MOB Mock Exam Paper 1

Which of the following is a benefit of a multinational corporation to the host country?

• Increase in foreign exchange earnings

• Better knowledge of consumers' taste

• Better access to local natural resources

• Lower transportation costs for the finished product

The 'system approach' applies BEST to management because it

• emphasizes the humanistic approach

• places emphasis on the classical approach

• encourages and inspires all the other theories of management

• sees management as a continuous flow between functions or departments

A public limited company may decide to 'go private' in order to

l. regain control of the business

ll. eliminate the threat of takeover

lll. raise additional finance to purchase now equipment

• I and II only

• I and lll only

• ll and lll only

• l, ll and lll

'Trade liberalization can be BEST described as the

• removal of trade barriers

• free movement of capital

• unrestricted movement of goods

• independence of trading partners

ln which of the following activities is the tertiary sector of the economy engaged?

• Harvesting crops

• Providing services

• Manufacturing goods

• Extracting raw materials

Nationalization is BEST defined as a situation where

• a private company takes ownership of a government-owned business

• a national corporation merges with a private business

• government takes ownership of a private business

• ownership of a business is transferred from a sole trader to a limited liability company

The term 'technological obsolescence' refers to technology being

• outdated

• inefficient

• expensive

• inappropriate

Growing interdependency and free movement of capital among countries are features of

• free trade

• integration

• liberalization

• globalization

Which of the following is LOWEST in the hierarchy of objectives?

• Tactical

• Strategic

• Corporate

• Decisional

Which of the following is NOT Iikely to be considered a corporate objective?

• Labour relations

• Profit maximization

• Growth and survival

• Corporate responsibility