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BUS 475 Capstone Final

Examination Part 1
1. Article 6 of the Treaty on European Union, called the Maastricht Treaty,
states the EU is founded on:
Specific performance
stare decisis
Private markets
Rule of law
2. Which of the following is the path through which contractionary monetary
policy works?
Money down implies interest rate up implies investment up implies income down
Money down implies interest rate up implies investment down implies income
Money down implies interest rate down implies investment down implies income
Money down implies interest rate down implies investment up implies income
3. Marketing research refers to__________
The use of information technology to find objective solutions to a marketing
The process of systematically collecting and analyzing information in order to
define a marketing problem
The process of defining a marketing problem and opportunity, systematically
collecting and analyzing information, and recommending actions
The science of using observable human behavior in order to identify and solve
marketing problems.

4. Is the process of converting meaning into messages composed of words and

nonverbal signals?
5. Sam, a marketing manager, often makes ethical decisions based on what
others feel about those decisions. He often considers opinions from other
managers and employees. Which of the following ethical systems do Sams
decisions follow?
6. The depreciation of currency will:
improve a countrys comparative advantage.
worsen a countrys comparative advantage.
balance a trade surplus.
have no impact on a countrys comparative advantage.
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BUS 475 Capstone Final Examination Part 1 Answers

7. Which of the following is typically included in the drafting stage of writing

an effective business message?
Setting a positive and other-oriented tone
Sending the message to be proofread
Double-checking everything
Identifying the primary message and key points
8. If a population is known to be normally distributed, what can be said of the
sample distribution of the sample mean drawn from this population?
For a sample size n < 30, the sampling distribution of the sample mean is
normally distributed.
For a sample size n > 30, the sampling distribution of the sample mean is
normally distributed.
For any sample size n, the sampling distribution of the sample mean is normally
For a sample size n < 50, the sampling distribution of the sample mean is
normally distributed.
9. Marketing refers to__________.
The activity for creating, communicating, delivering, and exchanging offerings
that benefit its customers, the organization, its stakeholders, and society at large
The process of identifying target market segments for a product or service
The activity involved in getting a product or service from the manufacturer to
ultimate consumers and organizational buyers
The production of products or services that will generate the highest return on

10. Lori is using secondary research to develop a business report. How can she
write her report in a way that demonstrates originality in thought?
Cite all her research sources
Use the most current documentation guidelines
Generate her own conclusions and recommendations
Adopt a methodical approach to decision making
11. Annie, an employee who often attributes her team failures to bad luck,
attributes other teams failures to personal shortcomings. Which of the
following cognitive biases do Annies attributions exemplify?
Self-deception bias
Belief bias
In-group bias
Hindsight bias
12. When does the straw man fallacy occur?
When a person tries to disprove a claim based on its source.
When a person falsifies or overstates an adversarys position.
When a person considers only 2 alternatives even when other options are
When a decision maker dismisses an alternative that fails to solve the issue
13. Which of the following types of unemployment is considered to be the most
controllable through demand-side macroeconomic policy?
Cyclical unemployment
Natural unemployment
Structural unemployment
Frictional unemployment

14. Microeconomics and macroeconomics are:

Interrelated because both are often taught by the same instructors
Interrelated because what happens in the economy as a whole is based on
individual decisions
Virtually identical, though one is much more difficult than the other
Not related because they are taught separately
15. Federal law and business leaders alike favor ____________ as a means of
governing private business ethics. Self-regulation by companies
Establishment of federal regulators in all private companies to establish and
enforce ethical standards.
Giving the federal government exclusive jurisdiction regarding ethics and ethics
violation enforcement.
Creating uniform statutes of business ethics.
16. Which of the following statements is true of the WARN Act?
It requires employers to give notice to an at will employee that he/she is being
It requires employers to give notice of a scheduled mass layoff.
It requires employers to give notice to employees that an unscheduled drug test
will be conducted for all employees.

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17. Alex is playing his music at full volume in his dorm room. The other people
living on his floor found this to be a nuisance, but Alex doesnt care. Alexs
music playing is an example of:
Positive externality
Normative externality
Negative externality
Pareto externality
18. According to the Ajzen model, the strongest predictor of an employees
behavior is/are__________.
Social norms
The employees values
The employees attitudes
The employees intentions
19. The interdisciplinary field dedicated to understanding and managing
people at work is called:
Management dynamics
Management theory
Organizational behavior
Organizational dynamics
20. Regarding using personality testing as part of the hiring process, experts
have concluded that:
There are many valid instruments available to managers to test for personality
Only the Big Five should be used as predictors of job performance.
The typical personality test is not a valid predictor of job performance.
The effects of personality on job performance are so large it cannot be ignored by managers.

21. In the context of developing persuasive messages, which of the following is

most likely to help you demonstrate a voice of competence?
focusing only on logical appeals
using only emotional appeals in your persuasive messages
developing strong ideas in the interest of your audience
adopting the tone of mass advertising such as over-the-top appeals
22. Identify an example of spontaneous creativity.
Settling a disagreement quickly in a simple way.
Modifying the strategies and procedures of a group.
Establishing win-win relationships with other people.
Organizing annual meetings and get-togethers innovatively.
23. Which of the following is useful advice on conducting business across
cultures with those who have limited English ability? Speak at your normal,
regular pace instead of speaking slowly as this may be viewed as disrespectful.
Determine a person's level of communication proficiency within the first few
moments of your interactions with them.
Use slang and jargon instead of literal language as much as possible.
Allow those with limited English ability enough time to process their thoughts
into English.

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24. Joyce finds that the members of the project team to which she has been
assignment in her management class are all athletes on the colleges football
and basketball teams. She immediately considers dropping the class because
she thinks her experience with that team will be negative. Joyce is likely
reacting to a__________.
Semantic memory
Negativity bias
Self-serving bias
25. According to the Classical growth model, an economy that increases its
saving will grow:
Quickly since the increase in saving will permit more rapid technological
Slowly because interest rates will fall, causing investment to decline.
Slowly because consumption and aggregate demand will be reduced.
Quickly since the increase in saving will permit greater investment.
26. A 911 emergency response service needs operators who are bilingual in
English and Spanish. A few applicants of Spanish origin are rejected due to
poor English-speaking skills. They file a complaint on the grounds of
discrimination based on nationality. Their complaint is squashed. Here, the
defense of the federal government is on the grounds of:
Circumstantial evidence
Inculpatory evidence
Exclusionary rule
Bona fide occupational qualifications.

27. The distinction







is that managers should hire people based on their attitudes and emotions
is that managers have little or no impact on fixed differences
has no practical value for managers
is that managers have little or no impact on flexible differences
28. Advertising, personal selling, sales promotion, public relations, and direct
marketing are marketing communications alternatives that make up a firms
Promotional mix
Communication source
Marketing mix
Media strategy
29. What is the main drawback to the Negotiation & Agreement strategy for
overcoming resistance to change?
Too expensive if others decide to also negotiation for compliance
leads to future problems if people feel manipulated
30. In order to focus your presentation on people, you should______. Avoid
using presentation software or other technology
use a lot of "I" statements
make individuals and groups the subject of your sentences
include as many photographs as possible in your slides

31. In order to summarize qualitative data, a useful tool is a____________.

scatter gram
Stem-and-leaf diagram
Frequency distribution
32. The product life cycle refers to __________.
A concept that describes the stages a product goes through in the marketplace
introduction, growth, maturity, and decline
The average life span of a product
A concept that describes the stages a product goes through in the marketplace
early growth, accelerated development, maturity, and decline
A concept that describes the stages a new product goes through from product
concept to commercialization
33. The study of similarities and differences among consumers in two or more
nations or societies is referred to as __________.
Cross-cultural analysis
International sociographics
Market synthesis
Transnational anthropology
34. Other things held constant in a competitive labor market, if workers
negotiate a contract in which the employer agrees to pay an hourly wage of
$17.85 while the market equilibrium hour rate is $16.50, the:
Quantity of workers supplied will exceed the quantity of workers demanded.
Quantity of workers demanded will exceed the quantity of workers supplied.

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