PEREGRINE BUSINESS CONCEPTS EXAM 2025, 150
QUESTIONS WITH VERIFIED CORRECT ANSWERS
1. The total sum of squares (TSS) for a regression
measures: Variation in the independent
variable(s).
Variation in the dependent variable.
Variation in the
residuals. Variation in
the R2
2. If you are holding two identical bonds, except that one matures in
10 years and the other matures in 5 years, which bond's price will
be more sensitive to interest rate risk?
The 5-year bond
The 10-year bond
Both bonds are equally sensitive
Time to maturity does not affect interest rate risk
3. Explain the significance of the asset turnover ratio in evaluating a
company's operational efficiency. What does a higher ratio
indicate?
It indicates a company has high debt levels.
It suggests the company is generating more revenue
per dollar of assets.
It shows the company's profitability is
increasing. It reflects the company's market
share.
4. Which of these actions would likely result in a lower
,current ratio? Holding more stocks to offer better
customer service.
Increasing cash by selling excess fixed assets.
Extending the time to pay suppliers
, Allowing major customers more time to pay bills.
5. The community college has decided to market its evening
classes to women between the ages of 18 and 30 who are
high school graduates. What type of segmentation is the
college using?
Geographic
Demographic
Behavioral
Psychographic
6. You know that you are in the short run, Q>0 and TFC >0.
Which of the following statements must be true?
AVC > 0 and ATC > AFC
AVC > AFC and MC > ATC
AFC is small
7. Refer to Table 14-4. The firm will produce a quantity greater
than 4 because at 4 units of output, marginal cost is
less than marginal revenue.
equal to marginal revenue.
greater than marginal
revenue. minimized.
, 8. In the context of relational databases, what term describes a
field in one table that is used to reference the primary key of
another table?
Primary key
Foreign key
Composite
key Unique
key
9. Which financial metric specifically measures how effectively
a company utilizes its assets to produce sales revenue?
Receivables turnover ratio
Asset turnover ratio
Income
ratio
Current ratio
10. What term refers to the federal and state statutes that
ensure product safety and prevent unfair business
practices?
Consumer protection
Caveat
emptor
FDCA
Canon
11. The unemployment rate is:
the number of workers in the labor force unemployed
divided by the number of workers employed.
the number of workers in the labor force unemployed
QUESTIONS WITH VERIFIED CORRECT ANSWERS
1. The total sum of squares (TSS) for a regression
measures: Variation in the independent
variable(s).
Variation in the dependent variable.
Variation in the
residuals. Variation in
the R2
2. If you are holding two identical bonds, except that one matures in
10 years and the other matures in 5 years, which bond's price will
be more sensitive to interest rate risk?
The 5-year bond
The 10-year bond
Both bonds are equally sensitive
Time to maturity does not affect interest rate risk
3. Explain the significance of the asset turnover ratio in evaluating a
company's operational efficiency. What does a higher ratio
indicate?
It indicates a company has high debt levels.
It suggests the company is generating more revenue
per dollar of assets.
It shows the company's profitability is
increasing. It reflects the company's market
share.
4. Which of these actions would likely result in a lower
,current ratio? Holding more stocks to offer better
customer service.
Increasing cash by selling excess fixed assets.
Extending the time to pay suppliers
, Allowing major customers more time to pay bills.
5. The community college has decided to market its evening
classes to women between the ages of 18 and 30 who are
high school graduates. What type of segmentation is the
college using?
Geographic
Demographic
Behavioral
Psychographic
6. You know that you are in the short run, Q>0 and TFC >0.
Which of the following statements must be true?
AVC > 0 and ATC > AFC
AVC > AFC and MC > ATC
AFC is small
7. Refer to Table 14-4. The firm will produce a quantity greater
than 4 because at 4 units of output, marginal cost is
less than marginal revenue.
equal to marginal revenue.
greater than marginal
revenue. minimized.
, 8. In the context of relational databases, what term describes a
field in one table that is used to reference the primary key of
another table?
Primary key
Foreign key
Composite
key Unique
key
9. Which financial metric specifically measures how effectively
a company utilizes its assets to produce sales revenue?
Receivables turnover ratio
Asset turnover ratio
Income
ratio
Current ratio
10. What term refers to the federal and state statutes that
ensure product safety and prevent unfair business
practices?
Consumer protection
Caveat
emptor
FDCA
Canon
11. The unemployment rate is:
the number of workers in the labor force unemployed
divided by the number of workers employed.
the number of workers in the labor force unemployed
