A. Issue corporate bonds.
B. Hold an initial public offering (IPO) of stock.
C. Purchase debenture bonds.
D. Secure a low-interest loan from a lending institution.
A. Ms. Sanchez meets with her staff often and listens to their advice when making decisions.
B. Ms. Doe rewards staff members who adjust to her leadership style with bonuses and special perks.
C. Ms. Jones has her employees elect a coworker each month to be recognized for distinction.
D. Ms. Travis organizes her office so staff members follow her rigid and detailed instructions.
A. Employers must make reasonable accommodations for disabled employees.
B. Employees are permitted to work at a unionized company without joining the union.
C. Employers must pay equal wages to men and women who perform similar jobs.
D. Employees are guaranteed a wage that allows them to meet their cost- of-living needs.
A. An automobile dealership offers a 20% discount to a delivery company purchasing several new vans.
B. A medical doctor accepts samples from a pharmaceutical sales representative.
C. An auto repair mechanic exaggerates the need for repairs on a customer’s vehicle.
D. An electronics company creates an advertisement that highlights weaknesses in a competitor’s television.
A. Mark must pay Eliza the full price upon taking possession of the car.
B. Both parties must reside in the same state.
C. The agreement must be in writing and signed by both parties.
D. The transaction must take place within 90 days of the agreement.
A. The workers’ concerns have been verified by the Occupational Safety and Health Administration.
B. The workers have been informed by fellow employees that possibly dangerous working conditions exist.
C. The workers have filed a complaint with the Occupational Safety and Health Administration.
D. The workers believe in good faith that they are in imminent danger and have informed their employer.
A. Specializing in production activities for which their opportunity costs are lowest.
B. Maximizing production of goods for which there is extensive world demand.
C. Specializing in production activities, which enable them to benefit from economies of scale.
D. Maximizing production of goods, which can be shipped quickly and inexpensively.
A. Desktop publishing software enables the user to create documents that retain their formatting and graphic features on all platforms.
B. Desktop publishing software allows the user to record macros that simplify difficult or repetitive operations.
C. Desktop publishing software facilitates the creation of more complex page layouts containing text and graphics.
D. Desktop publishing software allows the user to cut and paste graphics from one computer utility into another.
A. Collect data input by the end user.
B. Display animations and real-time video.
C. Appear the same across all computer platforms.
D. Download and play background music.
A. Producing the graphs with a photo editor and importing them into a multimedia program
B. Creating the graphs with a spreadsheet program and importing them into a word processing document
C. Designing the graphs with a paint- and-draw program and pasting them into a text editor
D. Entering the data into a relational database and exporting the data into an object-oriented programming language
A. Automated accounting system
B. Data encryption system
C. Marketing information system
D. Office automation system
A. Size of the entire database.
B. Number of fields to have in the database.
C. Syntax of the query language.
D. Style of interface between the database and the end user.
A. Contacting the manufacturers of the computer system components for information about security issues
B. Creating a plan of action for recovering data lost through theft, fire, or equipment failure
C. Identifying critical information and assessing potential threats to the information
D. Identifying the types of hardware and software that could be pur- chased to protect the system from threats
A. Transferring the balance of all temporary accounts to the capital account
B. Calculating tax liabilities and completing tax liability payment coupons
C. Comparing net income to revenue and comparing current assets to current liabilities
D. Determining the equality of all debit and credit accounts in the general ledger
A. Soliciting feedback from employees about the type of system they think the company should have
B. Defining the types of problems the new system would need to solve
C. Determining the cost of purchasing and installing a new computer system
D. Comparing the features of different types of computer systems
A. To instruct students about contemporary issues in the business world.
B. To guide students and help them take ownership of the organization.
C. To maintain records and monitor the financial activities of the organization.
D. To help participating students locate and secure part-time jobs.
A. U.S. treasury bonds
B. Corporate bonds
C. Mutual stock funds
D. Growth company stocks
Since U.S. treasury bonds are issued by the federal government, they are almost completely free of risk. The potential interest to be earned on treasury bonds is higher than the potential interest to be earned on a savings account from a bank, yet not as high as the potential interest to be earned on stocks or mutual funds. The main attraction to U.S. treasury bonds is that they are considered to be very low risk.
A. Ask each participant to limit individual comments to less than five minutes.
B. Use parliamentary procedures to conduct, organize, and structure the meeting.
C. Invite people to the meeting that have demonstrated expertise in the topics being covered.
D. Provide each participant with an agenda that is used for conducting the meeting.
Preparing a meeting agenda is important so that meeting participants will know the direction of the meeting in advance. The agenda should include topics, a schedule, the names of the participants, and resources and should be prepared early enough to give participants adequate time to prepare their thoughts on each topic. An agenda will help keep meeting participants on task.
• Is a corporation or a partnership
• Is required to pay employment, excise, alcohol, tobacco or firearms taxes
• Withholds taxes on income paid to a non-resident alien
• Has a Keogh retirement plan
• Involes trusts, estates, real estate, mortgage investments, non-profit farmers’ cooperatives or plan administrators
If a business owner is unsure whether he needs an EIN, he should consult an accountant for advice.
An independent contractor works on his own time frame, uses his own equipment, hires and compensates any additional people required to complete the job, and is usually paid on a per job or per piece rate. The contractor and the client may have a contractual agreement that states each party’s responsibilities.
•Paying the employer’s portion of Social Security and Medicare taxes.
•Paying federal and state unemployment insurance premiums.
•State disability insurance premiums and workers’ compensation costs.
•Providing any fringe benefits.
•Liability for negligence or EEOC non-compliance by the contractor.
When a buyer purchases an item, he receives clear title. He accepts in good faith that the seller legally owned the item and had authorization to sell it and transfer ownership. The buyer has the right to take possession according to the terms of the sale.
If the buyer refuses to take delivery, fails to make the agreed- upon payment as specified in the terms of the sale, or payment is rejected (insufficient funds, buyer insolvency, etc.), the seller may: cancel the sale; stop delivery; resell the item to recover any monetary loss incurred; demand return of the title and other paperwork provided at the time of the sale.
•Be open to the best everyone has to offer.
•Make sure the right people are in the right jobs.
•Develop an informal environment.
•Make sure everyone knows they count.
•The true test of self-confidence is the courage to be open.
•Business has to be fun.
•Never underestimate the other guy.
•Understand where real value is added and put the best people there.
•Know when to meddle and when to let go.
•Comparison of business traditions in different countries and cultures.
•How religious perspectives affect commerce.
•Globalization and cultural imperialism.
•Varying standards, e.g. child labor, living wages, etc.
•Multinational groups outsourcing to take advantage of varying standards.
•Conducting business with rogue governments.
A. By appointment
B. By snail mail
C. At City Hall
D. All of the above
A. Works on his employer’s schedule
B. Uses company equipment
C. Pays his own federal and state taxes
D. Receives benefits from the employer
B. Non-profit groups
C. Book stores
D. All of the above
A. Buyer refused delivery of the item
B. After one week
C. In bad weather
D. Seller changes his mind
A. Make money
B. Pass the time
C. Make noise
D. Give advice
A. Funds availability
B. Needed materials
C. Interest in expanding
D. All of the above
A. Avoid addressing conditions before an event
B. Discuss every possible scenario
C. Describe best responses
D. List locations
B. Easy going
A. Cultural traditions
B. Student organizations
c. Owner’s Wealth
d. Total Assets
a. Class A and Class B
b. Class A Common and Class B Common
c. Convertible and Common
d. Common and Preferred
a. 8% per year
c. neither (a) nor (b)
d. both (a) and (b)
accept an “accept-reject” investment proposal would
occur when the net present value is
a. greater than or equal to zero
b. less than or equal to zero
c. equal to zero
d. less than zero
a corporation with a high credit standing is called a
a. money market mutual fund
b. commercial paper
c. repurchase agreement
d. negotiable certificate of deposit
a. Turnover Ratios
b. Liquidity Ratios
c. Accrued Ratios
d. Profitability Ratios
a. go up
b. go down
c. remain the same
pays out dividends when and only when funds are
available, it follows the:
a. asymmetric dividend theory
b. dividend signaling hypothesis
c. impairment of capital theory
d. residual theory of dividends
a multinational company that expects a local foreign
currency to appreciate is to:
a. increase local accounts receivable and decrease local accounts payable
b. increase both local inventories and local notes payable
c. increase both local customers accounts receivable and local notes payable
d. decrease both local notes receivable and accruals
b. Remain Unchanged
d. Change, but the direction of
change cannot be determined
a. sells at a premium
b. sells at par
c. has a coupon rate in excess of the market rate of interest
d. has a coupon rate less than the market rate of interest
A. Discretionary Fiscal Policy
B. Balancing the Budget
C. Contractionary Fiscal Policy
D. Expansionary Fiscal Policy
C. In What Ways
A. res ipsa loquitur
B. res judicata
C. a directed verdict
D. none of the above
A. Those in the specialty skill niche look only directly ahead at their narrow specialized field, thereby creating “tunnel vision.”
B. Those in the specialty skill niche in the early stages must search for the specialty skill opportunity with time to develop the skill.
C. Those in the specialty skill niche are usually dependent on somebody else to bring the product or service to market.
D. The specialty skill niche may become commonplace and universal.
A. territorial organization
B. client-centered organization
C. functional organization
D. product organization
B. Information Security
D. Balloon Payment Loan
-An intermediate-term loan is a debt instrument with 5 – 10 years to maturity. It appears as a long-term debt on the balance sheet since it matures in over one year but it matures quicker than long-term debt.
A. Informal Survey
B. Scientific Experiment
C. Talk with Employer
D. Interview Audience
-Papers and reports need to be carefully researched. This can include formal and informal research. A scientific experiment is formal research. The other answers are informal research.
A. Operating Report
C. Personal Activity Report
-helps management track what individuals are doing. Sales reports are an example of this type of report. Other examples are: expense reports, conference reports and performance reviews.
Need: Food, Clothing, Shelter
2. Predict crisis
3. Factors that fix crisis
-The Relationship Between Interest Rates and The Quantity of Money Required and Available in Money Markets
-The Operation and Role of the Federal Reserve Bank
-Reconciling Bank Statements
-Acquiring Personal Property
-Procedures and qualifications for obtaining credit: When a consumer makes an application for credit, the creditor must decide whether he or she is a good risk. Most creditors regularly order a credit report on an applicant rather than undertake a costly investigation on their own. Files are retained by two types of credit agencies.
-Inventory record keeping
Year 1: $100 deposited at end of year= $100.00
Year 2: $100 × .05 = $5.00 + $100 + $100= $205.00
Year 3: $205 × .05 = $10.25 + $205 + $100= $315.25