Business Management Mock 2022

WASSCE style · Exam mode

Business Management Mock 2022

Question 1 of 50

The chain of command is

A. a staff meeting B. the line of authority from top to bottom in an organisation C. a customer list D. a production line

Question 2 of 50

Fringe benefits are

A. taxes B. deductions from pay C. extra benefits given to employees besides wages D. fines

Question 3 of 50

Sales promotion techniques include

A. taxation B. recruitment C. auditing D. free samples and discounts

Question 4 of 50

A channel of distribution is

A. a TV station B. the route by which goods reach the consumer C. a road D. a bank

Question 5 of 50

Trade credit means

A. getting a bank loan B. paying in advance C. buying goods now and paying the supplier later D. selling shares

Question 6 of 50

Inflation affects a business by

A. raising its costs B. reducing all prices C. increasing the value of money D. removing competition

Question 7 of 50

Exporting means

A. selling goods to other countries B. buying from abroad C. selling locally D. manufacturing

Question 8 of 50

A barrier to international trade is

A. tariffs B. free trade agreements C. good roads D. common currency

Question 9 of 50

Breach of contract occurs when

A. a party fails to perform its obligations B. the contract is signed C. an offer is made D. consideration is given

Question 10 of 50

The economic environment of a business includes

A. staff uniforms B. inflation, interest rates and exchange rates C. office layout D. the company logo

Question 11 of 50

Technological change affects business by

A. reducing knowledge B. stopping all trade C. creating new products and methods D. removing competition

Question 12 of 50

Staffing as a management function involves

A. designing logos B. selling products C. paying taxes D. recruiting, training and placing workers

Question 13 of 50

Barriers to communication include

A. noise and jargon B. clear language C. feedback D. listening

Question 14 of 50

Induction training is given to

A. new employees B. retiring employees C. customers D. shareholders

Question 15 of 50

Productivity is increased by

A. better training and technology B. more absenteeism C. poor equipment D. longer breaks only

Question 16 of 50

The marketing concept focuses on

A. satisfying customer needs profitably B. producing whatever is cheapest C. selling at any cost D. ignoring competitors

Question 17 of 50

A SWOT analysis in a business plan examines strengths, weaknesses, opportunities and

A. threats B. taxes C. targets D. trends only

Question 18 of 50

The marketing plan section of a business plan describes

A. how the business will reach and attract customers B. the owner's family C. the building design only D. tax returns

Question 19 of 50

A franchise allows a business to

A. avoid tax B. use another firm's brand and methods for a fee C. copy without permission D. become a public corporation

Question 20 of 50

Laissez-faire leadership means the leader

A. punishes mistakes B. makes all decisions C. consults on everything D. gives subordinates great freedom to make decisions

Question 21 of 50

Unity of command means each employee should

A. have no boss B. have many bosses C. have only one boss D. manage themselves

Question 22 of 50

A tall organisational structure has

A. one employee B. few levels C. no managers D. many levels of management

Question 23 of 50

Redundancy occurs when

A. a worker misbehaves B. a job is no longer needed C. a worker is promoted D. a worker retires

Question 24 of 50

Advertising that informs customers about a new product is

A. persuasive only B. competitive advertising C. informative advertising D. defensive

Question 25 of 50

Price skimming means

A. pricing at cost B. setting a very low price C. setting a high initial price for a new product D. giving goods away

Question 26 of 50

Retained profit is a

A. tax B. external source of finance C. liability D. internal source of finance

Question 27 of 50

Venture capital is finance provided to

A. governments B. new or growing businesses with high potential C. charities only D. banks

Question 28 of 50

Exchange-rate risk in international business is the risk that

A. currency values change and affect profits B. goods are stolen C. staff resign D. machines break

Question 29 of 50

Damages are

A. money awarded to compensate for a breach B. a criminal penalty C. a type of offer D. a tax

Question 30 of 50

An offer can be terminated by

A. revocation before acceptance B. acceptance C. performance D. consideration

Question 31 of 50

Coordinating means

A. firing staff B. harmonising the activities of different departments C. setting prices D. auditing

Question 32 of 50

Lateral communication is between

A. people at the same level B. managers and workers C. customers and suppliers D. shareholders

Question 33 of 50

Capacity to contract means the parties must be

A. legally able to enter a contract B. rich C. related D. employed

Question 34 of 50

A void contract is

A. one that has no legal effect B. fully binding C. voidable at will D. a verbal contract

Question 35 of 50

Manpower planning means

A. forecasting the organisation's future staff needs B. firing all staff C. buying machines D. paying taxes

Question 36 of 50

Inventory control aims to

A. keep the right level of stock at the lowest cost B. hold as much stock as possible C. avoid stock entirely D. sell stock below cost

Question 37 of 50

Market segmentation by age is an example of

A. demographic segmentation B. geographic segmentation C. behavioural segmentation D. psychographic segmentation

Question 38 of 50

Penetration pricing means

A. matching rivals B. setting a high price at launch C. setting a low price to gain market share D. charging what the market can bear

Question 39 of 50

Market segmentation is

A. merging firms B. selling abroad C. cutting prices D. dividing a market into groups of similar buyers

Question 40 of 50

Skimming pricing sets

A. a low price to enter the market B. a high initial price for a new product C. prices equal to rivals D. prices below cost

Question 41 of 50

Branding helps a firm to

A. avoid advertising B. reduce quality C. differentiate its product D. lower prices always

Question 42 of 50

Working capital is

A. current assets minus current liabilities B. total assets C. share capital D. fixed assets minus debts

Question 43 of 50

Current assets GH¢30,000; current liabilities GH¢15,000. The current ratio is

A. 2 : 1 B. 1 : 2 C. 15 : 1 D. 3 : 1

Question 44 of 50

SWOT analysis examines strengths, weaknesses, opportunities and

A. threats B. targets C. trends D. taxes

Question 45 of 50

Equity finance comes from

A. selling shares B. bank loans C. overdrafts D. trade credit

Question 46 of 50

An overdraft is a form of

A. short-term finance B. long-term finance C. equity D. grant

Question 47 of 50

Net profit GH¢12,000 on sales of GH¢60,000 gives a net profit margin of

A. 20% B. 12% C. 5% D. 50%

Question 48 of 50

Corporate social responsibility means

A. a business acting ethically towards society B. maximising profit only C. avoiding tax D. cutting wages

Question 49 of 50

The stage of the product life cycle with the highest sales is

A. decline B. introduction C. growth D. maturity

Question 50 of 50

A debenture holder is

A. a creditor of the company B. an owner C. a director D. a partner

Time left

60:00

Answered0 / 50

Unanswered questions count as wrong.

Questions written by OtisamLMS in the style of the WASSCE. They are not WAEC past questions.