. Human Resources
d. Operations - ANS✅✅Finance
1. Which function of management conducts research to meet the needs of customers and arranges
promotional activities to sell the firm's products? a. Marketing
b. Finance
c. Human Resources
d. Operations - ANS✅✅Marketing
1. Which function of management handles recruitment, training, appraisal and the general welfare
of the workforce?
a. Marketing
b. Finance
c. Human Resources
d. Operations - ANS✅✅Human Resources
1. The advantages of organizing as a sole trader do not include:
a. A high degree of confidentiality in administration and financial reporting
b. Flexibility and freedom in decision-making
c. Profits not having to be shared with others
d. The various sources of finance available - ANS✅✅The various sources of finance available
1. The __________ sector of the economy is owned by individuals and companies, usually in pursuit
of making profit. The __________ sector is controlled by the government and aims primarily to
provide a service by acting in the public's best interest.
,a. Private, Public
b. Public, Private
c. Primary, Tertiary
d. Tertiary, Primary - ANS✅✅Private, Public
1. The secondary sector
a. Provides both goods and services
b. Consists of businesses involved in the manufacturing of goods
c. Is labor intensive
d. Forms the largest employment sector in most economically developed countries -
ANS✅✅Consists of businesses involved in the manufacturing of goods
1. A drawback of public limited companies is that they:
a. Represent high risks to investors
b. Have limited liability
c. Relay on government funding
d. Have to publish certain financial information for all stakeholders to view - ANS✅✅Have to
publish certain financial information for all stakeholders to view
1. ______ have two or more owners and unlimited liability.
a. Sole proprietors
b. Partnerships
c. Corporations
d. Charities - ANS✅✅Partnerships
1. ______ have two or more owners and limited liability.
a. Sole proprietors
b. Partnerships
c. Corporations
d. Charities - ANS✅✅Corporations
1. Which statement does not apply to sole traders?
, a. It is the most common form of ownership
b. There can be more than one employer
c. A business that is owned by one person
d. There may be more than one employee - ANS✅✅There can be more than one employer
1. A ______ statement generally answers three questions: What do we do? Why do we do it? For
whom is it done?
a. Vision
b. Mission
c. Strategic - ANS✅✅Mission
1. A ______ statement points to the future and describes the company's highest aspirations.
a. Vision
b. Mission
c. Strategic - ANS✅✅Vision
1. Microsoft's ______ statement: "A personal computer in every home running Microsoft software"
a. Vision
b. Mission
c. Strategic - ANS✅✅Vision
1. A(n) ________ objective is a medium-term objective set by middle managers to help reach longer
term goals.
a. Tactical
b. Operational
c. Strategic - ANS✅✅Tactical
1. A(n) ________ objective is a long-range goal set by senior managers to guide the company in the
right direction.
a. Tactical
b. Operational
c. Strategic - ANS✅✅Strategic
