DECA Flashcard Set - Principles Test Questions
1. In a small town, citizens regularly cross the streets without using the designated crosswalks. However, someone new in town follows all pedestrian rules by using crosswalks, stating it is against the law to jaywalk. This person is following the "literal" ____ of the law.
Letter
Execution
Extent
Spirit
Laws may be interpreted literally, which would be considered following the “letter of the law”. (BL)
The correct answer is: Letter
2. Which of these is not a source of United States law?
US Constitution
Rules made by the Chamber of Commerce
Treaties made with foreign powers
Acts of Congress
The Chamber of Commerce is a business network, acting as the voice for businesses, especially small ones. It is not a source of law. (BL)
The correct answer is: Rules made by the Chamber of Commerce
3. What type of system does the US justice system model?
Confidential
Adversarial
Aggregational
Magisterial
In an adversarial system, litigants present their cases to a neutral party and allow the judge or jury to determine the truth about the conflict. (BL)
The correct answer is: Adversarial
4. ___________ is the extent of power an entity has to make legal decisions and judgments.
a) Authorization
b) Oversight
c) Jurisdiction
d)Appellate
5. Corporate espionage isn't just in the movies; it does exist. Which of the following could be a policy included in a company's rules and regulations to protect patented processes in a manufacturing plant?
a) Employees must sign a written promise stating they will not leave equipment unattended
b) Employees are not allowed to wear clothing with pockets
c) No personal electronic devices on the production floor
d) A pat-down of employees will occur when entering and leaving the production floor
In many manufacturing plants, no cameras, cell phones or any electronic device is allowed on the production floor. This is a great way to ensure employees cannot use, steal, or share intellectual property related to production. (BL)
The correct answer is: No personal electronic devices on the production floor.
6. What are the four elements of a tort case?
a) Tort, negligence, damages, murder, theft
b) Duty, breach of duty, causation, and injury
c) Civil wrong, criminal act, damages
d) Offenses against society, causation, criminal act
A tort is a wrongdoing against another person which results in harm to property, health, or well-being. The four elements of a tort case are duty, breach of duty, causation and injury. (BL)
The correct answer is: Duty, breach of duty, causation and injury
7. Slip and fall accidents and medical malpractice fall into which category of tort?
a) Absolute Liability
b) Intentional Tort
c) Negligent Tort
d) Strict Liability
Unlike intentional torts, negligence cases do not involve deliberate actions, but instead, are when an individual or entity is careless and fails to provide a duty owed to another person. The answer is Negligent Torts. (BL)
The correct answer is: Negligent Torts
8. Which category of tort involves defective product cases?
a) Intentional Tort
b) Strict Liability
c) Lemon Tort
d) Negligent Tort
Torts involving strict liability or “absolute” liability applies to cases where responsibility for an injury can be imposed on the wrongdoer without proof of negligence or direct fault. What matters is that an action occurred and resulted in injury of another person. Defective product cases are prime examples of when liability is maintained despite intent. (BL)
The correct answer is: Strict Liability
10. Which of the following is an example of "consideration" in a contract?
a.
Putting the agreed upon price in writing.
b.
Promising to make a gift to another party.
c.
Selling an item for $350.
d.
Giving away an item valued at $500
In a contract, consideration is what one party gives or receives in exchange for something else. In this situation, the buyer's consideration is the $350 paid for the item. Consideration does not include gifts, promises to make a gift, or giving away an item. (BL)
The correct answer is: Selling an item for $350.
Which of these is not part of a legal procedure?
a.
Motions
b.
Making copies of legal documents
c.
Depositions
d.
Filing complaints
While all the options you listed can be part of the legal process, "b. Making copies of legal documents" is not directly a legal procedure in itself. It is more of an administrative task necessary for legal procedures. The others, like motions, depositions, and filing complaints, are formal steps in legal processes.
Julia and Nina are neighbors and both own hair salons in the same small town. The two women are fierce competitors and don't get along; arguing frequently about anything and everything. One day Nina became convinced that Julia was stealing her customers. She typed up a flier accusing Julia of using an illegal, possibly cancer-causing chemical for hair treatments on customers because it was cheaper. This statement is completely false and defamatory, but Nina still makes copies of the flier, and at night, distributes them all around town. Several people saw her doing this. What kind of damages could Julia get from Nina in a lawsuit?
Select one:
a.
Compensatory and punitive damages
b.
Only punitive damages
c.
Only compensatory damages
d.
Contingent damages
Julia could seek compensatory damages to cover the actual harm done, such as lost business, reputation damage, and any emotional distress caused by Nina's defamatory actions. Additionally, because Nina's actions were willfully harmful and malicious, Julia could also seek punitive damages to punish Nina and deter similar behavior in the future.
The Orange Company discovered the Tangerine Company illegally used their trademarked logo and tagline. To pursue a legal case against the Tangerine Company for financial compensation, what should the Orange Company first do?
Select one:
a.
Request a trial date through the U.S. Patent and Trademark Office.
b.
Issue a summons to Tangerine Company requesting to respond to allegations of misusing the trademark.
c.
File a formal complaint to the court alleging the Tangerine Company illegally used the Orange Company's trademark.
d.
Hire an attorney to take part in the pretrial readings.
To pursue legal action, the Orange Company should first file a formal complaint in court. This complaint will detail the allegations against the Tangerine Company, including the illegal use of the trademark, and seek financial compensation for the harm caused.
How is an agency relationship created?
Select one:
a.
An agency enters a relationship with another agency
b.
One person agrees to represent the interest of another
c.
Someone compensates someone else for a job they've done
d.
A written contract is composed
This relationship is often established through a mutual agreement, which can be verbal or written, but the essence lies in the agreement to act on behalf of the other person. Therefore, the correct answer is:
b. One person agrees to represent the interest of another
Who creates administrative law?
Select one:
a.
Judges
b.
Public officials and agencies
c.
Executive branch of government
d.
Legislatures
The answer is d, legislatures.
Which of the following administrations sets forth workplace safety rules and regulations?
Select one:
a.
U.S. Department of Labor
b.
Employee Benefits Security Administration (EBSA)
c.
None of these. Workplace and safety rules are regulated by the state government,
d.
Occupational Safety and Health Administration (OSHA)
OSHA is part of the U.S. Department of Labor and is responsible for ensuring safe and healthy working conditions for workers by setting and enforcing standards and providing training, outreach, education, and assistance.
Which of the following statements regarding joint ventures is true?
Select one:
a.
An attorney must be consulted with and present before a joint venture agreement may be signed.
b.
Joint ventures can be initiated only if each partner is similar in size and in profits.
c.
Joint ventures offer limited liability and limited input with management decisions.
d.
Joint ventures are typically for a short period of time or a single project.
Joint ventures are often formed to undertake specific projects or business activities. They allow two or more parties to pool their resources and expertise for the duration of the project or until the specific business objective is achieved. This structure is advantageous for handling large or complex tasks without the need for a long-term commitment.
According to their webpage, the U.S. Customs and Border Protection has a direct responsibility for enhancing:
Select one:
a.
Border arrests
b.
Economic competitiveness
c.
Travel costs
d.
Export values
U.S. Customs and Border Protection (CBP) plays a crucial role in enhancing the nation's economic competitiveness by facilitating lawful international trade and travel while ensuring the security of the United States. CBP's mission includes protecting the American economy from threats and promoting economic prosperity through efficient and secure trade practices1.
The term emigration is defined as which of the following?
Select one:
a.
A U.S. citizen traveling to a foreign country.
b.
A person traveling within country borders.
c.
A foreign individual permanently moving to the U.S.
d.
A U.S. citizen moving to a foreign country
Emigration is the opposite of immigration, which involves coming into a foreign country to live permanently. Emigration focuses on the departure aspect, while immigration focuses on the arrival.
Which is most likely to occur if someone intentionally follows the letter of the law but not the spirit of the law in order to gain personally?
Select one:
a.
Affluence
b.
Attainment
c.
Prosperity
d.
Exploitation
Exploitation refers to the action of making use of something unfairly and benefiting from it in unethical ways. (BL)
The correct answer is: Exploitation
Most federal cases begin in ________ courts.
Select one:
a.
Regional
b.
Municipal
c.
District
d.
None of these are correct.
Most federal cases begin at the district court level. The district courts are known as the courts of original jurisdiction. These courts hear both civil and criminal cases. Each state has at least one district court. (BL)
The correct answer is: District
Joey and Ross are developing a contract to do work together. Ross promised to pay Joey $500 if he painted his house by the end of the month. Which element of the contract did Ross and Joey just establish?
Select one:
a.
Mutuality
b.
Acceptance
c.
Consideration
d.
Offer
The consideration element of a legally binding contract. Something of value (money) was promised in exchange for a specified action (painting the house) and vice versa. Consideration is the value that induces the parties to enter into the contract. (BL)
The correct answer is: Consideration
Which of the following is an example of "consideration" in a contract?
Select one:
a.
Selling an item for $350.
b.
Giving away an item valued at $500.
c.
Putting the agreed upon price in writing.
d.
Promising to make a gift to another party.
In a contract, consideration is what one party gives or receives in exchange for something else. In this situation, the buyer's consideration is the $350 paid for the item. Consideration does not include gifts, promises to make a gift, or giving away an item. (BL)
The correct answer is: Selling an item for $350.
Procedural due process states _____________ must happen before taking action.
Select one:
a.
Obtaining witnesses
b.
Gathering evidence
c.
Providing notice
d.
Assessing damages
Providing notice must happen before taking action. Procedural due process is the concept that the government must respect all of the legal rights that are owed to individuals and businesses. This makes sure all cases are treated justly and consistently. (BL)
The correct answer is: Providing notice
KraziPress is a company that purchases wholesale tee-shirts from its supplier, Comfy Cuts, to print its own designs on and sell to customers. From the information given of this relationship, what can Comfy Cuts be considered?
Select one:
a.
Debtor
b.
Neither a creditor or a debtor
c.
A creditor and a debtor
d.
Creditor
In this scenario, KraziPress is a debtor because it regularly owes money to Comfy Cuts for shirts, which makes Comfy Cuts- you guessed it! -a creditor. (BL)The correct answer is: Creditor
The ____ of the law refers to the intent of the law makers.
Select one:
a.
Length
b.
Spirit
c.
Meaning
d.
Letter
Being in compliance with the spirit of the law refers to being in agreement with the intent of the creators of a particular law. (BL)
The correct answer is Spirit'
Which of the following represent nonverbal cues?
Select one:
a.
Handshakes and eye contact
b.
Accent and inflection
c.
Note-taking and gesturing
d.
A good attitude and a spirit of optimism'
The answer is a, handshakes and eye contact
Kevin is attending a business conference. The presenter is speaking quickly and Kevin is having trouble taking accurate notes. What technique would help Kevin take better notes, more quickly?
Select one:
a.
Using abbreviations and symbols.
b.
Writing down the key details and data from the presentation
c.
Writing notes on index cards to help divide the information.
d.
Focusing only on the presentation's subtopics.
Using abbreviations and symbols can significantly speed up the note-taking process and help Kevin capture the essential points without falling behind. This method allows him to write less while retaining the same amount of information.
What type of communication should be used to confirm a lunch appointment with a supervisor?
Select one:
a.
Email
b.
Letter
c.
Memo
d.
Text message
Email is a professional and efficient way to confirm such appointments. It provides a written record of the conversation, and both parties can easily refer back to it if needed. Text messages, while quick, might not be as formal, and letters and memos are less practical for this purpose.
Which of the following terms refers to improving and organizing content?
Select one:
a.
Drafting
b.
Writing
c.
Editing
d.
Revising
Revising refers to the process of improving and organizing content. It involves reviewing the content, making changes to enhance clarity, coherence, and overall quality, and ensuring the information is presented in the best possible way. This can include reordering sections, adding or removing content, and refining the language.An executive summary is:
Select one:
a.
Communication from business executives to subordinates
b.
An attempt to change the reader's mind
c.
A one-page abstract of an entire document
d.
A collaboration between several managers
An executive summary is a concise overview of a larger document, such as a business report or proposal. It highlights the key points, findings, and recommendations, allowing readers (especially executives) to quickly understand the main takeaways without reading the entire document.
"Is it appropriate to text a supervisor?" "Is a phone call expected?" "Is it okay to call a coworker after-hours?" The answers to communication questions like these depend entirely on ________.
Select one:
a.
Mood and attitude
b.
Reliable data and wifi
c.
Convenience and personal preference
d.
Context and company culture
Workplace communication norms vary based on the company culture and context of the situation. Some organizations encourage texting or informal communication, while others prefer emails or scheduled meetings. Similarly, after-hours calls might be acceptable in some workplaces but discouraged in others. Understanding the company's expectations and norms ensures appropriate professional communication.
Maddy works in the Customer Relations department. While using her CRM system to sort some data, she notices a surprising trend. She believes this trend has the ability to transform the company's marketing efforts. Maddy emails her supervisor, Douglas, who then sends it to upper-level management. This scenario represents _______ communication.
Select one:
a.
Lateral
b.
Horizontal
c.
Vertical
d.
Congruent
Vertical communication refers to the flow of information between different levels of an organization’s hierarchy. In this scenario, Maddy (an employee in the Customer Relations department) communicates her findings to her supervisor, Douglas, who then shares them with upper-level management. Since the communication moves upward in the organization, it is an example of vertical communication.
_________ is defined as a close and harmonious relationship in which the people or groups concerned understand each other's feelings or ideas and communicate well.
Select one:
a.
Sympathy
b.
Empathy
c.
Discord
d.
Rapport
Rapport is a close and harmonious relationship in which people understand each other's feelings, communicate well, and build trust. It is often developed through effective communication, active listening, and mutual respect.
When customers complain, what is the general rule that employees should follow in order to assure that customers receive fair and consistent treatment?
Select one:
a.
Store policy
b.
Customer service plan
c.
Plan of action
d.
Store employee procedure
A customer service plan outlines the company's approach to handling customer interactions, including complaints. It ensures that employees follow a structured and consistent process to resolve issues fairly, maintaining customer satisfaction and brand reputation.How does solving difficult customer situations personally benefit an employee?
Select one:
a.
The customer will be satisfied and that benefits the company, so it will benefit the employee too.
b.
They gain the intrinsic reward of better communication and customer service skills.
c.
The employee will look better compared to their coworkers.
d.
Their boss will notice and most likely give them a raise, which is a positive extrinsic reward.
By handling difficult customer situations, employees improve their communication, problem-solving, and customer service skills, which are valuable for their professional growth. This intrinsic reward (personal satisfaction and skill development) benefits the employee in both their current job and future career opportunities.
Who should be the main developers of a company's brand promise?
Select one:
a.
Internal marketing department
b.
External marketing firm
c.
Employees
d.
The CEO and upper-level management.
A company’s brand promise is a commitment to customers about what they can consistently expect from the company. It aligns with the company’s mission, vision, and values. The CEO and upper-level management are responsible for developing this promise because they set the strategic direction and ensure that all departments uphold the brand’s core message.
What two key factors related to customer service are needed in order for a company to maintain profits? Repeat business and:
Select one:
a.
Good ratings
b.
CRM software systems
c.
Customer loyalty
d.
Regular communications
The answer is c, customer loyalty
Interest rates that vary widely on a regular basis indicate:
Select one:
a.
Rapidly rising GDP
b.
High unemployment
c.
Increased consumer confidence
d.
Economic instability
The answer is d, economic instability
Employers who want to manage their employees based on their personality type must consider:
Select one:
a.
The seniority of the top employees
b.
How to give instruction to each employee
c.
Where each employee lives
d.
The salary of each employee
When employers manage based on personality types, they must consider how to give instruction in a way that aligns with each employee's strengths and preferences. Tailoring communication and instructions to different personality types can improve employee engagement, productivity, and job satisfaction.
A food company wants to sell its ice cream treats globally with the name's of professional baseball teams. What opportunity does the company need to engage in?
Select one:
a.
Franchising
b.
Outsourcing
c.
Licensing
d.
Importing
Licensing in the business world is the contractual agreement to use brand name, intellectual property or patent owned by another company. (EN)
The correct answer is: Licensing
What is the difference between debit cards and credit cards?
Select one:
a.
Debit cards use owned funds while credit cards use borrowed funds.
b.
Debit cards are issued by banks and credit cards are issued by credit card companies.
c.
Debit cards have limits while credit cards do not.
d.
Debit cards use borrowed funds while credit cards use owned funds.
The correct answer is:
d. Debit cards use owned funds while credit cards use borrowed funds.
Explanation:
Debit Cards: When you use a debit card, the money is withdrawn directly from your bank account. This means you're spending your own money that you already have.
Credit Cards: With a credit card, you are essentially borrowing money from the credit card issuer up to a certain credit limit. You then repay the borrowed amount, often with interest if not paid off by the due date.
Alice works 8 hours a day, five days a week at a big corporation. She clocks in and out every day at work, and she is paid based on the number of hours she works. What type of income does Alice receive?
Select one:
a.
Interest
b.
Salary
c.
Dividends
d.
Wages
The correct answer is:
d. Wages
Explanation: Alice's compensation is based on the number of hours she works, which is characteristic of wages. Wages are typically calculated hourly and vary with the amount of time worked, unlike a salary which is usually a fixed amount regardless of hours worked.
Major credit report agencies note that a credit score of _______ or above is generally considered good.
Select one:
a.
650
b.
700
c.
545
d.
600
The correct answer is:
b. 700
Explanation: Major credit report agencies, including those that use FICO scoring, typically consider a credit score of 700 or above to be good. A score at or above this level indicates that a person has a strong history of managing credit and is likely to receive favorable terms when applying for new credit.
_____________ is the legislation designed to combat corporate and accounting fraud by requiring accountability and transparency.
Question 5Select one:
a.
Dodd-Frank Reform Act
b.
Securities Exchange Act
c.
Investment Company Act
d.
Sarbanes-Oxley Act
The correct answer is:
d. Sarbanes-Oxley Act\
Brief Explanation: This legislation was enacted to combat corporate fraud by enforcing stricter accountability and transparency in financial reporting.
The basic "rule of thumb" to budget for savings is:
Select one:
a.
10%
b.
20%
c.
5%
d.
15%
A common rule of thumb is to set aside at least 10% of your income for savings.
Jane is 22 and has just graduated from college. She would like to purchase her first car by the time she is 24. This is a(n)
Select one:
a.
Long-Term goal
b.
Investment goal
c.
Short-term goal
d.
Periodic goal
Answer: Short-term goal
Which of the following is a planning strategy used to determine future trends and upcoming expenses?
Select one:
a.
Data Mining
b.
Internal Analysis
c.
Forecasting
d.
Hedging
Forecasting is a planning tool used when creating a budget to help determine future spending and income. (FI)
Hence, the answer is c, forecasting
Of the following, which would be an example of a fixed expense?
Select one:
a.
Gasoline bill
b.
Water bill
c.
Electricity
d.
Insurance premiums
Most insurance plans require payments on a monthly or semiannual basis. Since the payments are set for the month or year, insurance premiums are fixed expenses. (FI)
The correct answer is: Insurance premiums
The amount by which assets exceed liabilities is known as which of the following?
Question 7Select one:
a.
Net Loss
b.
Income
c.
Debt
d.
Net Worth
Net Worth = Assets - Liabilities. When assets exceed liabilities, it is known as positive net worth. When this number is less than zero, it is known as a net loss. (FI)
The correct answer is: Net Worth
__________________ is/are considered monetary assets?
Question 8Select one:
a.
Checking accounts and CDs
b.
Land
c.
Intellectual property and patents
d.
401(k) and IRAs
Monetary assets include cash and cash equivalents, which can be quickly converted into a fixed or determinable amount of money. (FI)
The correct answer is: Checking accounts and CDs
Janet owns $25,000 of property, $2,000 of gold, and has $7,000 in her checking account. Janet owns a majority of ______ assets.
Question 9Select one:
a.
Non-monetary
b.
Non-fixed
c.
Commodity
d.
Monetary
Non-monetary assets are assets whose value is unchanged and fluctuates over time with economic conditions, and do not include cash or cash equivalents. (FI)
The correct answer is: Non-monetary
Which of the following is free of tax liability?
Question 10Select one:
a.
Prescription Drugs
b.
Inheritance
c.
Sale of a Car
d.
Annual Income
Under current federal law, medicine prescribed by a doctor for an illness or injury is not taxable, even if the patient does not have medical insurance. (FI)
The correct answer is: Prescription Drugs
Which of the following increases an individual's tax liability?
Select one:
a.
Raise in pay
b.
Investing in a 401(k)
c.
Mortgage on a house
d.
Giving donations
The correct answer is:
a. Raise in pay
Brief Explanation: A raise in pay increases your income, which typically results in a higher tax liability because you move into a higher tax bracket or have more taxable income.
All of the following are examples of account management services, except:
Select one:
a.
Automated Teller Machines
b.
Online Mobile Banking
c.
Online Bill Payment
d.
Phone Banking
The correct answer is:
a. Automated Teller Machines
Brief Explanation: Automated Teller Machines (ATMs) are used for withdrawing or depositing cash and checking account balances, but they are not considered account management services. Online mobile banking, online bill payment, and phone banking are services that allow customers to manage their accounts, pay bills, and perform transactions remotely.
Which of the following is the product of a timing difference?
Select one:
a.
An outstanding deposit
b.
An NSF check
c.
A bank service charge
d.
An interest payment
The correct answer is:
a. An outstanding deposit
Brief Explanation: An outstanding deposit is a timing difference because it is a deposit made by the account holder but has not yet been processed or recorded by the bank. This causes a difference in the timing of when the deposit is reflected in the bank's records versus the account holder's records.
The three C’s of credit are:
Select one:
a.
Character, Capacity, and Capital
b.
Character, Capability, and Chance
c.
Capital, Capacity and Conciliate
d.
Character, Capacity, and Charity
The correct answer is:
a. Character, Capacity, and Capital
Brief Explanation: The three C’s of credit refer to the factors lenders consider when evaluating a borrower:
Character: The borrower’s trustworthiness and credit history.
Capacity: The borrower’s ability to repay the loan (often assessed by income and debt levels).
Capital: The borrower’s assets or collateral to back the loan
How does a broker earn income?
Select one:
a.
Charging commission
b.
Buying and selling stocks
c.
Preparing tax returns
d.
Brokers act as non-profits
The correct answer is:
a. Charging commission
Brief Explanation: A broker earns income by charging a commission or fee for executing buy and sell orders for clients. This is typically a percentage of the transaction or a flat fee.
What can be defined as the language of business?
Question 19Select one:
a.
Finance
b.
Management
c.
Accounting
d.
Investments
The correct answer is:
c. Accounting
Brief Explanation: Accounting is often referred to as the "language of business" because it provides the essential financial information and reports that businesses use to make informed decisions, measure performance, and communicate with stakeholders.
Of the following, which is true regarding GAAP?
Question 20Select one:
a.
Changes to GAAP must be approved by the Senate Finance Committee
b.
GAAP is an abbreviation for generally applied accounting principles
c.
Changes in GAAP always affect the amount of income and expenses reported by a company
d.
GAAP is the abbreviation for generally accepted accounting principles
The correct answer is:
d. GAAP is the abbreviation for generally accepted accounting principles
Brief Explanation: GAAP stands for Generally Accepted Accounting Principles, which are a set of accounting rules and standards used for financial reporting in the United States. These principles ensure consistency and transparency in financial statements.
Sales, accounts receivable, and interest from investments are all examples of:
Select one:
a.
Cash outflows
b.
Cash inflows
c.
Owner's equity
d.
Liabilities
The correct answer is:
b. Cash inflows
Brief Explanation: Sales, accounts receivable, and interest from investments are all examples of cash inflows because they represent money coming into the business. These are sources of revenue or income that increase cash reserves
A Statement of Cash Flows is similar to which other financial statement?
Select one:
a.
Balance Sheet
b.
Statement of Equity
c.
Bank Reconciliation
d.
Income Statement
The correct answer is:
d. Income Statement
Brief Explanation: A Statement of Cash Flows is similar to an Income Statement in that both provide important financial information about a company's performance. While the Income Statement focuses on profitability, the Statement of Cash Flows shows how cash moves in and out of the business, linking net income with cash flows from operating, investing, and financing activities.
An Income Statement is useful in doing which of the following?
Select one:
a.
Evaluating past performance
b.
Earnings management
c.
Omitting unmeasurable items
d.
Changing accounting methods
The correct answer is:
a. Evaluating past performance
Brief Explanation: An Income Statement is useful for evaluating a company's past performance by showing its revenues, expenses, and profit or loss over a specific period. It helps assess how well the company has managed its operations and whether it has been profitable.
Federal minimum wage provisions are outlined in which of the following?
Select one:
a.
Wages and Compensation Act
b.
Federal Employees' Compensation Act (FECA)
c.
Fair Labor Standards Act (FLSA)
d.
Occupational Safety and Health (OSH) Act
c. Fair Labor Standards Act (FLSA)
Brief Explanation: The Fair Labor Standards Act (FLSA) sets federal minimum wage, overtime pay, recordkeeping, and child labor standards. It is the primary legislation that outlines federal minimum wage provisions.
What act entitles employees up to 12 weeks of job-protected, unpaid leave, during any 12-month period for childbirth, adoption, or care?
Question 9Select one:
a.
Affordable Care Act (ACA)
b.
Family and Medical Leave Act (FMLA)
c.
Occupational Safety and Health (OSH) Act
d.
Fair Labor Standards Act (FLSA)
b. Family and Medical Leave Act (FMLA)
Brief Explanation: The Family and Medical Leave Act (FMLA) entitles eligible employees to up to 12 weeks of job-protected, unpaid leave in a 12-month period for reasons such as childbirth, adoption, or caring for a family member with a serious health condition.
Noah works in the human resources department. His main duties are recruiting and staffing. While choosing applicants, Noah mainly focuses on the applicant's education and work experience. Noah is being:
Select one:
a.
Subjective
b.
Ethical
c.
Biased
d.
Judgmental
Noah is being ethical. During the staffing process, human resources managers are being ethical when they consider only an applicant's education and work experience, rather than other factors that do not affect the person's ability to do the job. By analyzing these two key factors, this gives all applicants an equal opportunity to obtain employment. (HR)
The correct answer is: Ethical
Which would help the operations of a large company as well as its human resources department?
Select one:
a.
e-learning for training
b.
paperless payroll
c.
in-house employment
d.
data mining
E-Learning has become increasingly popular due to its convenience and its ability to deliver up-to-date and relevant information for training purposes. Trained employees are essential to the operations of a company, too. (HR)
The correct answer is: e-learning for training
A(n) ___________ is an experienced, established employee who aims to be a source of help and advice throughout a new employee's first weeks on the job.
Question 21Select one:
a.
Coworker
b.
Advisor
c.
Mentor
d.
Manager
The correct answer is:
c. Mentor
Explanation: A mentor is an experienced employee who guides and supports a new employee, offering advice, answering questions, and helping them navigate their new role. This relationship is often informal and aims to help the new employee succeed in their position.
This will show the proper chain of command for communications and relationships within an organization.
Select one:
a.
Organizational chart
b.
Job table
c.
Table of hierarchy
d.
Communication map
The correct answer is:
a. Organizational chart
Explanation: An organizational chart visually represents the structure of an organization, showing the hierarchy and chain of command, including the relationships between different roles and departments. It helps clarify who reports to whom within the organization.
________is the coordination of business activities to provide goods and services in order to meet the needs and wants of customers.
Question 1Select one:
a.
Management
b.
Advertising
c.
Marketing
d.
Promotion
The correct answer is:
c. Marketing
Explanation: Marketing involves coordinating various business activities to create, promote, and deliver goods and services that satisfy customer needs and wants. It includes everything from product development to advertising and customer service.
Since profitability is a goal of business, which of the following will be a high priority and also benefit the economy?
Select one:
a.
Globalization
b.
Productivity
c.
Promotion
d.
Risk Management
The correct answer is:
b. Productivity
Explanation: Productivity is a high priority for businesses because it directly impacts profitability. By improving productivity, companies can produce more with fewer resources, which benefits the economy by increasing output and efficiency.
___ is the activity of business which impacts decisions about product, place, and price.
Select one:
a.
Marketing
b.
Financing
c.
Utility
d.
Production
The correct answer is:
a. Marketing
Explanation: Marketing involves decisions about the 4 Ps: product, place, price, and promotion. It focuses on understanding customer needs and aligning business strategies to meet those needs effectively.
Market __________ is the process of dividing a group of potential customers into smaller groups based on varying characteristics.
Select one:
a.
Segmentation
b.
Planning
c.
Targeting
d.
Information Management
The correct answer is:
a. Segmentation
Explanation: Market segmentation is the process of dividing a large, diverse market into smaller, more manageable groups based on characteristics like demographics, geography, or behavior. This helps businesses tailor their marketing efforts to specific customer needs.
Laura owns a clothing store. She is considering the expansion of her store to include another location and also the addition of a website to sell merchandise. Which of the 4 P's is Laura planning?
Select one:
a.
Place
b.
Product
c.
Promotion
d.
Price
The correct answer is:
a. Place
Explanation: Laura is planning the Place aspect of the 4 P's, as she is considering expanding her store to a new location and adding a website for online sales. "Place" refers to the distribution channels used to make products available to customers.
________ involves the processes necessary to store goods and services.
Select one:
a.
Distribution
b.
Selling
c.
Product/Service Management
d.
Financing
The correct answer is:
a. Distribution
Explanation: Distribution involves the processes of getting goods and services from the producer to the customer, which includes storing goods in warehouses, managing inventory, and handling logistics.
Sal needs a vehicle. His family has never owned anything other than 4-wheel drive trucks, so without much thought, he feels that is the best option for him. Which category of influence is presented related to Sal's buying behavior?
Question 13Select one:
a.
Dealership
b.
Social
c.
Economic
d.
Personal
The correct answer is:
b. Social
Explanation: Sal's decision is influenced by his family’s history of owning 4-wheel drive trucks, which is an example of social influence. Social factors, such as family preferences or societal norms, can shape a person’s buying behavior.
ABC Security advertisements portray home invasions in its television commercials as a means to motivate consumers to purchase home security systems. Which category of factors influencing buying behavior are they primarily focused on?
Select one:
a.
Economic
b.
Psychological
c.
Personal
d.
Social
The correct answer is:
b. Psychological
Explanation: ABC Security is using fear and concern about home invasions in their advertisements to motivate consumers, which is a psychological factor. They are aiming to trigger emotional responses (e.g., fear for safety) to influence purchasing decisions.
Jerome has noticed that a purchase order must pass through five people before reaching his desk for approval. This puts a delay in getting items ordered. He recently proposed a new system that will allow for quick approval. This is an example of
Select one:
a.
Developing HR policies
b.
Procrastination
c.
Marketing
d.
Streamlining processes
The correct answer is:
d. Streamlining processes
Explanation: Jerome is simplifying the approval process by proposing a new system that eliminates delays, making it faster and more efficient. This is a classic example of streamlining processes, which aims to improve workflow and reduce unnecessary steps.
_____________ is the portion or percentage of an industry's sales that is earned by a particular brand or company.
Select one:
a.
Net sales
b.
Share of voice
c.
Market share
d.
Segment of sales
The correct answer is:
c. Market share
Explanation: Market share refers to the percentage or portion of total industry sales that is earned by a specific brand or company. It shows how well a company is performing in comparison to its competitors in the same market.
According to this concept, a business should focus on the wants and needs of the target market while also making a profit.
Question 19Select one:
a.
Selling Concept
b.
Product Concept
c.
Production Concept
d.
Marketing Concept
The correct answer is:
d. Marketing Concept
Explanation: The Marketing Concept suggests that a business should focus on meeting the needs and wants of its target market while also ensuring profitability. It emphasizes customer satisfaction as a key driver of business success.
Businesses implement advertising and promotions in an attempt to:
Select one:
a.
Decrease operating costs
b.
Influence customer buying behavior
c.
Find a target market
d.
Bring down the competition
The correct answer is:b. Influence customer buying behavior
Explanation: Businesses use advertising and promotions to influence customers' purchasing decisions and behaviors. These efforts aim to attract attention, generate interest, and encourage customers to make a purchase.
Taking shortcuts in daily activities, such as filing paperwork, is:
Question 2Select one:
a.
Productive
b.
Illegal
c.
Efficient
d.
Unethical
The correct answer is:
d. Unethical
Explanation: Taking shortcuts, especially in tasks like filing paperwork, can compromise the quality and accuracy of work. In business settings, cutting corners can lead to mistakes, mismanagement, or violations of rules, making it unethical.
_____________ are aids to assist an individual or team to effectively organize work and manage projects and tasks.
Select one:
a.
Formatting Tools
b.
Planning Tools
c.
Project management tools
d.
Planners, Calendars, Reminders, ect.
The correct answer is:
c. Project management tools
Explanation: Project management tools are designed to help individuals or teams organize work, manage tasks, and track the progress of projects. These tools can include software or systems that facilitate scheduling, communication, and task assignment.
____ is another term for the acquisition of goods or commodities by an organization or person.
Select one:
a.
Borrowing
b.
Consuming
c.
Procurement
d.
Bartering
The correct answer is:
c. Procurement
Explanation: Procurement refers to the process of acquiring goods, services, or commodities by an organization or individual, typically through purchasing or contracting.
Inventory needs to be checked at specific _____.
Question 17Select one:
a.
Times of day
b.
Locations
c.
Days of the week
d.
Time intervals
The correct answer is:
d. Time intervals
Explanation: Inventory should be checked at specific time intervals (such as daily, weekly, or monthly) to ensure proper stock levels, manage reordering, and track any discrepancies.
Policies that discourage employees from using company resources for personal use and stealing company time aim to:
Question 22Select one:
a.
Increase employee retention
b.
Improve expense control
c.
Discourage innovation
d.
Decrease motivation
The correct answer is:
b. Improve expense control
Explanation: Policies that discourage personal use of company resources and time theft are aimed at improving expense control by preventing unnecessary costs and ensuring that resources are used efficiently for business purposes.
Which of the following is an advantage and result of collaboration within the supply chain?
Question 24Select one:
a.
Purchase order systems are improved.
b.
Employee turnover rate is reduced.
c.
Shoplifting is reduced
d.
Invoice payment is prolonged
The correct answer is:
a. Purchase order systems are improved.
Explanation: Collaboration within the supply chain helps improve processes like purchase order systems by enhancing communication, streamlining operations, and reducing errors, leading to more efficient and timely ordering.
Which of the below is protected by copyright?
Select one:
a.
Slogans
b.
Facts
c.
Emails
d.
Procedures
Emails are protected by copyright. A legal issue associated with information management is the violation of copyright laws. (NF)
The correct answer is: Emails
What function in word processing software programs allows a person to take information from a spreadsheet to produce large quantities of letters used to send out to customers or suppliers?
Select one:
a.
Spell check
b.
Mail merge
c.
Table
d.
Chart
Mail merges save time and effort by allowing a user to substitute variables inserted in letters with the names of numerous individuals. (NF)
The correct answer is: Mail merge
A transaction processing system:
Select one:
a.
Assists HR managers in storing employee information
b.
Tracks customer data and synchronizes sales and marketing efforts
c.
Helps managers analyze business trends and create reports
d.
Converts business financial transactions into business information
A transaction processing system is a type of information system that converts business financial transactions into valuable information. (NF)
The correct answer is: Converts business financial transactions into business information
A great example of an aggregate document in information management is a(n):
Select one:
a.
Status report
b.
Algorithm model
c.
Database
d.
Data point
A database is a great example of an aggregate document. A database requires the input of many individuals, departments, or businesses. A database uses data input from many members in order to create a useful, all-in-one database. (NF)
The correct answer is: Database
Customer records, such as customer invoices from the previous year, may be used to:
Select one:
a.
Develop promotions
b.
Calculate profit
c.
Forecast sales
d.
Improve customer service
By analyze customer records, such as invoices, businesses can forecast sales for the upcoming period or year. (NF)
The correct answer is: Forecast sales
Why might a business want to conduct an environmental scan?
Select one:
a.
To create goals for the company, both for employees and for the business as a whole.
b.
To help management determine the future direction of the company.
c.
To understand the business's strengths and weaknesses.
d.
To learn how much it may be negatively affecting the environment.
After a business undergoes an environmental scan, or carefully monitors its different areas, it has a much better idea of where it stands, so choices about where to go next are easier. (NF)The correct answer is: To help management determine the future direction of the company.
95. This statistical analysis function measures the variation of the data set, or the average distance from the mean:Select one:
a.
Standard deviation
b.
Mean
c.
Correlation coefficient
d.
Median
Standard deviation measures the variation of the data, or the average distance from the mean. (NF)
The correct answer is: Standard deviation
A request for data from the database is a:
Select one:
a.
Service Request
b.
Entry
c.
Query
d.
Data Point
A query is a request for data from a database. (NF)
The correct answer is: Query
What data mining technique would be used to notice the sale of fruit snacks increased just before school starts?
Select one:
a.
Association
b.
Clustering
c.
Classification
d.
Prediction
There are seven (7) core techniques of data mining relationships: classification, clustering, associations, sequential patterns, prediction, regression analysis, and anomaly or outlier detection. The association would be the correct technique to notice the sale of fruit snacks increased just before school starts. (NF)
The correct answer is: Association
All data mining techniques need to follow ethics. The action of complying with a wish or command in the ethical world is:
Select one:
a.
Compliance
b.
Fairness
c.
Morals
d.
Values
Compliance is the action of complying with a wish or command in the ethical world. (NF)
The correct answer is: Compliance
Christelle, looking for work, wishes to talk with a variety of potential employers in a single afternoon. How could she best accomplish this?
Select one:
a.
By asking friends for referrals
b.
By finding a local career fair
c.
By registering for a local networking event
d.
By scheduling five job interviews on the same day
Christelle's best bet is a career fair, an event that allows individuals to talk with a variety of potential employers, all in the same place. Career fairs can be extremely convenient both for companies seeking the best new hires, and for people seeking to learn more about local work opportunities. (PD)
The correct answer is: By finding a local career fair
______ allows individuals to take the initiative to achieve their business goals by staying on top of industry advancements.
Select one:
a.
Self-education
b.
Networking
c.
Mentoring
d.
Experience
Continuing education is essential to professional development. While formal education may be possible, self-education is another great option. Self-education allows individuals to take initiative to achieve their business goals. (PD)
The correct answer is: Self-education
In addition to the four core functions of management, this is often listed as a fifth function.
Select one:
a.
Motivation
b.
Leading
c.
Planning
d.
Organizing
Motivation is sometimes listed as a fifth function of management. Motivation helps employees work efficiently or effectively! Great managers show commitment to their employee's efforts. (SM)
The correct answer is: Motivation
Which managerial function is most helpful when facing uncertainty within a company?
Select one:
a.
Planning
b.
Motivating
c.
Communicating
d.
Staffing
When dealing with uncertainty, planning keeps the company moving forward. (SM)
The correct answer is: Planning
Which function of management involves guiding and influencing the work of employees to meet goals?
Select one:
a.
Staffing
b.
Leading
c.
Planning
d.
Motivating
It is important to have good leaders for an organization to be successful. Leading is influencing. (SM)
The correct answer is: Leading
What basic concept of management is simply defined as "checking progress against plans"?
Select one:
a.
Controlling
b.
Planning
c.
Leading
d.
Staffing
Checking progress against plans and ensuring the project is moving in the right direction is an integral part of management. (SM)
The correct answer is: Controlling
Measuring the productivity of employees is an example of:
Question 5Select one:
a.
Leadership style
b.
Formal authority
c.
Managerial control
d.
Top-level management
This is managerial control. One part of the controlling function is to measure the performance of the business to determine if it is achieving its objectives. The controlling function is also called monitoring. (SM)
The correct answer is: Managerial control
Managers should focus on risks which have a high ________ and high ________.
Question 10Select one:
a.
Impact; Probability
b.
Impact; Profitability
c.
Reward; Probability
d.
Payoff; Likelihood
Risks which will have a high impact on the project and/or have a high probability of happening should be focused on first. These risks pose the greatest threat to project success. (SM)
The correct answer is: Impact; Probability
A _________________ is created to outline actions to be put in place when something unexpected occurs.
Question 16Select one:
a.
Preventative measure
b.
Contingency plan
c.
Alternate route
d.
Remedial plan
A contingency plan is designed in the event what is expected does not happen. The purpose of a contingency plan is to allow an organization to return to its usual operations as quickly as possible after an unforeseen event. (SM)
The correct answer is: Contingency plan
Natalie is an event planner. She has been planning a small concert that will be held in the downtown area of a local town. For this event, Natalie plans to obtain general liability event insurance to protect her and her company in the case of bodily injury or property damage. In this case, which risk management technique is being used?
Question 18Select one:
a.
Control
b.
Avoidance
c.
Transference
d.
Finance
This is an example of transferring risk. This involves bringing in a third party (the insurance company) to take part in the risky activity. Natalie is essentially transferring the consequences to the insurance company. (SM)
The correct answer is: Transference