Business Information Management Exam Practice Test

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  • 1/45 Questions

    Name the most popular and comprehensive search engine on the internet.

    • Google.com
    • Bing.com
    • MSN.com
    • Yahoo.com
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About This Quiz

In the world today more and more businesses are trying to avoid paperwork by being computerized and storing their data in their systems. With this, there is a need for one to be knowledgeable in business information management. Take up this quiz and see what you recall and prepare for the final exam. All the best!

Business Information Management Exam Practice Test - Quiz

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  • 2. 

    Electronic transfer of funds is referred to as the funds that are transfer electronically from one account to another.

    • True

    • False

    Correct Answer
    A. True
    Explanation
    The explanation for the given correct answer is that electronic transfer of funds is indeed referred to as the funds that are transferred electronically from one account to another. This means that instead of using physical cash or cheques, individuals or organizations can send money to another account through electronic means such as online banking, wire transfers, or mobile payment apps. This method is convenient, fast, and secure, making it a popular choice for many people to transfer funds.

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  • 3. 

    Business Intelligence (BI) technologies provide historical, current, and predictive views of business operations.

    • True

    • False

    Correct Answer
    A. True
    Explanation
    Business Intelligence (BI) technologies refer to a range of tools and techniques used to collect, analyze, and present data in order to support business decision-making. These technologies are designed to provide insights into historical, current, and predictive views of business operations. By analyzing data from various sources, BI technologies help organizations understand their past performance, monitor their current operations, and make informed predictions about future trends. Therefore, the statement "Business Intelligence (BI) technologies provide historical, current, and predictive views of business operations" is true.

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  • 4. 

    Starting the computer is known as the boot process.

    • True

    • False

    Correct Answer
    A. True
    Explanation
    The boot process refers to the sequence of operations that occur when a computer is turned on or restarted. It involves the initialization of hardware components, loading of the operating system, and launching of necessary system services and applications. Therefore, starting the computer is indeed known as the boot process, making the answer "True" correct.

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  • 5. 

    Connecting one computer to another creates a(n):

    • Control Unit

    • Track

    • Network

    • Sector

    Correct Answer
    A. Network
    Explanation
    Connecting one computer to another creates a network. A network is a collection of interconnected devices, such as computers, that can communicate and share resources with each other. When two or more computers are connected together, they can form a network, allowing them to exchange data, share files, and access shared devices or services. Therefore, the correct answer is "Network".

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  • 6. 

    Most large business organizations that their business model is only comprised of electronic commerce, use an ERP (Enterprise resource planning) system

    • True

    • False

    Correct Answer
    A. True
    Explanation
    Large business organizations that rely solely on electronic commerce often use an ERP system. An ERP system integrates various business processes and functions, such as finance, human resources, supply chain management, and customer relationship management, into a single system. This allows organizations to streamline their operations, improve efficiency, and effectively manage their resources. Therefore, it is true that most large business organizations with an electronic commerce business model use an ERP system.

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  • 7. 

    The impact of technology in business is not considered a paradigm shift.

    • True

    • False

    Correct Answer
    A. False
    Explanation
    The impact of technology in business is considered a paradigm shift because it has fundamentally changed the way businesses operate and interact with customers. Technology has revolutionized communication, productivity, and efficiency in business processes. It has enabled the automation of tasks, the collection and analysis of vast amounts of data, and the development of new business models. These advancements have disrupted traditional industries and created new opportunities for innovation and growth. Therefore, the statement that the impact of technology in business is not considered a paradigm shift is false.

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  • 8. 

    The computer monitor's sharpness or clarity is referred to as its:

    • Image

    • Resolution

    • Contrast

    • Setting

    Correct Answer
    A. Resolution
    Explanation
    Resolution refers to the number of pixels displayed on a computer monitor. It determines the level of detail and sharpness in the images and text displayed on the screen. A higher resolution means more pixels, resulting in a clearer and sharper image. Therefore, the sharpness or clarity of a computer monitor is determined by its resolution.

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  • 9. 

    Which of the following best describes a business that incorporates an ERP application?

    • Small corner grocery store

    • Mid-size company warehouse

    • Large international company--primarily retail

    • None of the above

    Correct Answer
    A. Large international company--primarily retail
    Explanation
    A business that incorporates an ERP application is typically a large international company primarily engaged in the retail industry. This is because ERP systems are designed to integrate and manage various business processes such as inventory management, supply chain management, sales, and customer relationship management. These functionalities are particularly useful for large companies with complex operations and multiple locations, such as international retail chains. Small corner grocery stores and mid-size company warehouses may not require the extensive functionalities offered by an ERP system, making the answer "large international company--primarily retail" the most appropriate choice.

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  • 10. 

    With reference to technology's impact in business, is important to take into account _______________.

    • Computer application on business

    • Software application in business

    • How is the technology applied to the business

    • None of the above

    Correct Answer
    A. How is the technology applied to the business
    Explanation
    When considering the impact of technology in business, it is crucial to take into account how the technology is applied to the business. This refers to understanding the specific ways in which technology is utilized within the business operations, processes, and strategies. By understanding the application of technology, businesses can assess its effectiveness, identify areas for improvement, and make informed decisions regarding technology adoption and implementation. This knowledge is essential for leveraging technology to enhance productivity, efficiency, customer experience, and overall business performance.

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  • 11. 

    The transfer of funds electronically is referred to as ___________________.

    • Electronic Payment transfer

    • Electronic Funds Allocation

    • Electronic Funds Payment

    • Electronic Funds Transfer

    Correct Answer
    A. Electronic Funds Transfer
    Explanation
    The transfer of funds electronically is commonly known as Electronic Funds Transfer. This process allows for the seamless movement of money from one account to another through electronic means, such as online banking, wire transfers, or automated clearinghouse systems. It eliminates the need for physical checks or cash transactions, providing a convenient and efficient way to send and receive funds securely.

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  • 12. 

    Input, process, output, and storage are the four basic computer functions known as the:

    • Information Processing Cycle

    • Central Processing System

    • Logical Data Processing

    • Memory Processing

    Correct Answer
    A. Information Processing Cycle
    Explanation
    The correct answer is Information Processing Cycle because it accurately describes the four basic computer functions: input, process, output, and storage. These functions represent the flow of information within a computer system, where data is received as input, processed or manipulated, then produced as output, and finally stored for future use. The term "Information Processing Cycle" encompasses all these essential steps, highlighting the fundamental operations performed by a computer.

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  • 13. 

    Business processes provide for range of opportunities for the ___________________.

    • Application of Software

    • Application of Hardware

    • Application of Information Technology

    • Application of users to use computers.

    Correct Answer
    A. Application of Information Technology
    Explanation
    Business processes provide a range of opportunities for the application of information technology. This means that by incorporating technology into their processes, businesses can enhance efficiency, streamline operations, improve communication, and gain a competitive edge. Information technology enables businesses to automate tasks, store and analyze data, collaborate remotely, and make informed decisions based on real-time information. By leveraging technology, businesses can optimize their processes and achieve their goals more effectively.

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  • 14. 

    Which of the following best describes a paradigm shift in technology?

    • Use of USB 2.0 in business

    • Impact of technology in business

    • Impact of use of CD as a storage media in business

    • Use of laptops in the business

    Correct Answer
    A. Impact of technology in business
    Explanation
    A paradigm shift in technology refers to a fundamental change or transformation in the way technology is used or understood. It involves a significant shift in thinking, practices, or approaches that revolutionize the field. The answer "Impact of technology in business" best describes a paradigm shift as it encompasses the broad and transformative effect that technology has on the business world, indicating a significant change in the way businesses operate and function due to technological advancements.

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  • 15. 

    A(n) _________________computer is one that is capable of running more than one operating system.

    • Dual-boot

    • Local area network

    • Open-source

    • Wide area network

    Correct Answer
    A. Dual-boot
    Explanation
    A dual-boot computer is capable of running more than one operating system. This means that the user can choose between different operating systems when starting up the computer. This is useful for individuals who need to use multiple operating systems for different purposes, such as running specific software or testing different platforms. With a dual-boot setup, the user can switch between operating systems without the need for separate computers or virtual machines.

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  • 16. 

    This type of network connects each node to the next, forming a loop.

    • Star Topology

    • Bus Topology

    • Ring Topology

    • All of the above

    Correct Answer
    A. Ring Topology
    Explanation
    A ring topology is a type of network where each node is connected to the next, forming a loop. In this configuration, data travels in one direction around the loop, passing through each node until it reaches its destination. This topology is commonly used in local area networks (LANs) and allows for efficient data transmission and fault tolerance.

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  • 17. 

    Which of the following are ways we manage information in support of information resources?

    • Security and privacy

    • Security and disposition

    • Storage and privacy

    • Storage and disposition

    Correct Answer
    A. Security and privacy
    Explanation
    The correct answer is security and privacy. Managing information in support of information resources involves ensuring the security and privacy of the information. This includes implementing measures to protect information from unauthorized access, use, disclosure, alteration, or destruction. It also involves establishing policies and procedures to safeguard the privacy of individuals' personal information and comply with applicable privacy laws and regulations.

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  • 18. 

    Who are the information managers customers?

    • Information users both internal and external

    • Information users both centralized and decentralized

    • Information providers internal and external

    • Information providers centralized and decentralized

    Correct Answer
    A. Information users both internal and external
    Explanation
    The customers of information managers are both internal and external information users. This means that the information managers cater to the needs of individuals or entities within the organization (internal users) as well as those outside the organization (external users). These users rely on the information provided by the information managers to make informed decisions and carry out their respective roles effectively.

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  • 19. 

    The __________________ manages the hardware components including the CPU, memory storage, and peripheral devices.

    • Operating System

    • Device Drivers

    • Motherboard

    • Ports

    Correct Answer
    A. Operating System
    Explanation
    The operating system is responsible for managing the hardware components of a computer system, including the CPU, memory storage, and peripheral devices. It acts as an intermediary between the user and the hardware, providing a platform for running applications and coordinating the resources of the computer. The operating system handles tasks such as allocating memory, scheduling processes, and managing input/output operations, ensuring that the hardware components work together efficiently and effectively. Device drivers, on the other hand, are software programs that enable communication between the operating system and specific hardware devices. The motherboard is a physical component that houses various hardware components, but it does not directly manage them. Ports are physical connectors on a computer system used to connect peripheral devices.

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  • 20. 

    The ROM chip can be modified, removed, or rewritten by the computer user.

    • True

    • False

    Correct Answer
    A. False
    Explanation
    The statement is false because a ROM (Read-Only Memory) chip is designed to be non-volatile and cannot be modified, removed, or rewritten by the computer user. ROM chips are programmed during manufacturing and retain their data even when power is turned off. They are used to store permanent instructions or data that should not be changed.

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  • 21. 

    The computer and equipment that connects to it are called the:

    • Motherboard

    • Software

    • Control Unit

    • Hardware

    Correct Answer
    A. Hardware
    Explanation
    The correct answer is "Hardware." Hardware refers to the physical components of a computer system, including the computer itself and the equipment that connects to it. This can include components such as the motherboard, CPU, memory, storage devices, input/output devices, and peripherals. Software, on the other hand, refers to the programs and instructions that run on the computer's hardware. The control unit is a component of the CPU that manages the execution of instructions.

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  • 22. 

    A(n) _________________ is a small stick-like device used to input information into a tablet computer

    • Electronic pencil

    • Electronic pen

    • Stylus

    • None of the above

    Correct Answer
    A. Stylus
    Explanation
    A stylus is a small stick-like device used to input information into a tablet computer. It is commonly used to navigate and interact with the touchscreen interface of a tablet, allowing for more precise control and accuracy compared to using fingers. The stylus typically has a pointed tip that can be used to tap, swipe, or draw on the screen. It is a popular accessory for artists, designers, and anyone who requires finer control when using a tablet. Unlike an electronic pencil or pen, a stylus does not have ink or lead and relies on the touchscreen technology of the tablet to detect its movements.

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  • 23. 

    Data mining is the process of extracting patterns from _______________.

    • Information

    • Data

    • Reports

    • Analysis

    Correct Answer
    A. Data
    Explanation
    Data mining is the process of extracting patterns from a large amount of data. It involves using various techniques and algorithms to discover meaningful insights, correlations, and trends within the data. By analyzing the data, patterns can be identified, which can then be used for decision-making, prediction, and other purposes. Therefore, data is the correct answer as it is the primary source from which patterns are extracted during the data mining process.

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  • 24. 

    What is the result of correlating and fusing information and assessing its meaning through the application of cognition?

    • Data

    • Service

    • Training

    • Knowledge

    Correct Answer
    A. Knowledge
    Explanation
    The result of correlating and fusing information and assessing its meaning through the application of cognition is knowledge. This implies that by analyzing and combining various pieces of information and understanding their significance using cognitive processes, one can acquire knowledge and gain a deeper understanding of a subject or concept.

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  • 25. 

    MIS and information systems are equal topics.

    • True

    • False

    Correct Answer
    A. False
    Explanation
    MIS (Management Information Systems) and information systems are not equal topics. While MIS is a specific field that focuses on the use of technology and systems to support managerial decision-making, information systems encompass a broader range of topics that include the design, development, implementation, and management of all types of systems that collect, store, process, and distribute information. Therefore, it can be concluded that MIS is a subset of information systems, but they are not equal.

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  • 26. 

    A(n) ________________ is a programmable electronic device that can input, process, output, and store data.

    • Computer

    • Motherboard

    • CPU

    • Operating System

    Correct Answer
    A. Computer
    Explanation
    A computer is a programmable electronic device that can input, process, output, and store data. It is a general-purpose device that can perform a wide range of tasks and functions based on the instructions given to it. A computer consists of various components such as a motherboard, CPU, and operating system, which work together to enable its functionality. However, the term "computer" itself encompasses all these components and represents the overall system that can perform data processing operations.

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  • 27. 

    Which of the following best describes a Business-to-Consumer business?

    • Sale of goods online from a business to a consumer

    • The Wholesale of goods online to another business

    • Sale of goods to consumers

    • Sale of goods and services to consumers

    Correct Answer
    A. Sale of goods online from a business to a consumer
    Explanation
    A Business-to-Consumer (B2C) business refers to the sale of goods online from a business directly to a consumer. This means that the business is selling its products or services directly to individual customers, rather than selling to other businesses or wholesalers. The B2C model is commonly seen in e-commerce platforms where businesses set up online stores to sell their products directly to consumers.

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  • 28. 

    This is the most common network topology where each node is connected to a switch.

    • Star Topology

    • Ring Topology

    • Bus Topology

    • Local area network

    Correct Answer
    A. Star Topology
    Explanation
    In a star topology, each node in the network is connected to a central switch. This means that all communication between nodes must go through the switch. This topology is commonly used in local area networks (LANs) because it provides a centralized control point and allows for easy addition or removal of nodes without disrupting the rest of the network. Additionally, if one node fails, it does not affect the rest of the network. Therefore, the given answer, Star Topology, is the correct choice for the most common network topology where each node is connected to a switch.

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  • 29. 

    This is found in peer-to-peer networks containing no servers

    • Ring topology

    • Star topology

    • Bus topology

    • None of the above

    Correct Answer
    A. Bus topology
    Explanation
    Bus topology is a type of network configuration in which all devices are connected to a single communication line, called a bus. In this topology, there are no servers involved, and each device on the network can communicate directly with every other device. This makes it a common choice for small networks or local area networks (LANs) where simplicity and cost-effectiveness are important factors. Therefore, the given answer "Bus topology" is correct as it accurately describes a network configuration without servers.

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  • 30. 

    The nonvolatile, permanent memory that remains in the computer even when it is turned off is called:

    • ALU

    • CPU

    • RAM

    • ROM

    Correct Answer
    A. ROM
    Explanation
    ROM stands for Read-Only Memory, which is a type of nonvolatile memory that retains its data even when the computer is turned off. It contains firmware or software instructions that are permanently stored and cannot be modified or erased by normal computer operations. Unlike RAM (Random Access Memory) which is volatile and loses its data when power is removed, ROM provides long-term storage for important system instructions and data. Therefore, ROM is the correct answer for the nonvolatile, permanent memory that remains in the computer even when it is turned off.

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  • 31. 

    What is the most critical piece of the of the information lifestyle?

    • Use

    • Storage

    • Disposition

    • Dissemintation

    Correct Answer
    A. Use
    Explanation
    The most critical piece of the information lifestyle is "use". This is because information is only valuable if it is actively used and applied. Without using information, it becomes irrelevant and loses its purpose. Use involves utilizing information to make informed decisions, solve problems, and achieve goals. It is through the use of information that individuals and organizations can derive value and gain a competitive advantage.

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  • 32. 

    To achieve a company's business objectives, companies execute:

    • Many policies

    • Many orders

    • Transactions

    • Numerous business processes

    Correct Answer
    A. Numerous business processes
    Explanation
    To achieve a company's business objectives, companies execute numerous business processes. Business processes refer to a series of activities or tasks that are performed to achieve specific goals within an organization. These processes involve the coordination of resources, people, and technology to deliver products or services to customers. By executing numerous business processes, companies can streamline their operations, improve efficiency, and ultimately work towards achieving their desired business objectives.

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  • 33. 

    Which of the following send data in groups of bits?

    • Serial Port

    • Parallel Port

    • IrDa Port

    • Ethernet Port

    Correct Answer
    A. Parallel Port
    Explanation
    Parallel ports send data in groups of bits simultaneously. Unlike serial ports, which send data one bit at a time, parallel ports transmit multiple bits simultaneously through separate wires. This allows for faster data transfer rates, making parallel ports suitable for high-speed communication between devices. IrDa ports and Ethernet ports also transmit data serially, while parallel ports are specifically designed for parallel data transmission.

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  • 34. 

    Where does the authority for the functions and responsibilities of information management originate?

    • Public law only

    • United States code only

    • Public law and federal statues

    • United States code and public law

    Correct Answer
    A. United States code and public law
    Explanation
    The authority for the functions and responsibilities of information management originates from the United States code and public law. These two sources provide the legal framework and guidelines for managing information in the United States. Public law refers to laws passed by Congress, while the United States code is a compilation of all federal laws currently in effect. Together, they establish the legal basis for information management practices and ensure compliance with relevant regulations and statutes.

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  • 35. 

    Which of the following do transactional e-commerce businesses provide?

    • Sale of goods and services

    • Sale of goods only

    • Online sale of goods

    • Online sale of transactions

    Correct Answer
    A. Online sale of goods
    Explanation
    Transactional e-commerce businesses provide the online sale of goods. This means that these businesses operate through digital platforms, allowing customers to purchase various products and have them delivered to their desired location. Unlike physical stores, transactional e-commerce businesses do not require customers to visit a physical location to make a purchase. Instead, they offer a convenient online shopping experience, where customers can browse through a wide range of products, select the ones they want, and complete the transaction online. This allows for greater accessibility and convenience for both businesses and customers.

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  • 36. 

    Who provides functional expertise and direct customer service to help staff support information managers?

    • Trainer

    • Supervisor

    • Base functional manager

    • Functional area records manager

    Correct Answer
    A. Base functional manager
    Explanation
    A base functional manager provides functional expertise and direct customer service to help staff support information managers. They have a strong understanding of the specific functional area and are responsible for providing guidance, training, and support to staff members in that area. They help ensure that the staff is equipped with the necessary skills and knowledge to effectively support information managers in their roles.

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  • 37. 

    What term best describes preparing employees to successfully lead and act in the midst of rapidly evolving environments?

    • Stages of training

    • Cognitive hierarchy

    • Horizon vision document

    • Goal of force development

    Correct Answer
    A. Goal of force development
    Explanation
    The term "goal of force development" best describes preparing employees to successfully lead and act in rapidly evolving environments. This term suggests that the focus is on developing the workforce to be adaptable, resilient, and capable of responding effectively to changing circumstances. It implies a proactive approach to training and development, aimed at equipping employees with the skills, knowledge, and mindset needed to navigate and excel in dynamic and unpredictable situations.

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  • 38. 

    Which of the following best describes a Business-to-Business?

    • Sales of goods online to a consumer

    • Sale of goods online to many consumers

    • Sale of goods to a business from a Brick & Mortar business

    • Sale of goods to a business online only

    Correct Answer
    A. Sale of goods to a business online only
    Explanation
    A Business-to-Business (B2B) refers to the sale of goods exclusively to other businesses through online channels. This means that the transaction occurs between two businesses, where one business is selling goods to another business using online platforms. This type of transaction excludes sales to individual consumers or multiple consumers, as well as sales from physical stores.

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  • 39. 

    The utility called ____________located in the System Tools folder, allows you to select when and how often maintenance tasks are performed.

    • Disk Cleanup

    • Scheduled Tasks

    • Disk Defragmenter

    • System Restore

    Correct Answer
    A. Disk Cleanup
    Explanation
    The utility called Disk Cleanup, located in the System Tools folder, allows you to select when and how often maintenance tasks are performed. Disk Cleanup helps to free up space on your computer by removing unnecessary files such as temporary internet files, recycle bin contents, and system files that are no longer needed. By regularly running Disk Cleanup, you can optimize the performance of your system and ensure that maintenance tasks are performed efficiently.

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  • 40. 

    A characteristic of technology's impact in business is.

    • Regulation

    • Computer Hardware

    • People

    • IT resources

    Correct Answer
    A. Regulation
    Explanation
    One characteristic of technology's impact in business is regulation. As technology advances, there is a need for regulations to ensure ethical and responsible use of technology in business operations. Regulations help protect consumer rights, ensure data privacy and security, and promote fair competition. They also establish standards and guidelines for businesses to follow, helping to maintain transparency and accountability in the use of technology. Overall, regulation plays a crucial role in shaping the way technology is integrated and utilized in the business environment.

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  • 41. 

    This type of network is contained over a large geographic area.

    • Local area network

    • Wide area network

    • Start topology

    • None of the above

    Correct Answer
    A. Local area network
    Explanation
    A local area network (LAN) is a type of network that is contained within a small geographic area, such as a single building or campus. It is designed to connect devices and resources within this limited area, allowing for easy sharing of information and resources among connected devices. In contrast, a wide area network (WAN) spans a larger geographic area, such as multiple buildings or even different cities, and is used to connect LANs or other networks together. Therefore, the correct answer is LAN because it is specifically designed for a small geographical area.

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  • 42. 

    What best describes the operation level of force development?

    • Personal

    • Enduring

    • Occupational

    • Organizational

    Correct Answer
    A. Personal
    Explanation
    The operation level of force development refers to the individual level, focusing on the personal growth and development of each member of the force. This includes their skills, knowledge, and abilities that contribute to their effectiveness in carrying out their duties and responsibilities. It emphasizes the importance of personal development and improvement within the force, recognizing that each individual plays a crucial role in the overall success of the organization.

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  • 43. 

    Which of the following is an example of a business process?

    • Order Taking

    • Corporate Meeting

    • Quality Control Inspections

    • All of the above

    Correct Answer
    A. Order Taking
    Explanation
    Order Taking is an example of a business process because it involves the systematic steps and activities that a business undertakes to receive and process customer orders. This process typically includes recording the order details, verifying customer information, checking product availability, and forwarding the order to the appropriate department for fulfillment. By categorizing order taking as a business process, it highlights its importance in ensuring smooth operations and customer satisfaction within an organization.

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  • 44. 

    To achieve a company's business objectives, companies execute:

    • Many policies

    • Many orders

    • Transactions

    • Numerous business processes

    Correct Answer
    A. Many policies
    Explanation
    To achieve a company's business objectives, companies execute many policies. Policies are a set of guidelines or rules that organizations implement to ensure consistency and standardization in their operations. These policies govern various aspects of the business, such as employee behavior, decision-making processes, and operational procedures. By having many policies in place, companies can effectively manage their resources, mitigate risks, and align their actions with their overall business goals. Therefore, executing many policies is crucial for companies to achieve their desired outcomes and maintain a structured and efficient business environment.

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  • 45. 

    Informational Websites are best described as.

    • Sites that provide consumers with direct tourism service

    • Web sites that provide overall information about the business organization to include product or service rendered.

    • Web site that sales information services to consumers

    • Websites that sell information to another business

    Correct Answer
    A. Sites that provide consumers with direct tourism service
    Explanation
    Informational websites are best described as sites that provide consumers with direct tourism service. These websites are specifically designed to offer information and services related to tourism, such as booking accommodations, providing travel guides, offering itinerary suggestions, and facilitating ticket reservations for various tourist attractions. These websites aim to directly assist consumers in planning and organizing their travel experiences, making them a valuable resource for tourists seeking information and services in the tourism industry.

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  • Feb 13, 2023
    Quiz Edited by
    ProProfs Editorial Team
  • Dec 14, 2014
    Quiz Created by
    DonCollins
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