2002 Business ProceduresPage 1

True/False. Mark "A" on the answer sheet for true statements; "B" for false statements.
  1. Employers look for skills, appearance, punctuality, regular attendance, enthusiasm and maturity both in job applicants and workers being considered for promotion.
/ a. True / b. False
  1. It is not legal to discriminate in hiring because of sex, age, race, or religion.
/ a. True / b. False
  1. Nonverbal communication is called body language.
/ a. True / b. False
  1. The “you attitude” is useful in informal writing, but not in business writing.
/ a. True / b. False
  1. The first-step in a decision-making process is to identify all alternatives available.
/ a. True / b. False
  1. Recovery is a phase of the business cycle in which unemployment begins to decrease, demand for goods and services increases, and gross domestic product begins to rise.
/ a. True / b. False
  1. A code of ethics is a statement of values and rules that guides the behavior of employees or members of an organization.
/ a. True / b. False
  1. Desktop publishing is a process of writing and designing high-quality publications with the use of microcomputers.
/ a. True / b. False
  1. A strategic plan describes the financial plan for the year-to-year operations of a business.
/ a. True / b. False
  1. Cyberspace is the same thing as virtual reality.
/ a. True / b. False
  1. A natural, inborn aptitude to certain things is known as inate ability.
/ a. True / b. False
  1. The age of available workers and immigration are two societal factors that do not influence job opportunities.
/ a. True / b. False
  1. Market research uses demographics to determine where people live and how much they spend.
/ a. True / b. False
  1. The Zone Improvement Program code is a seven-digit number that identifies each postal delivery area in the United States.
/ a. True / b. False
  1. A resume is a summary of the education, work experience, and other information highlighting an applicant’s qualification for a job.
/ a. True / b. False
  1. Under contract law, minors cannot generally be held liable for their debts.
/ a. True / b. False
  1. The four functions of management are organizing, financing, directing and controlling.
/ a. True / b. False
  1. All state and national banks belong to the Federal Reserve System.
/ a. True / b. False
  1. Robotics is an application of artificial intelligence.
/ a. True / b. False
  1. The Equal Credit Opportunity Act states that everyone is entitled to the same amount of credit.
/ a. True / b. False
Multiple Choice. Mark the letter of the item that best completes each statement.
  1. If a colon is used after the salutation in a business letter, the punctuation after the complimentary closing should be
/ a. a colon. / b. a semicolon. / c. a comma. / d. no punctuation.
  1. Which of the following sentences is shown in correct format for a business report?
/ a. One-hundred thirty five tickets were sold for the play. / b. A total of 135 tickets sold for the play. / c. 135 tickets were sold for the play. / d. All of the above are acceptable. / e. None of the above are correct
  1. Job satisfaction is
/ a. a chance to accomplish something. / b. chances for advancement on the job. / c. a feeling of achievement. / d. belonging to an organization.
  1. One of the five steps in the information processing cycle is
/ a. inputting. / b. outsourcing. . / c text-editing. / d. random access. / e. highlighting passages.
  1. Careful preparation for a job interview will help you to
/ a. change the way you normally act so you can make a good impression. / b. know how to ask for more money when you are offered a job. / c. relax so that you can be yourself and make a natural impression. / d. ask questions of why you should work for the organization. / e. none of the above.
  1. The Purchasing Department orders merchandise for the company from vendors. Some vendors offer discounts. A typical discount is 2/10 which means
/ a. subtract ten percent within two days of payment. / b. payment of invoice is due within two days. / c. two percent discount offered if payment is made within ten days from the date of invoice. / d. ten percent deducted from the quoted price. / e. none of the above.
  1. Which of the following sentences is correctly punctuated?
/ a. The business meeting agenda included several items of importance to our company: for example, the new state tax regulation will be discussed. / b. The order was for 12 pens, 25 pencils, and three staplers; and 6 pens, 3 pencils, and two staplers wee sent. / c. Jamie proofread the letters; and then took them to Mr. Jerold. / d. Pamela and Elvira finished their work before lunch, and in the afternoon they helped Christina with hers. / e. None of the above.
  1. Sales receipt books sell for $25 a dozen. You bought 25 dozen, received a 15 percent discount and paid 6 percent sales tax on the purchase of the sales receipt books. What is the total amount of your purchase?
/ a. $562.50 / b. $533.75 / c. 563.13 / d. 596.25 / e. None of the above
  1. How many spelling errors appear in this paragraph? “When Charles returned to his office after his illness, Julianna was asked to help him do some of his routine chores. During the pass two weeks, Julianna is unwiling to continue to help him. Suddenly, she seems to be annoyed with Charles for no apparent reason.”
/ a. No errors in spelling / b. Two errors / c. Three errors / d. Five errors / e. Six or more errors
  1. A business buys an item for $10 and sells it for 15 percent more. What is the selling price?
/ a. $10.15 / b. $11.58 / c. $11.05 / d. $10.75 / e. None of the above
  1. Special notations on letters include which of the following?
/ a. Attention line / b. Reference initials / c. Enclosure notations / d. Subject line / e. All of the above
  1. Brainstorming is a technique used in group problem solving to
/ a. make the individual aware of what is going on. / b. reach a final solution. / c. identify a variety of possible solutions. / d. avoid the necessity of making a decision. / e. confuse the opposition.
  1. Owner’s equity is defined as
/ a. A debt or obligation of the owner / b. Owner’s financial interest in the business / c. A financial statement that shows the total assets of the business / d. Owner maintains entries in a journal / e. None of the above
  1. The following paragraph consists of how many errors in capitalization? “The treasurer of Madison Shipping Company has suggested that the company sell its building on third avenue and lease space in an Office Building about a mile South of the present location. The tower building located at main street and Bowers boulevard has available space beginning the Month of august. “
/ a. Two errors / b. Five errors / c. Seven errors / d. 10 errors / e. 12 errors
  1. Which of these steps will usually help workers to accept change within their business organization?
/ a. Communicate the company goals / b. Concentrate on essential change / c. Involve those workers concerned about proposed change / d. Involve workers in decision making about change / e. All of the above
  1. Sharing the results of ongoing measurement with employees and customers
/ a. Demonstrates responsiveness to customers / b. Further involves employees in the process / c. Strengthens the chain of customers / d. All of the above / e. None of the above
  1. Which of the following is not one of the four responsibilities managers in an office environment generally have?
/ a. Planning / b. Organizing / c. Secret keeping / d. Leading / e. All of these are responsibilities of managers.
  1. Data consists of
/ a. Numbers, letters and words. / b. E-mail. / c. Activities. / d. Hardware. / e. Multi-media systems.
  1. Change often results in
/ a. acceptance. / b. opposition. / c. rejection. / d. A, B, and C / e. A and C only
  1. When both sides in an argument change their position to reach an agreement, this is called
/ a. a conflict. / b. a compromise. / c. an uncertainty. / d. a code of conduct. / e. distancing.
  1. Legal tender means
/ a. legal and official proof. / b. interest rates above those allowed by law. / c. a gift in a will. / d. money. / e. a request for payment.
  1. To find information about the types of opportunities available for your future in a given occupation, which of the following sources would you consult?
/ a. Occupational Outlook Handbook / b. Bureau of Census / c. Dictionary of Occupational Titles / d. Standard Industrial Classification / e. A, B, and C
  1. When our government is taking in as much tax money as it has money going out in spending, we have a/an
/ a. balanced budget. / b. surplus. / c. deficit. / d. transfer payment. / e. economic system.
  1. Which of the following traits would a manager expect of workers?
/ a. To be productive / b. To show initiative / c. To produce high-quality work / d. To adapt to new situations / e. All of the above.
  1. Job sharing is
/ a. a jobber who sells primarily to retailers. / b. two or more companies working on a single project. / c. an arrangement in which the responsibilities and hours of one position are carried out by two people. / d. an obligation of one party to reimburse another party for losses that have incurred or that may occur. / e. a commercial term under which the seller’s obligation are fulfilled when the goods reach a point specified in the contract.
  1. A laptop computer sells for $2,500. The printer costs $295 and the yearly maintenance fee is $50. How much will the buyer save if there is a 2 percent discount on the computer and printer for paying cash within ten days of purchase?
/ a. $54.35 / b. $55.25 / c. $57.90 / d. $56.87 / e. $55.90
  1. If weekly sales receipts for the Turner Gas Station are $1,875.37, $3,168.19, and $2,046.82; what income is needed in the fourth week to meet a four-week goal of $10,000?
/ a. $4,921.45 / b. $1,290.85 / c. $1,147.60 / d. $2,750.45 / e. $2,909.62
  1. If a sales tax on a purchase is 6.2 percent, what tax would you pay on a camera costing $129.95?
/ a. $9.45 / b. $7.75 / c. $8.74 / d. $8.06 / e. $8.45
  1. If a business had $15,500 in revenues and a net profit of $13,500, its profit ratio would be
/ a. 87 percent. / b. 57 percent. / c. 78 percent. / d. 97 percent / e. 75 percent.
  1. Your friend’s Internet address at work is . What type of employer does she works for?
/ a. Private business / b. Local school system / c. Commercial bank / d. Government / e. Telephone company
  1. What is a chronological file?
/ a. A list of names of customers and prospective customers in the parts of the county in which they are located. / b. Business papers arranged by numbers rather than names. / c. A file maintained in the order of time according to the year, month and day. / d. A file maintained by the name of the firms. / e. A file maintained that is arranged in alphabetic subject file order.
  1. Parallel construction requires balancing the grammatical structure of a sentence. Which one of the following sentences lacks parallelism?
/ a. Dr. Pardon attended a meeting in the morning, performed surgery at noon, and enjoyed the ballet in the evening. / b. Her job involved answering phones, taking messages, and writing reports. / c. Johnnie likes to fish, hunt, and he plays golf. / d. Stephen eats breakfast in the morning, lunch at noon, and dinner in the evening. / e. Karen bought three bags of popcorn, two drinks, and three packages of candy.
  1. People who work to produce goods and services are called
/ a. natural resources. / b. human resources. / c. economic resources. / d. capital resources. / e. wants.
  1. Marketing is an important part of the economic system. About half of the dollars spent on goods and services go to marketing activities. Which of the following is NOT a marketing function?
/ a. Grading and standardizing / b. Transporting / c. Selling / d. Accounting / e. All of the above are functions of marketing.
  1. The multiplier effect that occurs when a business creates new jobs in a community means
/ a. Total growth and income are greater than just the wages of new workers hired. / b. The demand for services always multiplies faster than income. / c. Whatever troubles exist are automatically multiplied. / d. No additional demands will be placed for community services. / e. Does not improve the quality of life in the community.
  1. The Consumer Price Index measures
/ a. changes in oil prices. / b. changes in interest rates. / c. the change in the price of a market basket of goods and services. / d. demand-pull inflation. / e. cost-push inflation.
  1. If a person is capable of searching out new tasks and completing them without any supervision, the person shows
/ a. self-confidence. / b. independence. / c. self-discipline. / d. self-motivation. / e. arrogance.
  1. An entrepreneur is a
/ a. steady worker receiving a regular salary. / b. person willing to assume the risks of a business or enterprise. / c. lender who earns interest on investments. / d. dealer looking for the best deal. / e. competitor cutting prices to increase sales.
  1. When you deal with words--reading, speaking, writing, and listening--you are using what type of communication?
/ a. Nonverbal communication / b. Verbal communication / c. Hearing communication / d. Critical thinking / e. Decision making
  1. When Comp Tech advertises a low-priced printer only to lure customers and then to convince customers to buy a more expensive item, the store is practicing
/ a. promotional selling. / b. recycling. / c. boycotting. / d. conservation. / e. bait and switch.
  1. What kind of health insurance covers you if you are injured on the job?
/ a. Medicare / b. HMO’s / c. PPO’s / d. Medicaid / e. Workers’ Compensation
  1. Janice opened a small gift shop. Through hard work and good management, her business prospered and expanded to include several new items. Janice’s inventory increased tremendously and became increasingly difficult to control even though she had 10 full-time and 15 part-time employees. Janice read several articles about the use of micrographics and computer systems to maintain inventory records. Which of the following should she ask herself?
/ a. How would I go about converting my records with each system? / b. Should I dispose of some of the inventory so that I have less to worry about? / c. Should I hire more employees to take care of the situation? / d. Would a micrographics or computerized filing system better help me in my business? / e. A and D
  1. Analog and digital signals are converted and transmitted over phone lines by the use of a/an ______.
/ a. answering machine / b. voice-mail system / c. modem / d. transmitter
  1. Virtually everyone who works in an office has to make a number of decisions over the course of any given workday. All decision making involves which of the following same basic steps?
/ a. Defining the problem, gathering information, brainstorming, and solving the problem / b. Defining the problem, solving the problem, and posting the results / c. Defining the problem, gathering information, generating options, evaluating options, and choosing an option / d. Defining the problem, making the decision, taking a survey, and posting the results
  1. To make better ethical decisions, ask yourself the following questions:
/ a. What are the facts? Who will be affected by my decision? What issues are involved? / b. What are the facts? What will be the easiest solution? Will anyone find out? / c. What are the facts? Does anyone else know? Is it legal? / d. What are the facts? How long can the decision be put off? Can the decision be made by someone else?
  1. A set of defined steps that compose the elements of a task and provide a framework for getting the job done is known as an office ______.
/ a. function / b. productivity / c. procedure / d. process
  1. Checks that are guaranteed by the bank and are most commonly used in transactions that involve large sums of money are known as ______.
/ a. bank drafts / b. cashier’s check / c. money orders / d. certified checks
  1. Written documents that are brief, direct, and sometimes informal among people who work for the same organizations are known as ______.
/ a. e-mail / b. interoffice memorandums / c. business reports / d. business letters
  1. Specialized technical language not normally used in everyday communication is known as ______.
/ a. technolanguage / b. rough draft / c. jargon / d. business vocabulary
  1. A document processed on a computer and stored temporarily in the machine’s random access memory is said to be stored ______.
/ a. on the floppy disk / b. in rom / c. in ram / d. as soft copy
  1. The basic components of a computer hardware system include
/ a. a monitor, a keyboard, a surge protector, and a printer. / b. an input device, the cpu, a storage device, and an output device. / c. a cpu, a mouse, a monitor, and a microphone. / d. a cpu, a keyboard, a printer, and a hard drive.
  1. Reorganizing data in many ways to show different aspects of the same information is known as ______.
/ a. data entry / b. data collection / c. data manipulation / d. data support
  1. The primary purpose of a resume is to
/ a. complete an application quickly. / b. convince someone to interview you for a job. / c. create a good impression. / d. state a job objective.
  1. To prepare for an interview and make a good first impression, the job applicant should
/ a. research the company and be organized and prepare for questions to be asked. / b. be thirty minutes early for the interview and be in control of the conversation. / c. never offer his/her hand to shake unless the interviewer offers his/her hand first. / d. be prepared to explain all the negative aspects of former jobs and ask about hourly pay first thing.
  1. After the job interview, the applicant should
/ a. call each day to determine if the job has been filled. / b. wait for the employer to contact him/her. / c. send a follow-up thank you letter immediately. / d. call and thank the employer for his/her time
  1. Discrimination against people who are mentally or physically challenged was made illegal by the ______.
/ a. Civil Rights Acts of 1964 / b. Age Discrimination in Employment Act / c. Equal Employment Opportunity Commission / d. Americans with Disabilities Act
  1. A flexible work schedule that permits employees to divide the time and responsibilities of a job between two employees is ______.
/ a. job sharing / b. flextime / c. telecommuting / d. phased retirement
  1. Projecting a positive professional image is imperative for the career-minded student. The three most important components of a positive professional image are
/ a. respect, accepting criticism, and technology. / b. impartiality, harmony, and office politics. / c. personal appearance, knowledge, and ethical behavior. / d. job responsibility, job title, and personal appearance.
  1. The value judgment of right and wrong in any given situation or circumstance is known as ______.
/ a. ethics / b. criticism / c. policy decision / d. disciplinary action
  1. Assume you have created a word processing document with one-inch margins. You open the document at a later time and change the margins to 1.5 inches. What can you say about the numbers of hard and soft returns before and after the margins?
/ a. The number of soft returns is the same, but the number and/or position of the hard returns has increased. / b. The number of soft returns is the same, but the number and/or position of the hard returns has decreased. / c. The number of hard returns is the same, but the number and/or position of the soft returns is different. / d. The number and position of both hard and soft returns is unchanged.