All Questions from Actual Past Exam and 100

All Questions from Actual Past Exam and 100% Correct Answers

Government tactics that include removing incentives, demanding a higher share of profits and taxes, and confiscating foreign assets are known as: ---------- Correct Answer ---------- Expropriation

"People of the same trade seldom meet together, even for merriment and diversion, but their conversation often ends in conspiracy against the public." This quote from Adam Smith is referring to which of the following business relationship terms: ---------- Correct Answer ---------- Collusion

____ is a collection of facts organized so that they have additional value beyond the value of the facts themselves. ---------- Correct Answer ---------- Information

____ is the simulation of a real or imagined environment that can be experienced visually in three dimensions. ---------- Correct Answer ---------- Virtual reality

A corporation requesting a restraining order to bar the publication of damaging material would be seeking ---------- Correct Answer ---------- Equity law

Which of the following is NOT a strategic alternative to laying off employees? ---------- Correct Answer ---------- Lowering Employment Standards

KJ built his taco truck out of $75,000,000 worth of titanium and duct tape. He uses $10.25 of organic bok choy, $6.75 of Wisconsin cheddar cheese, and $25.25 of foie gras in each taco. If he sells tacos at $475 each, what is his break-even quantity? -------- -- Correct Answer ---------- $173,310

The Marketing Concept today is about what? ---------- Correct Answer ---------- Sales

Which of these is not a cash flow activity category in the Statement of cash flows? A.Operating B. Investing C. Financing D. Depreciating ---------- Correct Answer ---------- Depreciating

Which one of the following statements is false? (A) TC = TFC + TVC (B) ATC = AFC + AVC (C)AFC = TFC divided by Q (D) MC = TC divided by Q ---------- Correct Answer ---- ------ AFC = TFC divided by Q

The Federal Highway Administration uses notice-and-comment rulemaking. This process begins with ---------- Correct Answer ---------- the publication of a notice of proposed rulemaking. 1 / 4

Kip opens an account at a Lotsa Goodies Store, and buys a digital music player and other items, but makes no payments on the account. To collect the debt, Mako, the manager, contacts Kip's parents. This violates ---------- Correct Answer ---------- No federal law

The process of setting major organization objectives and developing plans to achieve

them is called: ---------- Correct Answer ---------- Strategic planning

One way human resource planning links to strategic planning is by providing a set of inputs into the: ---------- Correct Answer ---------- strategy formulation process

In the SERVQUAL instrument for measuring service quality, the concept of assurance is associated with ---------- Correct Answer ---------- The ability to convey trust and confidence

Which of the following is not one of W. Edwards Deming's 14 points? ---------- Correct Answer ---------- The only performance standard is Zero Defects

A leading force currently driving change at work is: ---------- Correct Answer ---------- Global competition

A questioning, probing attitude is at the core of: ---------- Correct Answer ---------- critical thinking

Which of the following IS NOT a purpose of a marketing plan? ---------- Correct Answer - --------- It explains how marketing activities mesh with other functional areas

In the context of marketing planning, why is it vital that the marketing plan be capable of selling itself to top management? ---------- Correct Answer ---------- Because top managers must decide whether the marketing plan is the best use for the organization's scarce resources

What is a general ledger? ---------- Correct Answer ---------- A general ledger account is an account or record used to sort, store and summarize a company's transactions.asset accounts such as Cash, Accounts Receivable, Inventory, Investments, Land, and Equipment

liability accounts including Notes Payable, Accounts Payable, Accrued Expenses Payable, and Customer Deposits

stockholders' equity accounts such as Common Stock, Retained Earnings, Treasury Stock, and Accumulated Other Comprehensive Income

What is the difference between accounts payable and accounts receivable? ---------- Correct Answer ---------- Accounts payable is a current liability account in which a 2 / 4

company records the amounts it owes to suppliers or vendors for goods or services that it received on credit.

Accounts receivable is a current asset account in which a company records the amounts it has a right to collect from customers who received goods or services on credit.

What is the cost of goods sold? ---------- Correct Answer ---------- The cost of goods sold is the cost of the products that a retailer, distributor, or manufacturer has sold.

What is owner's equity? ---------- Correct Answer ---------- Owner's equity is one of the three main sections of a sole proprietorship's balance sheet and one of the components

of the accounting equation: Assets = Liabilities + Owner's Equity.

What is principles of accounting? ---------- Correct Answer ---------- Principles of accounting can also refer to the basic or fundamental accounting principles: cost principles, matching principles, full disclosure principles, materiality principles, going concern principles, economic entity principles, and so on. In this context, principles of accounting refers to the broad underlying concepts which guide accountants when preparing financial statements.

What is equity? ---------- Correct Answer ---------- Equity can indicate an ownership interest in a business, such as stockholders' equity or owner's equity.Equity can mean an owner's interest in a personal asset. For example, the owner of a $200,000 house that has a mortgage loan of $75,000 is said to have $125,000 of equity in the house.

What is meant by reconciling an account? ---------- Correct Answer ---------- Reconciling an account is likely to mean proving or documenting that an account balance is correct.

What is included in cash and cash equivalents? ---------- Correct Answer ---------- In

accounting, a company's cash includes the following:

currency and coins checks received from customers but not yet deposited checking accounts petty cash

Cash equivalents are short-term, highly liquid investments with a maturity date that was

• months or less at the time of purchase.

money market accounts U.S. Treasury Bills commercial paper

What is the difference between an implicit cost and an explicit cost? ---------- Correct Answer ---------- An implicit cost is present but it is not initially shown or reported as a separate cost. 3 / 4

An explicit cost is a cost that is present and it is clearly shown or reported as a separate cost.

What is the difference between stocks and bonds? ---------- Correct Answer ---------- Stocks, or shares of capital stock, represent an ownership interest in a corporation.Every corporation has common stock.Bonds are a form of long-term debt in which the issuing corporation promises to pay the principal amount at a specified maturity date.

AN INCREASE TO WHICH OF THE FOLLOWING ACCOUNTS WILL INCREASE

OWNERS' EQUITY? ---------- Correct Answer ---------- Client Fees

IN TIMES OF RISING PRICES, THE INVENTORY COST METHOD THAT WILL YIELD

THE LOWEST NET INCOME IS: ---------- Correct Answer ---------- LIFO (LIFO is the acronym for last-in, first-out, which is a cost flow assumption often used by U.S.corporations in moving costs from inventory to the cost of goods sold.Example: Assume that a corporation uses LIFO and has three units of a product in its inventory. Due to its supplier raising its prices, the corporation purchased the items at different costs and in the following sequence: $40, $44, and $46. The corporation ships the oldest item (the one purchased for $40) to a customer at a selling price of $60.However, under the LIFO cost flow assumption the company reports its cost of goods sold at $46 (the latest cost) and reports a gross profit of $14. (The costs of $40 and $44 remain in inventory.)

When a business erroneously records expenses as assets, it has violated the measurement issue of ---------- Correct Answer ---------- classification

A dividend will reduce which of the following accounts? ---------- Correct Answer ---------- Retained Earnings

Lying by omission involves intentionally ---------- Correct Answer ---------- withholding material facts.

Conflicts of interest exist when employees must choose whether to ---------- Correct Answer ---------- advance their own interests, those of the organization, or those of some other group.

Which of the following statements is CORRECT? ---------- Correct Answer ---------- Free cash flow (FCF) is, essentially, the cash flow that is available for interest and dividends after the company has made the investments in current and fixed assets that are necessary to sustain ongoing operations.

A corporate bond currently yields 8.3%. Municipal bonds with the same risk, maturity, and liquidity currently yield 5.5%. At what tax rate would investors be indifferent between the two bonds? ---------- Correct Answer ---------- 33.73%

• / 4