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(i) The key inputs into Discounted Cash Flow analysis are projected future cash

flows.
a) True
b) False

(ii) Market demand for a product is the total volume that would be sold by a
defined customer group.
a. True
b. False

(iii) Operational plans apply to the entire organization and establish the
organization’s overall goals.
a. True
b. False

(iv) Preferred stock has a fixed divided paid every period forever so preferred
stock is essentially a perpetuity.
a. True
b. False

(v) The cost of debt is the return that the firm’s debtors demand on new
borrowing.
a. True
b. False

(vi) With the Internal Rate of Return, we try to find a single rate of return that
summarizes the merits of a project.
a. True
b. False

(vii) IBM is example of a manufacturer brand.


a. True
b. False

(viii) Modifying job responsibilities is an example of structural change.


a. True
b. False

(ix) ---------- is a statement reporting the effects of a firm’s operating, investing


and financing activities on cash flows over an accounting period.
a. Income statement
b. Annual report
c. Cash flow statement
d. Balance sheet
e. None of these

(x) ---------- studied five chief executives at work and identified ten managerial
roles.
a. Max weber
b. Henry fayol
c. Henry mintzberg
d. Fredrick taylor
e. Michael porter
(xi) A product life cycle -----------------.
a. Shows how a product sales or profits may rise or fall over its life
b. Tells you how long a product will sell for and make a profit
c. Is divided into three stages
d. Show how profitable a product will
e. None of these

(xii) All of the following are fixed assets except


a. Building
b. Stocks
c. Production plant
d. Vehicles
e. None of these

(xiii) What is the influencing environmental factor when interest rates increase
and firms find it difficult to borrow funds
a. Political factor
b. Social factor
c. Economic factor
d. Technological factor
e. Competitive factor

(xiv) Which of the following is not a market entry strategy


a. Licensing
b. Indirect exporting
c. Joint venture
d. International marketing
e. None of these

(xv) ------------ is information about physical working conditions, work schedule


and the organizational and social context of the job.
a. Job specification
b. Job context
c. Work activities
d. HR policy manual
e. None of these

(xvi) The liquidity of a firm is a measure of ---------------


a. Its ability to pay bills
b. Its ability to respond to changes in demand
c. How flexible it is in its production plannning
d. How quickly and easily a firm could relocate to another site
e. None of these

(xvii) Market share means ---------------


a. How well a firm is doing
b. How much power affirm has in the market
c. How many firms are there in the market
d. How big a market is
e. None of these

(xviii) -------------- refers to a management philosophy that requires employers


to continuously set and relentlessly meet ever high quality, cost , delivery and
availability goals.
a. Performance management
b. Performance appraisal
c. Continuous improvement
d. Management by objective
e. None of these

(xix) Beta ------------.


a. Is a measure of firm specific risk
b. Is a measure of market risk
c. Is a measure of total risk
d. All of these
e. None of these

(xx) What is the price of a stock that is expected to pay a 1.00 divided next year
if the cost of capital is 14% and the growth rate is zero
a. 7.14
b. 6.75
c. 11.9
d. 6.13

vi) What is not a disadvantage of traditional file processing system?

a) Program-data dependence b) Reduce data redundancy c) Limited data sharing d)


Lengthy development time e)none

vii) An enterprise data model is a (n) _______ model.

a) numerical b) mathematical c) narrative d) graphical e)none

viii) Which is not a component of relational database?

a) Entity b) Table c) Attribute d)hierarchy e) none

ix) Data base application can be divided into 5 categories. which is NOT a database
application category?

a) Personal b) Department c) Enterprise d) Relational e) none

x) A data base that supports organization wide operations and decision making is a (n)
________ database.

a) department b) enterprise c) work group d) extra-net e) none

xi) As small companies begin to achieve success, they ten to adopt some of the tools used
in professionally run marketing commas. This is a sign that the firm is in the ________
stage of marketing practice.

a) Entrepreneurial marketing b) formulated marketing c) intrapreneurial marketing d)


effective marketing e) none

xii)The concept of a _______ is used to describe a cluster of complementary products that


are closely related in the minds of the consumers but are spread across a diverse set of
industries.

a) Metamarket b)Metamediary c) Market place d) Marketspace e) none

xiii) Marketers can increase the value of customers offering by:

a) raising benefits and reducing cost


b) raising benefits by more than raising the cost
c) lowering benefits by less than the reduction in cost
d) All of the above can increase the customers value

xiv) When a firm sees its competitors as all companies that compete for the same consumer
dollars, they are concerned with the ________ level of competition.

a) brand b) industry c) form d) generic e) none

xv) The number of channel levels from raw material to final product which a company will
participate defines the firm's _________ scope.

a) industry b) geographical c) vertical d) competence e) none

xvi) Which of the following best describes the organizational members who integrate and
coordinate the work of others?

a) Managers b) Operatives c) Subordinates d) Customers e) all of these

xvii)_________ represent the lowest level of management

a) Team leaders b) First line managers c) Operatives d) Laborers e) none

xviii) Which of the following roles is more important for lower-level managers than for either
middle or top-level managers?

a) Negotiator b) Leader c) Coordinator d) Entrepreneur e)none

xix) Which of the following skills involve working well with other people?

a) Technical b) Human c) Computer d) Empirical e) none

xx) The phrase most associated with scientific management is ________?

a)Management Relations b) one of the best c) supply and demand d) quality control e)
none.

(7) ________ is the right that is delegated to an individual or a department to control


specific processes, practices, policies and other matters relating to activities undertaken
by person in other departments.

(a) Line authority


(b) Functional Authority
(c) Line and Staff Authority
(d) None of these (delegated authority)

(10) _______ is that part of managing that involves establishing an international


structure of roles for people to fill in an organization:

(a) Leading
(b) Controlling
(c) Planning
(d) None of these (staffing)

(12) ________ spell out specific required actions or non-actions, allowing no discretion:

(a) Procedures
(b) Budgets
(c) Rules
(d) None of these

Q.7 Correct answer is (b) Functional Authority

Q.10 Correct Answer is (d) None of These but it is not staffing it is organizing, because
staffing by definition "Staffing means filling and keeping filled, positions in the organisation
structure." here it says "involves establishing an international structure of roles for people"
so in organizing we organized people according to their roles in organization.

Q.12 Correct Answer is (c) Rules

(1)Planning initiates other functions of management. True

(2) Managements make things to happen. True

(3) The ultimate criterion of control is the extent that activities are complete in ways that
lead to more profits. False

(4) Computer Technology helps the management but does not replace the
management. True

(5) Promotional mix is also known as communication mix. True

(6) Marketing environment is made up of micro-environment and macro-environment. True

(7) Promotional mix is the part of marketing mix. True

(8) Marketing strategy consists of specific strategy for target markets, positioning, the
marketing mix and marketing expenditure levels. True

(9) A Financial manager has a full control over its firm’s stock price. False

(10) Liquidity ratios measure a firm’s ability to meet short term obligations.True

(11) The internal rate of return method is the most widely used capital budgeting
techniques. False (not confirmed)
(12) Stock exchange facilitates investment in real assets by providing secondary market to
the financial securities. True

(B) Write only correct answer in the Answer Book. Do not reproduce the questions.

(13) The organizing function of management includes:

(a) How tasks to be grouped.


(b) Conflict resolution among sub-ordinates.
(c) Comparison of actual results with a budget.
(d) Definition of organization’s goals.

(14) The key to motivating today’s diversified work force lies in:

(a) Creativity
(b) Goal setting
(c) Support
(d) Flexibility

(15) Control should be placed:

(a) Where they are cost-effective


(b) On all activities
(c) Where there are problem areas
(d) On the single most important

(16) The marketing logic by which the business unit hopes to achieve its marketing
objective is called:

(a) Business strategy


(b) Marketing strategy
(c) Production & distribution strategy
(d) All of these

(17) Strategic planning is the process of developing a formal strategy for:

(a) Identifying clear objectives


(b) Long run survival & growth
(c) Continuity & Consistency
(d) All of these

(18) Who are the true owners of Corporation?

(a) Debt holder


(b) Common stock holders
(c) Managers of the firm
(d) Board of directors

(19) What does an efficient port folio provide?

(a) Highest return for a given amount of risk


(b) Least rick for a given level of return
(c) Highest possible return and least amount of risk
(d) Both ‘a’ and ‘b’

(20) The economic order quaintly (ECQ) increases when which of the following increases?

(a) Sales
(b) Ordering costs
(c) Carrying costs
(d) Both ‘a’ and ‘b’

(11) For management, budgeting is perhaps the most powerful_____.

(a) Forecasting tool


(b) Control device
(c) Hiring tool
(d) Accounting measure

(12) The income statement is a summary of:

(a) Revenue and expenses


(b) Assets, liabilities and capital
(c) Increases and decreases in capital
(d) None of these

(5) One of the most successful Industrialists and the father of Modern Personnel
Management is:

(a) F.W. Taylor


(b) James Watt
(c) C. Babbage
(d) Robert Owen

(20) Robert Owen is known as the Father of Modern Personnel Management:


(a) Yes
(b) No
(c) May be Taylor

Business Administration Paper – 2004

Write only “True” or “False” in the Answer Book. Do not reproduce the questions.

(1) In a large corporation, the firm’s owners are usually its top
managers. False (stockholders)

(2) The basic information needed to construct a flow of funds statement is found on the
income statement. True (not confirmed)

(3) The operating break-even point is the point at which operating profits equal revenues
minus operating costs. False
(4) A sinking fund is a poorly performing mutual fund whose net asset value is
declining. True

(5) Penetration Pricing is used when a marketer introduces a new product at a relatively
high price. False

(6) The most common channel for consumer products is manufacturer-retailer-


consumer. True

(7) In the classification of consumer products, convenience products are usually more
expensive than shopping products. False

(8) During the maturity stage of the PLC, sales increase at faster rate than during any other
stage. False

(9) A wide span of management results in few organizational levels, and a narrow span
results in many levels. True

(10) The LINE relationship involves making decisions and acting on them. True

(11) Data is defined as “formal system of gathering, integrating, comparing, analyzing, and
dispersing information internal and external to the enterprise in a timely, effective and
efficient manner”. True

(12) A manager who believes that people inherently dislike work probably accepts
McGregor’s Theory X. True

(B) Write only the correct answer in the Answer Book. Do not reproduce the questions.

(13) If a manufacturer gives a 30 percent discount to retailers and a 10 percent discount to


wholesalers, which type of discount is being given?

(a) Quantity
(b) Cash
(c) Functional (also called trade discount)
(d) Seasonal

(14) Publicity differs from advertising in as much as:

(a) It is directed at large numbers of consumers.


(b) Its message is of a non personal nature.
(c) It is carried by the mass media.
(d) It is a non paid Form of reaching the public.

(15) In which stage of the PLC are promotion expenses per product item usually highest?

(a) Introduction
(b) Growth
(c) Maturity
(d) Decline

(16) Which of the following is not a disadvantage of using a Committee?


(a) High cost in time and money
(b) Splitting responsibility
(c) Group deliberation and judgment
(d) Compromise decisions

(17) Identify the Organization established by our Federal government to regulate security
markets:

(a) SBP
(b) SEC
(c) NAB
(d) NFC

(18) If the credit terms are 2/10, net 30 and the amount of invoice is Rs. 4000, how much
is the discount if the invoice is paid in 20 days?
(for example, the term 2/10, net 30 allows a customer to deduct 2% of the net amount
owed if the customer pays within 10 days of the invoice date. If a customer does not pay
within the discount period of 10 days, the net purchase amount (without the discount) is
due 30 days after the invoice date.)

(a) Zero
(b) Rs. 30
(c) Rs. 60
(d) Rs. 120

(19) Which of the following is not part of the promotion-mix?


(a) Public relations
(b) Product planning
(c) Personal selling
(d) Advertising

(20) Selling activities include:


(a) Sales presentations
(b) Demonstrations
(c) Handling objections
(d) Closing the sale
(e) None of these

Business Administration Paper – 2003

Write only “True” or “False” in the Answer Book. Do not reproduce the questions.

(1)Business risk is influenced by the firm’s decision to use debt in its financial
structure. False

(2) The most important function of management is controlling. False

(3) A short term creditor would consider liquidity ratios to be more important than efficiency
ratios. True

(4) According to Maslow, when a need is satisfied, it tends to lose its ability to
motivate. True

(5) The term marketing mix refers to the degree of advertising Vs personal selling used to
market product. False

(6) The difference between an agent and a merchant wholesaler is that an agent always
takes title but a merchant wholesaler does not. False

(7) The management of working capital is required because of a lack of short term
synchronization between demand and supply. True

(8) A manager who believes that people inherently dislike work probably accepts McGregor’s
Theory X. True

(9) Inventory carrying costs can be minimized by carrying fewer units in inventory. True

(10) A balance sheet is an accounting report used solely for the corporate form of
business. False

(B) Write only correct answer in the Answer Book. Do not reproduce the questions.

(11) For management, budgeting is perhaps the most powerful_____.

(a) Forecasting tool


(b) Control device
(c) Hiring tool
(d) Accounting measure

(12) The income statement is a summary of:

(a) Revenue and expenses


(b) Assets, liabilities and capital
(c) Increases and decreases in capital
(d) None of these

(13) One benefit of using ratio analysis when interpreting financial statements is that:

(a) Ratios facilitate comparisons between different companies.


(b) All ratios have exact standard values with which performance can be compared.
(c) Ratios take into account all the specific factors affecting particular companies and
industries.
(d) None of these

(14) Planting and policy making are primarily functions of:

(a) Top management


(b) Middle management
(c) Operating management
(d) None of these

(15) An informal organization often exists within a business because:


(a) Not all relationships can be specifically defined.
(b) Small organizations do not necessarily emphasize strict adherence to line authority.
(c) Human behavior naturally crosses established authority lines.
(d) All of these

(16) In marketing, selling and buying would be called the:

(a) Primary functions


(b) Exchange functions
(c) Profit functions
(d) Critical functions (not confirmed)

(17) Institutional advertising is:

(a) Aimed only at people in institutions


(b) Run only by institutions
(c) Designed to promote a type of product rather than a particular brand.
(d) Designed simply to show that the firm is a good place to do business.

(18) The current ratio of a firm having Rs. 25,000 of current assets, Rs. 30,000 of fixed
assets, Rs. 5000 of current liabilities and Rs. 10,000 of fixed liabilities would be:

(a) 5:1
(b) 7:1
(c) 10:1
(d) None of these

(19) The organizational form that replaces individual authority at all levels with group
representation is:

(a) Line
(b) Line and staff
(c) Functional
(d) Committee

(20) Working Capital may be expressed as:

(a) Current assets minus current liabilities


(b) Current and fixed assets minus current and fixed liabilities
(c) Current assets over current liabilities
(d) Current and fixed assets over current and fixed liabilities

Business Administration Paper – 2001

(1)Most preferred stock pays a fixed dividend at regular intervals.

(a) True
(b) False

(2) Any increase in an asset item is a source of funds.


(a) True
(b) False

(3) Depreciation is a book-keeping entry that allocates the cost of assets against income but
does not involve any movement of capital.

(a) True
(b) False

(4) The maturity of a security relates to the owner’s ability to convert it into cash on short
notice:

(a) True
(b) False

(5) The credit period represents the period of time during which a cash discount can be
taken on short notice.

(a) True
(b) False

(6) Which ratio is computed with the help of the following?


Cost of goods sold/Inventory

(a) Receivable turnover


(b) Times interest earned
(c) Inventory Turnover
(d) None of these

(7) ________ is the right that is delegated to an individual or a department to control


specific processes, practices, policies and other matters relating to activities undertaken by
person in other departments.

(a) Line authority


(b) Functional Authority
(c) Line and Staff Authority
(d) None of these (delegated authority)

(8) Decentralization is the tendency to disperse decision making in an organized structure:

(a) True
(b) False

(9) Programmes are plans which are general statements or understandings that guide or
channel thinking in decision making:

(a) True
(b) False

(10) _______ is that part of managing that involves establishing an international structure
of roles for people to fill in an organization:

(a) Leading
(b) Controlling
(c) Planning
(d) None of these (staffing)

(11) Henri Fayol applied the principle of ‘Division of Work’ to all kinds of work, managerial
as well as technical.

(a) True
(b) False

(12) ________ spell out specific required actions or non-actions, allowing no discretion:

(a) Procedures
(b) Budgets
(c) Rules
(d) None of these

(13) Business buyers are as geographically dispersed as final consumers.

(a) True
(b) False

(14) The distribution between a consumer good and an industrial good is based on the
purpose for which product is purchased:

(a) True
(b) False

(15) Intensive distribution occurs when the product is stocked in as many outlets as
possible.

(a) True
(b) False

(16) Merchant wholesalers are independently owned business that do not own (take title to)
the goods they sell:

(a) True
(b) False (merchant wholesalers take legal ownership of the goods they sell)

(17) Which of the following elements in a compensation package provides the greatest
amount of incentive for salespersons?

(a) Salary
(b) Fringe Benefits
(c) Commissions
(d) Use of Company Vehicle

(18) The process whereby the seller distinguishes between market segments, selects one or
more of these segments, and develops products and marketing-mixes tailored to each
segment is called _______ marketing.

(a) Mass
(b) Target
(c) Product Variety
(d) Service

(19) Goods that the consumer, in the process of selection and purchase, characteristically
compares on such bases as suitability, quality, price and style are called _______ goods.

(a) Shopping
(b) Specialty
(c) Unsought
(d) Convenience

(20) Product ______ is a period of rapid market acceptance and increasing profits.

(a) Development
(b) Introduction
(c) Growth
(d) Maturity

Business Administration Paper – 2000

(1) Public Accountants generally perform these services:

(a) Income tax services, Management Advisory services, and independent auditing
services
(b) Internal auditing, Income tax services and management controlling.
(c) Public accounting, private accounting and budgeting.
(d) None of the above is correct.

(2) Identify the organization created by Congress to regulate security markets including
flow of information from companies to public:

(a) TVM
(b) NPV
(c) IRR
(d) SEC

(3) Select the term that describes a cash distribution to a Corporation’s Stockholders:

(a) Paid out Capital (b) Cash Management


(c) A dividend
(d) None of these
(e) All of the above are correct

(4) Frederick Winslow Taylor work/book entitled the principles of Scientific Management is
published, in:
(a) 1875
(b) 1901
(c) 1911
(d) None of these

(5) One of the most successful Industrialists and the father of Modern Personnel
Management is:

(a) F.W. Taylor


(b) James Watt
(c) C. Babbage
(d) Robert Owen

(6) Who has the major Contributions in the Theory of Bureaucracy:


(a) Henry Gantt
(b) Hanri Fayal
(c) W.D. Scatt
(d) Max Weber
(e) None of these

(7) Which one, of the following MNCs (Multinational Co.) has the higher revenues during
mid. 1990s:

(a) General Motor


(b) IBM (c) AT &T
(d) General Electric
(e) None of the above

(8) Give the, name of the author who has the major contributions in the field of marketing:

(a) H. Koontz
(b) W.J. Stanton
(c) P.B. Miller
(d) Gitt Man
(e) All of these

(9) The profit margin is a ratio between the corporation’s net income and:
(a) Total expense (b) Total assets (c) Cost
(d) Total revenues (e) None of the above

(10) MNCs are responsible for the majority of Foreign Direct Investment (FDIs) and have a
higher revenues than the national income of some of the countries they serve:

(a) Fully agreed


(b) Not agreed
(c) It is not possible
(d) None of these

(11) Earned but uncollected revenues, that are recording the adjusted process, recorded
with a credit to the revenues and debit to the expense is called:

(a) Adjusted Trail balance


(b) Expenses
(c) Accrued revenues
(d) None of these

(12) Which one of the following is not a part/variable of the marketing Mix (4Ps):

(a) Product
(b) Price
(c) Place
(d) Person
(e) None of these

(13) The major steps in the accounting cycle are the following:

(a) The procedure used in worksheet


(b) Begin with Trail Balance
(c) Completed only once in business life
(d) None of the above
(e) All of these

(14) Which of the following items is not unique to the financial statements of merchandising
Companies?

(a) Cost of good sold


(b) Gross profit
(c) Account receivable
(d) Net sales
(e) All of the above
(f) None

(15) The repairs made to keep a plant/asset in normal and good operating condition are
called:

(a) Plant Management


(b) Operation Management
(c) Ordinary repairs

(16) A company that owns more than 50’s of another company and controls that
corporation is known as:

(a) Subsidizing
(b) Consolidated CO.
(c) None of these

(17) The process of individual growth in the full utilization of a person’s managerial
capabilities is called management development:

(a) True
(b) False

(18) Promotion is not a part of marketing:

(a) Agreed
(b) Not agreed
(c) None of these

(19) A way of analyzing leadership style where leaders are classified on a grid with TWO
dimensions is called:

(a) Managerial grid


(b) Two way theory
(c) None

(20) Robert Owen is known as the Father of Modern Personnel Management:


(a) Yes
(b) No
(c) May be Taylor

ECONOMICS

1. The fundamental economic problem faced by all societies is:


a. unemployment
b. inequality
c. poverty
d. scarcity

2. "Capitalism" refers to:


a. the use of markets
b. government ownership of capital goods
c. private ownership of capital goods
d. private ownership of homes & cars

3. There are three fundamental questions every society must answer. Which of the
following is/are one of these questions?
a. What goods and services are to be produced?
b. How are the goods and services to be produced?
c. Who will get the goods and services that are produced?
d. All of the above

4. If you were working full-time now, you could earn $20,000 per year. Instead,
you are working part-time while going to school. In your current part-time job,
you earn $5,000 per year. At your school, the annual cost of tuition, books, and
other fees is $2,000. The opportunity cost of completing your education is:
a. $2,000
b. $5,000
c. $17,000
d. $20,000
e. $22,000

5. The bowed shape of the production possibilities curve illustrates:


a. the law of increasing marginal cost
b. that production is inefficient
c. that production is unattainable
d. the demand is relatively inelastic

6. You have taken this quiz and received a grade of 3 out of a possible 10 points
(F). You are allowed to take a second version of this quiz. If you score 7 or more,
you can raise your score to a 7 (C). You will need to study for the second version.
In making a rational decision as to whether or not to retake the test, you should
a. always retake the quiz
b. consider only the marginal benefits from of retaking the quiz (four extra points)
c. consider only the marginal opportunity costs from taking the quiz (the time spent
studying and taking the quiz)
d. consider both the marginal benefits and the marginal opportunity costs of retaking the
quiz

7. The law of demand states that:


a. as the quantity demanded rises, the price rises
b. as the price rises, the quantity demanded rises
c. as the price rises, the quantity demanded falls
d. as supply rises, the demand rises

Economics 100 Quiz #1, Page 2

8. The price elasticity of demand is the:


a. percentage change in quantity demanded divided by the percentage change in price
b. percentage change in price divided by the percentage change in quantity demanded
c. dollar change in quantity demanded divided by the dollar change in price
d. percentage change in quantity demanded divided by the percentage change in quantity
supplied

9. Community Colleges desired to increase revenues. They decided to raise fees


paid by students with Bachelors degrees to $50 per unit because they believed
this would result in greater revenues. But in reality, total revenues fell. Therefore,
the demand for Community College courses by people with Bachelors degrees
must have actually been:
a. relatively inelastic
b. unit elastic
c. relatively elastic
d. perfectly elastic

10. The demand for a product would be more inelastic:


a. the greater is the time under consideration
b. the greater is the number of substitutes available to buyers
c. the less expensive is the product in relation to incomes
d. all of the above

Answers: D C D C A D C A C C

Economics 100 Quiz #3 Friday, September 22, 2000

1. In the case of agriculture,


a. the demand has shifted to the right more than the supply has shifted to the right
b. the demand has shifted to the right less than the supply has shifted to the right
c. the demand has shifted to the left more than the supply has shifted to the left
d. the demand has shifted to the left less than the supply has shifted to the left

2. The agricultural price support program is an example of


a. a price ceiling
b. a price floor
c. equilibrium pricing

3. If there is a price floor, there will be


a. shortages
b. surpluses
c. equilibrium

4. If there is a price ceiling, there will be


a. shortages
b. surpluses
c. equilibrium

5. If there is a price ceiling, which of the following is NOT likely to occur?


a. rationing by first-come, first-served
b. black markets
c. gray markets
d. sellers providing goods for free that were formerly not free

6. The goal of a pure market economy is to best meet the desires of


a. consumers
b. companies
c. workers
d. the government

7. In a pure market economy, which of the following is a function of the price?

I. provide information to sellers and buyers , II. provide incentives to sellers and
buyers
a. I only
b. II only
c. both I and II
d. neither I nor II

8. In a market system, sellers act in ____________ interest , but this leads to


behaviors in ____________ interest.
a. self; self
b. self; society’s
c. society’s; society’s
d. society’s; self

9. The law of diminishing (marginal) returns states that as more of a variable


factor is added to a certain amount of a fixed factor, beyond some point:
a. Total physical product begins to fall
b. The marginal physical product rises
c. The marginal physical product falls
d. The average physical product falls

10. Why is the law of diminishing marginal returns true?


a. specialization and division of labor
b. spreading the average fixed cost
c. limited capital
d. all factors being variable in the long-run
Answers: B B B A D A C B C C

Economics 100 MW Quiz #3

1. Which of the following is a characteristic of pure monopoly?


a. one seller of the product
b. low barriers to entry
c. close substitute products
d. perfect information

2. In pure monopoly, what is the relation between the price and the marginal
revenue?
a. the price is greater than the marginal revenue
b. the price is less than the marginal revenue
c. there is no relation
d. they are equal

3. In order to maximize profits, a monopoly company will produce that quantity at


which the:
a. marginal revenue equals average total cost
b. price equals marginal revenue
c. marginal revenue equals marginal cost
d. total revenue equals total cost

4. Quantity Price Total Cost


1 $100 $ 60
2 95 130
3 90 210
4 85 300
5 80 400

This monopolist should produce:


a. 1
b. 2
c. 3
d. 4
e. 5

5. Compared to the case of perfect competition, a monopolist is more likely to:


a. charge a higher price
b. produce a lower quantity of the product
c. make a greater amount of economic profit
d. all of the above

6. Which of the following is necessary for a natural monopoly?


a. economies of scale
b. a high proportion of the total cost is the cost of capital goods
c. the market is very small
d. all of the above
7. Which of the following is true about the way by which SDG&E has been
regulated by the PUC?
a. SDG&E has been allowed to earn very high economic profits
b. The profits of SDG&E are calculated as a percent of the value of the capital goods
c. When the demand for electricity would fall, the price of electricity would also fall
d. All of the above

8. Which of the following best defines price discrimination?


a. charging different prices on the basis of race
b. charging different prices for goods with different costs of production
c. charging different prices based on cost-of-service differences
d. selling a certain product of given quality and cost per unit at different prices to different
buyers

9. In order to practice price discrimination, which of the following is needed?


a. some degree of monopoly power
b. an ability to separate the market
c. an ability to prevent reselling
d. all of the above

10. In price discrimination, which section of the market is charged the higher
price?
a. the section with the richest people
b. the section with the oldest people
c. the section with the most inelastic demand
d. the section with the most elastic demand

Answers: A A C C D D B D D C

Economics 100 Quiz #4, Fall 2002

1. Which of the following concepts represents the extra revenue a firm receives
from the services of an additional unit of a factor of production?
a. total revenue
b. marginal physical product
c. marginal revenus product
d. marginal revenue

2. Workers Quantity Produced


1 15
2 28
3 39
4 48
5 55
6 60

This company is a profit-maximizing firm selling in a competitive product market


and hiring in a competitive labor market. It uses semi-skilled labor to produce
dampers used in office building ventilation systems. Assume that the current
market price per damper is $50 and that the prevailing weekly salary per semi-
skilled worker is $550. This company should employ ______ workers.
a. 2
b. 3
c. 4
d. 5
e. 6

3. The demand for labor is the same as the


a. marginal revenue product
b. marginal physical product
c. marginal cost
d. wage

4. The demand for labor slopes down and to the right because of
a. the law of demand
b. the iron law of wages
c. the law of diminishing marginal returns
d. economies of scale

5. The demand for labor will be more elastic if:


a. there are few substitutes for labor
b. there is a short time under consideration
c. labor is a large percent of the total cost of production
d. the demand for the product is relatively inelastic
e. all of the above

6. Skills that can be transferred to other employers are called:


a. general skills
b. specific skills
c. non-pecuniary skills
d. all of the above

7. Which skills are most likely to be paid for by the employer?


a. General skills
b. Specific skills
c. Educational skills

8. If worker A earns more in wages than worker B, it could be because:


a. The product made by worker A sells for a higher price than that made by worker B
b. Worker A uses more capital per worker than worker B
c. Worker A has more natural ability than worker B
d. All of the above

9. Skills that embodied in a person are called


a. Human capital
b. Embodied skills
c. Physical capital
d. Experience skills

10. “Treating an individual as typical of a group” is the definition of


a. pure discrimination
b. statistical discrimination
c. human capital
d. specific skills

Answers: C B A C C A B D A B

Economics 100 Quiz #5, Fall 2001

1. If there are 50 firms in a industry, each selling 2% of the total sales, the
concentration ratio is:
a. 50%
b. 2% €
c. 100%
d. 8%

2. When Daimler Benz, maker of the Mercedes, bought Chrysler, the merger was
a. horizontal
b. vertical
c. conglomerate

Questions 3 through 10 involve the functions of the government in a world of


laissez faire. The functions are the following:
A. Create and Enforce the "Rules"
B. Promote or Maintain Competition
C. Provide Information
D. Provide Public Goods
E. Reduce Negative Externalities (External Costs) through regulations or through
taxes
F. Subsidize Positive Externalities (External Benefits)
G. Provide Merit Goods
H. Redistribute Income on the Basis of Need

For each of the following, choose the letter that best describes the function of
government.

3. The government provides anti-trust laws.

4. The government subsidizes the building of new stadiums and arenas.

5. The government provides for military defense.

6. The government has a program of social security to provide a pension for the
elderly.

7. The government requires that all gasoline stations post their prices in signs
large enough
to be seen by a reasonable person from the street.

8. The government requires people to have a smog control device in their cars.

9. The government makes the beach free for everyone


10. The government makes laws that determine certain behaviors that a
corporation must engage in and other behaviors that a corporation cannot engage
in.

Answers: D A B F D H C E G A

Economics 100 Quiz 6, Fall 2002

1. The largest source of tax revenue for the federal government is:
a. the personal income tax
b. the social security tax
c. the property tax
d. the sales tax

2. When my income was $100,000, I paid $10,000 in taxes. When my income


became $200,000, I paid $40,000 in taxes. My marginal tax rate is:
a. 10%
b. 20%
c. 30%
d. 40%

3. The tax is question #2 is:


a. progressive
b. regressive
c. proportional

4. Which of the following taxes is regressive?


a. the federal income tax
b. the state income tax
c. the sales tax
d. the Medicare tax

5. Assume that there are two goods, A and B. In 1996, Americans produced 10
units of A at a price of $10 and 20 units of B at a price of $20. In 2002, Americans
produced 20 units of A at a price of $20 and 30 units of B at a price of $30. The
Nominal GDP for 2002 is:
a. $100
b. $400
c. $500
d. $900
e. $1300

6. Using the numbers in question 5, the Real GDP for 2002 is:
a. $400 b. $500 c. $800 d. $900 e. $1,300

7. Which of the following statements is/are true?


a. Business Investment Spending occurs when individuals buy stock in the stock market
b. Productivity is the United States grew very slowly between 1973 and 1996
c. Because of discouraged workers, the official unemployment rate is too high
d. “Full employment” occurs when there is no frictional unemployment

8. Immediately after a trough, we would expect to have a/an


a. peak
b. recession
c. recovery
d. another trough

9. Last week, Martha spent one day cleaning a house. For this, she was paid $50.
The rest of the week, she spent looking for a job. Martha would be classified as
a. employed
b. unemployed
c. not in the labor force

10. John lost his accounting job when Montgomery Wards closed its stores in San
Diego. He looked for a similar job for ten months before finding an accounting job
at Sears. During the month John was unemployed, he was
a. frictionally unemployed
b. seasonally unemployed
c. cyclically unemployed
d. structurally unemployed

Answers: A C A C E C B C A D

Economics 100 Makeup for Quiz 6

1. Define average tax rate


Define marginal tax rate

2. Define progressive tax


Define regressive tax
Define proportional tax

3. Define indexation

4. Define Nominal Gross Domestic Product (GDP)


Define Real Gross Domestic Product (GDP)

5. Define business investment spending

6. Briefly explain how the official unemployment rate is calculated.

7. Define frictional unemployment


Define cyclical unemployment
Define structural unemployment
Define “full employment”

Economics 100 Quiz #7, Fall 2002


1. Assume that there are only two goods: A and B
In the base year, Quantity Price
A 10 $1
B 10 $4
In the current year, Quantity Price
A 20 $ 5
B 25 $20
The Consumer Price Index (CPI) for the current year is:
a. 50
b. 100
c. 200
d. 500
e. 600

2. Which of the following groups is most hurt by unexpected inflation?


a. workers with cost of living adjustments in their labor contracts
b. homeowners
c. people with large debts to pay for their homes and cars
d. people with large retirement savings held in savings accounts

3. If the nominal interest rate is 5% and the inflation rate is 2%, the real interest
rate is:
a. 2%
b. 3%
c. 5%
d. 7%
e. 2 ½%

4. For which of the following reasons might inflation cause Real GDP to grow
slower than it otherwise would?
a. Inflation makes everyone poorer
b. Inflation reduces the value of consumer debt
c. Inflation increases business investment spending
d. Inflation decreases savings in financial form

5. Disposable Income is equal to:


a. National Income c. National Income Minus Taxes
b. Real GDP
c. National Income Minus Taxes
d. National Income Minus Taxes Plus Transfers

6. Assume that Potential Real GDP equals $10,000. National Income is therefore
$10,000. Of this, consumers will pay $2,000 in taxes, save $1,000, and spend
$7,000 on consumer goods. Business Investment spending is $2000. In order to
avoid recessions and inflation (to have equilibrium), the government should have
a:
a. balanced budget
b. budget deficit of $1000
c. budget surplus of $1000
d. budget deficit of $2000

7. According to Keynes, when the Great Depression started, the government


should have:
a. done nothing
b. decreased the money supply
c. had a large increase in government spending
d. enacted high tariffs, such as the Smoot-Hawley Tariff

8. If the government lowers taxes by $10 billion, the Real GDP will rise by
a. more than $10 billion
b. less than $10 billion
c. exactly $10 billion

9. Which of the following is an automatic stabilizer?


a. unemployment benefits
b. spending on education
c. defense spending
d. net interest

10. “Crowding out” means that


a. a government budget deficit lowers interest rates and causes investment spending to rise
b. an increase in marginal tax rates lowers production
c. a government budget deficit raises interest rates and causes investment spending to fall
d. a government budget deficit raises American exports and lowers American imports

Answers: D D B D D C C A A C

Economics 100 Quiz 8

1. Which of the following IS a function of money?


a. medium of exchange
b. store of value
c. unit of accounting
d. all of the above

2. Which of the following is a component of M-1?


a. savings deposits
b. credit card
c. checkable deposits
d. gold

3. Which of the following is a NOT component of M-2?


a. small time deposits
b. money market mutual funds
c. stocks
d. checkable deposits

4. Which of the following is true about the Federal Reserve System (Fed)?
a. it is a system of 12 central banks
b. its Board of Governors is elected by a vote of the people
c. its main policy-making body is the FDIC
d. it accepts deposits from the public and makes loans to businesses
e. all of the above

5. An IOU of the Federal Reserve Bank of San Francisco to Bank of America is


called:
a. discounts
b. federal funds
c. reserves
d. collateral

6. Which of the following is the most liquid?


a. a savings account
b. a 6 month CD
c. a home
d. water

7. The monetary base is composed of:


a. gold and silver
b. currency only
c. currency and reserves
d. currency and checkable deposits

8. If the monetary base is increased by $1,000 and the reserve requirement is


10% (1/10), by how much will the money supply be increased?
a. $100
b. $1,000
c. $5,000
d. $10,000

9. If the Federal Reserve wishes to increase the money supply, it should:


a. raise the reserve requirement
b. raise the discount rate
c. buy Treasury securities in the open market
d. all of the above

10. An increase in the money supply will cause interest rates to


a. rise
b. fall
c. remain unchanged

Answers: D C C A C A C D C B

Statistical officer
1) When the researcher asks the respondent face to face question, this method is
called:
(a) Interview Schedule
(b) Questionnaire
(c) Observation
(d) Interview guide
(e) None of these

2) Power that people consider legitimate is known as:


(a) Force
(b) Right
(c) Authority
(d) Previlege
(e) None of these

3) Social Structure of a society is the network of:


(a) Institutional relations
(b) Value System
(c) Traditions
(d) Compliance to Norms
(e) None of these

4) WID approach believes in:


(a) Gender mainstreaming
(b) Gender Segregation
(c) Incorporating women in development activities
(d) None of these

5) Geronotology is the study of:


(a) Human Beings
(b) Special Groups
(c) Aged and Aging
(d) All of these

6) The most pervasive of the social processes are:


(a) Cooperation
(b) Over Conflict
(c) Competition
(d) None of these

7) Abstract Sentiments are:


(a) Closer to the center of the self than moral rules
(b) Provide a focus for allegiance
(c) Are compellers of action
(d) None of these

8) The creative potential of personality is accounted for by:


(a) Stimulus-response psychology
(b) Drive psychology
(c) Trait psychology
(d) None of these

9) The country with better record for gathering population statistics then any other
is:
(a) Japan
(b) Sweden
(c) USA
(d) None of these

10) The exception to the typical application of endogamy is:


(a) Tribe
(b) Kinship
(c) Race
(d) None of these

11) Stratified samples fall under:


(a) Probability sampling design
(b) Non-Probability sampling design
(c) Multi-stage sampling design
(d) None of these

12) Egoistic, the special type of suicide presented by Emile Durkheim spring from:
(a) Excessive regulation
(b) Excessive individualism
(c) Over migration with group
(d) None of these

13) A close connection between religion and economic forces was presented by:
(a) Max Weber
(b) Karl Max
(c) Emile Durkheim
(d) C. Wright Mill
(e) None of these

14) A large kinship group whose members inhabit one geographic area and believe
they are descendent from a common area is known as:
(a) Clan
(b) Tribe
(c) Kin group
(d) Class
(e) None of these

15) A social condition in which values are conflicting, weak or absent is:
(a) Assimilation
(b) Hawthrone effect
(c) Invasion
(d) Anomie

16) In theoretical field social research aims at:


(a) finding problems of human being
(b) identifying delinquent behaviour
(c) reducing social conflict
(d) None of these

17) Survey Means:


(a) Overlooking
(b) Organizing social data
(c) Observation
(d) None of these

18) Independent variables are:


(a) Experimental Groups
(b) Study of social investigation
(c) Study of social life
(d) None of these

19) Qualitative Data Means:


(a) Expressed in number
(b) Expressed in words
(c) Both of these
(d) None of these

20) A Likert scale emphasizes:


(a) Reproducibility
(b) Uni-dimensinality
(c) None of these

Sociology

1) Ferdinand Tonnies used the term --------------. To refer to societies dominated by


impersonal relationships, individual accomplishment and self-interests.
(a) Society (b) Gesellschaft
(c) Community (d) Gemeinschaft

2) When the researcher asks the respondent face to face questions, this method is
called
(a) Interview Schedule (b) Questionnaire
(C) Observation (d) interview guide

3) ----------- Is the process by which people learn all patterns of social life.
(a) Interaction (b) Communication
(c) Socialization (d) Dissemination

4) According to ------- all societies across the world are stratified.


(a) Anthropologists (b) Sociologists
(C) Economists (d) Political Scientists

5) Biological characteristics distinguishing male from female is called ------


(a) Heterosexuality (b) Gender
(c) Sex (d) Homosexuality

6) A family consisting of step relations is called :


(a) Plural family (b) Joint family
(C) Extended family (d) Compound family

7) Power that people consider legitimate is known as


(a) Force (b) Right
(C) Authority (d) Privilege

8) Mugging, rape and burglary are examples of ------- crimes.


(a) Organized crimes (b) general crimes
(c) Street crimes d) Modern crimes

9) A norm is always enforced by sanctions.


(a) True (b) False

10) Society is the largest and most complex group that sociologists study.
(a) True (b) False

11) Endogamy is the marriage among certain relatives.


(a) True (b) False

12) Social structure of a society is the network of -------------


(a) Institutional Relations (b) Value system
(c) Traditions (d) Compliance to norms

13) Polygamy means ------------------


(a) Several Husbands (b) Several Wives
(C) Several Marriages (d) Single Marriage

14) Demography means -------------:


(a) Male Population (b) Human Population
(c) Women population (d) Adult Population

15) ------------ is striving for equal treatment of women and men and for abolishing
inequality.:
(a) Feminism (b) Gender Studies
(C) Political Science (d) Law

16) WID approach believes in:


a) Gender mainstreaming b) Gender Segregation
c) Incorporating women in development activities d) None of these
17) Is Pakistan a signatory of CEDAW?
(a) Yes (b) No

18) Human Rights pertain to caring for the rights of;


a) Women b) Men
c) Minorities d) All of these.

19) Symbolic behavior of a person means ------------


a) Meaningful behavior b) Covert behavior
c) Overt behavior d) Significant behavior

20) Gerontology is the study of ---------------


a) Human beings b) Special groups
c) Aged and aging d) all of these
2) Write only the correct answer in the Answer Book. Do not reproduce the question.
(1) Any method of data collection that directly removes the researcher from research
site
~: .
(a) Erosion measure (b) Accretion measure
(c) Unobtrusive measure (d) None ofthese

2. Commonly used measure of variability whose size indicates the dispersion of a


distribution is: .
(a) Standard deviation
(c) Standard score
(b) Co-efficient of variation
(d) Variance

3. In sample selection a threat that occurs when individuals have been assigned to
the experimental group on the basis of their extreme score on dependent variable is
referred.as:
(a) Experimental mortality (b) Regression artifact (c) Maturation (d) None of
these

4. An overall scheme of scientific activities in which scientists engage in order to


produce knowledge is a:
(a) Research process (b) Research model
(c) Research methodology (d) Research design

5. When there is an inherent causal link between dependent and independent


variables, the relationship is:
(a) Non-spurious
( b) significant relationship
(c) Spurious (d) None of these

6. Questions that are relevant to some respondents, may be irrelevant to others are
known as:
(a) Double barreled questions (b) Leading questions
(c) Contingency questions (d) Matrix questions
7. Stratified sample falls under:
(a) Probability sampling design (b)Non probability sampling
(c) Multi-stage sample design (d) None of these

8)Egoistic, the special type of stucide presented by Emile Durkheim, springing from:
(a) Excessive irregulation (b) Excessive individualism
(c) over integration with group (d) None of these

9)To Simmel, a mean of maintaining or increasing integration within groups is:


(a) Co-operation (b) Competition
(c) Coercion (d) Conflict

10)Sociology is introduced as an academic discipline by:


(a) Ibn-e-Khaldun (b) Auguste Conte (c) George Simmel (d) Herbert Spencer

11)Society as a complex organization of parts that functions to fulfill the requirement


a..'1d promote the needs of the whole, is a concept of:
(a) Structural Functionalism (b) Interaction School of thought
(c) Phenomology (d) None of these

12)The concepts of "Protestant" and "Bourgeoise" were presented by:


(a) Talcat parson (b) Karl Marx
(c) Max Weber (d) Emile Durkheim

13)In "The Division of Labor in Society", Emile Durkheim presented the idea of:
(a) Mechanical & organic solidarity (b) Social & psychologica! solidarity
(c) Physical & social solidarity (dJ Psychological & mechanica.: solidarIty
(e) None of these

14)A large kinship group whose members inhibit one geographical area and believe
the: are descendent from a common anceStor is knOwn as:
(a) clan (b) Tribe
(d) class (e) None of these
(c) Kin group

15)The process by which cultural traits spread from one group or society to another
is called:
(a) Folkways
(b) cultural diffusion
(c) counter culture
( d) cultural complexes
(e) None of these
16)The phenomena when educated and highly skilled people emigrate to a new
country, their home country loses, is referred as:
(a) Chain migration (b) Life-time migration (c) Brain Drain
(d) Mover (e) None of these

17)A social condition in which values are conflicting, weak or absent is called:
(a) Assimilation (b) Hawthrne effect (c) invasion
(d) Anomie (e.) None of these

18)The psychological stress caused when a person faces rapid cultura: change is
called~
(a) Cultural shock (h) R~ ~ -c- n_"- ~.
3) __________________

These answers are my personal attempt and corrections are welcome.

2011
(PART-I MCQs) (COMPULSORY)
(i) Fredrick Winslow Taylor’s Principles of Scientific Management suggested the use of
scientific methods
to define:
a) The easiest way of doing a job
b) The most complex way of doing a job
c) The best way of doing a job
d) None of these

(ii) The quantitative approach using quantitative techniques in Management is called:


a) Scientific Method
b) Operations Research
c) Quantitative Approach
d) None of these

(iii) The perspective that Managers are directly responsible for an organization’s success is
known as:
a) Omnipotent view of management
b) Management orientation
c) Autocratic management
d) None of these

(iv) Effective Management decisions are:


a) Emotional
b) Based on lots of data
c) Rational (doubt)
d) None of these

(v) Breakeven Analysis is a useful technique for:


a) Reducing operating costs
b) Maximizing sales
c) Resource allocation
d) None of these

(vi) Recruitment helps:


a) Improve productivity of HR
b) Reduce number of employees
c) Improve labour relations
d) None of these

(vii) Grapevine is:


a. An office decoration plant
b. An information network
c. An official drink
d. None of these

(viii) Most important asset in an organization is:


a. Money
b. Plant and Machinery
c. Employees
d. None of these

(ix) Employees resist organizational change because it:


a. Reduces their compensation
b. Creates uncertainty
c. Puts more work on them
d. None of these

(x) Strictly observing Corporate Ethics is:


a. Not important in commercial organizations
b. Against the concept of profit maximization
c. An essential requirement of professional business management
d. None of these

(xi) According to Herzberg’s Motivation – Hygiene Theory, employee’s salary is:


a. Hygiene Factor
b. Motivating Factor
c. Employee’s Retention Factor
d. None of these

(xii) Who has the most power in Value Chain?


a. Suppliers
b. Distributors
c. Customers
d. None of these

(xiii) Marketing is:


a. Sales of goods and services
b. The range of services starting and ending with the customer
c. Sales planning and promotion
d. None of these

(xiv) Marketing Strategy is:


a. Activities focused to defeat competitors
b. Activities aimed at creating value and profitable relationship with customers
c. Activities for maximizing sales
d. None of these

(xv) Cost strategy means charging:


a. Highest price for products
b. Lowest price for products
c. Varying prices for products
d. None of these

(xvi) Branding is:


a. Not possible for services
b. Not very useful commercially
c. Useful for building product loyalty
d. None of these

(xvii) Creation of value in a business means:


a. Earning maximum profits
b. Promoting rapid growth in sales
c. Optimizing shareholder’s return in a company
d. None of these

(xviii) Price/Earnings Ratio of a company shows relationship between its:


a. Net profit and Sales
b. Gross profit and Net earnings
c. Market price of its share and Earnings per share
d. None of these

(xix) Free Cash Flows are:


a. Net after tax profit
b. Expected Revenues minus expected costs and capital expenditures
c. Cash in hand and in bank
d. None of these

(xx) Term interest earned is:


a. EBIT ÷ Interest on debt
b. Net profit ÷ Debt
c. Sales ÷ Interest Payable
d. None of these

4. Which of the following would NOT improve the current ratio ?


(a) Borrow short term to finance additional fixed assets
(b) Issue long term debt to buy inventory
(c) sell common stock to reduce current liabilities
(d) sell fixed assets to reduce accounts payable

5. Alto industry has a debt to equity ratio of 1.6 compared with the industry average if 1.4.
this means that the company :
(a) will not experience any difficulty with its creditors
(b) has less liquidity than other firms in industry'
(c) will be viewed as having high credit worthiness
(d) has greater than average financial risk when compared to other firms in
industry.

6. According to the capital-asset pricing model (CAPM), a security's expected (required)


return is equal to the risk free rate plus a premium :
(a) Equal to the security's beta
(b) based on the unsystematic risk of the security
(c) Based on the total risk of the security
(d) Based on the systematic risk of the security

7. " How people feel about corporations, government agencies, trade unions and universities
" refers to which of the following views ?
(a) People's view of others
(b) People's view of societies
(c) People's view of themselves
(d) People's view of organizations

8. Gathering secondary information is one of the steps of developing the research plan.
What does the meaning of secondary information in marketing research?
(a) That does not currently exist in an organized form.
(b) that already exist somewhere, having been collected for another purpose.
(c) that the researcher can obtain through surveys and observation.
(d) that already exist somewhere in an organized form.

9. which one of the following factor is NOT used for measuring the social class ?
(a) Income
(b) Number of children in family
(c) Occupation
(d) Education

10. which one of the following three-steps process represents "perception" ?


(a) Motivation, personality and attitudes
(b) Collecting, eliminating, and organizing information inputs.
(c) Receiving, organizing and interpreting information inputs.
(d) anticipating, classifying and discarding information inputs.

11. Demographic segmentation divides the market into groups based on which of the
following variables?
a. size, location, industry, customer
b. size, company, industry, technology
c. location, size, occupation, race
d. customer, technology, industry, company

12. Which of the following are those products purchased for further processing or for use in
conducting a business ?
a. Unsought products
b. specialty products
c. shopping products
d. industrial products

13. After concept testing, a firm would engage in which stage for developing and marketing
a new product ?

a. Marketing strategy development


b. Business analysis
c. Product development
d. Test marketing

14. Fredrik Taylor advocated which of the following management principles?

a. Work and responsibility should be divided almost equally between management and
workers.
b. workers should perform all work , while management should maintain
responsibility for the work performed.
c. Managers should perform more work than workers, because managers are generally
more skilled.
d. Workers can be highly productive even if they are randomly selected for a job.

15. General administrative theory focuses on ?

a. The entire organization.


b. Managers and administrators
c. The measurement of organizational design relationship.
d. Primarily the accounting function.

16. Bureaucracy is defined as a form of organization characterized by:


(a) Division of labor
(b) Clearly defined hierarchy
(c) Detailed rules and regulations
(d) All of these

17. The quantitative approach involves applications of:


(a) Statistics, information models, and computer simulations
(b) Psychology testing, focus groups, and mathematics
(c) Optimization models, interviews, and questionnaries
(d) Survey, strategic planning, and group problem solving

18. The Hawthorne Studies were initially devised to study:


(a) Productivity levels of groups versus individuals
(b) The effect of noise on employee productivity
(c) The effect of illumination levels on employee productivity
(d) The effect of cooperative versus competitive organizational environments on
productivity

19. Which of the following is considered a systems input?


(a) Management activities
(b) Financial results
(c) Operations methods
(d) Raw materials

20. A manager who believes that no one set of principles applies equally to all work
environments is most likely advocating which management approach?
(a) Contingency
(b) Workplace diversity
(c) Organizational behaviour
(d) Knowledge management