BACKFLOW PRACTICE EXAMINATION
2026 QUESTIONS WITH ANSWERS
GRADED A+
◍ definition of agribusiness.
Answer: it can be viewed as a number of INTERRELATED SUB
SECTORS which work together to FORMALLY (i.e. contract) and
INFORMALLY to produce GOODS AND SERVICES
◍ Which of the following is NOT included in the concept of strategy?a.
strategy is a postulate or a theory of how to compete successfullyb. strategy
is success orientedc. strategy is an allocation of resources that maintains or
improves firm performanced. Strategy includes anticipating the competitive
moves of a firm's opponentse. A good strategy is one that addresses the
needs of the market, even if the firm does not have the assets (i.e. strengths)
to pursue them.
Answer: E
◍ a driver of the agbu sector.
Answer: In theory you produce what the cincumers want. But they don't
normally have full info (impulse buys)
◍ Which of the following is NOT considered to be a distinctive characteristic
of the Food and Agribusiness system?a. Food is intertwined with culture,
domestically and internationally (meatball wars)b. Uncertainty in the
biological basis of crop and livestock production (weather and safe food)c.
Government intervention (i.e. subsidies and price supports) ($15 wage)d.
The agribusiness system is driven by a large number of small scaled
producers- should be fewer but largely competitivee. Public and private
investment in Ag. Research (prices inc even private).
Answer: D
, ◍ Which of the following statements best describes educational training in
Agribusiness management?a. Agribusiness is concerned with decisions
made at the industry level and therefore Economics- in terms of its
understanding of markets- is the cornerstone of basis for agribusiness
education.b. Economic theory has been criticized for sacrificing relevance
for abstract vigor. Therefore, economics has no value in dealing with "real
world" business problems.c. Problems in agribusiness are diverse and
complex and therefore economics alone is not likely to be sufficient with
dealing with Agribusiness problems.d. None of the above..
Answer: C
◍ 6 distinctive characteristics of agbu sector (that happens only in ag, not other
sectors).
Answer: 1. food is intertwined with culture, domestically and
internationally. ex: asian countries eat more rice2. uncertainty underlying
biologic basis of crop and livestock production. ex: uncertainty about
weather, yield from genetics, etc.3. political intervention across sub sectors
and between nations (US farm bill) ex: food stamps4. ag and food
technology development-private and public funded in food production and
processing ex: finding ways to produce higher yield varieties investments
now are being made private instead of public (govt. funded)-if private could
be looking out for self interest5. competitive structure; highly concentrated
ex: its not talking about a perfectly competitive structure, talking about food
retail being concentrated-only have major stores like walmart6. food is a
necessity its in the govt.'s best interest to make sure food is available ex:
crisis in Venezuela
◍ education for agbu management-should econ be the only thing taught?.
Answer: castle's concern: econ theory is sacrificing relevance for abstract
RIGOR (assumption on human behavior vs. actual)-thinks econ is important
but we need to learn other things too. math makes assumptions but we need
other info like consumer feelings/behaviors. There is disconnect between
econ model and real world
2026 QUESTIONS WITH ANSWERS
GRADED A+
◍ definition of agribusiness.
Answer: it can be viewed as a number of INTERRELATED SUB
SECTORS which work together to FORMALLY (i.e. contract) and
INFORMALLY to produce GOODS AND SERVICES
◍ Which of the following is NOT included in the concept of strategy?a.
strategy is a postulate or a theory of how to compete successfullyb. strategy
is success orientedc. strategy is an allocation of resources that maintains or
improves firm performanced. Strategy includes anticipating the competitive
moves of a firm's opponentse. A good strategy is one that addresses the
needs of the market, even if the firm does not have the assets (i.e. strengths)
to pursue them.
Answer: E
◍ a driver of the agbu sector.
Answer: In theory you produce what the cincumers want. But they don't
normally have full info (impulse buys)
◍ Which of the following is NOT considered to be a distinctive characteristic
of the Food and Agribusiness system?a. Food is intertwined with culture,
domestically and internationally (meatball wars)b. Uncertainty in the
biological basis of crop and livestock production (weather and safe food)c.
Government intervention (i.e. subsidies and price supports) ($15 wage)d.
The agribusiness system is driven by a large number of small scaled
producers- should be fewer but largely competitivee. Public and private
investment in Ag. Research (prices inc even private).
Answer: D
, ◍ Which of the following statements best describes educational training in
Agribusiness management?a. Agribusiness is concerned with decisions
made at the industry level and therefore Economics- in terms of its
understanding of markets- is the cornerstone of basis for agribusiness
education.b. Economic theory has been criticized for sacrificing relevance
for abstract vigor. Therefore, economics has no value in dealing with "real
world" business problems.c. Problems in agribusiness are diverse and
complex and therefore economics alone is not likely to be sufficient with
dealing with Agribusiness problems.d. None of the above..
Answer: C
◍ 6 distinctive characteristics of agbu sector (that happens only in ag, not other
sectors).
Answer: 1. food is intertwined with culture, domestically and
internationally. ex: asian countries eat more rice2. uncertainty underlying
biologic basis of crop and livestock production. ex: uncertainty about
weather, yield from genetics, etc.3. political intervention across sub sectors
and between nations (US farm bill) ex: food stamps4. ag and food
technology development-private and public funded in food production and
processing ex: finding ways to produce higher yield varieties investments
now are being made private instead of public (govt. funded)-if private could
be looking out for self interest5. competitive structure; highly concentrated
ex: its not talking about a perfectly competitive structure, talking about food
retail being concentrated-only have major stores like walmart6. food is a
necessity its in the govt.'s best interest to make sure food is available ex:
crisis in Venezuela
◍ education for agbu management-should econ be the only thing taught?.
Answer: castle's concern: econ theory is sacrificing relevance for abstract
RIGOR (assumption on human behavior vs. actual)-thinks econ is important
but we need to learn other things too. math makes assumptions but we need
other info like consumer feelings/behaviors. There is disconnect between
econ model and real world
