Business Quiz: Organization Management

10 Questions | Total Attempts: 235

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Business Management Quizzes & Trivia

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Questions and Answers
  • 1. 
    A fishbone diagram is an example of which of the following?
    • A. 

      A cost buildup method

    • B. 

      Organization method

    • C. 

      Capability analysis

    • D. 

      Another name for Pareto analysis

  • 2. 
    Which of the following will ensure quality in manufactured parts?
    • A. 

      Applying as much automation as possible

    • B. 

      Inspecting all parts for known defectives

    • C. 

      Improving customer warranty coverage

    • D. 

      Reducing the variation in the process

  • 3. 
    Which of the following statements is true?
    • A. 

      In the long run, quality is more expensive but necessary for survival in today's business world

    • B. 

      Most companies spend less than 10 percent on quality-related activities

    • C. 

      In the long run, quality is less expensive

    • D. 

      Quality-related costs (failure costs) are an integral part of doing business and should be built into every product cost buildup

  • 4. 
    Which of the follow statements is true regarding Pareto analysis?
    • A. 

      It separates the significant few from the trivial many

    • B. 

      It uses the six categories of quality

    • C. 

      It is an extension of the 50-50 rule of quality

    • D. 

      It assigns weighted costs associated with internal versus external failure costs

  • 5. 
    Which of the following statements is best regarding building quality inot products?
    • A. 

      It is very difficult to do

    • B. 

      It is most easily accomplished through automation

    • C. 

      It is best accomplished by production workers

    • D. 

      It is the responsibility of the quality inspectors.

  • 6. 
    Which of the following is an objective of purchasing?
    • A. 

      To keep many sources of supply available to ensure competitive pricing

    • B. 

      To control budgetary expenditures of all employees through sound purchase order control

    • C. 

      To obtain goods and services of the required specification and quality

    • D. 

      To ensure that goods are always purchased at the lowest price

  • 7. 
    In a purchasing system, which of the following originates with the department or person who will be the ultimate user?
    • A. 

      A purchase requisition

    • B. 

      A purchase order

    • C. 

      Vendor selection

    • D. 

      A request for quotation

  • 8. 
    When an invoice is received for payment, it is compared with which of the following documents before payment is made?
    • A. 

      The bill of lading

    • B. 

      The original purchase order

    • C. 

      The purchase requisition

    • D. 

      The account debit memo posted at the time of entry

  • 9. 
    Which of the following would be considered the most important factor in supplier selection?
    • A. 

      Proximity to the plant

    • B. 

      Lowest price

    • C. 

      Product quality

    • D. 

      Reciprocal arrangements

  • 10. 
    A control chart is primarily used to determine which of the following?
    • A. 

      The percentage defective in the goods being produced

    • B. 

      The specification limits

    • C. 

      The capability of the process

    • D. 

      Normal variation versus assignable variation

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