DECA

Question 1

Which of the following statements regarding corporate governance is true?

Answer 1

Corporate governance keeps any one person from having too much control.

Question 2

Which of the following may happen if a business cuts costs?

Answer 2

It may pay fewer taxes.

Question 3

What is the relationship between financial information and lean-focused organizations?

Answer 3

Financial information provides ways to reduce wasted resources.

Question 4

What is a benefit to businesses of using a central data repository for financial information?

Answer 4

Quick response to complex queries.

Question 5

A financial institution fails to comply with an important government regulation. What is the likely consequence?

Answer 5

Pay a fine.

Question 6

Ethical accounting professionals avoid conflicts of interest by:

Answer 6

Behaving independently.

Question 7

Julie’s grandparents have offered her a $1,000 gift at either the beginning or end of college. Why should she take the gift at the beginning?

Answer 7

She can start earning interest sooner.

Question 8

In corporate governance, oversight of management, segregation of control, and policy development are all examples of:

Answer 8

Internal control mechanisms.

Question 9

When writing an executive summary, be sure that you:

Answer 9

Make the summary at least 1/10th as long as the full report.

Question 10

What is a true statement about a project plan?

Answer 10

It is a road map.

Question 11

What type of financial market structure involves trading unlisted stock via a dealer network?

Answer 11

Over-the-counter.

Question 12

What is the first step in designing a multi-table query?

Answer 12

Pinpoint exactly what you want to know.

Question 13

Which of the following most likely led to a greater emphasis on governance structures in recent years?

Answer 13

Accounting fraud.

Question 14

Why is the performance of the stock market used as a leading indicator of the business cycle?

Answer 14

Investors tend to sell stocks during an economic contraction and buy during recovery.

Question 15

When choosing a new vendor for your business, it is best to:

Answer 15

Use a formal selection process.

Question 16

Which of the following increases your personal net worth?

Answer 16

Owning a home.

Question 17

Why would a bank examine a business’s balance sheet?

Answer 17

To determine whether the company qualifies for additional credit.

Question 18

What source of credit offers its members small loans, installment credit, and low-interest rates?

Answer 18

Credit unions.

Question 19

How can a company protect its name from being imitated by others?

Answer 19

Obtain trademark protection.

Question 20

What type of analytics is used when a company analyzes data from past sales periods to make future product release decisions?

Answer 20

Predictive analytics.

Question 21

A business can protect its computerized financial data from losses associated with fire, flood, and outages by:

Answer 21

Performing backup procedures on a regular basis.

Question 22

Which component is important to include in all types of inquiry letters?

Answer 22

Contact information.

Question 23

What is one reason why event planners take steps to control and limit the possibility of risk?

Answer 23

To avoid liability.

Question 24

A company analyzing inflation most likely does so to:

Answer 24

Negotiate labor contracts.

Question 25

What ethical issue is most likely to cause hazard risks?

Answer 25

Unsafe working conditions.

Question 26

What is a common result of supply chain collaboration?

Answer 26

Reduced overall costs.

Question 27

What is a benefit of positive customer relations in business?

Answer 27

Avoiding wasted time and resources.

Question 28

Financial information that a credit card issuer analyzes when reviewing customers' applications includes:

Answer 28

Payment history and current level of debt.

Question 29

To effectively participate in a staff meeting, you should:

Answer 29

Read important documents and do research ahead of time so you're prepared.

Question 30

Which of the following securities is commonly used to help reduce the impact of significant fluctuations in exchange rates and commodities?

Answer 30

Derivatives.

Question 31

What type of divisional structure is most appropriate for a company that sells lumber products to different customer types?

Answer 31

Customer type.

Question 32

Why is it important to determine the root cause of variances in financial statements?

Answer 32

To make the appropriate adjustments.

Question 33

What is a key benefit of incorporating technology into compliance processes?

Answer 33

Reduce costs.

Question 34

Which organization operates at a local level to support businesses?

Answer 34

Seattle Metropolitan Chamber of Commerce.

Question 35

What is the purpose of the common job interview question, 'Tell me about yourself'?

Answer 35

To test the applicant's communication skills.

Question 36

What is the best way to automatically track bank account withdrawals and deposits?

Answer 36

Use a mobile banking or budgeting app.

Question 37

How can businesses protect archived financial information?

Answer 37

By implementing storage strategies.

Question 38

What action should an employee take when receiving constructive criticism at work?

Answer 38

Improve their ability to do the job.

Question 39

Which statement best describes the taxation of Roth IRAs?

Answer 39

Contributions are taxed, but withdrawals during retirement are not.

Question 40

What should a business use to determine upcoming bills due in the next 10 days?

Answer 40

Accounts payable.

Question 41

When giving a presentation, how can graphic aids help?

Answer 41

They enhance the presentation.

Question 42

What type of fraud involves taking advantage of a shared affiliation, such as religion or clubs?

Answer 42

Group affinity fraud.

Question 43

What is a common result of ethical business behavior?

Answer 43

Many customers are more willing to support companies that act ethically.

Question 44

What type of analytics uses historical data to predict future trends?

Answer 44

Predictive analytics.

Question 45

What is the most appropriate action for Patricia when dealing with a new coworker who is unfamiliar with technology?

Answer 45

Try to teach the new coworker how to use technology.

Question 46

What action should a company take to reduce legal risks with business partners?

Answer 46

Sign a formal contract.

Question 47

What process ensures financial transactions are accurately recorded and verified?

Answer 47

Reconciliation.

Question 48

What is an important ethical consideration for financial professionals?

Answer 48

Avoiding conflicts of interest.

Question 49

What financial metric do banks evaluate before issuing credit?

Answer 49

Payment history and current level of debt.

Question 50

What should an entrepreneur do if they are uncertain about a business decision?

Answer 50

Tolerate ambiguity.

Question 51

Which budgeting software tool helps business owners evaluate different sources of funding?

Answer 51

Debt modeling.

Question 52

What factor best influences international trade potential?

Answer 52

A country with a long coastline.

Question 53

What governance strategy helps businesses achieve corporate transparency?

Answer 53

Encouraging employee participation at board meetings.

Question 54

Which process ensures fair and unbiased vendor selection?

Answer 54

A formal selection process.

Question 55

What major expense do businesses often incur?

Answer 55

Payroll.

Question 56

What is an important reason businesses monitor inflation?

Answer 56

To negotiate labor contracts.

Question 57

What step should a business take to prevent financial data loss?

Answer 57

Perform regular backup procedures.

Question 58

What concept explains the diminishing returns of adding more workers to a production process?

Answer 58

Law of diminishing returns.

Question 59

What type of financial institution takes deposits and offers loans?

Answer 59

Credit unions, savings and loan associations, and commercial banks.

Question 60

What action demonstrates a manager accepting responsibility for their decisions?

Answer 60

Acknowledging the risks and accepting the consequences of failure.

Question 61

What is a common result of supply chain collaboration?

Answer 61

Reduced overall costs.

Question 62

What financial metric do banks analyze to determine if a company qualifies for credit?

Answer 62

The company's balance sheet.

Question 63

What is a critical component to include in all types of inquiry letters?

Answer 63

Contact information.

Question 64

What financial market structure involves trading unlisted stock via a dealer network?

Answer 64

Over-the-counter (OTC).

Question 65

What security is commonly used to reduce the impact of exchange rate and commodity fluctuations?

Answer 65

Derivatives.

Question 66

What is the first step in designing a multi-table database query?

Answer 66

Pinpoint exactly what you want to know.

Question 67

Which organization has placed greater emphasis on governance structures in recent years?

Answer 67

Accounting fraud incidents led to the change.

Question 68

What is an important skill for employees to develop when exposed to conflicting viewpoints?

Answer 68

Improved communication skills.

Question 69

What is the purpose of business risk management?

Answer 69

To identify and minimize financial uncertainties.

Question 70

Why is enterprise risk management important?

Answer 70

It helps safeguard a business from operational, financial, and reputational risks.

Question 71

How can a company protect its name from being copied by competitors?

Answer 71

Obtain trademark protection.

Question 72

Which financial document reflects changes in an owner’s equity?

Answer 72

Statement of changes in owner's equity.

Question 73

What is the process of matching a company’s internal financial records to its bank statement?

Answer 73

Reconciling.

Question 74

What should an entrepreneur do before launching a new product?

Answer 74

Conduct a marginal analysis to assess the costs and benefits.

Question 75

How do financial professionals ensure accurate financial reporting?

Answer 75

By adhering to Generally Accepted Accounting Principles (GAAP).

Question 76

What does an effective project plan function as?

Answer 76

A road map.

Question 77

How does corporate social responsibility impact consumer behavior?

Answer 77

Many customers are more willing to support companies that act ethically.

Question 78

What is an important step when resolving disputes in the workplace?

Answer 78

Identifying the problem.

Question 79

What financial institution offers small loans, installment credit, and low-interest rates to members?

Answer 79

Credit unions.

Question 80

Why do businesses monitor inflation trends?

Answer 80

To negotiate labor contracts.

Question 81

What financial security represents ownership in a company?

Answer 81

Stocks.

Question 82

What is the best way for a company to handle constructive criticism?

Answer 82

Improve the ability to do the job.

Question 83

What type of fraud involves convincing members of a group to invest in a scam?

Answer 83

Group affinity fraud.

Question 84

What factor helps businesses analyze past sales trends to make predictions?

Answer 84

Predictive analytics.

Question 85

What type of data security strategy helps businesses protect financial records?

Answer 85

Storage strategies.

Question 86

What factor allows a country to participate in international trade effectively?

Answer 86

A long coastline.

Question 87

Why do businesses use enterprise risk management?

Answer 87

To safeguard against financial and operational risks.

Question 88

How can an entrepreneur handle uncertainty in business decisions?

Answer 88

By tolerating ambiguity.

Question 89

What is a key purpose of an accounting information system?

Answer 89

To support operational decision-making.

Question 90

Why is it important for businesses to perform financial forecasting?

Answer 90

To anticipate future expenses and revenues.

Question 91

What major expense do businesses need to manage carefully?

Answer 91

Payroll.

Question 92

What type of legal document helps businesses avoid contract disputes?

Answer 92

A formal contract.

Question 93

What process should businesses use to select new vendors?

Answer 93

A formal selection process.

Question 94

What financial document is most important for evaluating a company’s profitability?

Answer 94

Income statement.

Question 95

What economic concept explains why increasing employees may reduce efficiency?

Answer 95

The law of diminishing returns.

Question 96

What step should a manager take to ensure accountability for business decisions?

Answer 96

Accept responsibility for the decision.

Question 97

How does positive customer relations impact business productivity?

Answer 97

Avoiding wasted time and resources.

Question 98

What is a major factor in assessing an applicant's creditworthiness?

Answer 98

Payment history and current level of debt.

Question 99

Why would a company analyze customer demographics?

Answer 99

To tailor marketing strategies effectively.

Question 100

How can a company improve financial security when making online payments?

Answer 100

Use PIN debits.