Management MCQs

Slightest hazardous method by which organizations carry out international trade is

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A. Licensing
B. Franchising
C. International Trade
D. The establishment of new subsidiaries
✅ The correct answer is option C.
Slightest hazardous method by which organizations carry out international trade is International Trade. International trade is the exchange of goods and services between countries. Trading globally gives consumers and countries the opportunity to be exposed to goods and services not available in their own countries, or which would be more expensive domestically.

Example of Hygeine factors is

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A. achievement
B. recognition
C. advancement
D. salary
✅ The correct answer is option D.
Example of Hygeine factors is salary. Hygiene factors (e.g. status, job security, salary, fringe benefits, work conditions, good pay, paid insurance, vacations) that do not give positive satisfaction or lead to higher motivation, though dissatisfaction results from their absence. The term “hygiene” is used in the sense that these are maintenance factors.

In comparing internal selection with external selection, an advantage of internal selection is that

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A. Internal selection requires few procedures to locate and screen viable job candidate
B. Internal selection presents fewer dangers of incurring legal liability than external selection
C. There is less need to use multiple predictors in assessing internal candidates than. With external candidates
D. Information about internal candidates tends to be more verifiable than information about external candidates
✅ The correct answer is option D.
In comparing internal selection with external selection, an advantage of internal selection is that information about internal candidates tends to be more verifiable than information about external candidates. Depth of information and relevance are the only advantages that internal selection has over external selection.

Expected rate that originates at any point in future for a specific security is classified as

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A. forward rate
B. backward rate
C. termed rate
D. structured rate
✅ The correct answer is option A.
Expected rate that originates at any point in future for a specific security is classified as forward rate. A forward rate is an interest rate applicable to a financial transaction that will take place in the future.

In this technique, personnel specialists and operating managers prepare lists of statements of very effective and very ineffective behavior for an employee.

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A. Critical incident technique
B. Forced choice
C. Essay evaluation
D. Management by Objective
✅ The correct answer is option A.
In Critical incident technique, personnel specialists and operating managers prepare lists of statements of very effective and very ineffective behavior for an employee. Critical incident method or critical incident technique is a performance appraisal tool in which analyses the behavior of employee in certain events in which either he performed very well and the ones in which he could have done better.

Which of the following is not a characteristic of the LP?

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A. Resources must be limited
B. Only one objective function
C. Parameters value remains constant during the planning period
D. The problem must be of minimization type
✅ The correct answer is option D.
The problem must be of minimization type is not a characteristic of the LP. The objective of linear programming is to: “maximize or to minimize some numerical value.

The delegation of authority on the basis of custom, conventions or usage is known as

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A. oral delegation
B. written delegation
C. downward delegation
D. sideward delegation
✅ The correct answer is option A.
The delegation of authority on the basis of custom, conventions or usage is known as oral delegation. Delegation made by written orders and instructions is known as written delegation. Unwritten or oral delegation is based in custom and conventions.

In management control, an efficiency variance is also referred as

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A. control variance
B. uncontrolled variance
C. usage variance
D. effective variance
✅ The correct answer is option C.
In management control, an efficiency variance is also referred as usage variance. Efficiency variance is the difference between the theoretical amount of inputs required to produce a unit of output and the actual number of inputs used to produce the unit of output. The expected inputs to produce the unit of output are based on models or past experience.