PEREGRINE BUSINESS UPDATED FINAL EXAM QUESTIONS
AND ANSWERS SURE A+
✔✔Diversification - ✔✔Spreading out investments to reduce risk
✔✔Stakeholders - ✔✔All the people who stand to gain or lose by the policies and
activities of a business and whose concerns the business needs to address.
✔✔Shareholders - ✔✔Investors who purchase shares of stock in a corporation.
✔✔Return on Investment - ✔✔Shows how well an investment performed; net profit after
taxes divided by total assets
✔✔All the following are considered extrinsic motivators in Herzberg's two-factor theory
EXCEPT:
A. company policies.
B. benefits.
C. work itself.
D. working conditions. - ✔✔C. work itself.
✔✔Which of the following is NOT one of the process motivation theories?
A. goal-setting theory
B. equity theory
C. expectancy theory
D. acquired needs theory - ✔✔D. acquired needs theory
✔✔Equity Theory - ✔✔Theory that states that people will be motivated when they
perceive that they are being treated fairly
✔✔Pygmalion Effect - ✔✔Psychological phenomenon in which high expectations lead
to improved performance in a given area and low expectations lead to worse.
✔✔Leader-Member Exchange Theory - ✔✔Describes the process of developing a
lasting, strong connection of trust, liking, and mutual respect. Having such a high-quality
relationship with the leader increases the team members' job-related well-being and
effectiveness.
✔✔Behavioral Leadership Theory - ✔✔Argues that the success of a leader is based on
their behavior rather than their natural attributes. Behavioral leadership theory involves
observing and evaluating a leader's actions and behaviors when they are responding to
a specific situation.
, ✔✔Expectancy Theory - ✔✔Suggests that individuals are motivated to perform if they
know that their extra performance is recognized and rewarded
✔✔An individual who purchases a computer later decides to acquire a new
motherboard. In terms of computing GDP, this new motherboard would be a(n):
A. economic good
B. final good
C. intermediate good
D. input - ✔✔B. final good
✔✔The largest component of GDP is:
A. government purchases
B. investment
C. exports
D. consumption - ✔✔D. consumption
✔✔Consumer Price Index - ✔✔Represents changes in prices of all goods and services
purchased for consumption by urban households; used as a means of adjusting dollar
values
✔✔What is GDP? - ✔✔A comprehensive measure of U.S. economic activity. GDP
measures the value of the final goods and services produced in the United States
✔✔How to calculate GDP? - ✔✔GDP = Consumption + Investment + Government
Spending + Net Exports
✔✔Inflation Rate - ✔✔The percentage change in the price index from the preceding
period; most well known indicator is CPI
✔✔Unemployment Rate - ✔✔The unemployment rate represents the number of
unemployed people as a percentage of the labor force; (Unemployed ÷ Labor Force) x
100
✔✔Fiscal vs. Monetary Policy - ✔✔Monetary policy refers to central bank activities that
are directed toward influencing the quantity of money and credit in an economy. Fiscal
policy refers to the government's decisions about taxation and spending.
✔✔In economics, firms are assumed to:
A. maximize output prices
B. minimize output prices
C. maximize profits
AND ANSWERS SURE A+
✔✔Diversification - ✔✔Spreading out investments to reduce risk
✔✔Stakeholders - ✔✔All the people who stand to gain or lose by the policies and
activities of a business and whose concerns the business needs to address.
✔✔Shareholders - ✔✔Investors who purchase shares of stock in a corporation.
✔✔Return on Investment - ✔✔Shows how well an investment performed; net profit after
taxes divided by total assets
✔✔All the following are considered extrinsic motivators in Herzberg's two-factor theory
EXCEPT:
A. company policies.
B. benefits.
C. work itself.
D. working conditions. - ✔✔C. work itself.
✔✔Which of the following is NOT one of the process motivation theories?
A. goal-setting theory
B. equity theory
C. expectancy theory
D. acquired needs theory - ✔✔D. acquired needs theory
✔✔Equity Theory - ✔✔Theory that states that people will be motivated when they
perceive that they are being treated fairly
✔✔Pygmalion Effect - ✔✔Psychological phenomenon in which high expectations lead
to improved performance in a given area and low expectations lead to worse.
✔✔Leader-Member Exchange Theory - ✔✔Describes the process of developing a
lasting, strong connection of trust, liking, and mutual respect. Having such a high-quality
relationship with the leader increases the team members' job-related well-being and
effectiveness.
✔✔Behavioral Leadership Theory - ✔✔Argues that the success of a leader is based on
their behavior rather than their natural attributes. Behavioral leadership theory involves
observing and evaluating a leader's actions and behaviors when they are responding to
a specific situation.
, ✔✔Expectancy Theory - ✔✔Suggests that individuals are motivated to perform if they
know that their extra performance is recognized and rewarded
✔✔An individual who purchases a computer later decides to acquire a new
motherboard. In terms of computing GDP, this new motherboard would be a(n):
A. economic good
B. final good
C. intermediate good
D. input - ✔✔B. final good
✔✔The largest component of GDP is:
A. government purchases
B. investment
C. exports
D. consumption - ✔✔D. consumption
✔✔Consumer Price Index - ✔✔Represents changes in prices of all goods and services
purchased for consumption by urban households; used as a means of adjusting dollar
values
✔✔What is GDP? - ✔✔A comprehensive measure of U.S. economic activity. GDP
measures the value of the final goods and services produced in the United States
✔✔How to calculate GDP? - ✔✔GDP = Consumption + Investment + Government
Spending + Net Exports
✔✔Inflation Rate - ✔✔The percentage change in the price index from the preceding
period; most well known indicator is CPI
✔✔Unemployment Rate - ✔✔The unemployment rate represents the number of
unemployed people as a percentage of the labor force; (Unemployed ÷ Labor Force) x
100
✔✔Fiscal vs. Monetary Policy - ✔✔Monetary policy refers to central bank activities that
are directed toward influencing the quantity of money and credit in an economy. Fiscal
policy refers to the government's decisions about taxation and spending.
✔✔In economics, firms are assumed to:
A. maximize output prices
B. minimize output prices
C. maximize profits
