Management MCQs

Form of market efficiency in which stock current prices reflects volume information and historic prices of company is classified as

by
A. weak form of market efficiency
B. strong form of market efficiency
C. semi-strong form market efficiency
D. expensive form market efficiency
✅ The correct answer is option A.
Form of market efficiency in which stock current prices reflects volume information and historic prices of company is classified as weak form of market efficiency. Weak form efficiency states that past prices, historical values and trends can’t predict future prices. Weak form efficiency is an element of efficient market hypothesis. Weak form efficiency states that stock prices reflect all current information.

Contribution margin per unit is divided by selling price to calculate

by
A. fixed margin percentage
B. contribution margin percentage
C. variable margin percentage
D. breakeven margin percentage
✅ The correct answer is option B.
Contribution margin per unit is divided by selling price to calculate contribution margin percentage. The contribution margin ratio is the difference between a company’s sales and variable expenses, expressed as a percentage. The total margin generated by an entity represents the total earnings available to pay for fixed expenses and generate a profit.

For municipal bonds, trading in secondary markets are classified as

by
A. infrequent origination
B. static trading
C. frequent trading
D. infrequent trading
✅ The correct answer is option D.
For municipal bonds, trading in secondary markets are classified as infrequent trading. Infrequent trading Comprehensive databases have recently become ‘available for stock ex- changes in which many securities are traded only intermittently.

When the supervisor commands subordinates and has close supervision is called ______.

by
A. free-rein
B. autocratic
C. consultative
D. democratic
✅ The correct answer is option B.
When the supervisor commands subordinates and has close supervision is called autocratic. This an extreme form of dominant leadership. Autocratic leaders make all the decisions and they make it alone. They don’t need to consider anyone’s opinions or ask for advice. They only command. This form of leadership is best in crisis situations, but it can be highly demoralizing for the followers.

Type of rating to which all credit rating agencies does not consider is classified as

by
A. split rating
B. sinking rating
C. automated rating
D. floating rating
✅ The correct answer is option A.
Type of rating to which all credit rating agencies does not consider is classified as split rating. A condition that occurs when the same bond is rated differently by the rating agencies.

Formal information systems, used in organizations to focus company’s learning and attention given to most important strategic issues are known as

by
A. interactive control system
B. belief systems
C. boundary systems
D. diagnostic control systems
✅ The correct answer is option A.
Formal information systems, used in organizations to focus company’s learning and attention given to most important strategic issues are known as interactive control system. Interactive Control System is a management system used to provide strategic feedback, track new ideas, trigger new organizational learning, and to properly position the organization for the future: incorporating process data into management interaction, face-to-face meetings with employees, challenging data, assumptions and action plans of subordinates.

In the absence of a physical product, service providers need to consider the use of __________ that enable customers to make a judgment on the service quality.

by
A. Intangible clues
B. Tangible clues
C. Blueprint
D. Performance measures
✅ The correct answer is option B.
In the absence of a physical product, service providers need to consider the use of tangible clues that enable customers to make a judgment on the service quality.

In response to challenges arisen by competitors and new entrants, strategy which must be considered by company does include

by
A. cost leadership
B. demand inelasticity
C. differentiated products
D. both a and c
✅ The correct answer is option D.
In response to challenges arisen by competitors and new entrants, strategy which must be considered by company does include cost leadership and differentiated products.

The important step required for simulation approach in solving a problem is to.

by
A. Test & validate the model
B. Design the experiment
C. Conduct the experiment
D. All of the above
✅ The correct answer is option D.
The important step required for simulation approach in solving a problem is to Test & validate the model, Design the experiment and conduct the experiment.