ETS BUSINESS EXAM LATEST
QUESTIONS AND
ANSWERS 2026 - 2027
Net working capital - ANSWERS-current assets less short term
liabilities
Within the context of the capital asset pricing model, the risk measure
known as beta is often computed by regressing the return of the
company stock against the - ANSWERS-return on the market portfolio
When the OPEC reduces production by 10% 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 world petroleum market - ANSWERS-Price will increase, but the
quantity is indeterminate
As a result of the US government imposing tariffs own foreign steel
imports - ANSWERS-employment in the :US steel industry would
increase
In an economy the unemployment rate is 10% and the inflation rate is
2%. An appropriate fiscal policy in this phrase of the business cycle
would be to - ANSWERS-increase government spending
END OF
PAGE
1
, ETS BUSINESS EXAM LATEST
QUESTIONS AND
ANSWERS 2026 - 2027
What is an appropriate federal reserve avian to stimulate the US
economy - ANSWERS-reduce the reserve requirement
A firm that would like to know whether it has enough cash to meet its
bills would be most likely to use which category of financial ratio -
ANSWERS-liquidity
In a period of rising prices, which inventory valuation method would
generally yield both the lowest ending inventory valve and the lowest
net income figure - ANSWERS-LIFO
In the statement of cash flows, the section for cash flows from operating
activities will include - ANSWERS-a decrease in accounts payable
Frederick Taylor developed what pay principle - ANSWERS-incentive
pay
END OF
PAGE
2
, ETS BUSINESS EXAM LATEST
QUESTIONS AND
ANSWERS 2026 - 2027
When a domestic firm permits a foreign company to manufacture and
sell its product in exchange for a fee or royalty, the process is termed -
ANSWERS-licensing
web 2.0 is - ANSWERS-social networking sites
What type of investment constraints on services marketing -
ANSWERS-inseparability
Accounting: What costs should be considered when making non-routine
decisions? (3) - ANSWERS-The price of material, Factory overhead
costs, and the price of labor
Accounting: Total product/ units produced and sold equals?? -
ANSWERS-Product Cost per Unit
Accounting: What is a general explanation of what the contribution
margin is? - ANSWERS-The difference between variable costs
subtracted from sales
END OF
PAGE
3
, ETS BUSINESS EXAM LATEST
QUESTIONS AND
ANSWERS 2026 - 2027
Accounting: In a continuous budget plan how many months are
generally planned? - ANSWERS-12 months
Accounting: Which of the following is not one of the weaknesses of
standard costing - ANSWERS-It makes accounting for price increases
more accurate
Accounting: What are the potential ways to find the price of what a
produced products should cost? (3) - ANSWERS-Product cost concept,
total cost concept, and variable cost concept
Accounting: Which report is the connecting link between the income
statement and the balance sheet? - ANSWERS-Cash flow statement
The net cash flow from operating activities normally differs from the
amount of net income for the period. - ANSWERS-True
Accounting: Expense accounts would have a balance on which side? -
ANSWERS-Left side
END OF
PAGE
4
QUESTIONS AND
ANSWERS 2026 - 2027
Net working capital - ANSWERS-current assets less short term
liabilities
Within the context of the capital asset pricing model, the risk measure
known as beta is often computed by regressing the return of the
company stock against the - ANSWERS-return on the market portfolio
When the OPEC reduces production by 10% 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 world petroleum market - ANSWERS-Price will increase, but the
quantity is indeterminate
As a result of the US government imposing tariffs own foreign steel
imports - ANSWERS-employment in the :US steel industry would
increase
In an economy the unemployment rate is 10% and the inflation rate is
2%. An appropriate fiscal policy in this phrase of the business cycle
would be to - ANSWERS-increase government spending
END OF
PAGE
1
, ETS BUSINESS EXAM LATEST
QUESTIONS AND
ANSWERS 2026 - 2027
What is an appropriate federal reserve avian to stimulate the US
economy - ANSWERS-reduce the reserve requirement
A firm that would like to know whether it has enough cash to meet its
bills would be most likely to use which category of financial ratio -
ANSWERS-liquidity
In a period of rising prices, which inventory valuation method would
generally yield both the lowest ending inventory valve and the lowest
net income figure - ANSWERS-LIFO
In the statement of cash flows, the section for cash flows from operating
activities will include - ANSWERS-a decrease in accounts payable
Frederick Taylor developed what pay principle - ANSWERS-incentive
pay
END OF
PAGE
2
, ETS BUSINESS EXAM LATEST
QUESTIONS AND
ANSWERS 2026 - 2027
When a domestic firm permits a foreign company to manufacture and
sell its product in exchange for a fee or royalty, the process is termed -
ANSWERS-licensing
web 2.0 is - ANSWERS-social networking sites
What type of investment constraints on services marketing -
ANSWERS-inseparability
Accounting: What costs should be considered when making non-routine
decisions? (3) - ANSWERS-The price of material, Factory overhead
costs, and the price of labor
Accounting: Total product/ units produced and sold equals?? -
ANSWERS-Product Cost per Unit
Accounting: What is a general explanation of what the contribution
margin is? - ANSWERS-The difference between variable costs
subtracted from sales
END OF
PAGE
3
, ETS BUSINESS EXAM LATEST
QUESTIONS AND
ANSWERS 2026 - 2027
Accounting: In a continuous budget plan how many months are
generally planned? - ANSWERS-12 months
Accounting: Which of the following is not one of the weaknesses of
standard costing - ANSWERS-It makes accounting for price increases
more accurate
Accounting: What are the potential ways to find the price of what a
produced products should cost? (3) - ANSWERS-Product cost concept,
total cost concept, and variable cost concept
Accounting: Which report is the connecting link between the income
statement and the balance sheet? - ANSWERS-Cash flow statement
The net cash flow from operating activities normally differs from the
amount of net income for the period. - ANSWERS-True
Accounting: Expense accounts would have a balance on which side? -
ANSWERS-Left side
END OF
PAGE
4
