Question 1

Globalization will have all the following effects on businesses except one. Which ONE is the exception?

Options :

A : Access to cheaper sources of supply in emerging economies

B : Increased competition on world markets for manufactured goods

C : Decreased international transportation and communications costs

D : The ability to shift production to low cost locations

Answer: C

Question 2

A rise in interest rates in an economy would lead to all of the following except which one ?

Options :

A : A rise in the exchange rate for the currency

B : A rise in personal saving

C : An increase in business investment

D : A rise in public expenditure

Answer: C

Question 3

PetsPlus Pic. has outsourced its marketing operations to the recently established marketing firm MarketMe. MarketMe has devised and distributed an online survey on behalf of PetsPlus Pic, asking customers to

evaluate the products they purchase from the company.

An example of a question from the survey is as follows:

'What do you think of PetsPlus's decision to outsource its marketing operations to a marketing firm?

Which of the following best describes why this question will not yield good information for PetsPlus?

Options :

A : Relevance

B : Accuracy

C : Reliability

D : Cost efficiency

Answer: A

Question 4

Based on historical time series data, a chemicals company uses sales ($million) as the y variable and time (year) as the x variable and equation.

y = - 3935 47 + 2 02x

Using the equation, what is the company's predicted sales for the year 2020? Give your answer to the nearest million.

Options :

A : $15 million

B : $25 million

C : $35 million

D : $45 million

Answer: A

Question 5

Central banks inspect and sometimes set minimum limits on the reserves held by commercial banks. Which ONE of the following statements is NOT a reason that central banks seek to influence the reserves of commercial banks?

Options :

A : To influence commercial banks' ability to create credit

B : To avoid the commercial banks running out of liquidity

C : To regulate the profits of commercial banks

D : To prevent the collapse of the banking system

Answer: C

Confidently Practice Online with Free CIMAPRA17-BA1-1-ENG Exam Cram

Buying Options: