DECA Multiple Choice Questions

business agreement under which a business distributes goods or services of a parent company is called...

a) partnership

b) corporation

c) franchise

d) propreitorship

c) franchise

what information should employees avoid sharing with their coworkers?

a) operating hours

b) promotional ideas

c) inventory policy

d) current salary

d) current salary

what element of voice is important in order to communicate effectively with others?

a. documentation

b. vocabulary

c. grammar

d. articulation

d) articulation

what is the purpose of developing and using graphics in business reports?

a) to entertain the audience

b) to communicate information

c) to fill up the page layout

d) to highlight reference material

b) communicate information

which of the following message closings is the most appropriate to use for a businessperson who is sending formal e-mail correspondence:

a. THX

b. regards

c. greetings

d. affectionately

b) regards

which of the following is a communication technique that supports and encourages a speaker

a. take notes

b. active listening

c. speed reading

d. making comments

b) active listening

a customer complains that a product does not have all the features desired and returns the item to the business. which of the following results of the complaint does not cost the business additional money:

a. marking up the price of the returned product

b. recording the return transaction

c. returning the item to stock

d. changing inventory records

a) marking up the price of the returned product

when a producer changes the shape of a product, this creates _______ utility.

a. time

b. distribution

c. possession

d. form

d) form utility

if the demand is so great that consumers will buy regardless of price, a(n) ______ market exists.

a. seasonal

b. buyer's

c. seller's

d. equilibrium

c) seller's market

assume that the equilibrium price for a product is $300. if the price of the product is then set at $400, which of the following will most likely occur:

a. excess supply

b. excess demand

c. price rationing

d. decreased supply

a) excess supply, because less people are going to buy that product when the value for it has increased

what part of human resources management includes locating and hiring employees to perform the jobs that are necessary in order for a business to operate?

a. planning

b. staffing

c. directing

d. organizing

b) staffing

government owns the basic means of production but there is some private ownership of businesses under

a. entrepreneurship

b. communism

c. capitalism

d. socialism

d) socialism

which of the following is an example of pure business risk:

a. investment in the stock market gains 10% in one year

b. a new product line is introduced

c. a new competitor moves in across the street

d. a shipment of goods is lost in transit

d) a shipment of goods is lost in transit

which of the following regulatory agencies might be involved in settling a strike:

a. federal trade commission

b. consumer product safety commission

c. food and drug administration

d. national labor relations board

d) national labor relations board

which of the following is a way that the productivity of an individual worker can be measured:

a. by dividing the dollar totals of sales by the cost of making all those sales

b. by dividing the total number of products produced by the number of production steps

c. by dividing the number of customers served by the number of hours an employee worked

d. by dividing the dollar totals of sales by the number of salespeople who made the sales

c) dividing the number of customers served by the number of hours an employee worked

Paul is nervous about his sales presentation. but, he doesn't want to admit it to himself. his coworker, Amanda, pointed it out to him while he was practicing what to say. what should she recommend that he do?

a. boost his self-confidence

b. exhibit a positive attitude

c. accurately assess his emotions

d. display empathy for another's emotions

c) accurately assess his emotions

an employer who thinks that all young people are lazy and poorly trained is an example of

a. discrimination

b. prejudice

c. hostility

d. harassment

b) prejudice

the ability to demonstrate interest and enthusiasm often leads to greater

a. personal integrity

b. individual recognition

c. personal achievement

d. emotional instability

c) personal achievement

when office arrangements require employees to share space, what do many businesses provide in order to offer their employees an area for privacy?

a. individual cubicles

b. meeting rooms and doors

c. recreational facilities

d. cafeteria with small tables

b) meeting rooms and doors

which of the following is a characteristic of effective communication

a. variety

b. completeness

c. vagueness

d. informality

b) completeness

a characteristic of democratic managers is that they generally

a. encourage creative ways of doing things

b. rely solely upon their own judgement

c. explain the reasons behind procedures

d. give very specific orders and instructions

c) explain the reasons behind procedures

when Matthew receives a check four times a year for income he has earned on his stock investments, he is receiving

a. credit

b. dividends

c. deposits

d. cash

b) dividends

what type of credit account advertises "90 days same as cash?"

a. budget

b. installment

c. regular

d. revolving

a) budget

the process of keeping the financial records of a business is known as

a. controlling

b. accounting

c. financing

d. bookkeeping

b) accounting

which of the following is a benefit of orienting new employees:

a. increases the need for training

b. creates a formal work atmosphere

c. reduces anxiety about the job

d. helps employees make friends

c) reduces anxiety about the job

marketing links producers to

a. customers

b. distributors

c. retailers

d. marketers

a) customers

a legal issue associated with the use of information might involve the violation of _______ laws.

a. patent

b. copyright

c. trademark

d. contract

b) copyright

what software program would a local car dealer use to organize and sort customer information in order to mail postcards to customers to remind them when it is time for routine maintenance?

a. spreadsheet

b. word processing

c. database

d. desktop publishing

c) database

which of the following is a standard capability of spreadsheet software:

a. to manage files

b. to create slides

c. to prepare text

d. to graph data

d) to graph data

when designing a web page, the basic elements on the first screen should include

a. an overview of the content that is visually interesting

b. large graphics that capture the reader's attention

c. highly detailed information about the page sponsor

d. small graphics and a variety typefaces for visual balance

a) overview of the content that is visually interesting

some safety hazards in the workplace are caused by the unsafe actions of workers. an example would be

a. talking to coworkers on a break

b. wearing inappropriate clothing

c. driving a company vehicle

d. standing close to a load in order to lift it

b) wearing inappropriate clothing

what can businesses do to create and maintain a safe work environment?

a. respond quickly to an emergency situation

b. teach employees how to correctly use equipment

c. establish laws that employees must follow

d. develop ways to recycle production waste

b) teach employees how to correctly use equiptment

employees who take home pencils, notepaper, and other office supplies for person use are guilty of

a. fraud

b. pilferage

c. robbery

d. shoplifting

b) pilferage

David is meeting with a group of his employees to discuss what types of good and services they need to successfully perform their jobs. this is often the first step in the ________ process.

a. marketing

b. buying

c. selling

d. receiving

b) buying

which of the following is NOT part of a systematic approach for reordering business supplies:

a. monitoring the effectiveness of the plan

b. planning inventory maintenance levels

c. making necessary adjustments

d. purchasing stock when almost depleted

d) purchasing stock when almost depleted

which of the following processes turns economic resources into goods and services:

a. promotion

b. marketing

c. production

d. distribution

c) production turns economic resources into goods and services

once you get organized, in order to stay that way you will probably have to

a. have help

b. reorganize frequently

c. work harder

d. change your habits

d) change your habits

which of the following should a person do first when facing the need to make a decision:

a. make a choice

b. define the objective

c. analyze results

d. evaluate information

b) define the objective

how should a job applicant answer a question on a job application about how much s/he expects to be paid?

a. by writing "open" in the blank after the salary question

b. by asking for a low salary in order to get the job

c. by stating the same salary s/he now receives

d. by stating the highest figure s/he thinks the business will pay

a) writing "open" in the blank after the salary question

a job interview follow-up letter can be a valuable tool for applicants who are nervous during a job interview because the letter can

a. include anything the applicant forgot to mention

b. persuade the interviewer to hire them for the job

c. demonstrate their skill in oral communication

d. overcome the impression they made during the interview

a) include anything the applicant forgot to mention

which of the following are the principal functions of management:

a. planning, organizing, staffing, directing, and controlling

b. evaluating, organizing, hiring, and supervising

c. leading, testing, monitoring, controlling, and organizing

d. interviewing, hiring, planning, and testing

a) planning, organizing, staffing, directing, and controlling

- remember they don't interview, lead, or supervise

Which of the following is an oligopoly:

A. Oil industry

B. Apparel industry

C. Food-service industry

D. Computer industry

a) Oil industry.

- Oligopoly: a market structure where there are relatively few sellers, and industry leaders usually determine prices

- Oil is a scarce, natural resource and is complex to process there are fewer businesses in the oil industry than other types of industries

"How can we alter our existing product so it will appeal to another market?" is an example of a:

A. Strategy-oriented decision problem

B. Discovery-oriented decision problem

C. Market-research analysis

D. Market-situation analysis

a) Strategy-oriented decision problem

Which of the following is an example of causal research:

A. A pet-supply company reviews invoices and receipts to determine which line of dog food is generating the most sales.

B. A large publisher holds a series of focus groups with teachers to gather opinions about the mathematics textbooks.

C. A hotel chain places suggestion cards in its sleeping rooms to solicit feedback about its guests' level of satisfaction with its services.

D. A quick-serve restaurant introduces a breakfast burrito to a limited segment of the market to determine product acceptability.

d) A quick-serve restaurant introduces a breakfast burrito to a limited segment of the market to determine product acceptability

- using test marketing

- causal research focuses on cause and effect and tests "what if" scenarios.

During what phase of the product life cycle is a business most likely to reduce its prices because copycat products have entered the marketplace?

A. Growth

B. Maturity

C. Trough

D. Peak

a) Growth, because consumers have more options of the same product to purchase

What component of a print advertisement contains the sales message?

A. Illustration

B. Copy

C. Tag line

D. Headline

b) Copy

Determine if the following situation is an illegal selling practice:

A salesperson says to a customer, "My business will buy all of its janitorial supplies from your company if you buy all of your office furniture from my business."

Yes, because the sale person is suggesting reciprocity, which is illegal if it hinders competition

Persuasion is an important part of which of the following functions:

A. Education

B. Motivation

C. Communication

D. Self-control

c) Communication

A clothing manufacturer builds quality into its operating system, placing responsibility on each employee. This process is known as quality

A. delivery.

B. guarantee.

C. assurance.

D. inspection.

c) assurance, preventing defective products from being created

Which of the following is an example of an occupationally specific trade association:

A. Retail Merchants Association

B. National Restaurant Association

C. Chamber of Commerce

D. Sales and Marketing Executives International

b) National Restaurant Association

- members all have interests in the field of food service

Which of the following is a circumstance that is most likely to cause interest rates to increase:

A. Economic recession

B. Low inflation

C. Tight money supply

D. Consistent investment spending

c) tight money supply

What are the characteristics of dissonance-reducing buying behavior?

A. Expensive, infrequent purchase with high buyer involvement and few perceived differences

B. Inexpensive, frequent purchase with low buyer involvement and few perceived differences

C. Expensive, infrequent purchase with high buyer involvement and strong brand recognition

D. Inexpensive, frequent purchase with low buyer involvement and strong brand recognition

a) expensive, infrequent purchase with high buyer involvement and few perceived differences

To develop appealing promotional messages for a target audience, a marketer might build a profile of the typical buyer by considering demographic factors such as

A. personalities, lifestyles, and location.

B. lifestyles, attitudes, and income.

C. age, gender, and income.

D. location, attitudes, and age.

c) age, gender, and income

Which of the following is a factor used for grading products:

A. Personal recommendations

B. Inspection method

C. Product contents

D. Resource availability

c) product contents

- product must meet established criteria

Product bundling is an effective method to sell goods and services because it

A. provides new products with better exposure than advertising.

B. allows businesses to sell unrelated items at the same time.

C. creates a sense of value for the customer.

D. encourages customers to comparison shop.

c) creates a sense of value for the customer

- sold in groups so the value of each individual item is overall less

Which of the following is an example of unethical selling behavior that directly affects employee-to- employee relationships:

A. The sales staff's commissions are lower after a manager restructures the company's sales territories and sets high quotas.

B. A buyer awards a major contract to a construction company after the company's vice president gave the buyer Super Bowl tickets.

C. To win a departmental sales contest, a salesperson claims to have processed a sales transaction before it has been formalized.

D. A salesperson does not want to lose a sale, so s/he withholds information from a prospect after being questioned about the product's performance.

c) To win a departmental sales contest, a salesperson claims to have processed a sales transaction before it has been formalized

An apartment building is an example of a(n) __________ investment.

A. lending

B. ownership

C. realistic

D. domestic

b) ownership, because the owner has rights in return for using the money

Which of the following is an external threat that a company might identify while conducting a situation analysis:

A. Increasing GDP

B. Falling interest rates

C. Rising inflation rate

D. Declining unemployment

c) rising inflation rate

- results in customers having less money to spend on the company's product(s)

- negative impact on sales

Which of the following levels of managers spend most of their time staffing, directing, and controlling the day-to-day activities of the business:

A. Mid-level

B. First-line

C. Executive

D. Regional

b) first line; made up of supervisor managers that work with employees to carry out routine work (report to mid-level man.)

A commission or bonus is an example of a form of

A. benefit.

B. assistance program.

C. compensation.

D. employee contract.

c) compensation, because it's a pay for work completed

Samples, premiums, and advertising specialties are examples of __________ used in sales promotion.

A. publicity strategies

B. communications channels

C. marketing activities

D. selling techniques

b) communication channels

Which of the following is an example of a public-relations promotion:

A. Smithson's Bank promotes that it has added Saturday banking hours.

B. The American Beef Association encourages consumers to eat beef.

C. LensCrafters offers free sunglasses with the purchase of contacts.

D. Firestone promotes its efforts to exchange tires on Ford Explorers.

d) Firestone promoting efforts to exchange tires on Ford Explorers

- trying to overcome controversial issues in the public

Which of the following is an example of a purchase experience touchpoint:

A. Word-of-mouth

B. Direct sales

C. Customer satisfaction surveys

D. Warranty programs

b) direct sales

- interactions that customers have with the business

What distribution method is best for a manufacturer to use when the product is complex and is difficult to install and repair?

A. Selective

B. Intensive

C. Exclusive

D. Invasive

c) exclusive; selling a product through one middleman, allowing the manufacturer control over the product

What form of technology allows channel members to track a product's movement through the supply chain in real time?

A. Supplier performance index (SPI)

B. Universal product code (UPC)

C. Radio frequency identification (RFID)

D. Global transit mapping system (GTMS)

c) radio frequency identification

Which of the following is an example of legal tender issued by the federal government:

A. Municipal bonds

B. Corporate bonds

C. Mutual funds

D. Bank notes

d) bank notes (currency)

Which of the following is an example of an internal source of secondary marketing data:

A. Census reports

B. Warranty agreements

C. Consumer blogs

D. Business directories

b) warranty agreements; for purposes of promotional information of a new product

A company wants to collect information from various sources to determine if it should consider expanding to international markets. What research method should the company use, if it does not want to spend a lot of time or money to obtain the information?

A. Experimental

B. Causal

C. Interview

D. Exploratory

d) exploratory

- involves collecting information to help the business define its issue and decide how to proceed

What type of survey rating scale involves assigning a value to each option within a set of circumstances provided on a questionnaire?

A. Constant sum

B. Likert

C. Semantic differential

D. Frequency

a) constant sum

- type of comparative rating scale that requires the respondent to assign a value to the options on the questionnaire

Which of the following are examples of customer-related services that a business might consider when setting a product's price:

A. Research, credit, and advertising

B. Delivery, credit, and advertising

C. Installation, advertising, and research

D. Credit, delivery, and installation

d) Credit, delivery, and installation

- because these are services provided with the product

Which of the following are communication channels that businesses often use when engaging in the push promotion strategy:

A. Mass advertising and trade shows

B. Trade advertising and trade shows

C. Trade advertising and pricing

D. Mass advertising and coupons

b) trade advertising and trade shows

When identifying risks that a business faces, management should focus on the

A. probability of risk occurrence.

B. impact of the risks.

C. sources of the risks.

D. ability to transfer the risks.

c) source of the risks; to be able to prevent them

Which of the following is an idea-generation technique that uses programmed thinking:

A. Forced questioning

B. Mind mapping

C. Attribute listing

D. Synectics

c) attribute listing; involves listing characteristics /attributes, then finding ways to improve them

A benefit to the seller of bundling products is that doing so

A. reduces product-quality problems.

B. eliminates the need to comparison shop.

C. often lowers the marketing costs.

D. usually decreases product-placement activities.

c) often lowers the marketing costs

A business introduces a new product to mid-sized cities in the southeastern section of the country. The business monitors the product's sales to determine if it should introduce the product nationwide. What marketing-research method is the business using?

A. Survey

B. Observation

C. Consumer panel

D. Test marketing

d) test marketing; the product is introduced to a limited market to determine it's acceptance

Thegovernment establishes production quotas for businesses, sets products' prices, and tells workers whattheir wages will be. This is an example of a(n) __________ economic system

command

Every pay period, Sarah's employer withholds a certain percentage of her earnings, which her employer forwards to various government agencies. What type of tax is Sarah's employer withholding?

income

What are some secondary dimensions of diversity:

- Work experience

- Income

- Religion

- Family status

- Education

- Geographic location

What are some examples of cash outflows:

rent, utilities, and supplies

What is likely to happen if a business fails to monitor its inventory of office supplies?

employee productivity decreases

Jackie purchased a television on credit. She made a down payment and signed an agreement to pay a specific monthly amount, including interest, over the next 12 months. This is an example of ________ credit.

installment

What are some examples of lending investments:

- money market accounts

- certificates of deposit

- bonds

Each of the departments within the store is responsible for ordering its own merchandise. This is an example of...

decentralized purchasing structure