Management MCQs

First step in decision making process is to

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A. identify problem
B. identify linear variable
C. identify certainty
D. identify multiplier
✅ The correct answer is option A.
First step in decision making process is to identify problem. The first step in making the right decision is recognizing the problem or opportunity and deciding to address it. Determine why this decision will make a difference to your customers or fellow employees.

Conversion values is divided by conversion rate received on conversion on stock to calculate

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A. current market price
B. past market price
C. future market value
D. current stock value
✅ The correct answer is option A.
Conversion values is divided by conversion rate received on conversion on stock to calculate current market price. The current price, also known as the market value, is the price at which goods are currently being sold in the market.

Industrial products are

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A. Purchased for personal consumption
B. Frequently purchased for both their functional aspects and their psychological rewards
C. Traditionally classified according to their characteristics and intended uses.
D. Not purchased by non-business organisations.
✅ The correct answer is option C.
Industrial products are traditionally classified according to their characteristics and intended uses. An industrial product is a good used by a company for business consumption.

A stability strategy is particularly appropriate when

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A. the firm is facing rapid growth opportunities
B. the industry is in a state of rapid upheaval
C. an organization is not meeting its goals
D. an organizations performance is declining
✅ The correct answer is option B.
A stability strategy is particularly appropriate when the industry is in a state of rapid upheaval. A stability strategy refers to a strategy by a company where the company stops the expenditure on expansion, in other words it refers to situation where company do not venture into new markets or introduce new products.

Forgone amount for holding balances of cash at time they are received is classified as

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A. forgone cost
B. debt cost
C. opportunity cost
D. balances cost
✅ The correct answer is option C.
Forgone amount for holding balances of cash at time they are received is classified as opportunity cost. Opportunity costs represent the benefits an individual, investor or business misses out on when choosing one alternative over another. While financial reports do not show opportunity cost, business owners can use it to make educated decisions when they have multiple options before them.

Fourth step in decision making process is

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A. linear correlation
B. making decisions
C. implement decisions
D. evaluate performance
✅ The correct answer is option B.
Fourth step in decision making process is making decisions. Decision Making Process helps manager and other professional to make choices by examining a decision , collecting information for solving problem.

Instrument used by Federal Reserve to smooth money supply and interest rates includes

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A. treasury notes
B. repurchase agreements
C. commercial payable notes
D. commercial receivable notes
✅ The correct answer is option B.
Instrument used by Federal Reserve to smooth money supply and interest rates includes repurchase agreements. A repurchase agreement (repo) is a form of short-term borrowing for dealers in government securities. In the case of a repo, a dealer sells government securities to investors, usually on an overnight basis, and buys them back the following day.