Test Bank For Business Essentials, 14th Edition. Ronald J. Ebert. Ricky W. Griffin

Test Bank For Business Essentials, 14th Edition. Ronald J. Ebert. Ricky W. Griffin

Chapter 1 The U.S. Business Environment 

MGT 100 Exam 1

Question: Q11. The global business environment encompasses many international

forces that influence the outcomes of companies doing business in foreign countries.

Which of the following scenarios would best count as evidence of globalization?

Correct Answer: 

b. A natural disaster disables factories in Country X that produce 

computer chips for Company Y. Company Y reduces the number of employee shifts and

raises the price of its products.

Given Answer: 

c. Farmers in Country X have lost most of their wheat crops due to 

a drought. The market price for wheat triples and the government pays the farmers for a

percentage of the lost wheat. 

Question: Q14. A city of 150,000 people has a large commercial sector bringing in

businesses from the surrounding region. In 2010, there was 2.75 million square feet of

commercial space available. Five years later, after a building boom, there was 5.5 million

square feet of commercial space available. Which effect will most likely occur?

Correct Answer: 

c. The price of commercial real estate will decrease, absent a 

dramatic increase in demand.

Given Answer: 

e. The increase in supply will cause a corresponding increase in 

demand. 

Question: Q26. The CEO of Perry's Pizzeria, a rapidly growing restaurant chain, is

committed to a high level of corporate social responsibility along with continued business

success. Which action by the CEO would most enhance the company's reputation for

social responsibility?

Correct Answer: 

a. using more nutritious, but more expensive, ingredients 

Given Answer: 

e. taking steps that would cause competitors to close their doors 

MGT 100 Exam 2

Question: Q12. What type of departments is linked to the production and sales of

specific products?

Correct Answer: 

c. line departments 

Given Answer: 

e. entrepreneurial departments 

Question: Q15. Which of the following organizational systems is represented by

organization chart and the formal assignment of authority?

Correct Answer: 

b. formal organization 

Given Answer: 

c. informal organization 

Question: Q23. Positive reinforcement is used when a company or manager provides

a reward when employee exhibit desired behaviors.

Correct Answer: 

a. True