Management Final Exam Practice
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Bonnie is taking a trip to Hawaii. She made her reservations online and is using self check-in at the airport. This is an example of A) advancement in service technology. B) advancement in manufacturing technology. C) computer-aided manufacturing. D) computer aided design. E) computer-assisted technology.
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- 2.
Jacques Torres is founder, CEO, and owner of Jacques Torres Chocolate in Brooklyn NY. He is a(n) A) intrapreneur. B) entrepreneur. C) franchisee. D) lease holder. E) professional manager. Points Earned: 2.0/2.0
Correct Answer
A.Explanation
Jacques Torres is the founder, CEO, and owner of Jacques Torres Chocolate, indicating that he started and runs his own business. Therefore, the correct answer is B) entrepreneur.Rate this question:
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- 3.
In systems theory, the raw materials, human resources, and financial resources of an organization are examples of A) inputs. B) feedback loops. C) transformation processes. D) outputs. E) sources of error.
Correct Answer
A.Explanation
The raw materials, human resources, and financial resources of an organization are examples of inputs. Inputs are the resources or materials that are used by an organization to produce goods or services. In this case, these resources are used as inputs in the transformation process to create the desired outputs.Rate this question:
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- 4.
An organization where power and control are kept at the top levels of management is A) specialized. B) centralized. C) decentralized. D) departmentalized. E) None of these.
Correct Answer
A.Explanation
The correct answer is B) centralized. In a centralized organization, power and control are concentrated at the top levels of management. Decisions and authority flow from the top down, with little autonomy or decision-making power given to lower-level employees. This type of structure allows for clear direction and coordination, but can result in slow decision-making and limited innovation.Rate this question:
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- 5.
According to the text, if you have a personal, nonroutine, or brief message to convey, the best form of interpersonal communication is probably A) oral. B) written. C) lateral. D) informal. E) downward.
Correct Answer
A.Explanation
According to the text, if you have a personal, nonroutine, or brief message to convey, the best form of interpersonal communication is probably oral. This means that speaking directly to the person is the most effective way to convey a message that is personal, nonroutine, or brief. Written communication may not be as effective in these situations because it lacks the immediacy and personal connection that oral communication provides. Lateral, informal, and downward communication may not be appropriate for personal messages, as they are more commonly used in professional or organizational contexts.Rate this question:
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- 6.
The standards of behavior that a group accepts for its members are called A) norms. B) roles. C) rules. D) customs. E) values.
Correct Answer
A.Explanation
The correct answer is A) norms. Norms refer to the standards of behavior that a group accepts for its members. These are the unwritten rules and expectations that guide the behavior of individuals within a group or society. Norms can vary across different cultures and social groups, and they help to define what is considered acceptable or unacceptable behavior in a given context.Rate this question:
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- 7.
OpenSkies flies only between Washington Dulles and Paris or Newark Liberty and Paris. It offers all-business-class service with 12 seats that lie flat or 72 that recline 140 degrees. The reclining seats are an example of A) features. B) aesthetics. C) reliability. D) durability. E) serviceability.
Correct Answer
A.Explanation
The correct answer is A) features. The reclining seats are a feature of OpenSkies' all-business-class service. Features refer to the distinctive characteristics or attributes of a product or service that set it apart from others. In this case, the reclining seats are a unique feature of OpenSkies' offering, providing added comfort and convenience for passengers.Rate this question:
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- 8.
An assembly operation includes four different jobs. Bob spends three weeks on each of these jobs and then starts the cycle over again with the first job of the operation. This is an example of job A) specialization. B) rotation. C) enlargement. D) enrichment. E) delegation.
Correct Answer
A.Explanation
B) rotation.
This is an example of job rotation because Bob spends three weeks on each of the four different jobs in a cyclical manner. He rotates through the jobs, completing each one before moving on to the next.Rate this question:
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- 9.
When Sikorsky and Boeing agreed to produce a new helicopter for the Department of Defense, it was an example of A) licensing. B) a strategic alliance. C) exporting. D) importing. E) maquiladoras.
Correct Answer
A.Explanation
The correct answer is B) a strategic alliance. This is because Sikorsky and Boeing agreed to collaborate and work together to produce a new helicopter for the Department of Defense. A strategic alliance refers to a partnership between two or more companies who come together to achieve a common goal or objective. In this case, Sikorsky and Boeing formed a strategic alliance to meet the needs of the Department of Defense by jointly developing and manufacturing a new helicopter.Rate this question:
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- 10.
Which of the following requires employers to provide up to 12 weeks of unpaid leave for family emergencies? A) Equal Pay Act of 1963 B) Family and Medical Leave Act of 1993 C) Age Discrimination in Employment Act D) Fair Labor Standards Act E) National Labor Relations Act
Correct Answer
A.Explanation
The correct answer is B) Family and Medical Leave Act of 1993. The Family and Medical Leave Act (FMLA) requires employers to provide up to 12 weeks of unpaid leave for family emergencies, such as the birth or adoption of a child, caring for a seriously ill family member, or the employee's own serious health condition. This law ensures that employees can take time off from work to handle these important family matters without fear of losing their job.Rate this question:
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- 11.
When the United States experienced the largest blackout in U.S. history, initial TV and radio reports blamed a fire in a Con Edison building in New York City. They turned out to be wrong. This illustrates which disadvantage of oral communication? A) It can be quite inaccurate. B) It often creates a need for feedback. C) It is more time-consuming than written communication. D) Managers are uncomfortable using oral communication. E) None of these.
Correct Answer
A.Explanation
A) It can be quite inaccurate.Rate this question:
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- 12.
Intel produces microprocessors. Intel is in which industry? A) service B) manufacturing C) outsourcing D) ISO 9000 E) SQC
Correct Answer
A.Explanation
The correct answer is B) manufacturing. This is because Intel is known for producing microprocessors, which are physical products. Therefore, it falls under the manufacturing industry.Rate this question:
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- 13.
For a company such as Johnson & Johnson that makes personal care products, medications, and medical supplies, which of the following would be considered as customers? A) Hospitals B) Pharmacies C) Families D) Doctors E) All of these.
Correct Answer
A.Explanation
All of these. Johnson & Johnson serves a wide range of customers, including hospitals, pharmacies, families, and doctors. As a company that produces personal care products, medications, and medical supplies, it is essential for Johnson & Johnson to cater to the needs of various customer groups. Hospitals and pharmacies purchase their products for use in patient care, families buy their personal care products for everyday use, and doctors recommend and prescribe their medications to patients. Therefore, all of these options can be considered as customers for Johnson & Johnson.Rate this question:
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- 14.
Wine produced in California and sold in France is an example of A) importing/exporting. B) licensing. C) a joint venture/strategic alliance. D) direct investment. E) global outsourcing.
Correct Answer
A.Explanation
Wine produced in California and sold in France is an example of exporting. Exporting refers to the act of selling goods or services produced in one country to another country. In this case, the wine produced in California is being sold in France, indicating that it is being exported from the United States to France.Rate this question:
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- 15.
At a regional manufacturing facility the quality control people sample 15 percent of the finished products to check for adherence to more than 12 quality standards. This is an example of A) acceptance sampling. B) outsourcing. C) in-process sampling. D) ISO 9000. E) None of these.
Correct Answer
A.Explanation
The correct answer is A) acceptance sampling.
This is because acceptance sampling involves inspecting a sample of products to determine whether they meet a set of predetermined quality standards. In this case, the quality control people are sampling 15 percent of the finished products to check for adherence to more than 12 quality standards, which aligns with the concept of acceptance sampling.Rate this question:
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- 16.
The ____ environment of a business that manufactures top-of-the-line cabinets includes computer-assisted design software that helps to convert wood and people's ideas into lovely, functional cabinets. A) legal B) sociocultural C) technological D) political E) economic
Correct Answer
A.Explanation
The correct answer is C) technological. The use of computer-assisted design software in the manufacturing process indicates the presence of technological advancements in the business environment. This software helps in converting wood and ideas into functional cabinets, highlighting the role of technology in the manufacturing process.Rate this question:
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- 17.
Which of the following is an important dimension for assessing diversity? A) Age B) Gender C) Religion D) Ethnicity E) All of these.
Correct Answer
A.Explanation
Age, gender, religion, and ethnicity are all important dimensions for assessing diversity. These factors contribute to the variety of perspectives, experiences, and backgrounds that individuals bring to a group or organization. Assessing diversity across these dimensions helps to ensure that different voices are represented and included, promoting a more inclusive and equitable environment.Rate this question:
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- 18.
Which of the eight dimensions of quality refers to a measure of product life? A) Reliability B) Durability C) Serviceability D) Features E) Perceived quality
Correct Answer
A.Explanation
Durability refers to a measure of product life, as it indicates how long a product will last and remain functional. It is a dimension of quality that focuses on the ability of a product to withstand wear, tear, and usage over a period of time. Reliability refers to the consistency of performance, serviceability refers to the ease of repair and maintenance, features refer to additional characteristics or functionalities, and perceived quality refers to the customer's perception of the product's overall quality.Rate this question:
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- 19.
Aviation officers in the Army know how to fly and manage people. Flying is one of their ____ skills. A) human B) organizational C) conceptual D) technical E) None of these.
Correct Answer
A.Explanation
The correct answer is D) technical. Aviation officers in the Army are trained in the technical skills required for flying an aircraft. This includes knowledge of flight controls, navigation systems, and emergency procedures. Additionally, they are also responsible for managing the technical aspects of operating an aircraft, such as maintenance and inspections.Rate this question:
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- 20.
The starting point for all job design activities is determining the level of desired job A) specialization. B) rotation. C) enlargement. D) enrichment. E) characteristics approach.
Correct Answer
A.Explanation
The correct answer is A) specialization. Job design activities begin by determining the level of desired job specialization, which refers to the extent to which tasks in a job are divided into separate and distinct components. This involves breaking down the job into smaller, more specialized tasks, which can increase efficiency and productivity.Rate this question:
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- 21.
Tom is taking art classes because he thinks they will help him be more creative at work. He is experiencing which stage of the creative process? A) Insight B) Incubation C) Preparation D) Verification E) Cognitive dissonance
Correct Answer
A.Explanation
Tom is taking art classes because he believes they will enhance his creativity at work. This suggests that he is in the "Preparation" stage of the creative process. In this stage, individuals actively seek out information, skills, or experiences that can contribute to their creative endeavors. Tom's decision to take art classes aligns with this stage as he is proactively taking steps to prepare himself for increased creativity in the workplace.Rate this question:
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- 22.
A crystal manufacturer has found a way to improve the management of its inventory of lead, which is part of its ____ inventory. A) finished-goods B) work-in-process C) raw materials D) in-transit E) just-in-time
Correct Answer
A.Explanation
The correct answer is C) raw materials. The question states that the crystal manufacturer has found a way to improve the management of its inventory of lead. Lead is a raw material used in the production of crystals, so it falls under the category of raw materials inventory.Rate this question:
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- 23.
When an organization produces 100 units of output for 10 hours of direct labor, what is its labor productivity index? A) 0.1 B) 10 C) 1000 D) 100 E) None of these.
Correct Answer
A.Explanation
The labor productivity index is calculated by dividing the total units of output by the total hours of direct labor. In this case, the organization produces 100 units of output for 10 hours of direct labor, so the labor productivity index is 10 (B).Rate this question:
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- 24.
Interpersonal skills enable managers A) to take an overall view of how the parts of the organization interrelate and to think strategically. B) to solve detailed problems for their subordinates. C) to understand and interact effectively with others in the organization. D) to diagnose organizational problems correctly. E) None of these.
Correct Answer
A.Explanation
Interpersonal skills enable managers to understand and interact effectively with others in the organization. This means that managers with strong interpersonal skills are able to communicate, collaborate, and build relationships with their team members, colleagues, and other stakeholders. By doing so, they can create a positive work environment, resolve conflicts, motivate their employees, and foster teamwork. These skills are crucial for managers to establish trust and credibility, as well as to effectively lead and manage their teams.Rate this question:
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- 25.
One advantage of group decision making is A) groupthink. B) compromise. C) diversity of members' backgrounds. D) lowered cost of decision making. E) ability of a strong individual to direct the group.
Correct Answer
A.Explanation
One advantage of group decision making is the diversity of members' backgrounds. When a group is composed of individuals with different backgrounds, experiences, and perspectives, it can lead to more comprehensive and well-rounded decision making. This diversity allows for a wider range of ideas and considerations to be brought to the table, ultimately leading to better decision outcomes.Rate this question:
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- 26.
Which of the following is NOT a strategy for managing diversity? A) Organizational policies B) Diversity training C) Selective recruitment D) Supportive organization culture E) Organizational practices
Correct Answer
A.Explanation
The correct answer is C) Selective recruitment. Selective recruitment refers to the process of intentionally hiring individuals who fit a specific profile or have specific characteristics, which goes against the concept of managing diversity. Managing diversity focuses on creating an inclusive and diverse workforce through strategies such as organizational policies, diversity training, supportive organization culture, and organizational practices. Selective recruitment would contradict these efforts by deliberately excluding certain individuals based on their characteristics or backgrounds.Rate this question:
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- 27.
Andrea has a PhD in organizational psychology and fifteen years consulting experience. Her primary power is A) legitimate. B) technological. C) expert. D) referent. E) coercive.
Correct Answer
A.Explanation
The correct answer is C) expert. Andrea's PhD in organizational psychology and fifteen years of consulting experience indicate that she has a high level of expertise in her field. This expertise gives her power and influence in the organization.Rate this question:
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- 28.
A waitress who checks on you after you have tasted the food, but before the bill, is part of a A) screening control. B) preliminary control. C) postaction control. D) human resources control. E) financial resources control.
Correct Answer
A.Explanation
A waitress who checks on you after you have tasted the food, but before the bill, is part of a preliminary control. This is because the waitress is ensuring that the customer is satisfied with the food and addressing any issues or concerns before the transaction is completed. This helps to prevent any potential problems or complaints from escalating and allows for immediate resolution.Rate this question:
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- 29.
The US Commerce Department has limited the amount of textiles that can be imported from China. This is an example of a(n) A) quota. B) strategic alliance. C) joint venture. D) franchise agreement. E) export restraint agreement.
Correct Answer
A.Explanation
The correct answer is A) quota. A quota is a restriction on the quantity of goods that can be imported or exported. In this case, the US Commerce Department has limited the amount of textiles that can be imported from China, which aligns with the definition of a quota.Rate this question:
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- 30.
Claudia is trying to develop a communications plan for a new plant opening. She puts in many hours of overtime and eventually gives up and goes home without finishing the project. She is experiencing which response to stress? A) Alarm B) Resistance C) Exhaustion D) Cognitive dissonance E) None of these.
Correct Answer
A.Explanation
Claudia is experiencing the response to stress known as exhaustion. This is evident from the fact that she puts in many hours of overtime and eventually gives up and goes home without finishing the project. Exhaustion is the third stage of the general adaptation syndrome, characterized by a depletion of physical and mental resources due to prolonged exposure to stress.Rate this question:
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- 31.
Tom is taking art classes because he thinks they will help him be more creative at work. He is experiencing which stage of the creative process? A) Insight B) Incubation C) Preparation D) Verification E) Cognitive dissonance
Correct Answer
A.Explanation
Tom is taking art classes because he believes they will enhance his creativity at work. This indicates that he is in the Preparation stage of the creative process. In this stage, individuals actively seek out information, skills, or experiences that can contribute to their creative endeavors. Tom's decision to take art classes aligns with this stage as he is preparing himself by acquiring new knowledge and skills in order to enhance his creativity at work.Rate this question:
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- 32.
Maintaining the optimal amount of inventory is part of ____ control. A) physical B) human C) information D) financial E) quality
Correct Answer
A.Explanation
Maintaining the optimal amount of inventory is part of financial control. This is because inventory management involves monitoring and controlling the costs associated with holding inventory, such as storage costs, carrying costs, and the risk of obsolescence. By effectively managing inventory levels, a company can minimize costs and maximize financial performance.Rate this question:
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- 33.
Leading involves each of the following EXCEPT A) understanding individual and interpersonal processes. B) motivating and influencing others. C) technical understanding and control. D) interpersonal relations and communication. E) managing work groups and teams.
Correct Answer
A.Explanation
The correct answer is C) technical understanding and control. Leading involves understanding individual and interpersonal processes, motivating and influencing others, interpersonal relations and communication, and managing work groups and teams. However, it does not necessarily require technical understanding and control, as these skills are more closely related to the role of a manager or supervisor rather than a leader.Rate this question:
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- 34.
Which of the following activities is essential to the role of entrepreneur? A) Assuming the risks of operating a business B) Active involvement in operating the business C) Being one's own boss D) Starting a new business venture E) All of these.
Correct Answer
A.Explanation
All of these activities are essential to the role of an entrepreneur. Assuming the risks of operating a business is crucial as entrepreneurs often invest their own money and resources into their ventures. Active involvement in operating the business is necessary for entrepreneurs to make key decisions and drive the success of their business. Being one's own boss is a defining characteristic of entrepreneurship, as entrepreneurs have the freedom to set their own goals and strategies. Starting a new business venture is the very essence of being an entrepreneur, as it involves identifying opportunities and taking the initiative to create a new enterprise.Rate this question:
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- 35.
A(n) ____ is usually a middle manager who learns about a new product or service idea and becomes committed to it. This manager helps the inventor overcome resistance to change and convinces others to take the innovation seriously. A) product champion B) inventor C) sponsor D) venture capitalist E) transformational leader
Correct Answer
A.Explanation
A product champion is usually a middle manager who learns about a new product or service idea and becomes committed to it. This manager helps the inventor overcome resistance to change and convinces others to take the innovation seriously.Rate this question:
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- 36.
Monica is the class clown. Monica is likely to be the A) formal leader. B) informal leader. C) task specialist. D) maintenance specialist. E) hero.
Correct Answer
A.Explanation
Monica, being the class clown, is likely to be the informal leader. Informal leaders are individuals who gain influence and authority within a group based on their personal characteristics, such as humor or charisma, rather than through formal positions or titles. Monica's role as the class clown suggests that she has a natural ability to engage and entertain her classmates, which can lead to her being seen as a leader in a more casual, non-official capacity.Rate this question:
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- 37.
____ control is characterized by ____ rules and a(n) ____ structural arrangement. A) Decentralized; formal; organic B) Decentralized; informal; organic C) Bureaucratic; informal; mechanistic D) Bureaucratic; formal; organic E) None of these.
Correct Answer
A.Explanation
Decentralized control is characterized by formal rules and an organic structural arrangement.Rate this question:
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- 38.
Johnson & Johnson does not require its various divisions to report in frequently. It believes in letting each manager have the authority to respond quickly to environmental changes. These changes do not have to be approved by Johnson & Johnson before they are implemented. Johnson & Johnson has ____ strategic control. A) bureaucratic B) inappropriate C) decentralized D) formalized E) inflexible
Correct Answer
A.Explanation
Johnson & Johnson has decentralized strategic control. This means that the company allows each manager in its various divisions to have the authority to respond quickly to environmental changes without needing approval from the company itself. This decentralized approach gives managers the freedom to make decisions and implement changes in a timely manner, without being constrained by a bureaucratic or formalized system.Rate this question:
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- 39.
Human resources at Pfizer helps identify top performers who are eligible for a special program that helps them set goals and map their future career. Pfizer is using the OD technique A) technostructural activities. B) life and career planning. C) team building. D) coaching and counseling. E) third-party peacemaking.
Correct Answer
A.Explanation
The correct answer is B) life and career planning. This is because Pfizer's human resources department is helping top performers set goals and map their future career, which aligns with the concept of life and career planning.Rate this question:
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- 40.
____ is the set of forces that cause people to behave in certain ways. A) Motivation B) Management C) Perception D) Personality E) Compensation
Correct Answer
A.Explanation
Motivation is the set of forces that cause people to behave in certain ways. It is the internal or external drive that stimulates individuals to take action, achieve goals, and fulfill their needs. Motivation can be influenced by various factors such as personal values, beliefs, desires, rewards, and incentives. It plays a crucial role in determining behavior and performance in both personal and professional settings.Rate this question:
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- 41.
After oil prices hit record highs and the oil companies made record profits, some of the oil CEOs appeared on the Today show to explain their business to consumers. This is an example of A) creation of an obligation. B) impression management. C) initiating structure. D) persuasion. E) inducement.
Correct Answer
A.Explanation
B) impression management.
The oil CEOs appearing on the Today show to explain their business to consumers can be seen as an example of impression management. By appearing on a popular television show, the CEOs are attempting to shape and control the perception of their business and the industry as a whole. They are trying to create a positive image and influence public opinion, possibly in response to criticism or concerns about their record profits and high oil prices.Rate this question:
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- 42.
At a regional manufacturing facility, the quality control people sample 10 percent of the finished products to check for adherence to quality standards. This is an example of A) benchmarking. B) acceptance sampling. C) in-process sampling. D) conformance sampling. E) None of these.
Correct Answer
A.Explanation
The correct answer is B) acceptance sampling. This is because the quality control people are sampling a portion of the finished products to determine if they meet the quality standards. Acceptance sampling is a common practice in manufacturing where a sample is taken from a larger batch or population to determine if it meets the required criteria or standards.Rate this question:
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- 43.
A department store provides utility for customers because it makes it easy for them to purchase what they want in one place. This is an example of ____ utility. A) time B) statistical C) form D) quality E) All of these.
Correct Answer
A.Explanation
E) All of these.Rate this question:
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- 44.
Which of the following is an example of an owner of a business? A) Individual investors who buy stock in that business B) Partners C) People who have legal property rights to that business D) Individuals who finance and start up a new business E) All of these.
Correct Answer
A.Explanation
The correct answer is E) All of these. This is because all of the options mentioned - individual investors who buy stock in the business, partners, people who have legal property rights to the business, and individuals who finance and start up a new business - can be considered owners of a business in different capacities.Rate this question:
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- 45.
Which of the following represents an economic community? A) North American Free Trade Agreement (NAFTA) B) North Atlantic Treaty Organization (NATO) C) United Nations (UN) D) International Monetary Fund (IMF) E) All of these.
Correct Answer
A.Explanation
An economic community refers to a group of countries that have agreed to promote economic integration and cooperation. The North American Free Trade Agreement (NAFTA) represents an economic community as it is an agreement between the United States, Canada, and Mexico to eliminate trade barriers and promote economic cooperation. The other options, North Atlantic Treaty Organization (NATO), United Nations (UN), and International Monetary Fund (IMF), do not specifically focus on economic integration and cooperation, making them not representative of an economic community. Therefore, the correct answer is A) North American Free Trade Agreement (NAFTA).Rate this question:
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- 46.
Extra funds should be channeled to the ____, which is a product with a high share of a fast-growing market. A) star B) cash cow C) differentiator D) profitable product E) question mark
Correct Answer
A.Explanation
The correct answer is A) star. A star is a product that has a high market share in a fast-growing market. It is considered to be a high-potential product that can generate significant profits in the future. Therefore, it makes sense to allocate extra funds to support and further develop this product in order to maximize its growth and profitability.Rate this question:
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- 47.
During the recession shipping, air cargo, and trucking companies scaled back. When the economy picked back up there were transportation delays everywhere. Companies needed A) standard operating procedures. B) contingency plans. C) regulations. D) rules. E) standing plans.
Correct Answer
A.Explanation
During the recession, many transportation companies scaled back their operations, resulting in a decrease in capacity. When the economy picked back up, there was a sudden increase in demand for transportation services, leading to delays. In order to address these delays and ensure smooth operations, companies would need contingency plans. These plans would outline alternative courses of action to be taken in case of unexpected events or disruptions in the transportation system, helping companies to mitigate delays and maintain efficiency.Rate this question:
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- 48.
Amazon, maker of Kindle, could choose a touch screen which increases glare or non-touch screen for better viewing. They were in which step of the rational decision making model? A) Develop a set of rational alternatives B) Evaluate the possible alternatives C) Consult with other decision-makers D) Recognize and define the decision situation E) Evaluate decision effectiveness
Correct Answer
A.Explanation
The correct answer is A) Develop a set of rational alternatives. In this step of the rational decision-making model, Amazon is considering the different options they have for the type of screen to use in their Kindle. They are weighing the pros and cons of a touch screen that may increase glare versus a non-touch screen for better viewing. This step involves brainstorming and generating a range of possible alternatives before evaluating them.Rate this question:
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- 49.
Which of the following is an example of a company that has identified a new market? A) Lonnie Johnson develops the Super Soaker, the world's most successful water gun. B) Low-dose Bayer aspirin introduced into the Chinese market. C) Coca-Cola introduces another low calorie soft drink. D) Kroger supermarkets add a new line of cosmetics for teens to its shelves. E) Purina introduces a new package design for its dog food.
Correct Answer
A. -
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