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Business Management Quiz - 84

1. In which of the following controls is the cause of an unsatisfactory outcome traced back to theindividual responsible for it, who is then made to correct the practice?
[A]Preventive control
[B]Cybernetic control
[C]Direct control
[D]Steering control


2. Which of the following statements is/are true with respect to asset management ratios?
I. They are a test of the relationship between sales and various assets of a firm.
II. They are also called activity ratios.
III. A higher percentage indicates that a higher investment is needed in assets and the profitability islower.
[A]Only (I) above
[B]Only (II) above
[C]Only (III) above
[D]Both (I) and (II) above


3. According to Kurt Lewin, a leader who allows his employees complete freedom to make decisions andto complete work in whatever way they think is best, is using which of the following leadership styles?
[A]Democratic-participative
[B]Laissez-faire
[C]Autocratic
[D]Democratic-consultative


4. Which of the following is not an input in the ‘Inventory Control Model?’
[A]Manufacturing cost per unit
[B]Demand for the product
[C]Reorder lead time
[D]Shipping cost


5. Which of the following is/are assumption(s) of preventive control?
I. Application of fundamentals can be evaluated.
II. Personal responsibility exists.
III. Well qualified managers can make minimum mistakes.
IV. Management concepts, tools, principles and techniques are effective standards for measuring managerial standards and performance.
[A]Only (IV) above
[B]Both (I) and (III) above
[C]Both (II) and (IV) above
[D](I), (II) and (III) above


6. The most important resources of an organization are its employees - the people who work in the organization and give it their talent, creativity and drive. Employees are vital for effective operation of a company. Which of the following is/are true about organizationally committed and satisfied employees?
[A]Lower rates of turnover and absenteeism
[B]Higher rates of voluntary turnover
[C]Higher rates of absenteeism
[D]Low motivation


7. When a manager asks his assistant manager to provide feedback about the job performance of the individual subordinate working under him in writing, it is called
[A]Role perception
[B]Informal appraisal
[C]Formal appraisal
[D]Performance appraisal


8. A responsibility center is a sub-unit headed by a manager who is responsible for achieving one or more goals. Which of the following statements is/are true of responsibility centers?
I. An organizations choice of responsibility centers depends to a great extent on its control mechanisms.
II. Sales or marketing units may be considered as revenue centers.
III. Organizations that have a divisional structure may opt for profit centers.
IV. Autonomous businesses may be considered as investment centers.
[A]Only (I) above
[B]Only (IV) above
[C]Both (II) and (III) above
[D](II), (III), and (IV) above


9. ‘Management Information System’ (MIS) helps the manager to discharge his/her managerial functions in a more efficient manner. The first necessary step to effectively operate an MIS is
[A]Summarizing data
[B]Analyzing data
[C]Determining information needs
[D]Gathering appropriate information


10. Which model of leadership behavior proposes that a leader should adjust his or her leadership style in accordance with the readiness of followers?
[A]Path-goal theory
[B]Vroom Yetten model
[C]Fiedler’s contingency model
[D]Hersey and Blanchard’s model


11. There is a set of motivational techniques available to the managers to improve the productivity and performance of employees. Which one of the following is not a motivational technique?
[A]Reward
[B]Participation
[C]Quality of work life
[D]Job analysis


12. Interviewing is an important step in the selection process of an organization. When a manager interviews a job candidate by asking him a list of questions from an outline, it is an example of which type of interview?
[A]Structured
[B]Stress
[C]Unstructured
[D]Comprehensive


13. An intervention, in Organization Development (OD) terms, is a systematic attempt to correct an organizational deficiency uncovered through diagnosis. Which of the following intervention techniques is concerned with the interpersonal relations and dynamics operating in work groups?
[A]Technostructural activity
[B]Team building
[C]Skill development
[D]Process consultation


14. In which of the following orientations toward international business, does a firm analyze the needs of customers worldwide and then adopts standardized practices for all the markets it serves?
[A]Ethnocentric
[B]Polycentric
[C]Geocentric
[D]Regiocentric


15. As per Hersey and Blanchard’s leadership model, a leader shows high relationship behavior and high task behavior when
I. Eventually, employees learn to perform their tasks.
II. Employees still need to be guided by leaders.
III. Employees are in the initial phase of readiness.
IV. Employees become more experienced.
[A]Both (I) and (II) above
[B]Both (II) and (III) above
[C]Both (III) and (IV) above
[D](I), (II) and (III) above


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