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Start Businesses

Total questions: 31

Worksheet time: 1hrs 2mins

Name
Class
Date
1.

The primary purpose of developing organizational goals is to:

a)

Establish loyalty

b)

Ensure profitability

c)

Assign authority

d)

Provide direction

2.

Within the next 3 years, the PRM company wants to set up an electronic data interchange with all of its suppliers. What type of organizational goal is PRM establishing?

a)

Short term

b)

Technology

c)

Contingency

d)

Financial

3.

One way for businesses to help employees prioritize their work responsibilities is by conducting a/an:

a)

Job analysis

b)

Personnel audit

c)

Internal review

d)

Company study

4.

Amy and Tom work in a busy purchasing department. Amy relies on Tom to provide her with important information every day to do her job. Because the businesses's ability to achieve its goals relies on Amy and Tom's collaborative efforts, these 2 employees' jobs are:

a)

Interdependent

b)

Incongruent

c)

Symmetrical

d)

Flexible

5.

What is an appropriate guideline for writing a sales-oriented business letter?

a)

It should encourage the reader to take action

b)

It should criticize the competition

c)

The closing should emphasize price

d)

The opening should avoid mentioning problems

6.

MOST businesses provide employee orientation as soon as new employees report for work because:

a)

Employees can learn everything in the beginning

b)

Orientation focuses on specific job tasks

c)

That is when employees are anxious to learn

d)

Employees cannot work until they have been oriented

7.

When assisting employees with prioritizing work responsibilities, it is often helpful to:

a)

Question the applicants

b)

Interview the executives

c)

Meet with industry experts

d)

Talk with the employees

8.

Which phrase summarizes the overall purpose of employee orientation?

a)

What you don't know won't hurt you

b)

Starting off on the right foot

c)

Walking down the wrong path

d)

Been there, done that

9.

An important aspect of the organizing function of management involves:

a)

Conductin performance reviews

b)

Establishing levels of authority

c)

Promoting employees

d)

Motivating team members

10.

Which is a benefit to businesses of orienting new employees?

a)

Provides information

b)

Increases profit

c)

Reduces turnover

d)

Eliminates training

11.

Which is an activity associated with the organizing function of management?

a)

Inspecting the quality of outputs

b)

Developing a mission statement

c)

Determining the division of labor

d)

Providing employees with feedback

12.

One way to determine if an employee is helping a business achieve its organizational goals is by:

a)

Developing an incentive program

b)

Providing the employee with extensive training

c)

Analyzing external economic factors

d)

Evaluating the employee's performance

13.

The opening sentences of an effective business letter should:

a)

Be completely impersonal

b)

Come right to the point

c)

Always be formal

d)

Avoid specific details

14.

What often appears at the bottom of a business letter if a sales brochure is attached?

a)

Reference initials

b)

Enclosure notation

c)

Company signature

d)

Writer's identification

15.

Which factor could legitimately be used as the basis for prioritizing work responsibilities?

a)

Importance of the work

b)

Number of people required to get the work done

c)

Preference for one job over another

d)

Skills needed to do the work

16.

What often happens to businesses when interest rates rise?

a)

Consumer demand increases

b)

Output decreases

c)

Profits increase

d)

Cost of goods decreases

17.

How long do MOST business cycles last?

a)

At least 10 years

b)

Two consecutive quarters

c)

Varying lengths of time

d)

Two full years

18.

What situation often exists when the economy is in a downturn, and many people are unemployed and can NOT buy more than the basic necessities?

a)

Recession

b)

Excess demand

c)

Inflation

d)

Trade deficit

19.

An economy with a high unemployment level tends to have:

a)

Rapid GDP growth

b)

A high supply of money

c)

Fewer monetary policies

d)

A lower rate of inflation

20.

Unemployment hurts the economy because unemployed people are unable to contribute to the:

a)

Standard of living

b)

Balance of payments

c)

Annual federal deficit

d)

Gross domestic product

21.

When interest rates continue to increase to a high level, the economy might experience a/an:

a)

Recession

b)

Expansion

c)

Shortage

d)

Liability

22.

If interest rates go down, which would MOST LIKELY occur?

a)

U.S. exports will decrease

b)

Banks will pay more to borrow money

c)

Consumers will spend less

d)

The stock market will go up

23.

How does double counting affect the gross domestic product?

a)

It inflates the GDP

b)

It decreases the GDP

c)

It causes trade surpluses, which help the GDP

d)

It causes economic declines, which hurt the GDP

24.

When consumer spending and consumption decrease, consumer confidence tends to:

a)

Fall

b)

Rise

c)

Remain the same

d)

Be unpredictable

25.

The owner of a business has asked the manager to open another branch of the business. What phase of the business cycle would be MOST LIKELY to benefit this new branch?

a)

Expansion

b)

Contraction

c)

Trough

d)

Peak

26.

Your chances of finding and maintaining a job are the greatest during the business cycle phase known as:

a)

Contraction

b)

Expansion

c)

Trough

d)

Recession

27.

What usually decreases as the rate of inflation increases?

a)

Money supply

b)

Interest rates

c)

Export quotas

d)

Purchasing power

28.

During an expansion phase of the expansion cycle, businesses will tend to:

a)

Decrease stock prices

b)

Borrow more money

c)

Pay fewer dividends

d)

Have more bankruptcies

29.

Which is a factor that measures the condition of a country's economy?

a)

Fiscal responsibility

b)

Price stability

c)

Profit margin

d)

Financial cycle

30.

What often happens when a nation has a high unemployment rate?

a)

The consumer price index decreases

b)

The nation experiences an economic slowdown

c)

The gross domestic product increases

d)

The stock market remains unaffected

31.

Increased consumer spending indicates that the economy is stable and growing because increased spending leads to an increase in:

a)

Scarcity of resources

b)

Interest rates

c)

Unemployment levels

d)

Demand for products