ETS MAJOR FIELD TEST (PRACTICE
TEST): BACHELOR'S DEGREE IN
BUSINESS
The,common,characteristic,possessed,by,all,assets,is
,
a),Long,life
b),Great,monetary,value
c),Tangible,nature
d),Future,economic,benefit,-,ans-✔✔d),Future,economic,benefit
Which,Foreign,Direct,Investment,
(FDI),attempts,to,acquire,particular,resources,at,a,lower,real,cost,than,could,be,obtained,in
,the,home,country?
,
a),Market-seeking,FDI
b),Efficiency-seeking,FDI
c),Resource-seeking,FDI
d),Strategic,asset-seeking,FDI,-,ans-✔✔c),Resource-seeking,FDI
Under,the,Uniform,Commercial,Code,
(UCC),statute,of,frauds,,which,of,the,following,terms,must,be,included,in,writing,in,order,to,
satisfy,the,writing,requirement?
,
a),The,price,of,the,goods.
b),The,quantity,of,the,goods.
c),The,signatures,and,names,of,the,buyer,and,the,seller
d),The,time,and,place,for,delivery,-,ans-✔✔b),The,quantity,of,the,goods
Which,of,the,following,is,an,appropriate,Federal,Reserve,action,to,stimulate,the,United,Sta
tes,economy?
,
a),Selling,government,bonds,on,the,open,market
b),Increasing,the,discount,rate
c),Reducing,the,reserve,requirement
d),Cutting,taxes,-,ans-✔✔c),Reducing,the,reserve,requirement
Which,of,the,following,is,true,with,regard,to,an,exculpatory,clause?
,
,a),An,exculpatory,clause,excuses,one,party,from,liability,for,his/her,own,tortious,conduct.
b),Where,one,party,has,a,superior,bargaining,position,that,has,enabled,him/
her,to,impose,an,exculpatory,clause,upon,the,other,,the,courts,are,inclined,to,nullify,the,pro
vision.
c),An,exculpatory,clause,may,be,unenforceable,for,unconscionability.
d),All,of,the,above,are,true,-,ans-✔✔d),All,of,the,above,are,true
Managers,at,ABC,,Inc.,analyze,the,current,situation,of,their,organization,and,then,develop,
plans,to,help,their,organization,to,accomplish,its,mission,and,achieve,its,goals.,This,is,kno
wn,as:
,
a),Synergy,planning
b),Strategy,formulation
c),Functional,planning
d),SWOT,analysis,-,ans-✔✔b),Strategy,formulation
A,group,that,develops,naturally,as,a,result,of,employees',interaction,within,an,organization,
is,referred,to,as
,
a),an,informal,group
b),a,formal,group
c),a,work-team,group
d),a,formation,group,-,ans-✔✔a),an,informal,group
When,employees,use,email,,word,processors,,electronic,scheduling,/,calendars,,they,are,
using,which,of,the,following?
,
a),Transaction,processing,systems
b),Process,control,systems
c),Office,automation,systems
d),Decision,support,systems,-,ans-✔✔c),Office,automation,systems
A,standard,procedure,for,numerically,measuring,a,project's,progress,,forecasting,its,comp
letion,date,and,cost,and,providing,measures,of,schedule,and,budget,variation,as,activities,
are,completed,is,referred,to,as
,
a),program,evaluation,and,review,technique,(PERT)
b),the,critical,path,method,(CPM)
c),a,Gantt,chart
d),earned,value,analysis,(EVA),-,ans-✔✔d),earned,value,analysis,(EVA)
High,product,differentiation,is,generally,accompanied,by
a),higher,market,share
b),decreased,emphasis,on,competition,based,on,price
,c),higher,profit,margins,and,lower,costs
d),significant,economies,of,scale,-,ans-
✔✔b),decreased,emphasis,on,competition,based,on,price
The,essence,of,common,law,is:
a),its,prospective,nature.
b),the,concept,of,stare,decisis
c),its,flexibility
d),the,plain,meaning,doctrine,-,ans-✔✔b),the,concept,of,stare,decisis
The,Organization,of,the,Petroleum,Exporting,Countries,(OPEC),reduces,production,by,
10,percent,,and,the,growth,rate,of,the,world,economy,begins,to,escalate.,How,will,the,
simultaneous,occurrence,of,these,events,affect,the,equilibrium,price,and,quantity,in,the,wo
rld,
petroleum,market?
a),Price,will,increase,,but,quantity,will,remain,unchanged
b),Price,will,increase,,but,quantity,is,indeterminate
c),Quantity,will,increase,,but,price,is,indeterminate
d),Both,price,and,quantity,will,increase,-,ans-
✔✔b),Price,will,increase,,but,quantity,is,indeterminate
Within,the,context,of,the,capital,asset,pricing,model,
(CAPM),,the,risk,measure,known,as,beta,is,often,computed,by,regressing,the,return,of,the,
company's,stock,against,the
a),return,on,the,company's,bonds
b),return,on,the,market,portfolio
c),change,in,the,gross,domestic,product
d),change,in,the,consumer,price,index,-,ans-✔✔b),return,on,the,market,portfolio
If,the,spread,between,the,spot,and,forward,exchange,rates,of,two,currencies,equals,the,int
erest,rate,difference,between,the,two,countries,,this,phenomenon,is,referred,to,as
a),purchasing-power,equality
b),commodity,arbitrage
c),currency,hedging
d),interest-rate,parity,-,ans-✔✔d),interest-rate,parity
Douglass,Interiors,is,considering,two,mutually,exclusive,projects,and,have,determined,tha
t,the,crossover,rate,for,these,projects,is,11.7,percent.,Project,A,has,an,internal,rate,of,retur
n,
(IRR),of,15.3,percent,and,Project,B,has,an,IRR,of,16.5,percent.,Given,this,information,,whi
ch,one,of,the,following,statements,is,correct?
, a),Project,A,should,be,accepted,as,its,IRR,is,closer,to,the,crossover,point,than,is,Project,B'
s,IRR.
b),Project,B,should,be,accepted,as,it,has,the,higher,IRR.
c),Both,projects,should,be,accepted,as,both,of,the,project's,IRRs,exceed,the,crossover,rat
e.
d),Neither,project,should,be,accepted,since,both,of,the,project's,IRRs,exceed,the,crossove
r,rate.
e),You,cannot,determine,which,project,should,be,accepted,given,the,information,provided.
,-,ans-
✔✔e),You,cannot,determine,which,project,should,be,accepted,given,the,information,provi
ded.
A,small,number,of,people,with,complementary,skills,who,are,committed,to,a,common,purp
ose,,a,set,of,performance,goals,,and,an,approach,for,which,they,hold,themselves,mutually,
accountable,is,referred,to,as,a
a),committee
b),task,force
c),group
d),team,-,ans-✔✔d),team
Manufacturing,overhead,includes:
a),all,direct,material,,direct,labor,and,administrative,costs
b),all,manufacturing,costs,except,direct,labor
c),all,manufacturing,costs,except,direct,labor,and,direct,materials
d),all,selling,and,administrative,costs,-,ans-
✔✔c),all,manufacturing,costs,except,direct,labor,and,direct,materials
Sue,and,Neal,are,twins.,Sue,invests,
$5,000,at,7,percent,when,she,is,25,years,old.,Neal,invests,
$5,000,at,7,percent,when,he,is,30,years,old.,Both,investments,compound,interest,annually
.,Both,Sue,and,Neal,retire,at,age,60.,Which,one,of,the,following,statements,is,correct,assu
ming,that,neither,Sue,nor,Neal,has,withdrawn,any,money,from,their,accounts?
a),Sue,will,have,less,money,when,she,retires,than,Neal.
b),Neal,will,earn,more,interest,on,interest,than,Sue.
TEST): BACHELOR'S DEGREE IN
BUSINESS
The,common,characteristic,possessed,by,all,assets,is
,
a),Long,life
b),Great,monetary,value
c),Tangible,nature
d),Future,economic,benefit,-,ans-✔✔d),Future,economic,benefit
Which,Foreign,Direct,Investment,
(FDI),attempts,to,acquire,particular,resources,at,a,lower,real,cost,than,could,be,obtained,in
,the,home,country?
,
a),Market-seeking,FDI
b),Efficiency-seeking,FDI
c),Resource-seeking,FDI
d),Strategic,asset-seeking,FDI,-,ans-✔✔c),Resource-seeking,FDI
Under,the,Uniform,Commercial,Code,
(UCC),statute,of,frauds,,which,of,the,following,terms,must,be,included,in,writing,in,order,to,
satisfy,the,writing,requirement?
,
a),The,price,of,the,goods.
b),The,quantity,of,the,goods.
c),The,signatures,and,names,of,the,buyer,and,the,seller
d),The,time,and,place,for,delivery,-,ans-✔✔b),The,quantity,of,the,goods
Which,of,the,following,is,an,appropriate,Federal,Reserve,action,to,stimulate,the,United,Sta
tes,economy?
,
a),Selling,government,bonds,on,the,open,market
b),Increasing,the,discount,rate
c),Reducing,the,reserve,requirement
d),Cutting,taxes,-,ans-✔✔c),Reducing,the,reserve,requirement
Which,of,the,following,is,true,with,regard,to,an,exculpatory,clause?
,
,a),An,exculpatory,clause,excuses,one,party,from,liability,for,his/her,own,tortious,conduct.
b),Where,one,party,has,a,superior,bargaining,position,that,has,enabled,him/
her,to,impose,an,exculpatory,clause,upon,the,other,,the,courts,are,inclined,to,nullify,the,pro
vision.
c),An,exculpatory,clause,may,be,unenforceable,for,unconscionability.
d),All,of,the,above,are,true,-,ans-✔✔d),All,of,the,above,are,true
Managers,at,ABC,,Inc.,analyze,the,current,situation,of,their,organization,and,then,develop,
plans,to,help,their,organization,to,accomplish,its,mission,and,achieve,its,goals.,This,is,kno
wn,as:
,
a),Synergy,planning
b),Strategy,formulation
c),Functional,planning
d),SWOT,analysis,-,ans-✔✔b),Strategy,formulation
A,group,that,develops,naturally,as,a,result,of,employees',interaction,within,an,organization,
is,referred,to,as
,
a),an,informal,group
b),a,formal,group
c),a,work-team,group
d),a,formation,group,-,ans-✔✔a),an,informal,group
When,employees,use,email,,word,processors,,electronic,scheduling,/,calendars,,they,are,
using,which,of,the,following?
,
a),Transaction,processing,systems
b),Process,control,systems
c),Office,automation,systems
d),Decision,support,systems,-,ans-✔✔c),Office,automation,systems
A,standard,procedure,for,numerically,measuring,a,project's,progress,,forecasting,its,comp
letion,date,and,cost,and,providing,measures,of,schedule,and,budget,variation,as,activities,
are,completed,is,referred,to,as
,
a),program,evaluation,and,review,technique,(PERT)
b),the,critical,path,method,(CPM)
c),a,Gantt,chart
d),earned,value,analysis,(EVA),-,ans-✔✔d),earned,value,analysis,(EVA)
High,product,differentiation,is,generally,accompanied,by
a),higher,market,share
b),decreased,emphasis,on,competition,based,on,price
,c),higher,profit,margins,and,lower,costs
d),significant,economies,of,scale,-,ans-
✔✔b),decreased,emphasis,on,competition,based,on,price
The,essence,of,common,law,is:
a),its,prospective,nature.
b),the,concept,of,stare,decisis
c),its,flexibility
d),the,plain,meaning,doctrine,-,ans-✔✔b),the,concept,of,stare,decisis
The,Organization,of,the,Petroleum,Exporting,Countries,(OPEC),reduces,production,by,
10,percent,,and,the,growth,rate,of,the,world,economy,begins,to,escalate.,How,will,the,
simultaneous,occurrence,of,these,events,affect,the,equilibrium,price,and,quantity,in,the,wo
rld,
petroleum,market?
a),Price,will,increase,,but,quantity,will,remain,unchanged
b),Price,will,increase,,but,quantity,is,indeterminate
c),Quantity,will,increase,,but,price,is,indeterminate
d),Both,price,and,quantity,will,increase,-,ans-
✔✔b),Price,will,increase,,but,quantity,is,indeterminate
Within,the,context,of,the,capital,asset,pricing,model,
(CAPM),,the,risk,measure,known,as,beta,is,often,computed,by,regressing,the,return,of,the,
company's,stock,against,the
a),return,on,the,company's,bonds
b),return,on,the,market,portfolio
c),change,in,the,gross,domestic,product
d),change,in,the,consumer,price,index,-,ans-✔✔b),return,on,the,market,portfolio
If,the,spread,between,the,spot,and,forward,exchange,rates,of,two,currencies,equals,the,int
erest,rate,difference,between,the,two,countries,,this,phenomenon,is,referred,to,as
a),purchasing-power,equality
b),commodity,arbitrage
c),currency,hedging
d),interest-rate,parity,-,ans-✔✔d),interest-rate,parity
Douglass,Interiors,is,considering,two,mutually,exclusive,projects,and,have,determined,tha
t,the,crossover,rate,for,these,projects,is,11.7,percent.,Project,A,has,an,internal,rate,of,retur
n,
(IRR),of,15.3,percent,and,Project,B,has,an,IRR,of,16.5,percent.,Given,this,information,,whi
ch,one,of,the,following,statements,is,correct?
, a),Project,A,should,be,accepted,as,its,IRR,is,closer,to,the,crossover,point,than,is,Project,B'
s,IRR.
b),Project,B,should,be,accepted,as,it,has,the,higher,IRR.
c),Both,projects,should,be,accepted,as,both,of,the,project's,IRRs,exceed,the,crossover,rat
e.
d),Neither,project,should,be,accepted,since,both,of,the,project's,IRRs,exceed,the,crossove
r,rate.
e),You,cannot,determine,which,project,should,be,accepted,given,the,information,provided.
,-,ans-
✔✔e),You,cannot,determine,which,project,should,be,accepted,given,the,information,provi
ded.
A,small,number,of,people,with,complementary,skills,who,are,committed,to,a,common,purp
ose,,a,set,of,performance,goals,,and,an,approach,for,which,they,hold,themselves,mutually,
accountable,is,referred,to,as,a
a),committee
b),task,force
c),group
d),team,-,ans-✔✔d),team
Manufacturing,overhead,includes:
a),all,direct,material,,direct,labor,and,administrative,costs
b),all,manufacturing,costs,except,direct,labor
c),all,manufacturing,costs,except,direct,labor,and,direct,materials
d),all,selling,and,administrative,costs,-,ans-
✔✔c),all,manufacturing,costs,except,direct,labor,and,direct,materials
Sue,and,Neal,are,twins.,Sue,invests,
$5,000,at,7,percent,when,she,is,25,years,old.,Neal,invests,
$5,000,at,7,percent,when,he,is,30,years,old.,Both,investments,compound,interest,annually
.,Both,Sue,and,Neal,retire,at,age,60.,Which,one,of,the,following,statements,is,correct,assu
ming,that,neither,Sue,nor,Neal,has,withdrawn,any,money,from,their,accounts?
a),Sue,will,have,less,money,when,she,retires,than,Neal.
b),Neal,will,earn,more,interest,on,interest,than,Sue.
