BUS 475 Capstone Final

Examination Part 1
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BUS 475 Capstone Final Examination Part 1

(Latest - 100% Score)

01. Article 6 of the Treaty on European Union, called the

Maastricht Treaty, states the EU is founded on:

specific performance
stare decisis
private markets
rule of law

02.Which of the following is the path through which

contractionary monetary policy works?
Money down implies interest rate up implies investment
up implies income down
Money down implies interest rate up implies investment
down implies income down
Money down implies interest rate down implies investment
down implies income down

 Money down implies interest rate down implies investment

up implies income down

03.Marketing research refers to__________.

the use of information technology to find objective
solutions to a marketing problem
the process of systematically collecting and analyzing
information in order to define a marketing problem
the process of defining a marketing problem and
opportunity, systematically collecting and analyzing
information, and recommending actions
the science of using observable human behavior in order
to identify and solve marketing problems

04. _____ is the process of converting meaning into messages

composed of words and nonverbal signals.

Translating
Decoding
Encoding
Filtering

05.Sam, a marketing manager, often makes ethical decisions

based on what others feel about those decisions. He often
considers opinions from other managers and employees.
Which of the following ethical systems do Sams decisions
follow?

Consequentialism
Utilitarianism
Relativism
Egoism

06.The depreciation of currency will:

 improve a countrys comparative advantage.

worsen a countrys comparative advantage.

balance a trade surplus.
have no impact on a countrys comparative advantage.

07.Which of the following is typically included in the drafting

stage of writing an effective business message?

Setting a positive and other-oriented tone

Sending the message to be proofread
Double-checking everything
Identifying the primary message and key points

08.If a population is known to be normally distributed, what can

be said of the sample distribution of the sample mean drawn
from this population?
For a sample size n < 30, the sampling distribution of the
sample mean is normally distributed.
For a sample size n > 30, the sampling distribution of the
sample mean is normally distributed.
For any sample size n, the sampling distribution of the
sample mean is normally distributed.
For a sample size n < 50, the sampling distribution of the
sample mean is normally distributed.

09.Marketing refers to__________.

the activity for creating, communicating, delivering, and
exchanging offerings that benefit its customers, the
organization, its stakeholders, and society at large
the process of identifying target market segments for a
product or service

 the activity involved in getting a product or service from

the manufacturer to ultimate consumers and
organizational buyers
the production of products or services that will generate
the highest return on investment

10. Lori is using secondary research to develop a business

report. How can she write her report in a way that
demonstrates originality in thought?

Cite all her research sources

Use the most current documentation guidelines
Generate her own conclusions and recommendations
Adopt a methodical approach to decision making

11.Annie, an employee who often attributes her team failures

to bad luck, attributes other teams failures to personal
shortcomings. Which of the following cognitive biases do
Annies attributions exemplify?

Self-deception bias
Belief bias
In-group bias
Hindsight bias

12.When does the straw man fallacy occur?

When a person tries to disprove a claim based on its
source.
When a person falsifies or overstates an adversarys
position.
When a person considers only 2 alternatives even when
other options are available.
When a decision maker dismisses an alternative that fails
to solve the issue completely.

13.Which of the following types of unemployment is considered

to be the most controllable through demand-side
macroeconomic policy?

Cyclical unemployment
Natural unemployment
Structural unemployment
Frictional unemployment

14.Microeconomics and macroeconomics are:

Interrelated because both are often taught by the same
instructors
Interrelated because what happens in the economy as a
whole is based on individual decisions
Virtually identical, though one is much more difficult than
the other
Not related because they are taught separately

15.Federal law and business leaders alike favor ____________ as

a means of governing private business ethics.
Self-regulation by companies
Establishment of federal regulators in all private
companies to establish and enforce ethical standards.
Giving the federal government exclusive jurisdiction
regarding ethics and ethics violation enforcement.
Creating uniform statutes of business ethics.

16.Which of the following statements is true of the WARN Act?

It requires employers to give notice to an at will
employee that he/she is being fired.

 It requires employers to give notice of a scheduled mass

layoff.
It requires employers to give notice to employees that
they are being subjected to polygraph tests.
It requires employers to give notice to employees that an
unscheduled drug test will be conducted for all employees.

17.Alex is playing his music at full volume in his dorm room.

The other people living on his floor found this to be a nuisance,
but Alex doesnt care. Alexs music playing is an example of:

positive externality
normative externality
negative externality
Pareto externality

18.According to the Ajzen model, the strongest predictor of an

employees behavior is/are__________.

social norms
the employees values
the employees attitudes
the employees intentions

19.The interdisciplinary field dedicated to understanding and

managing people at work is called:

management dynamics
management theory
organizational behavior
organizational dynamics

20.Regarding using personality testing as part of the hiring

process, experts have concluded that:
There are many valid instruments available to managers
to test for personality types.
Only the Big Five should be used as predictors of job
performance.
The typical personality test is not a valid predictor of job
performance.
The effects of personality on job performance are so large
it cannot be ignored by managers.

21.In the context of developing persuasive messages, which of

the following is most likely to help you demonstrate a voice of
competence?

focusing only on logical appeals

using only emotional appeals in your persuasive messages
developing strong ideas in the interest of your audience
adopting the tone of mass advertising such as over-thetop appeals

22.Identify an example of spontaneous creativity.

Settling a disagreement quickly in a simple way.

Modifying the strategies and procedures of a group.
Establishing win-win relationships with other people.
Organizing annual meetings and get-togethers
innovatively.

23.Which of the following is useful advice on conducting

business across cultures with those who have limited English
ability?

 Speak at your normal, regular pace instead of speaking

slowly as this may be viewed as disrespectful.
Determine a person's level of communication proficiency
within the first few moments of your interactions with
them.
Use slang and jargon instead of literal language as much
as possible.
Allow those with limited English ability enough time to
process their thoughts into English.

24.Joyce finds that the members of the project team to which

she has been assignment in her management class are all
athletes on the colleges football and basketball teams. She
immediately considers dropping the

class because she thinks her experience with that team will be
negative. Joyce is likely reacting to a__________.

semantic memory
negativity bias
stereotype
self-serving bias

25.According to the Classical growth model, an economy that

increases its saving will grow:
Quickly since the increase in saving will permit more rapid
technological progress.
Slowly because interest rates will fall, causing investment
to decline.
Slowly because consumption and aggregate demand will
be reduced.
Quickly since the increase in saving will permit greater
investment.

26.A 911 emergency response service needs operators who are

bilingual in English and Spanish. A few applicants of Spanish
origin are rejected due to poor English-speaking skills. They file
a complaint on the grounds of discrimination based on
nationality. Their complaint is squashed. Here, the defense of
the federal government is on the grounds of:

Circumstantial evidence
Inculpatory evidence
Exclusionary rule
Bona fide occupational qualifications

27.The distinction between flexible and fixed individual

differences__________.
is that managers should hire people based on their
attitudes and emotions
is that managers have little or no impact on fixed
differences
has no practical value for managers
is that managers have little or no impact on flexible
differences

28.Advertising, personal selling, sales promotion, public

relations, and direct marketing are marketing communications
alternatives that make up a firms __________.

promotional mix
communication source
marketing mix
media strategy

29.What is the main drawback to the Negotiation & Agreement

strategy for overcoming resistance to change?

 ineffective
too expensive if others decide to also negotiation for
compliance
leads to future problems if people feel manipulated
time-consuming

30.In order to focus your presentation on people, you

should______.

avoid using presentation software or other technology

use a lot of "I" statements
make individuals and groups the subject of your sentences
include as many photographs as possible in your slides

31.In order to summarize qualitative data, a useful tool is

a____________.

scattergram
stem-and-leaf diagram
frequency distribution
histogram

32.The product life cycle refers to __________.

a concept that describes the stages a product goes
through in the marketplace introduction, growth,
maturity, and decline
the average life span of a product
a concept that describes the stages a product goes
through in the marketplaceearly growth, accelerated
development, maturity, and decline
a concept that describes the stages a new product goes
through from product concept to commercialization

33.The study of similarities and differences among consumers

in two or more nations or societies is referred to as __________.

cross-cultural analysis
international sociographics
market synthesis
transnational anthropology

34.Other things held constant in a competitive labor market, if

workers negotiate a contract in which the employer agrees to
pay an hourly wage of $17.85 while the market equilibrium
hour rate is $16.50, the:
Quantity of workers supplied will exceed the quantity of
workers demanded.
Quantity of workers demanded will exceed the quantity of
workers supplied.
Supply of labor will decrease until the equilibrium wage
rate is $17.85.
Demand for labor will increase until the equilibrium wage
rate is $17.85.

35.In which of the following situations is a budget surplus most

likely to occur?
When fiscal policy is expansionary and the economy is
contracting
When fiscal policy is contractionary and the economy is
expanding
When fiscal policy is expansionary
When the economy is contracting

36.Fred takes Betty to dinner at a very expensive and exclusive

restaurant. The menu does not mention prices. The server

takes their order, and both Betty and Fred enjoyed the meal
immensely. When the bill comes, Fred refuses to pay because
the menu had no prices and because he and the server never
engaged in language indicating an offer and acceptance. The
server said, Are you ready to order? and when Fred said
Yes, the server merely asked, What may I get you tonight?

Fred
Fred
Fred
Fred

must pay based on a promissory estoppel theory.

must pay based on expressed contract theory.
is correct because no contract was formed.
must pay based on an implied-in-fact contract theory.

37.A monopoly firm is different from a perfectly competitive

firm in that:
A monopolists demand curve is perfectly inelastic
whereas a perfectly competitive firms demand curve is
perfectly elastic.
A monopolist can influence market price whereas a
perfectly competitive firm cannot.
A competitive firm has a u-shaped average cost curve
whereas a monopolist does not.
There are many substitutes for a monopolists product
whereas there are no substitutes for a competitive firms
product.

38.When two regression models applied on the same data set

have the same response variable but a different number of
explanatory variables, the model that would evidently provide
the better fit is the one with a__________.
higher coefficient of determination and a lower adjusted
coefficient of determination
lower standard error of the estimate and a higher adjusted
coefficient of determination

 higher standard of error of the estimate and a higher

coefficient of determination
lower standard error of the estimate and a higher
coefficient of determination

39.Suppose farmers can use their land to grown either wheat or

corn. The law of supply predicts that an increase in the market
price of wheat will cause:

farmers
farmers
farmers
farmers

to
to
to
to

lower the production of corn and wheat.

substitute wheat for the production of corn.
substitute corn for the production of wheat.
raise the production of corn and wheat.

40.The DeBeers company is a profit-maximizing monopolist

that exercises monopoly power in the distribution of diamonds.
If the company earns positive economic profits this year, the
price of diamonds will:
Be equal to the average total cost of diamonds.
Exceed the marginal cost of diamonds but equal to the
average total cost of diamonds.
Be equal to the marginal cost of diamonds.
Exceed both the marginal cost and the average total cost
of diamonds

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