Management Final Exam Practice

40 Questions  I  By Glencolborn
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1.  Sweden's Hexagon acquired Intergraph. Hexagon is attempting to produce more with the two subsystems working together than they would alone. This is an example of A) entropy. B) feedback loops. C) transformation processes. D) inputs. E) synergy.
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2.  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.
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3.  For a major project for his employer, Jason wants to choose the management consulting team that will give his employer the best outcome. Which decision criteria should Jason use to maximize effectiveness? A) He should choose the team with the lowest expenses. B) He should choose the team that can complete the project the quickest. C) He should choose the team that has the most knowledge and experience. D) Can't decide¾None of these criteria are likely to lead to effectiveness. E) Can't decide¾Jason needs to know which criteria are most important to his employer.
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4.  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.
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5.  Lee admires her CEO. Recently some top executives were accused of offering bribes in other countries. Lee believes there is no way the CEO knew about it. She is using A) selective perception. B) perception. C) objective reality. D) stereotyping. E) perceived reality.
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6.  The University of Michigan develops a budget that shows its projected income from sources such as the state of Michigan, tuition and fees, alumni contributions, and research grants. This is an example of a(n) ____ budget. A) operations B) capital expenditures C) nonmonetary D) output E) revenue
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7.  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.
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8.  Organizations make the decision to have a centralized or decentralized international control system when they are addressing issues of ____ control. A) operational B) strategic C) financial D) bureaucratic E) None of these.
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9.  Which of the following factors would not be included in Maslow's physiological needs category? A) Air B) Food C) Safety D) Sex E) Water
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10.  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.
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11.  All of the following are bases for departmentalization EXCEPT A) functional. B) product. C) location. D) customer. E) competition.
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12.  Maintaining the optimal amount of inventory is part of ____ control. A) physical B) human C) information D) financial E) quality
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13.  Which of the following is NOT characteristic of the bureaucratic approach to organizational control? A) Rewards focused on individual performance B) Tall organizational structure C) Limited employee participation D) Reliance on rules and a rigid hierarchy E) Reliance on group norms
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14.  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.
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15.  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.
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16.  Sales forecasting, economic forecasting, and environmental analysis are examples of the control of A) physical resources. B) human resources. C) information resources. D) financial resources. E) None of these.
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17.  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
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18.  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
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19.  The extent to which others in the same situation behave in the same way is known as A) consistency. B) consensus. C) distinctiveness. D) stress. E) cognitive dissonance.
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20.  The best alternative is the most ____ alternative A) efficient B) controllable C) profitable D) effective E) valid
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21.  A company that carefully evaluates job applicants is using ____ control. A) screening B) cybernetic C) postaction D) preliminary E) yes-no
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22.  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.
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23.  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.
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24.  In times of economic prosperity, small firms are the first to hire additional workers and big firms are last. In times of economic downswings, small firms are the first to eliminate workers and big firms are last. This reflects which attribute of small firms as compared to large firms? A) Increased innovation B) Increased flexibility C) Higher susceptibility to lawsuits D) Economies of scale E) All of these.
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25.  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.
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26.  ____ 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.
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27.  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.
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28.  According to Maslow, the need that people have for respect and recognition is the need for A) achievement. B) security. C) self-respect. D) belongingness. E) esteem.
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29.  Michelle was an advocate for health care reform. No matter how many statistics show the cost of health care increasing after reform, she refuses to believe them She has the individual barrier A) inconsistent signals. B) credibility. C) predispositions. D) poor listening skills. E) reluctance to communicate.
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30.  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.
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31.  Herbert Simon noted that managers generally fail to make rational decisions because they are limited by their own values, skills, habits, and unconscious reflexes as well as by incomplete information. What name did Simon give this phenomenon? A) Satisficing B) Bounded rationality C) Brainstorming D) Rational decision making E) Decision framing
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32.  When Donald Rumsfeld was Secretary of Defense, he was a very strong-willed manager. He was often able to persuade generals and admirals to do what he thought was best. Which disadvantage of group decision making was that group experiencing? A) Diversity of background B) Compromise C) Groupthink D) Domination by one member E) Time required to get a decision
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33.  Using the BCG matrix, SBUs are classified on the basis of A) market growth rate and cash generation potential. B) market share and market growth rate. C) competitive advantage and financial strength. D) a strategic business unit and product life cycle. E) None of these.
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34.  Intel produces microprocessors. Intel is in which industry? A) service B) manufacturing C) outsourcing D) ISO 9000 E) SQC
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35.  McDonald's has determined how small onion should be chopped and how much should be put on a hamburger. Which step in the control process does this represent? A) Corrective action B) Measuring performance C) Comparison of performance to standards D) Setting performance standards E) Goal setting
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36.  Which of the following is a strategic challenge that faces a small business? A) Emphasizing distinctive competencies B) Writing a business plan C) Finding a niche market D) Raising capital E) All of these.
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37.  When General Mills entered the yogurt market by buying Yoplait, it stated that it wanted to achieve sales of $50 million in five years. It was A) attempting to control its external environment. B) attempting to be timely with its controls. C) integrating planning with control. D) relying on bureaucratic controls. E) None of these.
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38.  The standards of behavior that a group accepts for its members are called A) norms. B) roles. C) rules. D) customs. E) values.
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39.  The records department at Chelsea Community Hospital is an example of a(n) A) interest group. B) informal group. C) team. D) task group. E) functional group.
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40.  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.
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