Question 1

The term commonly used to describe the process by which a firm attempts to locate and purchase goods and services on a world-wide basis in known as:

Accepted Answer

A)  Global sourcing 
B)  Foreign penetrating 
C)  Importing 
D)  Tracing 
A)  Global sourcing 
B)  Foreign penetrating 
C)  Importing 
D)  Tracing

Question 2

The corporate charter includes which of the following factor?

Accepted Answer

A)  types of activities it will pursue 
B)  amount of capital stock 
C)  number of directors 
D)  All of the above 
A)  types of activities it will pursue 
B)  amount of capital stock 
C)  number of directors 
D)  All of the above

Question 3

What refers to organizational use of employees to gain or keep a competitive advantage against competitors?

Accepted Answer

A)  HR Activities 
B)  HR management roles 
C)  Strategic HR management 
D)  HR policies 
A)  HR Activities 
B)  HR management roles 
C)  Strategic HR management 
D)  HR policies

Question 4

An organization that produces non-physical outputs that require customer involvement and cannot be stored in inventory is called:

Accepted Answer

A)  Service organization 
B)  Routine organization 
C)  Involuntary organization 
D)  Overhaul organization 
A)  Service organization 
B)  Routine organization 
C)  Involuntary organization 
D)  Overhaul organization

Question 5

What is the formula used for to calculate the Total Cost?

Accepted Answer

A)  Total Cost = (fixed cost per unit * units of production) + Variable cost 
B)  Total Cost = (variable cost per unit + units of production) * Fixed cost 
C)  Total Cost = (variable cost per unit * units of production) + Fixed cost 
D)  Total Cost = (fixed cost per unit + units of production) * variable cost 
A)  Total Cost = (fixed cost per unit * units of production) + Variable cost 
B)  Total Cost = (variable cost per unit + units of production) * Fixed cost 
C)  Total Cost = (variable cost per unit * units of production) + Fixed cost 
D)  Total Cost = (fixed cost per unit + units of production) * variable cost

Question 6

Greenmail, which is like blackmail, occurs when:

Accepted Answer

A)  potential acquirer buys a block of stock in a company 
B)  the target company's management becomes frightened that the acquirer will make a tender offer and gain control of the company 
C)  head off a possible takeover, management offer to pay greenmail, buying the stock owned by the potential raider at a price above the existing market price 
D)  All of the above 
A)  potential acquirer buys a block of stock in a company 
B)  the target company's management becomes frightened that the acquirer will make a tender offer and gain control of the company 
C)  head off a possible takeover, management offer to pay greenmail, buying the stock owned by the potential raider at a price above the existing market price 
D)  All of the above

Question 7

What is obtained by spreading the costs of distribution over a large quantity of products or over a wide variety of products?

Accepted Answer

A)  Transaction efficiency 
B)  Economies of scale and scope 
C)  Division of labor 
D)  Discrepancies in place 
A)  Transaction efficiency 
B)  Economies of scale and scope 
C)  Division of labor 
D)  Discrepancies in place

Question 8

Liabilities that will not be due for a long time are known as:

Accepted Answer

A)  long-term liabilities 
B)  Fixed liabilities 
C)  Variable liabilities 
D)  None of the above 
A)  long-term liabilities 
B)  Fixed liabilities 
C)  Variable liabilities 
D)  None of the above

Question 9

Which of the following is NOT the stage of the product cycle?

Accepted Answer

A)  The new product 
B)  The maturing product 
C)  The standardized product 
D)  The marketed product 
A)  The new product 
B)  The maturing product 
C)  The standardized product 
D)  The marketed product

Question 10

An approach that requires purchasing to view the entire world as a potential source for parts, components, services, and finished goods is called:

Accepted Answer

A)  Global sourcing 
B)  Global resourcing 
C)  Globe of suppliers 
D)  Global foundation 
A)  Global sourcing 
B)  Global resourcing 
C)  Globe of suppliers 
D)  Global foundation

Question 11

The expenses incurred when a customer stops buying a product or service from one business and starts buying it from another are called:

Accepted Answer

A)  Transferring costs 
B)  Switching costs 
C)  Change costs 
D)  Replacement costs 
A)  Transferring costs 
B)  Switching costs 
C)  Change costs 
D)  Replacement costs

Question 12

____________ are targets and tolerances determined by designers of products and services.

Accepted Answer

A)  Terms 
B)  Specifications 
C)  Constraints 
D)  Provision 
A)  Terms 
B)  Specifications 
C)  Constraints 
D)  Provision

Question 13

The purchasing of supplies, services and raw materials for use in the production process, known as:

Accepted Answer

A)  Procurement 
B)  Disbursement 
C)  Foot-holding 
D)  Leveraging 
A)  Procurement 
B)  Disbursement 
C)  Foot-holding 
D)  Leveraging

Question 14

In ________________, managers of the acquired firm generally are fired, and who are able to stay on lose the power they had prior top the acquisition.

Accepted Answer

A)  Prison pill 
B)  Hostile takeover 
C)  Adverse takeover 
D)  Antagonistic prison 
A)  Prison pill 
B)  Hostile takeover 
C)  Adverse takeover 
D)  Antagonistic prison

Question 15

The competitive strategy of an organization consists of:

Accepted Answer

A)  Make finished items to stock 
B)  Assemble final products to order and make components 
C)  Custom design and make-to-order 
D)  All of the above 
A)  Make finished items to stock 
B)  Assemble final products to order and make components 
C)  Custom design and make-to-order 
D)  All of the above

Question 16

What integrate a company's information assets into a single accessible system using Internet-based technologies?

Accepted Answer

A)  Internets 
B)  Intranets 
C)  Extranets 
D)  Virtual Internet beams 
A)  Internets 
B)  Intranets 
C)  Extranets 
D)  Virtual Internet beams

Question 17

The Australian Business Awards are administered by the Australian Quality Awards Foundation with which level?

Accepted Answer

A)  Business Improvement level 
B)  Award Gold level 
C)  Australian Business Excellent prize 
D)  All of the above 
A)  Business Improvement level 
B)  Award Gold level 
C)  Australian Business Excellent prize 
D)  All of the above

Question 18

The shared values and beliefs of a workforce is called:

Accepted Answer

A)  Organizational rituals 
B)  Organizational culture 
C)  Organizational norms 
D)  Organizational standard 
A)  Organizational rituals 
B)  Organizational culture 
C)  Organizational norms 
D)  Organizational standard

Question 19

The process that begins with analyzing and journalizing transactions and ends with the post-closing trial balance is called:

Accepted Answer

A)  Income statement 
B)  Source cycle 
C)  Accounting cycle 
D)  Statement of cash flows 
A)  Income statement 
B)  Source cycle 
C)  Accounting cycle 
D)  Statement of cash flows

Question 20

Deception for the purpose of gaining access, or deception of users to make them think they are logged on to a certain website while they actually are logged on to another, this phenomenon is called:

Accepted Answer

A)  Disguising 
B)  Camouflaging 
C)  Masquerading 
D)  Spoofing 
A)  Disguising 
B)  Camouflaging 
C)  Masquerading 
D)  Spoofing

Exam 1: Certified Business Manager