TEST

Question 1

Which of the following words is NOT a step in the management process?

1. Planning
2. Leading
3. Producing
4. Controlling
5. Organizing

Answer 1

3. Producing

Question 2

A homebuilder dominates a market by offering attractive options, higher quality, and value-added services. Which of the following competitive strategies has the homebuilder adopted?

A. Cost leadership
B. Differentiation
C. Price leadership
D. Generic
E. Design focus

Answer 2

B. Differentiation

Question 3

Which of the following is a correct statement about controlling as a management function?

A. It can be performed independently of planning.

B. It is performed only by the controller of an organization.

C. It is more prevalent in business than in government.

D. It assumes a certain approach to motivating employees.

E. It must be closely related to planning in order to work efficiently

Answer 3

E

Question 4

Which of the following applies to organizations with 50 or more employees and permits employees to take up to twelve weeks of unpaid time off each year to tend to a newborn child or an ill parent?

A. Equal Pay Act

B. ocnalytional Rehabilitation Act

C. Health Insurance Portability and Accountability Act

D. Fair Labor Standards Act

E. Family and Medical Leave Act

Answer 4

E

Question 5

Which of the following can be best determined by consulting an organization chart?

A. The size of the company

B. The distribution of company resources

C. The nature of work performed

D. The connections of positions

E. The quality of management of the firm

Answer 5

D

Question 6

The number of subordinates who directly report to a superior refers to the manager’s…

A. span of control
B. organizational role
C. organizational structure
D. chain of command
E. general staff

Answer 6

A

Question 7

Which of the following best illustrates informal organization?

A. Line authority, such as that of the field marshal and battalion commander in the military

B. Staff authority, such as that of personnel or cost control in manufacturing

C. Function authority, such as corporate supervision of the legal aspect of pension plans in branch plants

D. Groupings based on position titles

E. Groupings based on such factors as technical ability, seniority, and personal influence

Answer 7

E

Question 8

The choice of organizational structure to be used in a business should be:

A. made by mutual agreement among all the people affected

B. made by organization specialists rather than managers

C. subject to definite and fixed rules

D. based on the objectives of each individual business

E. based on consideration of the type of organizational structures used by competitors

Answer 8

D

Question 9

Which of the following best describes a system that requires subassemblies and components to be manufactured in small lots and delivered as needed to the next stage of production?

A. Just in time (JIT)

B. Small batch inventory (SBI)

C. Inventory readiness (IR)

D. Inventory preparedness

E. Integrated preparedness (IP)

Answer 9

A

Question 10

Frederick Taylor is considered a pioneer in the school of management referred to as the

A. management process school

B. empirical school

C. scientific management school

D. behaviorist school

E. social system school

Answer 10

C

Question 11

Preparation of which of the following is the most logical first step in developing an annual operating plan?

A. A sales forecast by product

B. A production schedule by product

C. A flow-of-funds statement by product

D. A plant and equipment requirement forecast

E. A pro forma income statement and balance sheet

Answer 11

A

Question 12

A large span of control throughout an organization invariably results in

A. low morale

B. high morale

C. an excess workload for each manager

D. a flat (horizontal) organizational structure

E. a tall (vertical) organizational structure

Answer 12

D

Question 13

Which of the following is a conflict-resolution practice that seeks to satisfy both parties in a conflict?

A. Avoidance
B. Stipulation
C. Competition
D. Collaboration
E. Appeal to authority

Answer 13

D

Question 14

Which of the following is most commonly used to measure the total productivity of a company?

A. The ratio between total outputs and total inputs

B. The ratio between fixed costs and variable costs

C. The ratio between contribution margin and total revenue

D. The ratio between the break-even point and total output

E. The ratio between total inputs and total capital

Answer 14

A

Question 15

The practice in large companies of establishing autonomous divisions whose heads are entirely responsible for what happens in the division is referred to as

A. management by exception

B. decentralization of authority

C. delegation of authority

D. integration

E. informal organization

Answer 15

B

Question 16

Which of the following control techniques is most likely to emphasize the importance of time?

A. Break-even charts

B. Physical standards

C. Quality circles

D. Variable budgeting

E. Program Evaluation and Review Technique (PERT)

Answer 16

E

Question 17

In a labor negotiation, if a third party has the power to determine a solution to a labor dispute between two parties, the negotiation is known as

A. a grievance
B. an arbitration
C. a conciliation
D. a mediation
E. a concession

Answer 17

B

Question 18

A type of control device for assessing the progress of planned activities and the expenditure of resources allocated to their accomplishments is referred to as

A. a strategic plan
B. an organizational chart
C. a tactical plan
D. a budget
E. a proposal

Answer 18

D

Question 19

Beatrice is a full-time employee who is permitted to arrange her schedule so that she works only four days a week and does not travel during rush hour. This is an example of Beatrice’s employer

A. applying the Civil Rights Act, Title VII

B. scheduling flextime

C. engaging in sexual discrimination

D. encouraging low productivity

E. enhancing compensation

Answer 19

B

Question 20

According to Maslow, the need to feel genuinely respected by peers, both in and out of the work environment, is included in which of the following need classifications?

A. Physiological
B. Safety
C. Stability
D. Esteem
E. Self-actualization

Answer 20

D

Question 21

Which of the following management activities is most typically described as a controlling function?

A. Goal setting
B. Purchasing
C. Budgetary review
D. Staffing
E. Recruiting

Answer 21

C

Question 22

Which of the following personality traits best describes individuals who can adapt and adjust their behavior to external factors?

A. Low self-esteem
B. External locus of control
C. High self-monitoring
D. Low authoritarianism
E. High authoritarianism

Answer 22

C

Question 23

A person who believes that the ends justify the means is best described as

A. self-confident
B. Machiavellian
C. authoritarian
D. having cognitive dissonance
E. having an internal locus of control

Answer 23

B

Question 24

In which of the following situations are groups most effective?

A. Cohesive groups with groupthink

B. Noncohesive groups without groupthink

C. Cohesive groups in alignment with organizational goals

D. Noncohesive groups in alignment with organizational goals

E. Cohesive groups not in alignment with organizational goals

Answer 24

C

Question 25

If a manager commits a halo error in performance appraisal, the manager may have done which of the following? A. Based assessment on most recent performance rather than an entire period. B. Based assessment on an entire period performance rather than most recent. C. Based assessment on a single attribute of employees’ performance. D. Given every employee the same rating of “average.” E. Failed to give feedback to employees about their performance.

Answer 25

C

Question 26

Which of the following best describes a team that brings together organizational members from various areas such as marketing, engineering, human resources, and production to work on a task? A. Command B. Self-managed C. Cross-functional D. Restrictive E. Informal

Answer 26

C

Question 27

Which of the following is NOT an input, according to equity theory? A. Effort B. Experience C. Education D. Seniority E. Pay incentives

Answer 27

E

Question 28

Which of the following terms best describes leaders who guide or motivate their followers in the direction of established goals by stressing rewards and the consequences of not conforming to expectations? A. Transactional B. Transformational C. Charismatic D. People-oriented E. Informal

Answer 28

A

Question 29

Which of the following is the primary purpose of the management-by-objectives (MBO) approach? A. Aligning goal setting and planning B. Creating a dynamic and complex work environment C. Reducing employee resistance to change D. Implementing standard operating procedures E. Implementing a decision rule to respond to a designated problem

Answer 29

A

Question 30

Which of the following is best defined as a process that involves defining organizational objectives and goals, establishing an overall strategy, and developing a hierarchy of plans to integrate activities? A. Manipulating B. Leading C. Planning D. Managing by objectives E. Controlling

Answer 30

C

Question 31

Which of the following terms best describes a corporation’s sexual harassment policy? A. A single-use plan B. A standing plan C. A strategic plan D. A short-term plan E. A specific plan

Answer 31

B

Question 32

The preparations that a small town might make for a visit by the President of the United States would be considered what type of plan? A. Strategic B. Directional C. Standing D. Long-term E. Single-use

Answer 32

E

Question 33

Which of the following best describes a type of planning in which multiple scenarios are developed to test possible future outcomes? A. Queuing theory B. Simulations C. Linear regression D. Marginal profits E. Project management

Answer 33

B

Question 34

Which of the following describes the critical path in a Program Evaluation and Review Technique (PERT) process? A. Parts that require the most costly materials B. The most time-consuming sequence of events and activities C. The shortest route to the project completion D. The central guideline for quality control E. The property insurance

Answer 34

B

Question 35

Which of the following oversees the transformation process that converts inputs such as labor and raw materials into outputs such as goods and services? A. Operation management B. Control management C. Strategic management D. Human resource management E. Project management

Answer 35

A

Question 36

An employee manual is given by a supervisor to employees reporting to that supervisor. The manual outlines attendance policies. This is an example of which of the following methods of developing norms in groups? A. First behavior precedents B. Secondary behavior C. Explicit statements from an authority figure D. Critical events in the team’s history E. Carryover from other experiences

Answer 36

C

Question 37

The behavior of young athletes when they imitate the way they see professional athletes celebrate on television is most likely explained as A. classical conditioning B. operant conditioning C. cognitive learning D. social learning E. behavior modification

Answer 37

D

Question 38

Which of the following best describes the situation in which an employee arrives for work on time in order to avoid being placed on probation for a second time? A. Positive reinforcement B. Negative reinforcement C. Extinction D. Intermittent reinforcement E. Cognitive learning

Answer 38

B

Question 39

Benefits are valuable perks that an organization might offer its employees. These benefits are sometimes called A. direct compensation B. indirect compensation C. incentive pay D. flexible pay E. extended compensation

Answer 39

B

Question 40

If a manager announces a casual-dress policy on Fridays and then comes to work dressed casually on the following Friday, this is an example of A. planning B. organizing C. leading D. controlling E. negative reinforcement

Answer 40

C

Question 41

Which of the following models classifies products as stars, question marks, cash cows, or dogs? A. Porter’s five forces model B. Theory X C. The Boston Consulting Group Matrix D. Theory Y E. Kanban

Answer 41

C

Question 42

If George blames new software for his group’s poor performance in the most recent quarter, but attributes the group’s success in the prior quarter to his outstanding managerial skills, he is most likely exhibiting A. projection B. selective perception C. fundamental attribution error D. self-serving bias E. Pygmalion effect

Answer 42

D

Question 43

Praise received from an employee’s peers is best described as an example of A. an extrinsic reward B. an intrinsic reward C. low valence D. high instrumentality E. high directive leadership

Answer 43

A

Question 44

Which of the following procedures is (are) appropriate when disciplining an employee? I. Advising the employee of what he or she has done wrong. II. Advising the employee of what he or she does well. III. Disciplining the employee in private. A. I only B. II only C. I and II only D. II and III only E. I, II, and III

Answer 44

E

Question 45

When a company adopts telecommuting, which core job characteristic is likely to be influenced the most? A. Skill variety B. Task identity C. Task significance D. Autonomy E. Job feedback

Answer 45

D

Question 46

If jobs are designed so that each worker assembles a different part of a product on an automated assembly line, the job design is most likely to A. provide high levels of intrinsic rewards B. be highly challenging C. make it easy to train workers D. be highly satisfying E. demand creativity from the workers

Answer 46

C

Question 47

If individual contributions in a group project are not evaluated, which of the following is likely to occur? A. Synergy B. Task significance C. Social loafing D. The Leavitt effect E. Vertical loading

Answer 47

C

Question 48

Determining whether membership of a group should be heterogeneous or homogeneous should be most influenced by which of the following factors? A. The group size B. Status congruence C. The organizational setting D. The goals, rewards, and resources E. The nature of the task

Answer 48

E

Question 49

Which of the following describes the most favorable situation for a leader of a group? A. The group has high group cohesiveness and positive group performance norms B. The group has high group cohesiveness and negative group performance norms C. The group has low group cohesiveness and positive group performance norms D. The group has low group cohesiveness and negative group performance norms E. The group has both moderate cohesiveness and moderate performance norms

Answer 49

A

Question 50

In their classic study of the bases of social power, John R. P. French and Bertram Raven explicitly identified all of the following sources EXCEPT: A. referent B. expert C. coercive D. information E. reward

Answer 50

D

Question 51

If an investor buys a stock based on the recommendation of a broker because the broker’s previous recommendations have been profitable, the broker possesses which type of power? A. Referent B. Legitimate C. Informal authority D. Charismatic E. Expert

Answer 51

E

Question 52

Which of the following styles of leadership is most likely to be effective with workers who have experience and are professionally oriented? A. Supportive B. Task-oriented C. Achievement-oriented D. Mentoring E. Authoritarian

Answer 52

C

Question 53

“You are always late to meetings and this will have to change!” Which of the following best describes the comment above by a manager to an employee? A. Proxemics B. Constructive feedback C. A general overspecific comment D. A specific overgeneral comment E. Nonverbal communication

Answer 53

C

Question 54

The power base that relies on the use of knowledge to persuade is best described as A. rewards B. expert C. referent D. coercive E. legitimate

Answer 54

B

Question 55

Which of the following is the most accurate description of a grapevine in an organization? A. It is a constant source of disruptive information. B. It follows the chain of command. C. It can be suppressed once it is recognized. D. It plays an important role in organizations. E. Most managers believe that it is a positive source of information.

Answer 55

D

Question 56

Which of the following business situations is most appropriate for telecommuting? A. Workers thrive on competition. B. Decisions and actions are predetermined. C. Decisions rely on negotiation and social interaction. D. There is an oversupply of workers. E. Individual productivity is of primary importance.

Answer 56

E

Question 57

Empowerment opportunities are LEAST likely to be found in which of the following? A. Participative goal setting B. Serving as a messenger C. Delegation of work D. Self-managed teams E. Freedom to experiment

Answer 57

B

Question 58

Which of the following pairs of functions of management are most closely interdependent? A. Staffing and organizing B. Staffing and controlling C. Planning and leading D. Planning and controlling E. Disciplining and recruiting

Answer 58

D

Question 59

Which of the following is the primary concern of employees responsible for strategic planning in a company? A. Monitoring daily cash flow B. Determining the contribution each subunit should make to the overall corporation C. Determining how to accomplish specific tasks with available resources D. Determining how to pursue long-term goals with available resources E. Preparing the annual statement

Answer 59

D

Question 60

Which of the following is most likely to result from the use of flowcharts in planning? A. A guarantee that work will progress according to schedule B. A visual sequencing of activities C. A chart useful for comparing cash flow during two different quarters D. A scheduling process E. A combined sequencing and scheduling plan

Answer 60

B

Question 61

Which of the following is a deterrent to “escalation of commitment”? A. A desire to justify earlier decisions B. Organizational politics C. An efficiency “reality check” D. The Abilene paradox E. A cultural emphasis on persistence

Answer 61

C

Question 62

Which of the following is most likely to be a major advantage of group-aided decision making? A. Social pressure can drive the decision. B. Goal displacement and hidden agendas can occur. C. Groupthink may occur. D. The likelihood that the decision will be accepted increases. E. It frequently saves both time and money.

Answer 62

D

Question 63

Which of the following basic leadership styles most closely matches the “high structure, low consideration” of the Ohio State leadership studies? A. Country club B. Team C. Selling D. Relationship motivated E. Telling

Answer 63

E

Question 64

According to Fiedler’s contingency studies, for organizations that were considered “moderately favorable” in terms of leaders’ authority, task definition, and leader-member relationships, which of the following is the most effective style for the leader to have? A. Country club B. Team C. Selling D. Relationship motivated E. Telling

Answer 64

D

Question 65

Large organizations are likely to structure their work operations and personnel in any of the following ways EXCEPT A. accounting B. divisional C. geographic D. market E. product

Answer 65

A

Question 66

The span of control most appropriate in a given organization is primarily influenced by which of the following? A. Types of services or products being produced B. Amount of supervision needed by subordinates C. Amount of authority given to a supervisor D. Number of hierarchical levels within the organization E. Presence of work teams

Answer 66

B

Question 67

The extensive use of work teams in an organization is most likely to occur under which of the following circumstances? A. Control is centralized by top management. B. The management style is primarily autocratic. C. Employees are unmotivated. D. Supervisors have a narrow span of control. E. Employee involvement is a management goal.

Answer 67

E

Question 68

Which of the following quality tools utilizes a visual depiction of a process to help identify problem areas? A. Vector diagram B. Histogram C. Scatter diagram D. Cause-and-effect diagram E. Pareto chart

Answer 68

D

Question 69

Outsourcing allows an organization to have which of the following? A. Higher employee motivation B. Improved labor-management relations C. Lower accident rates D. Greater flexibility in staffing E. Increased control over employees

Answer 69

D

Question 70

Requiring a prospective employee to demonstrate the ability to do a specific task during the screening process is defined by which type of test? A. Achievement B. Aptitude C. Assessment D. Work sampling E. Spatial

Answer 70

D

Question 71

Intrinsic rewards can be classified as rewards that do which of the following? A. Allow the employee to establish flexible working hours. B. Provide a sense of achievement and accomplishment. C. Create work coordination among all employees. D. Improve communication effectiveness. E. Allow greater span of control.

Answer 71

B

Question 72

The best tangible measurement of leadership effectiveness is which of the following? A. Financial success B. Turnover ratios C. Training and development rates D. Employee job performance E. Employee morale

Answer 72

D

Question 73

The use of transactional leadership is based on the concept of which of the following? A. Using rewards and coercive power B. Stressing intrinsic motivators C. Creating team-based goal setting D. Using peer-based performance evaluations E. Implementing employee involvement plans

Answer 73

A

Question 74

Group or team cohesiveness is usually influenced by which of the following? A. Employee incentive systems B. Goal-setting processes C. Identification with the group by its members D. Size of the organization E. Type of organizational structure

Answer 74

C

Question 75

Resolving conflict through collaboration requires that parties do which of the following? A. Work cooperatively B. Have a third party intervene C. Involve a supervisor in the process D. Establish predetermined outcomes E. Prepare written plans

Answer 75

A

Question 76

Coaching as a leadership technique is most likely to work when which of the following exists? A. Employees are well trained. B. Job descriptions are valid. C. Performance-development needs are known. D. A performance appraisal process is used. E. Training programs are offered.

Answer 76

C

Question 77

All of the following criteria are commonly used to evaluate decision-making alternatives EXCEPT A. ethicality B. economic feasibility C. legality D. practicality E. popularity

Answer 77

E

Question 78

All of the following are considered steps in the planning process EXCEPT A. determining the organization’s mission B. establishing goals and objectives C. formulating strategies D. implementing strategies E. measuring performance

Answer 78

E

Question 79

Job enrichment can be an effective tool to achieve which of the following? A. Better communication B. Increased job responsibility C. Improved work relations D. Teamwork E. Shared decision making

Answer 79

B

Question 80

Social Security, unemployment benefits, and workers’ compensation are benefits required by law. If a company has 120 employees, what other benefit does federal law require a company to provide? A. Health insurance only B. Paid vacations only C. Family and medical leave D. Both health insurance and paid vacations E. Flextime

Answer 80

C

Question 81

Which of the following best describes managerial ethics? A. It is the social obligation that the individual manager has to fulfill. B. It is a statement of the social responsibility of the organization. C. It is the standard of conduct that guides a person’s decisions and behavior. D. It is the mission statement of the organization. E. It is a behavior that conforms to legal principles of justice.

Answer 81

C

Question 82

A manager decides to lay off 10 percent of the workforce and justifies the action by noting that 90 percent still have jobs and the company will remain solvent. This manager has utilized which of the following views of ethics? A. Rights view of ethics B. Theory of justice view of ethics C. Integrative social contracts view of ethics D. Utilitarian view of ethics E. Golden rule view of ethics

Answer 82

D

Question 83

A nuclear power plant received substantial fines from the Unites States Nuclear Regulatory Commission because of safety problems. As a result, the plant changed its safety procedures and policies. The plant's response best exemplifies which type of pressure to change? A. Internal pressure B. Global pressure C. Technological pressure D. Grassroots pressure E. External environmental pressure

Answer 83

E

Question 84

Who developed the five cultural dimensions? A. Michael Porter B. Tom Peters C. Frederick Taylor D. Geert Hofstede E. Henri Fayol

Answer 84

D

Question 85

According to Hofstede, the degree of individualism found in a country is most closely related to which of the following characteristics? A. Age B. Wealth C. Religion D. Location E. Democracy

Answer 85

B

Question 86

A multinational company expands its operation to Brazil and hires Brazilians to manage the operation of the new branch. The company is using which type of approach to expand its operations? A. Ethnocentric B. Polycentric C. Monocentric D. Geocentric E. Egocentric

Answer 86

B

Question 87

Knowledge management involves encouraging members of an organization to A. create educational programs targeted at the average employee B. develop new training programs to help new employees learn their jobs C. develop a corporate university to provide educational solutions in-house D. systematically gather information and share it with others E. retrain top managers through traditional MBA programs

Answer 87

D

Question 88

Which of the following is the type of team that is made up of experts in various specialties working together on various organizational tasks? A. Functional B. Cross-functional C. Self-directed D. Vertical E. Autonomous

Answer 88

B

Question 89

Which of the following types of questions would be the best to use during a job interview? A. Open-ended B. Rotational C. Technology-ended D. Prodding E. Hypocritical

Answer 89

A

Question 90

In one stage of group development, group members come to accept and understand one another; differences are resolved and members develop a sense of team cohesion. This stage of group development is known as A. Adjourning B. Performing C. Storming D. Norming E. Forming

Answer 90

D

Question 91

Solomon is reviewing the types of power the company has provided him for his job as a department head. A certain degree of authority comes with his position. He will directly exercise authority through which form of power? A. Referent B. Information C. Expert D. Legitimate E. Decision making

Answer 91

D

Question 92

A performance-appraisal method that utilizes evaluation information from supervisors, employees, and coworkers is known as A. paired-comparison feedback B. programmed-feedback decision C. behaviorally anchored rating scale D. 360-degree feedback E. graphic rating scale

Answer 92

D

Question 93

Which of the following refers to gender-related problems in the career advancement of employees? A. Flextime B. Glass ceiling C. Job enrichment D. Job sharing E. Career anchor

Answer 93

B

Question 94

The breakeven point is defined as the level of production at which A. fixed costs are covered by revenue B. variable costs are covered by revenue C. total revenue is sufficient to cover total costs D. marginal revenue equals marginal cost E. the law of diminishing returns is activated

Answer 94

C

Question 95

Which technology integrates financial, marketing, operational, and human resource applications on a single computer system? A. Universal application server (UAS) B. Material requirements planning (MRP) C. Vendor managed inventory (VMI) D. Electronic data exchange (EDI) E. Enterprise resource planning (ERP)

Answer 95

E

Question 96

The Hawthorne studies are examples of which management approach? A. Classical B. Behavioral C. Modern D. Administrative E. Scientific

Answer 96

B

Question 97

A Gantt chart is a visual depiction of the time frame planned for completing specific tasks as compared to which of the following? A. The delivery date promised to the customer B. The actual progress made on each task C. The manager’s projected task completion D. The budgeted task completion E. The weighted-average task-completion score

Answer 97

B

Question 98

A manager who outlines a problem to employees, accepts suggestions, and makes a decision is said to be following what style of leadership? A. Free reign B. Democratic C. Charismatic D. Autocratic E. Laissez-faire

Answer 98

B