Management Archives

591. ____________ is also referred to as external strategic management audit

A. Organizational analysis

B. Environmental analysis

C. Industry analysis

D. None of the above

✅ The correct answer is option C.
Industry analysis is also referred to as external strategic management audit. An industry analysis is a business function completed by business owners and other individuals to assess the current business environment. This analysis helps businesses understand various economic pieces of the marketplace and how these various pieces may be used to gain a competitive advantage.

592. Accounting entry of institutions who borrows federal funds is as

A. income in income statement

B. expense on income statement

C. liability on balance sheet

D. assets on balance sheet

✅ The correct answer is option C.
Accounting entry of institutions who borrows federal funds is as liability on balance sheet. Federal funds, often referred to as fed funds, are excess reserves that commercial banks and other financial institutions deposit at regional Federal Reserve banks; these funds can be lent, then, to other market participants with insufficient cash on hand to meet their lending and reserve needs.

593. In customer cost hierarchy, costs of all incurred activities to sell a unit of product are classified as

A. customer sustaining costs

B. customer output unit-level costs

C. customer batch-level costs

D. corporate sustaining costs

✅ The correct answer is option B.
In customer cost hierarchy, costs of all incurred activities to sell a unit of product are classified as customer output unit-level costs. Output unit-level costs are the costs of activities performed on each individual unit of a product or service.

594. An organizational practice, according to which decision making freedom is available to lower level managers is known as

A. decentralization

B. centralization

C. autonomy of effort

D. congruency

✅ The correct answer is option A.
An organizational practice, according to which decision making freedom is available to lower level managers is known as decentralization. Decentralization refers to a specific form of organizational structure where the top management delegates decision-making responsibilities and daily operations to middle and lower subordinates.

595. Current Account in BOP characterize summary of stream of funds between particular country and all other country due to

A. sale of assets

B. purchase of goods and services

C. liabilities of long term

D. liabilities of short term

✅ The correct answer is option B.
Current Account in BOP characterize summary of stream of funds between particular country and all other country due to purchase of goods and services. The current account on the balance of payments measures the inflow and outflow of goods, services, investment incomes and transfer payments. The main components of the current account are: Trade in goods (visible balance) Trade in services (invisible balance), e.g. insurance and services.

596. Which one of the following is not one of the elements of strategic thinking described by Campbell and Alexander (1997)?

A. Organizational culture

B. Outlining of competencies

C. Future-gazing

D. Organizational behavior

✅ The correct answer is option B.
Outlining of competencies is not one of the elements of strategic thinking described by Campbell and Alexander (1997). A competency framework defines the knowledge, skills, and attributes needed for people within an organization. Each individual role will have its own set of competencies needed to perform the job effectively.

597. _________________ is an area of philosophy concerned with developing ethical principles and promoting ethical behavior and practices in the accomplishment of business tasks and decision making.

A. Business Ethics

B. Behavioral stage

C. Ethical values

D. Equity

✅ The correct answer is option A.
Business Ethics is an area of philosophy concerned with developing ethical principles and promoting ethical behavior and practices in the accomplishment of business tasks and decision making. Business ethics is the study of appropriate business policies and practices regarding potentially controversial subjects including corporate governance, insider trading, bribery, discrimination, corporate social responsibility, and fiduciary responsibilities.

598. The process of acquiring technology from other country is called:

A. Licensing

B. Franchising

C. Technology Transfer

D. Joint Venture

✅ The correct answer is option A.
The process of acquiring technology from other country is called Licensing. A business arrangement in which one company gives another company permission to manufacture its product for a specified payment. There are few faster or more profitable ways to grow your business than by licensing patents, trademarks, copyrights, designs, and other intellectual property to others.

599. According to futures contract, long position states

A. purchase of forward contracts

B. purchase of future contract

C. sale of futures contract

D. sales of forward contracts

✅ The correct answer is option B.
According to futures contract, long position states purchase of future contract. A futures contract is a legal agreement to buy or sell a particular commodity or asset at a predetermined price at a specified time in the future. Futures contracts are standardized for quality and quantity to facilitate trading on a futures exchange.

600. The following factor would be relatively low if supply of labour is higher than demand.

A. production

B. labour cost

C. wage

D. all of the above

✅ The correct answer is option C.
Wage factor would be relatively low if supply of labour is higher than demand. Wages are the price that workers receive for their labor in the form of salaries, bonuses, royalties, commissions, and fringe benefits, such as paid vacations, health insurance, and pensions.