Formative assessment day 1 b.com hons semester 1

What are three factors which typically constitute the external environment of a business?

• Social

• Economic

• Internal

• Political

What is the fundamental accounting equation?

• a) Assets = Liabilities + Equity

• b) Revenue = Expenses

• c) Profit = Revenue - Expenses

• d) Assets + Liabilities = Equity

Which of the following is not one of the functions of management?

• Planning

• Controlling

• Co-ordinating

• Organising

What is the primary goal of market segmentation?

• To identify potential customers

• To divide the market into smaller groups

• To maximize profits

• To reduce competition

• What does GDP stand for?

• Gross domestic profit

• General domestic product

• Gross domestic product

• Global domestic product

Who gave 14 principles of management? Write 14 principles of management.

• What is the primary objective of financial management in a business?

• • a) Maximizing shareholder wealth

• • B) Minimizing expenses

• c) Maximizing revenue

• d) Minimizing taxes

Which of the following is a formal communication channel in a business organization?

• Grapevine

• Informal meetings

• Memo

• Lunch discussion

What is a key characteristic of an entrepreneurial mindset?

• Risk aversion

• Preference for stability

• Innovation and creativity

• d) Reliance on established norms

Which principle refers to acting with fairness and impartiality in business dealings?

• Transperancy

• Integrity

• Justice

• Honesty