Obj 6
What is one of the main reasons why businesses need to keep accurate accounting records?
A. to follow procedures
B. to control expenses
C. to eliminate risks
D. to regulate taxes
to control expenses
According to the marketing concept, which option demonstrates customer orientation?
A. finding out what a buyer wants
B. researching a firm's competitors
C. convincing a buyer to buy
D. advertising the features of a product
finding out what a buyer wants
One reason why human resources management is important to the success of a business is because this process is responsible for:
A. creating jobs for the company.
B. eliminating turnover.
C. staffing the business.
D. reducing compensation.
staffing the business
Most businesses expect their employees to show an interest in the company by being:
A. emotional.
B. aggressive.
C. cooperative.
D. impulsive.
cooperative
A U.S. company would decide to offer its products in other countries as a reason to:
A. subsidize developing countries.
B. sell obsolete, outdated products.
C. expand to new, untapped markets.
D. provide jobs to people in other countries.
expand to new, untapped markets
When businesses invest funds to expand, they are involved in the process of:
A. selling.
B. depreciation.
C. finance.
D. capitalism.
finance
The Scott Company decided to sell stock to raise capital. Under what form of business organization does the company operate?
A. partnership
B. cooperative
C. corporation
D. proprietorship
corporation
How frequently should the operations function, which consists mainly of activities, be performed?
A. monthly
B. weekly
C. daily
D. yearly
daily
Self-understanding helps one to raise his/her level of self-esteem because it:
A. identifies social activities he/she enjoys.
B. gives him/her a true picture of himself/herself.
C. helps him/her to develop personal interests.
D. compares his/her skills with others' skills.
gives him/her a true picture of himself/herself.
Adrian and Bailey own a salon. Adrian is a nail technician and Bailey is a cosmetologist. Adrian gives Bailey a pedicure. Bailey gives Adrian a haircut. They do not pay money for the services provided. What does this demonstrate?
A. exchange
B. rationing
C. scarcity
D. trade-off
exchange
The role of finance in business often involves:
A. monitoring expenses.
B. paying employees.
C. buying supplies.
D. obtaining funds.
obtaining funds
Which type of ownership gives a business an exclusive territory, training and support during start up, and a competitive edge in the market?
A. corporation
B. franchise
C. partnership
D. sole proprietorship
franchise
Melissa, a marketing manager for an amusement park, has a goal of increasing sales for the month of October. Melissa needs to first spend time mapping out the necessary steps she and her team of sales representatives must take so that they can increase their sales numbers. Which managerial function is she performing?
A. controlling
B. organizing
C. planning
D. staffing
planning
Which industry exists to protect individuals and businesses from financial losses?
A. insurance
B. marketing research
C. operations management
D. accounting
insurance
By purchasing just the quantity of supplies that is needed, purchasing can:
A. plan the company's cash flow.
B. provide an uninterrupted flow of supplies.
C. buy supplies at the lowest possible price.
D. minimize inventory investment.
minimize inventory investment
Businesses use the information collected through the accounting process to prepare accurate:
A. balance sheets.
B. purchase orders.
C. inventory forms.
D. promissory notes.
balance sheets
A type of business ownership in which one or more of the owners does not have full liability is called a:
A. general partnership.
B. limited partnership.
C. sole proprietorship.
D. service organization.
limited partnership
Which do managers often set in order to control the work effort?
A. hiring objectives
B. job standards
C. expense budgets
D. diversity quotas
job standards
Jacob is interested in pursuing a specific business career and sets up a time to talk with a person who works in his field of interest. Jacob is obtaining career information by initiating a/an:
A. job evaluation.
B. internship.
C. discussion forum.
D. exploratory interview.
exploratory interview.
A farmer has 1,000 acres. He decides to plant apple trees on 800 acres and raise cows on the remaining 200 acres. If he wanted to raise more cows, he would have to reduce the amount of land allotted to growing apples. This is an example of:
A. distribution.
B. opportunity cost.
C. efficiency.
D. utility.
opportunity cost
Businesses would not be able to determine if they are meeting their financial goals without accurate:
A. production plans.
B. marketing plans.
C. accounting systems.
D. distribution systems.
accounting systems
José is opening a fish tank cleaning service. He has potential investors, but decides he would prefer to structure the business ownership so that he is ultimately responsible for the success or failure of the business. Which type of business ownership should José select?
A. cooperative
B. corporation
C. partnership
D. sole proprietorship
sole proprietorship
A foreman spends time connecting with his workers on an interpersonal level. This involves communicating in ways that motivate and inspire employees toward a higher level of productivity. This task would fall under which function of management?
A. controlling
B. directing
C. organizing
D. planning
directing
Why do many businesses expect their employees to do their jobs according to strict guidelines?
A. to develop an enthusiastic attitude
B. to exhibit loyal behavior
C. to create a safe environment
D. to show an interest in work
to create a safe environment
What production activity evaluates products to make sure that the products the business produces meet certain quality standards?
A. form utility
B. automation
C. follow-up
D. standardization
follow-up