SlU e-learning

Created by

Kinfemichael Nigussie

Marketing Management Model Exam 2016

Choose the best Answer from Given Alternatives

Fill the following

Name of StudentID NumberModality (egular, Extention or Weekend)

1 / 121

How does sales forecasting benefit sales management?

a) By predicting future customer preferences and demand

b) By reducing market competition

c) By eliminating promotional activities

d) By decreasing advertising budgets

2 / 121

What is the role of personal selling in sales management?

a) To maximize advertising budgets

b) To establish and maintain customer relationships

c) To minimize market segmentation

d) To reduce production costs

3 / 121

What is the significance of supply chain management in channel management?

a) To increase production costs

b) To decrease product availability

c) To minimize holding costs and improve efficiency

d) To eliminate distribution channels

4 / 121

Which of the following is a function of marketing intermediaries?

a) Reducing transaction costs

b) Increasing customer prices

c) Decreasing product accessibility

d) Minimizing brand visibility

5 / 121

What is the primary purpose of marketing channels?

a) To decrease product accessibility

b) To increase transaction costs

c) To facilitate the exchange of goods and services

d) To minimize customer satisfaction

6 / 121

What is the significance of search engine optimization (SEO) in E-Marketing?

a) To decrease website traffic

b) To increase customer complaints

c) To improve website visibility and rankings in search engine results

d) To eliminate social media engagement

7 / 121

Which of the following is a characteristic of E-Marketing?

a) Limited reach to potential customers

b) High cost of implementation

c) Real-time communication with customers

d) Slow response rate from customers

8 / 121

What is the primary goal of relationship marketing in services marketing?

a) To maximize advertising budgets

b) To build long-term relationships with customers

c) To minimize customer complaints

d) To eliminate competition

9 / 121

What distinguishes services marketing from product marketing?

a) Services are tangible, while products are intangible

b) Products are inseparable from their providers in services marketing

c) Services marketing does not involve pricing strategies

d) Products have shorter life cycles compared to services

10 / 121

Services and E-Marketing (Services Marketing and E-Marketing)

What distinguishes services marketing from product marketing?

a) Services are tangible, while products are intangible

b) Products are inseparable from their providers in services marketing

c) Services marketing does not involve pricing strategies

11 / 121

Which marketing strategy involves associating a brand with a well-known celebrity or event?

a) Cause-related marketing

b) Product placement

c) Guerrilla marketing

d) Endorsement marketing

12 / 121

How does event sponsorship benefit a brand?

a) By decreasing brand visibility

b) By increasing customer complaints

c) By enhancing brand image and visibility

d) By minimizing advertising budgets

13 / 121

What is the role of product packaging in product and brand management?

a) To increase production costs

b) To minimize brand visibility

c) To communicate brand identity and product attributes

d) To reduce customer loyalty

14 / 121

Which promotional tool involves paid, non-personal communication aimed at promoting products or services?

a) Public Relations

b) Personal Selling

c) Advertising

d) Sales Promotion

15 / 121

What is the primary objective of integrated marketing communication (IMC)?

a) To decrease brand awareness

b) To ensure consistency in brand messaging across various channels

c) To maximize advertising budgets

d) To eliminate competition

16 / 121

Which factor does NOT influence consumer behavior?

a) Cultural factors

b) Personal factors

c) Psychological factors

d) Production costs

17 / 121

What is the role of pricing in the marketing mix?

a) To set production costs

b) To communicate product quality

c) To maximize profit margins

d) To eliminate promotional activities

18 / 121

Which stage of the product life cycle is characterized by rapid sales growth and high profits?

a) Introduction

b) Growth

c) Maturity

d) Decline

19 / 121

What is the purpose of a marketing plan?

a) To set financial goals for the company

b) To guide marketing activities over a specific time period

c) To eliminate competition

d) To increase production costs

20 / 121

Which of the following is NOT a stage in the consumer decision-making process?

a) Evaluation of alternatives

b) Post-purchase behavior

c) Product development

d) Need recognition

21 / 121

What is the significance of a strategic alliance in international marketing?

a) To increase competition

b) To decrease market share

c) To minimize cultural differences

d) To leverage partner strengths and resources

22 / 121

Which international marketing strategy involves customizing products and marketing efforts to suit local preferences?

a) Adaptation

b) Standardization

c) Localization

d) Differentiation

23 / 121

What is the primary challenge of conducting international market research?

a) Limited language barriers

b) Cultural differences

c) Homogeneous market environments

d) Stable exchange rates

24 / 121

Which factor is NOT considered in international market entry decisions?

a) Cultural differences

b) Political stability

c) Economic conditions

d) Domestic competition

25 / 121

What is the primary focus of strategic marketing management?

a) Short-term sales objectives

b) Long-term business goals

c) Maximizing advertising budgets

d) Reducing production costs

26 / 121

How does sales forecasting benefit sales management?

a) By predicting future customer preferences and demand

b) By reducing market competition

c) By eliminating promotional activities

d) By decreasing advertising budgets

27 / 121

What is the role of personal selling in sales management?

a) To maximize advertising budgets

b) To establish and maintain customer relationships

c) To minimize market segmentation

d) To reduce production costs

28 / 121

What is the significance of supply chain management in channel management?

a) To increase production costs

b) To decrease product availability

c) To minimize holding costs and improve efficiency

d) To eliminate distribution channels

29 / 121

Which of the following is a function of marketing intermediaries?

a) Reducing transaction costs

b) Increasing customer prices

c) Decreasing product accessibility

d) Minimizing brand visibility

30 / 121

What is the primary purpose of marketing channels?

a) To decrease product accessibility

b) To increase transaction costs

c) To facilitate the exchange of goods and services

d) To minimize customer satisfaction

31 / 121

Sales & Channel Management (Marketing Channel & Logistics Management and Sales Management)

What is the primary purpose of marketing channels?

a) To decrease product accessibility

b) To increase transaction costs

c) To facilitate the exchange of goods and services

32 / 121

Which social media platform is known for its visual content and engagement opportunities?

a) Facebook

b) LinkedIn

c) Instagram

d) Twitter

33 / 121

What is the significance of search engine optimization (SEO) in E-Marketing?

a) To decrease website traffic

b) To increase customer complaints

c) To improve website visibility and rankings in search engine results

d) To eliminate social media engagement

34 / 121

Which of the following is a characteristic of E-Marketing?

a) Limited reach to potential customers

b) High cost of implementation

c) Real-time communication with customers

d) Slow response rate from customers

35 / 121

What is the primary goal of relationship marketing in services marketing?

a) To maximize advertising budgets

b) To build long-term relationships with customers

c) To minimize customer complaints

d) To eliminate competition

36 / 121

What distinguishes services marketing from product marketing?

a) Services are tangible, while products are intangible

b) Products are inseparable from their providers in services marketing

c) Services marketing does not involve pricing strategies

d) Products have shorter life cycles compared to services

37 / 121

Which marketing strategy involves associating a brand with a well-known celebrity or event?

a) Cause-related marketing

b) Product placement

c) Guerrilla marketing

d) Endorsement marketing

38 / 121

How does event sponsorship benefit a brand?

a) By decreasing brand visibility

b) By increasing customer complaints

c) By enhancing brand image and visibility

d) By minimizing advertising budgets

39 / 121

What is the role of product packaging in product and brand management?

a) To increase production costs

b) To minimize brand visibility

c) To communicate brand identity and product attributes

d) To reduce customer loyalty

40 / 121

Which promotional tool involves paid, non-personal communication aimed at promoting products or services?

a) Public Relations

b) Personal Selling

c) Advertising

d) Sales Promotion

41 / 121

What is the primary objective of integrated marketing communication (IMC)?

a) To decrease brand awareness

b) To ensure consistency in brand messaging across various channels

c) To maximize advertising budgets

d) To eliminate competition

42 / 121

Which factor does NOT influence consumer behavior?

a) Cultural factors

b) Personal factors

c) Psychological factors

d) Production costs

43 / 121

What is the role of pricing in the marketing mix?

b) To communicate product quality

c) To maximize profit margins

d) To eliminate promotional activities

a) To set production costs

44 / 121

Which stage of the product life cycle is characterized by rapid sales growth and high profits?

a) Introduction

b) Growth

c) Maturity

d) Decline

45 / 121

What is the purpose of SWOT analysis in marketing?

a) To identify strengths, weaknesses, opportunities, and threats

b) To increase advertising budgets

c) To predict consumer behavior

d) To eliminate competition

46 / 121

Which of the following best describes the concept of market segmentation?

a) Combining all consumers into one homogeneous group

b) Dividing the market into distinct groups with similar needs

c) Targeting only high-income consumers

d) Ignoring consumer preferences

47 / 121

What is the significance of a strategic alliance in international marketing?

a) To increase competition

b) To decrease market share

c) To minimize cultural differences

d) To leverage partner strengths and resources

48 / 121

Which international marketing strategy involves customizing products and marketing efforts to suit local preferences?

a) Adaptation

b) Standardization

c) Localization

d) Differentiation

49 / 121

What is the primary challenge of conducting international market research?

a) Limited language barriers

b) Cultural differences

c) Homogeneous market environments

d) Stable exchange rates

50 / 121

Which factor is NOT considered in international market entry decisions?

a) Cultural differences

b) Political stability

c) Economic conditions

d) Domestic competition

51 / 121

What is the primary focus of strategic marketing management?

a) Short-term sales objectives

b) Long-term business goals

c) Maximizing advertising budgets

d) Reducing production costs

52 / 121

How does sales forecasting benefit sales management?

a) By predicting future customer preferences and demand

b) By reducing market competition

c) By eliminating promotional activities

d) By decreasing advertising budgets

53 / 121

What is the role of personal selling in sales management?

a) To maximize advertising budgets

b) To establish and maintain customer relationships

c) To minimize market segmentation

d) To reduce production costs

54 / 121

What is the significance of supply chain management in channel management?

a) To increase production costs

b) To decrease product availability

c) To minimize holding costs and improve efficiency

d) To eliminate distribution channels

55 / 121

Which of the following is a function of marketing intermediaries?

a) Reducing transaction costs

b) Increasing customer prices

c) Decreasing product accessibility

d) Minimizing brand visibility

56 / 121

What is the primary purpose of marketing channels?

a) To decrease product accessibility

b) To increase transaction costs

c) To facilitate the exchange of goods and services

d) To minimize customer satisfaction

57 / 121

Which social media platform is known for its visual content and engagement opportunities?

a) Facebook

b) LinkedIn

c) Instagram

d) Twitter

58 / 121

What is the significance of search engine optimization (SEO) in E-Marketing?

a) To decrease website traffic

b) To increase customer complaints

c) To improve website visibility and rankings in search engine results

d) To eliminate social media engagement

59 / 121

Which of the following is a characteristic of E-Marketing?

a) Limited reach to potential customers

b) High cost of implementation

c) Real-time communication with customers

d) Slow response rate from customers

60 / 121

What is the primary goal of relationship marketing in services marketing?

a) To maximize advertising budgets

b) To build long-term relationships with customers

c) To minimize customer complaints

d) To eliminate competition

61 / 121

What distinguishes services marketing from product marketing?

a) Services are tangible, while products are intangible

b) Products are inseparable from their providers in services marketing

c) Services marketing does not involve pricing strategies

d) Products have shorter life cycles compared to services

62 / 121

Which marketing strategy involves associating a brand with a well-known celebrity or event?

a) Cause-related marketing

b) Product placement

c) Guerrilla marketing

d) Endorsement marketing

63 / 121

How does event sponsorship benefit a brand?

a) By decreasing brand visibility

b) By increasing customer complaints

c) By enhancing brand image and visibility

d) By minimizing advertising budgets

64 / 121

What is the role of product packaging in product and brand management?

a) To increase production costs

b) To minimize brand visibility

c) To communicate brand identity and product attributes

d) To reduce customer loyalty

65 / 121

Which promotional tool involves paid, non-personal communication aimed at promoting products or services?

a) Public Relations

b) Personal Selling

c) Advertising

d) Sales Promotion

66 / 121

What is the primary objective of integrated marketing communication (IMC)?

a) To decrease brand awareness

b) To ensure consistency in brand messaging across various channels

c) To maximize advertising budgets

d) To eliminate competition

67 / 121

What is the primary focus of consumer behavior studies?

a) Maximizing advertising budgets

b) Understanding how consumers make purchasing decisions

c) Increasing production costs

d) Ignoring market trends

68 / 121

What is the significance of the product life cycle in marketing strategy?

a) It helps to determine the optimal pricing strategy

b) It guides decisions regarding product promotion and distribution

c) It minimizes customer satisfaction

d) It eliminates market segmentation

69 / 121

Which of the following best describes the concept of market positioning?

a) Determining the optimal pricing strategy

b) Creating a unique image for a product in the minds of consumers

c) Increasing advertising budgets

d) Lowering distribution costs

70 / 121

What is the purpose of a marketing plan?

a) To set financial goals for the company

b) To guide marketing activities over a specific time period

c) To eliminate competition

d) To increase production costs

71 / 121

Which of the following is NOT a stage in the consumer decision-making process?

a) Evaluation of alternatives

b) Post-purchase behavior

c) Product development

d) Need recognition

72 / 121

What is the significance of a strategic alliance in international marketing?

a) To increase competition

b) To decrease market share

c) To minimize cultural differences

d) To leverage partner strengths and resources

73 / 121

Which international marketing strategy involves offering the same product and marketing mix worldwide?

a) Adaptation

b) Standardization

c) Localization

d) Differentiation

74 / 121

What is the primary challenge of conducting international market research?

a) Limited language barriers

b) Cultural differences

c) Homogeneous market environments

d) Stable exchange rates

75 / 121

Which factor does NOT influence global market entry decisions?

a) Cultural differences

b) Political stability

c) Economic conditions

d) Domestic competition

76 / 121

What is the role of competitive analysis in strategic marketing management?

a) To increase market share

b) To decrease advertising budgets

c) To understand competitors’ strengths and weaknesses

d) To minimize customer satisfaction

77 / 121

What is the primary objective of sales territory management?

a) To decrease customer complaints

b) To maximize advertising budgets

c) To optimize sales coverage

d) To minimize market segmentation

78 / 121

Which of the following is a direct sales channel?

a) Retail stores

b) Online marketplaces

c) Wholesalers

d) Agents

79 / 121

What is the significance of inventory management in channel management?

a) To increase stockouts

b) To decrease customer satisfaction

c) To minimize holding costs

d) To eliminate sales promotions

80 / 121

Which channel intermediary takes ownership of products and resells them to consumers or businesses?

a) Wholesaler

b) Agent

c) Retailer

d) Distributor

81 / 121

What is the primary function of a distribution channel?

a) To decrease product accessibility

b) To increase transaction costs

c) To facilitate the exchange of goods and services

d) To minimize customer satisfaction

82 / 121

What is the significance of conversion rate optimization (CRO) in E-Marketing?

a) To decrease website traffic

b) To increase customer complaints

c) To maximize online sales

d) To reduce social media engagement

83 / 121

Which online platform is commonly used for professional networking in E-Marketing?

a) Facebook

b) Instagram

c) LinkedIn

d) Snapchat

84 / 121

What is the primary benefit of using email marketing in E-Marketing?

a) Limited reach to potential customers

b) High cost of implementation

c) Ability to personalize messages

d) Slow response rate

85 / 121

Which factor is NOT considered in the service marketing mix?

a) Product

b) Place

c) Price

d) Promotion

86 / 121

What is the significance of customer relationship management (CRM) in services marketing?

a) To decrease customer satisfaction

b) To maximize advertising budgets

c) To build long-term relationships with customers

d) To increase production costs

87 / 121

Which marketing strategy involves creating a perception of scarcity to drive consumer demand?

a) Brand extension

b) Price skimming

c) Penetration pricing

d) Loss leader

88 / 121

What is the purpose of event sponsorship in marketing?

a) To reduce advertising budgets

b) To engage with potential customers

c) To eliminate competition

d) To limit brand exposure

89 / 121

What is the main objective of sales promotions?

a) To build brand awareness

b) To increase long-term customer loyalty

c) To generate immediate sales

d) To decrease consumer demand

90 / 121

Which promotional tool involves non-personal communication through mass media?

a) Public Relations

b) Personal Selling

c) Advertising

d) Sales Promotion

91 / 121

What is the purpose of a brand’s positioning strategy?

a) To decrease brand loyalty

b) To communicate the brand’s unique value proposition

c) To increase production costs

d) To reduce market segmentation

92 / 121

Which factor does NOT influence consumer behavior?

a) Cultural factors

b) Personal factors

c) Psychological factors

d) Production costs

93 / 121

What is the role of pricing in the marketing mix?

a) To set production costs

b) To communicate product quality

c) To maximize profit margins

d) To eliminate promotional activities

94 / 121

Which stage of the product life cycle is characterized by rapid sales growth and high profits?

a) Introduction

b) Growth

c) Maturity

d) Decline

95 / 121

What is the purpose of SWOT analysis in marketing?

a) To identify strengths, weaknesses, opportunities, and threats

b) To increase advertising budgets

c) To predict consumer behavior

d) To eliminate competition

96 / 121

Which of the following best describes the concept of market segmentation?

a) Combining all consumers into one homogeneous group

b) Dividing the market into distinct groups with similar needs

c) Targeting only high-income consumers

d) Ignoring consumer preferences

97 / 121

What is the significance of market research in international marketing?

a) To minimize cultural differences

b) To maximize advertising budgets

c) To understand foreign market dynamics

d) To eliminate global competition

98 / 121

Which strategy involves customizing products and marketing efforts to suit local preferences?

a) Standardization

b) Globalization

c) Adaptation

d) Differentiation

99 / 121

What is the primary challenge of conducting business marketing?

a) Understanding consumer behavior

b) Adapting to cultural differences

c) Navigating complex market structures

d) Managing supply chain logistics

100 / 121

Which of the following is a characteristic of International Marketing?

a) Limited geographical scope

b) High cultural homogeneity

c) Diverse market environments

d) Low competitive intensity

101 / 121

What is the primary focus of Strategic Marketing Management?

a) Short-term sales objectives

b) Long-term business goals

c) Maximizing advertising budgets

d) Reducing production costs

102 / 121

How does effective sales training benefit a company?

a) By increasing employee turnover

b) By decreasing customer satisfaction

c) By improving sales performance

d) By reducing marketing expenses

103 / 121

What is the purpose of a sales forecast in Sales Management?

a) To predict customer preferences

b) To estimate future sales revenues

c) To reduce production costs

d) To eliminate competition

104 / 121

What is the role of personal selling in Sales Management?

a) Building brand awareness

b) Maximizing advertising budgets

c) Establishing and maintaining customer relationships

d) Conducting market research

105 / 121

Which of the following is a function of a marketing channel intermediary?

a) Reducing transaction costs

b) Increasing consumer prices

c) Creating brand awareness

d) Decreasing product accessibility

106 / 121

What is the primary objective of Marketing Channel & Logistics Management?

a) Maximizing advertising budgets

b) Optimizing product distribution

c) Minimizing customer satisfaction

d) Reducing sales promotions

107 / 121

What is the significance of customer reviews in E-Marketing?

b) They can influence other potential customers

c) They are always positive

d) They only appear on social media platforms

a) They have no impact on purchasing decisions

108 / 121

Which E-Marketing strategy involves optimizing a website to rank higher in search engine results?

a) Social media marketing

b) Content marketing

c) Search engine optimization (SEO)

d) Email marketing

109 / 121

What is the primary advantage of using social media in E-Marketing?

a) Limited audience reach

b) High cost of advertising

c) Ability to engage with customers in real-time

d) Slow feedback from customers

110 / 121

Which of the following is a characteristic of E-Marketing?

a) Limited global reach

b) High cost of distribution

c) Instantaneous communication

d) Offline advertising only

111 / 121

What distinguishes services marketing from product marketing?

a) Services are intangible and inseparable from their providers

b) Products are intangible and inseparable from their providers

c) Services are tangible and can be stored

d) Products are tangible and perishable

112 / 121

What is the key to successful brand positioning?

a) Offering the lowest price

b) Differentiating from competitors

c) Targeting a broad audience

d) Avoiding advertising

113 / 121

What is the purpose of Event Management in marketing?

a) To organize corporate meetings

b) To create brand awareness and engage with customers

c) To conduct market research

d) To manage product pricing

114 / 121

Which promotional tool involves direct interaction with customers to generate immediate response?

a) Public Relations

b) Sales Promotion

c) Advertising

d) Personal Selling

115 / 121

What is the primary objective of Product & Brand Management?

a) Maximizing profits

b) Building brand equity

c) Increasing market share

d) Reducing production costs

116 / 121

Integrated Marketing Communication involves the coordination of which promotional elements?

a) Advertising, sales promotion, and direct marketing

b) Pricing, distribution, and branding

c) Product, place, and promotion

d) Marketing research, analysis, and strategy

117 / 121

What is the significance of market segmentation in marketing?

a) It helps in targeting specific customer groups

b) It reduces production costs

c) It eliminates competition

d) It maximizes profit margins

118 / 121

What is the role of consumer behavior in marketing?

a) To predict consumer buying patterns

b) To manipulate consumer preferences

c) To understand consumer needs and wants

d) To control consumer spending habits

119 / 121

Which theory explains how consumers make purchasing decisions based on maximizing utility?

a) Theory of Planned Behavior

b) Maslow’s Hierarchy of Needs

c) Utility Theory

d) Theory of Cognitive Dissonance

120 / 121

What is the primary focus of Principles of Marketing?

a) Understanding consumer behavior

b) Developing marketing strategies

c) Creating brand awareness

d) Analyzing market competition

121 / 121

Which of the following is NOT a component of the marketing mix?

a) Product

b) Price

c) Promotion

d) Profit

Your score is

Posted on February 22, 2024March 30, 2024

Logistics and supply chain management Model Exit Exam 2016

/96

Created by

Abeba Takele

Logistics and supply chain management Model Exit Exam 2016

Choose the Best Answer From The Alternative

Fill the following

Name of StudentID NumberModality (egular, Extention or Weekend)

Which one is a not logistics performance measurement

Financial Measures of Logistics Performance

Productivity Measures of Logistics Performance

Quality Measures of Logistics Performance

Market Distribution Performance Cycles

Which one is false about difference between domestic and global logistics integrations is

Domestic logistics focuses on performing value-added services to support supply chain integration while global logistics must accommodate operations in a variety of different things

Global logistics focuses on performing value-added services to support supply chain integration while domestic logistics must accommodate operations in a variety of different countries

Global logistics integration operates in uncontrollable environment while domestic logistics integration the environment which is controllable

Global logistics is characterized by increased uncertainty and decreased ability to control while in domestic is not

Which one are external integration barriers in logistics?

Organization structure

Knowledge Hoarding

customer needs

measurement system

Some of the services offered by fourth party logistics (4PL) are

Inventory management

Freight audit and consulting

Shipment tracking and tracing

Management of the entire operations

Which one of the following is correct about customer accommodation?

products or services are more basic than customer needs and requirements

Different customers have the same needs and requirements

Customer needs and requirements are more basic than products or service

Customer accommodation is secondary process of the firm

The gap that may exist between customers’ real expectation and managers’ perception of those expectations is

Performance gap

Knowledge gap

Communication gap

Standard gap

Which one of the following is correct about differences between Forward and reverse logistics?

In forward logistics there is a standardized channel but not in reverse logistics

In forward logistics transportation is many to one in reverse logistics is transportation is one to many

In forward logistics the marketing is complex in reverse logistics clear marketing

In forward logistics product quality, packaging, and pricing are not uniform but reverse logistics product quality, packaging, and pricing are relatively uniform

Which one are the objectives of supply chain integration

Achieve maximum value for customers

Achieve maximum value for stakeholders

Achieve maximum value for share holders

Achieve maximum value for employees

In the generic value chain of logistics Inbound and outbound logistics is called

A support activity

A primary activity

Not an activity

The only activity

Which one of the following are not measures of supply chain operational performance

Speed

Cost

Quality

Rigidity

Matching the timing of supply with demand requirements by coordinate the flow of materials, products, and information between supply chain partners to reduce duplication and unwanted redundancy to an absolute minimum is

Lean logistics

logistics synchronization

Consolidation shipment

Agility in logistics

Mr X is electronic products importer into the country. However, he lost documents required for importing that is requested by the custom authority. The intention of the authorities was to check where he brings the products because there are some countries that banned to sell their products to the other countries. Hence, what will be that document that justifies the above statement?

Consular invoice

Certificate of origin

Commercial invoice

Pro Forma Invoice

An “open account” transaction gives all of the advantages to the

Seller

Bank

Forwarder

Buyer

The process of overseeing and managing the delivery of goods from origin to destination is

Freight forwarding

Freight management

Custom clearance

Shipment management

Which one of the following are not types of import customs clearing documents

Import License

Purchase Order

Bill of Lading

Bill of exchange

Freight classification that treating jewelry and ordinary food items differently is termed as

Volume-to-weight ratio

Value-to-weight ratio

Substitutability

Special characteristics

When the companies better to use freight forwarders

When in house expert is good

When the material is accessible in the near place

When in-house equipment are full to do international shipping procedure

Usually applies to exporting larger volumes of product or high value items

Which one is the best known air freight company in the world?

DHL global forwarding

Mediterranean shipping company

China southern airlines

Global alliance

One of the following is not duties and responsibilities of Ethiopian custom authority

to prevent importation and exportation of contraband goods

to collect taxes and duties in goods imported and exported

to sell or dispose goods without owner

to arranging transportation service for shippers

A contractual assurance by the foreign buyer's bank to pay once the exporter ships the goods and presents the required documentation to the exporter's bank as evidence is

bill of exchange

bill of lading

letter of credit

advance payment

Among the following one is not an important factor for freight classification

Weight, Length, Height

Density and Value

Quality of the good

Handling and Liability

Ethiopian custom route goods entering into or exiting from the country via Somalia is

Moyale

Togowichale

Galaffi

Dewelle

The correct sequence of supply chain drivers is

Production- location-transportation- planning- information

Production- location-transportation- inventory- information

Production- scheduling-transportation- inventory- information

Production- distribution-transportation- inventory- information

Supply chain operations that concerns about purchasing, consumption management, vendor selection, contract negotiation and contract management

Plan

Source

Make

Deliver

The most common dynamics in supply chains is phenomena that have been the bullwhip effect that happens due to small changes in product demand by the consumer at the front of the supply chain translate into wider and wider fluctuates in demand experienced by companies further back in the supply chain. So, among the following one is not major causes of bullwhip effect in the supply chain?

Demand forecasting

Order batching

Product rationing

Collaborative Replenishment

To create good aggregate plan it is better to use production capacity to match demand by adding or eliminating plant capacity as needed. But, it is risk it doesn’t redeemed the time. So when is best to use production capacity to match demand

the cost of carrying inventory is high and the cost of changing capacity plant and workforce is low

the cost of carrying inventory is high and the cost of excess capacity is relatively low

the cost of capacity and changing capacity is high

the cost of carrying inventory and backlogs is relatively low

Which one is true about supply chain operation in terms of delivery?

involves decisions that determine what activities will be performed in which facilities

allocates available capacity to the work that needs to be done

generates a purchase order and calls a supplier to fill the order

getting the best prices from suppliers

Which supply chain operations is part of outbound logistics

Plan

Source

Deliver

Make

The limiting of products to customers that are in high demand and short supply is

Demand Forecasting

Order Batching

Product Rationing

Bull whip

Build to stock Performance measures is needed when

customized product is ordered by a customer

customers need the product in short lead-time

customers are tolerated the delay of the product

if the product is perishable

Forecasting methods that depend up on historical demand pattern is best described by

Qualitative

Causal

Time Series

Simulation

Safety inventory is intended to compensate for the uncertainty in the supply chain; Seasonal inventory is a compensation for what

needed to meet demand in the lead-time

anticipation of future demand

needed to meet demand when the lead-time is short

needed to meet demand when the lead-time is long

What is the purpose of collaborative planning, forecasting, and replenishment (CPFR) in supply chain management?

To improve internal communication within a company

To align supply chain activities with customer demand

To establish pricing strategies for products

To manage supplier relationships

What is the purpose of demand-driven supply chains?

To focus on internal production efficiency

To increase inventory levels

To align supply chain activities with actual customer demand

To reduce customer satisfaction

Which one of the following is the correct sequence of corporate social responsibility?

philanthropic responsibility- economic responsibility- legal responsibility- ethical responsibility

economic responsibility- philanthropic responsibility- legal responsibility- ethical responsibility

legal responsibility- – philanthropic responsibility- economic responsibility – ethical responsibility

economic responsibility- legal responsibility- ethical responsibility- philanthropic responsibility

Which one of the following is not allowed in Sustainable Packaging?

minimizing the ratio of packaging material to product volume

increasing the use of recycled material in products

use metal packages to the product

reducing energy use in production and consumption of a product

Which one of the following is false about sustainable transportation?

use electric car

use the shortest route

consolidated shipment

move small cargo

There are three main elements of supply chain sustainability are;

stakeholders, environmental, and social

economic, environmental, and social

economic, government, and social

economic, environmental and customers

Which of the following is NOT a type of supply chain sustainability initiative?

Carbon footprint reduction

Waste reduction

Energy efficiency

Maximum profit

What is the concept of resilient supply chain in sustainable supply chain management?

the ability of the supply chain quickly adapts/recovers to disruptions and maintains operations

the focus on cost reduction at all levels of the supply chain

the integration of renewable energy sources in to the supply chain operations

the focus is to environmental sustainability in supply chain decision making

Which one is false about independent and dependent demand inventory?

independent demand inventory typically represents the outbound flow of the supply chain and often requires bulk shipments

Dependent demand inventory typically represents the inbound flow of the supply chain and often requires bulk shipments

Independent demand inventory is an item whose demand is unrelated to other items

dependent demand inventory refers to an item whose demand is unrelated to other items

Economic order quantity (EOQ) and economic production quantity (EPQ) can share common assumptions except which one

Demand for products is known

Lead time is constant

Products are independent

orders received in a single delivery

Which one of the following is true about forecasting?

Forecasts for individual of items tend to be more accurate than forecasts for group items

Forecast accuracy decreases as the time period covered by the forecast increases

long-range forecasts are more accurate than shorter-range forecasts

Successful forecasting requires intuition

Stock discrepancy where the variation between calculated and physical stock is very small compared with the overall quantities involved is

Minor discrepancies

Major discrepancies

Operation discrepancies

action discrepancy

Kadar has Aqua qorahe water distributor outlet in kebridehar city, in the down town. His annual demand is 20,000 units; the ordering cost is 93 birr and hold/carrying cost 125. So, how much units Kadar should order (EOQ) to minimize cost and increase revenue?

300 units

173 unit

21 unit

205 unit

What does the term “Just-in-Time” (JIT) refer to in supply chain management?

A production strategy that aims to minimize inventory levels

A strategy to increase customer satisfaction

A pricing strategy for products

A quality control method

The term used to describe defined as a system of collaborative inventory management between a buyer and seller is;

ABC inventory analysis

Vendor managed inventory (VMI)

inventory shrinkage

inventory control

A type of material classification method based on their unit value or rate is called

Vital essential, desirable (VED analysis)

scarce, difficult, easy (SDE) analysis

high, medium, low (HML) analysis

fast moving, slow moving, non -moving (FSN analysis)

Which one is not about the attributes of negotiation?

Discover alternatives for mutual benefit

The parties negotiate by consent

Negotiation is largely a compulsory process

One party cannot negotiate with himself

Integrative negotiation is characterized by;

Discover alternatives for mutual benefit

Modify the other party’s perception of his or her own target

The less the other party values an issue

To convince the seller to change his resistance point

In the fundamental strategies of distributive bargaining, the important tactics that are applied are;

Assess the other party’s target, resistance point, and cost of terminating negotiations

Define the Problem in a way that is mutually acceptable to both sides

Identify and define the problem

Avoid judging or evaluating solutions

Performance management of contractors involves the following, except the one:

performance monitoring collecting data on performance

performance measurement

Taking appropriate action

withholding payments until performance returns to a satisfactory level

What is a best alternative to a negotiated agreement (BATNA)?

BATNA represents the most attractive option available if negotiations fail

BATNA represents the most worst option available if negotiations fail

If the buyer has an alternative seller if the current seller fails, that is BANTA for the seller

A. If the seller has an alternative buyer if the current buyer fails, that is WANTA for the seller

Tactics in negotiation are demonstrated when negotiators conceal their interest in front of the other party is

Bogey

Nibble

Intimidation

Good Cop Bad Cop

in adversarial tactics of negotiation which of the following reaction and outcome is less likely to happen

bad relationship

discouragement

win-win agreement

anger

What are the two dilemmas of negotiation?

the dilemma of cost and the dilemma of profit margin

the dilemma of honesty and the dilemma of trust

the dilemma of honesty and the dilemma of profit margin

the dilemma of trust and the dilemma of cost

The term “contractual remedies” refers to:

The penalties imposed on the non-performing party

The financial benefits gained from a contract

The legal rights and options available to parties in case of a breach

The negotiation tactics used to secure a favorable contract

The process of actively managing contract performance, including monitoring deliverables and ensuring compliance, is known as

Contract administration

Contract termination

Contract negotiation

Contract modification

The term “due diligence” in contract management refers to

The process of thoroughly investigating and assessing the other party's capabilities and reliability

The financial analysis of the contract's performance

The negotiation process to ensure fair and equitable terms

The legal review of the contract's terms and conditions

Public bodies shall use which types of bidding as the ideal procedure of procurement

Open Tendering

Two-stage Tendering

Requests for Proposals

Requests for Quotations

Which one is false about government procurement plan

the time schedule shall be when the supply is widely available in the market

consider that the procurement need is eco- friendly

the need can be met by using unused resource or property available in the public body

A. A Public body shall not split procurements nor deviate from the annual procurement plan once it is approved by the head of the public body

A Public body shall issue invitation to bid for a second time under the following circumstances

When the first bidder was not competitive to contract the lowest price

When the first bidder obedient to the rules and regulations proclaimed by government

When the first bidder price is fair and competitive to the current market price

Where two bidders get equal merit points in the evaluation

If there is no appropriate bidding system in government procurement, then

The organization will get quality product

The organization will foreign quality product

The organization will incur high cost

The government will be benefited

Restricted tendering is appropriate method of procurement when

Due to the urgent nature of the requirement

When only one supplier has the exclusive right to the manufacture of the goods

The goods, services and works are available locally at prices below international markets

Works or services are scattered geographically or spread over time

Which one is a not criterion for eligibility requirements for bidder

Have the legal capacity to enter into a contract

Have not had their business activities suspended

Are not subject to legal proceedings

Nationality of the bidder where he come

If one of the following is there, it is not advised to go into the international market to purchase goods and services

When limited domestic capacity

When cost factor and market analysis directs to foreign purchasing

when the need of superior quality

When availability of item domestically is high

International tendering process shall be satisfy the following criteria except

The bid advertisement and the bidding documents shall be prepared in English

the bid advertisement may be posted on the wall of the procuring Public body office

if the bidder use local inputs to process the bid, the contract price for local expense shall be stated in birr

Bidders getting less than 70% in the evaluation shall be rejected

In bid evaluation in international procurement, which one is correct statement

The bidder scoring the highest point in the evaluation of the technical proposal with price which is in the capacity of the public body or beyond the capacity of it

the bidder scoring the second highest point in the technical proposal to procure the required service if the first scorers price is further than the capacity of the public body

the envelopes containing the financial proposals of the unsuccessful bidders shall be compensated

the envelopes containing the financial proposals of the unsuccessful bidders shall be not returned to the bidder

which one is correct about foreign procurement and domestic procurement

there is high complexity in foreign purchasing than domestic purchasing

domestic purchasing helps to get abundant of raw materials than foreign purchasing

the payment method is the same both in foreign and domestic procurement

there are cultural barriers in domestic purchasing than foreign purchasing

which one of the following is not compulsory documents in foreign purchasing;

Bank permit

Import/export license

VAT certificate

experience

The Issuing bank in foreign purchasing is

the bank that represents the seller

the bank that represents the buyer

the bank that advises the seller

The bank the make payment to the seller

Which of the following is NOT a challenge faced by global supply chains?

Language barriers

Cultural differences

Trade barriers

Homogeneous customer needs

Which one of the following INCOTREMS is available only for sea and inland waterway?

Free On Board

ExWorks

Carriage Paid To

Delivered at Place

Specific elements of a security policy who is trying to access the site is

Access Control

Authentication

Secrecy

Data integrity

Which one of the following is not e- payment methods;

Debit card

Credit card

Visa card

Cybercash

1. One frequent problem in supply chain management is the bullwhip effect due to inaccurate information, but, if there is accurate information which one occurred;

Cost reduction

Information being visible

Rapid communication

information sharing between members of the supply chain

Sending requests for information and prices to suppliers and receiving the responses of suppliers using internet technology is;

E-sourcing

E-tendering

E-reverse auctioning

Electronic maintenance

If you have water manufacturing company and you have a high market and a good image due to your strong desire for corporate social responsibility. Hence, your company informed customers to return the used bottle to the company with a fair payment to combat climate change. Thus, the return of customers used bottles to the company is related to;

Business to Business(B2B)

Business to Consumer(B2C)

Consumer to Business(C2B)

Consumer to Consumer(C2C)

the most commonly type of e-commerce model in that helps online businesses attempt to reach individual consumers

Business to Business(B2B)

Business to Consumer(B2C)

Consumer to Business(C2B)

Consumer to Consumer(C2C)

Which of the following is a benefit of using electronic data interchange (EDI) in supply chain management?

Reduced communication costs

Increased inventory levels

Improved customer satisfaction

Enhanced product design

collaborative network that uses internet technology to link businesses with their suppliers, customers or other businesses that share common goals

internet

world wide web

intranet

extranet

Which technology has the potential to revolutionize supply chain transparency by providing an immutable record of transactions?

Artificial intelligence (AI)

Internet of Things (IoT)

Blockchain

Virtual reality (VR)

Risks and impacts of E-procurement are

Software and systems that don't meet companies' needs

Standardized and streamlined purchasing practices

Improved management information across all areas of purchasing

Lower overhead and marketing costs for vendors

One of the following is not the reasons behind bank has the right not to approve online financial transaction is;

out dated credit line

unpaid loans

unfinished transactions

updated credit line

Which of the following is a benefit of implementing a supply chain information system?

Increased manual data entry and processing

Improved decision-making and efficiency

Limited collaboration with suppliers and partners

Higher transportation and logistics costs

The most important thing in research is

Background of the study

Identifying the problem

Review literature

Significance of the study

is the device through which the factors that seem to explain what has been observed by researcher in the course of the study can be better understood and it also provides a theoretical conception which can serve as a guide for further researches

data collection

data analysis

report interpretation

data tabulation

The process of assigning numerals or other symbols to answers so that responses can be put into a limited number of categories or classes is categorized in

Coding

Classification

Tabulation

Editing

Sampling each element in the population has an equal chance of being included in the sample

Systematic sampling

Judgmental sampling

Convenience sampling

Purposive sampling

Which one of the following is part of inferential statistics?

Mean

Median

Central tendency

Hypothesis testing

Among the following one is termed as blue print or glue of research

Data sources

Research design

Statement of the problem

Data analysis

rejecting the true null hypothesis leads to

Type I error

Type II error

Correct decision

False negative

Abstract in research is similar with

conclusion

summary

recommendation

design

The main feature of secondary source of data is

It provides first-hand information to the researcher

It is more reliable compared to primary data

It implies that the data is collected from its original source

It involves collecting data from existing sources that had gathered primary data

Research process generally starts with

Experiments

Observation

Hypothesis

Data Analysis

Good research reports will always

focus on secondary thins

provide results that may be irrelevant

focus on addressing the research objectives

provide respondents background

Your score is

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Posted on February 22, 2024March 30, 2024

Tourism and Hotel Management Model Exit Exam 2016

100

Created by

Seyar Yasin

Tourism and Hotel Management Model Exit Exam 2016

Choose the Best Answer

Name of StudentID NumberModality (egular, Extention or Weekend)

1 / 100

The followings are Benefit of accurate Sales Forecasts is, except

Assure Accurate revenue estimates

Previously Recorded number of a particular menu items served

Improved ability to predict expenses

Greater efficiency in scheduling needed workers and production

2 / 100

Which of the following doesn’t belong on the list of characteristics of hotel businesses?

The hotel business is Perishable

Employees in the hotel industry are frequently required to put in long hours

A sizable percentage of young, female and casual staff members work in the hotel

The hotel business has less competition

3 / 100

Why is delivering excellent customer service important? Because:

Customer loyalty reduces great customer service.

A great customer experience leads a higher chance of recommendations.

Satisfied customers will spend less

Customers are more Unlikely to forgive you

4 / 100

What is the purpose of answering the telephone promptly with an appropriate greeting?

To show off knowledge of hotel procedures

To ensure all necessary information is received by the caller

To make the caller feel confident in the hotel’s efficiency

To create a friendly and informal atmosphere

5 / 100

A type of tour operators who promote tours to foreign destinations is:

Inbound tour operators (incoming tour operators)

Outbound tour operators

Domestic tour operators

Ground operators/destination management companies

6 / 100

Of the following element, which one is determine the choice made by particular tourist to visit one particular destination rather than another?

Accommodation

Attraction

Amenities

Accessibility

7 / 100

The followings are Determinants of storage space and type, select the one related with shelf life of the items

The size of the kitchen.

Type of Menu.

The length of storage

The volume of business.

8 / 100

Which of the following is an example of responsible tourism behavior by a tour guide?

Exploiting local communities for personal gain

Disregarding local laws and regulations

Educating tourists about environmental conservation

Encouraging tourists to leave trash in natural areas

9 / 100

Which one of the following is false about customer service?

It is about treating others as you would like to be treated yourself.

An organization can supply their customer’s wants and needs.

It is any contact between a customer and a company that causes merely a positive perception by a customer.

It is a process for providing competitive advantage and adding benefits to maximize the total value of the customer.

10 / 100

What should a tour guide do if they encounter an emergency situation during a tour?

Call emergency services and follow established procedures

Blame the tourists for causing the emergency

Pretend that nothing is wrong and continue with the tour itinerary

Panic and abandon the tourists

11 / 100

Which type of guest is more likely to choose a hotel solely based on personal recommendations?

A business person booking accommodation for a business trip

A family scrutinizing hotel guides for their upcoming vacation

A conference organizer making inquiries for a conference venue

A tourist arriving at the airport with no previous booking

12 / 100

The followings are statements to describe the term receiving, except;

Stage for purchasing items through standard recipe

The act of taking possession of products

stage for inspection of incoming items through specification

The process of placing items into inventory, or to deploy them to end user / requester for immediate use.

13 / 100

Identify the wrong statement about the difference between goods and services in a given organization.

We can produce and sell things if we have services while producing and selling experience and feelings if we have retail goods.

We can produce and sell retail goods while produces when sells if we have services.

We can produce retail goods away from customers while service can be produced along with customers.

We can feel and touch retail goods but not the services as well.

14 / 100

Which of the following is an important aspect of providing excellent customer service as a tour guide?

Being rude and dismissive towards tourists

Being knowledgeable about tourist attractions

Refusing to accommodate special requests from tourists

Limiting interaction with tourists to avoid distractions

15 / 100

The tourism and hospitality industry should follow the following ways to create outstanding customer experience; except

Make customer feels important

Responding to everything in a timely fashion

Generalize every target customer into one’s needs and wants

Follow up with them

16 / 100

What should a tour guide do if a tourist asks a question they don’t know the answer to?

Make up a believable answer to avoid embarrassment

Admit they don’t know but offer to find out and follow up later

Ignore the question and change the subject

Pretend not to hear the question and continue speaking

17 / 100

Which of the following communication skills is essential for a tour guide?

Speaking only one language fluently

Using jargon and technical terms that tourist may not understand

Listening actively and empathetically to tourists’ questions and concerns

Avoiding eye contact with tourists to maintain professionalism

18 / 100

Which one of the following is not basic component of tourism product?

Attractive

Accessibility

Amenities

Accommodation

19 / 100

What is the significance of cultural sensitivity for tour guides?

It allows tour guides to make fun of tourists from different cultures

It ensures that tour guides do not have to interact with tourists from different cultures

It promotes understanding and respect for diverse cultural perspectives

It encourages tour guides to impose their own cultural values on tourists

20 / 100

Targeting in marketing refers to:

Identifying potential customers

Dividing the market into distinct groups

Determining the pricing strategy

Developing promotional campaigns

21 / 100

Which type of guests is not typically given credit in hotels?

Guests with non-guaranteed bookings

Guests ,whose accounts will be settled by their companies

Guests with guaranteed bookings

Guests settling their accounts by credit cards

22 / 100

Which element of the tourism marketing mix involves designing and developing the tourism product or service?

Product

Price

Promotion

Place

23 / 100

Customer service is:

The provision of service to customers before a purchase.

The provision of service to customers during a purchase.

The provision of service to customers before, during, and after a purchase.

The provision of service to customers after a purchase.

24 / 100

Which of the following is an example of sustainable tourism practice for tour guides?

Encouraging tourists to litter in natural areas

Promoting respect for local customs and traditions

Exaggerating historical facts for entertainment purposes

Ignoring regulations for protected wildlife areas

25 / 100

Which of the following is NOT a responsibility of a tour guide?

Providing accurate information about attractions

Ensuring the safety and well-being of tourists

Selling souvenirs and merchandise

Facilitating group dynamics and interactions

26 / 100

What happens to guest account payments that are deferred to a credit card or an approved billing party?

They are transferred to the back office accounting system for collection

They are immediately posted as payment on the guest’s account

They are used to settle other outstanding guest accounts

They are refunded to the guest upon departure

27 / 100

Which one of the following is true about the importance of delivering quality services in the tourism and hospitality industry?

Creating good customer relation

It leads to satisfied customers as well as employees

Satisfied customers remain loyal to the organization

All of the above

28 / 100

Which of the following is an example of ethical behavior for a tour guide?

Accepting bribes from local vendors to promote their products

Providing false information about attractions to increase tips

Respecting the privacy and confidentiality of tourists

Encouraging tourists to take unauthorized photos in restricted areas

29 / 100

Which of the following is not a file or register typically managed during the night shift?

Room report

VIP registers

Rate Master Files

Guest History in Alphabetical order

30 / 100

Suppose XY Hotel in Addis Ababa has poor customer service to the target customers, these scenarios in this hotel result in:

High price competition

Retention of good employees

Customer retention

Reduction of costs both internal and external

31 / 100

What is the role of a tour guide in managing group dynamics?

Encouraging tourists to argue and disagree with each other

Fostering a sense of teamwork and cooperation among tourists

Ignoring conflicts and disputes within the group

Dictating strict rules and regulations to control behavior

32 / 100

Which is not the basic quality of service personnel in the tourism and hospitality industry?

Hang our name tag

Ladies to tie their hair in a bun into their face.

Product knowledge

Wear well-polished shoes

33 / 100

The main reasons for the need for ground operators in the tourist destination are;

Introduction of new product or plant to promote an exotic destination.

Lack of personal contact/contract

Company can establish its own branch

Language problem

34 / 100

How to handle Customers’ Complaints?

Listen attentively to understand fully.

Omit questions about what you have during misunderstanding the nature of the complaint.

Hesitating to thank and apologize to the customer for the feedback and inconvenience created.

Postponing and delaying the problem for the next day.

35 / 100

What is the purpose of conducting a pre-tour inspection as a tour guide?

To ensure tourists are adequately prepared for the tour

To identify potential hazards or safety concerns along the tour route

To check the weather forecast for the day of the tour

To gather information for a post-tour evaluation

36 / 100

What is the purpose of creating an event budget?

To limit event attendance

To allocate financial resources effectively

To discourage event sponsorship

To eliminate all potential risks

37 / 100

Positioning in marketing refers to:

Identifying potential customers

Dividing the market into distinct groups

Determining the pricing strategy

Creating a distinct image in the minds of customers

38 / 100

What is the significance of conducting pre-event site visits?

To increase event costs

To evaluate potential event venues

To discourage event attendance

To determine event theming

39 / 100

What should be done when a guest has a reservation for a lower category room?

Ignore the guest’s reservation and provide a higher category room instead

Mention the main differences and extra features of the higher category room

Refuse to accommodate the guest in a higher category room

Provide the guest with a room that lacks the amenities they desired

40 / 100

How should a hotel handle walk-in guests regarding upselling?

Only provide details of the lower category rooms

Avoid mentioning any benefits or features

Immediately offer the highest category room available

Provide details of both lower and higher category rooms

41 / 100

What is the primary goal of event planning?

To increase event costs

To limit event attendance

To create memorable experiences for attendees

To discourage event sponsorship

42 / 100

Which one of the following is correctly match with their type?

Meskel celebration: Intangible cultural tourism resource.

Harar jegol the fortified historic town: Tangible Immovable cultural tourism resource.

Axum historical and archeological site: Tangible Immovable cultural tourism resource.

All of the above

43 / 100

Which of the following best defines marketing in the context of tourism and hotel management?

Promoting products and services

Managing customer relationships

Maximizing profits

Conducting market research

44 / 100

To all those individuals, who have potential to undergo any tour, but they have delayed their plan due to some reasons;

Potential demand

Deferred demand

Creative demand

Future demand

45 / 100

What is the primary purpose of a tour itinerary?

To outline the tour guide’s personal preferences

To provide a detailed schedule of activities for tourists

To determine the cost of the tour package

To advertise local restaurants and shops

46 / 100

A person who is very likely to buy the product or service offered by the business

Loyal customer.

Potential customer

New customer

Internal customer

47 / 100

Market segmentation is the process of:

Identifying potential customers

Dividing the market into distinct groups

Determining the pricing strategy

Developing promotional campaigns

48 / 100

What is the main responsibility of the housekeeping department regarding in-room guest supplies?

Repairing broken furniture

Storing and distributing guest amenities

Checking in guests at the front desk

Managing hotel reservations

49 / 100

What is the purpose of creating an event proposal?

To determine the date of the event

To outline the details and objectives of the event

To select event vendors

To set event ticket prices

50 / 100

Why is it important to create a contingency plan for an event?

To increase the duration of the event

To address unexpected challenges or emergencies

To eliminate all potential risks

To reduce event costs

51 / 100

What types of travelers have their bookings usually made by companies with reduced room rates?

Pleasure travelers

Free independent travelers (FITs)

Corporate business travelers

Group inclusive tourists (GITs)

52 / 100

Typically, guest rooms with two single beds are referred to as ______?

Single rooms

Double rooms

Twin rooms

Suite rooms

53 / 100

Which one is not the basic essential element of customer/guest service standards?

Customer behavior

Service pledge and principals

Descriptions and specifications of products and services

Complaints redressing mechanisms

54 / 100

What is the purpose of creating a budget for an event?

To limit the number of attendees

To allocate financial resources effectively

To determine the event theme

To increase event revenue

55 / 100

Which one of the following is not the component of tour cost?

Training cost

Research and Product development

Sightseeing and Activity

Administrative and Investment

56 / 100

What is the purpose of a post-event evaluation?

To determine the event theme

To identify areas for improvement in future events

To increase ticket prices for future events

To select event vendors

57 / 100

One is NOT the attribute of F&B personnel’s

Ability to handle only his own responsibility

Positive attitude towards the customer

The ability to easily get along with others

The ability to sell the image of his country

58 / 100

In public areas, who is responsible for cleaning areas like lobbies, restrooms, and restaurants?

Guest room attendants

Engineering department

Public area attendants

Front office staff

59 / 100

A form of tourism focuses on exploration the study of culture and traditions of indigenous populations;

Eco-Tourism

Ethno-Tourism

Cultural Tourism

Ecological Tourism

60 / 100

One is incorrect about the advantage of French (Gueridon) service

It gives personalized attention making him feel important

It is so elegant and entertaining service

It is so fast and simple service

It generates a good income

61 / 100

What is the purpose of creating a detailed event timeline?

To estimate the total cost of the event

To track progress and deadlines for various tasks

To select the event venue

To determine the event theme

62 / 100

What are the common facilities and services provided to business travelers?

Laundry/valet service and connecting rooms

In-room movies and spa facilities

Broadband internet service and IDD service

Rollaway beds/baby cots and baby-sitting service

63 / 100

One is NOT true about the roles and responsibilities if F&B manager

compiling new menus and beverage lists

Develop his/her department manpower through hiring, training and firing

he controlled the prevail of SOP in the department

he prepares and approved the department budget

64 / 100

A type of tourism activity which takes place in a defined and limited geographical space such as hills or massifs with distinctive characteristics and attributes that are inherent to a specific landscape, topography, climate, biodiversity (flora and fauna) and local community;

Eco tourism

Mountain tourism

Scuba diving

Rural tourism

65 / 100

Which of the following is a promotional tool commonly used in event management?

Event catering

Event decoration

Social media marketing

Guest registration

66 / 100

When cleaning a guest room, what should be done with dirty linens?

Wash them in the room’s sink

Fold and put them back on the beds

Replace them with clean linens

Leave them for housekeeping to collect later

67 / 100

Which one of the following are the most basic customer requirements in the tourism and hospitality industry?

Information

Control

Understanding and empathy

All of the above

68 / 100

What should front office staff do if they need to leave the phone during a conversation to retrieve information?

Hang up and call back later

Inform the caller of the reason/situation for leaving the phone

Put the caller on hold without informing them

Transfer the call to another person or department

69 / 100

Excursionist means;

A person who covers a reasonably large distance within the country of his residence.

A person who stays more than 24 hours in the country visited

A person who stays less than 24 hours in the country visited

A person who stays 1 year at least in the country visited.

70 / 100

_______refers to a kind of hotel room pricing that is based on a normal price?

Rack rates

Group and tour rates

Special and promotional rates

Package rates

71 / 100

What is the primary goal of conducting a risk assessment for an event?

To eliminate all potential risks

To identify potential hazards and develop mitigation strategies

To increase event attendance

To set event ticket prices

72 / 100

What careful considerations should be taken when designing package tours?

Destination

Purpose of travel

Period(short/long)

All of the above

73 / 100

Which of the following is NOT a factor to consider when selecting an event venue?

Venue capacity

Availability of parking spaces

Cost of rental

Location accessibility

74 / 100

One is NOT the characteristics of hospitality industry

Dynamic industry

An industry which have written legislation

An industry which have great association with travel and tourism

An industry in infant stage in developing Countries like Ethiopia

75 / 100

What is the purpose of maintaining guest history records?

To track guest preferences and trends

To enhance the hotel’s ability to collect outstanding account balances

To ensure accurate room status information

To provide personal and transactional information to the guest

76 / 100

Which one of the following is not directly linked with Cultural Tourism Resource?

Tiya, Prehistoric Site.

Konso Cultural Landscape.

Semien Mountain National Park

Rock-Hewn Churches of Lalibela

77 / 100

Which of the following is NOT a primary component of event management?

Budgeting

Marketing

Event decoration

Risk management

78 / 100

Which one is a key tourism asset?

Trekking

Packages

Culture

Hotels

79 / 100

What are the basic requirements for successful travel agency operations?

Knowledge of the customs and practices of destinations dealt.

Information about visa/health checks, permits and foreign currency regulations.

Knowledge of arithmetic and airlines ticketing procedures and airlines schedules.

All of the above

80 / 100

Which department relies on housekeeping for timely delivery of services to guests, especially during group arrivals?

Food and Beverage

Sales and Marketing

Engineering

Purchasing

81 / 100

Customer-focused strategies in tourism and hospitality industries ensure the following; except

Businesses understand what customer’s value and match their quality standards with those values.

Builds trust when the business regularly/consistently provides high-quality services

Diminish brand loyalty in the industry

Customer satisfaction

82 / 100

How does the Security department benefit from collaboration with housekeeping?

Monitoring room occupancy

Conducting guest check-ins

Ensuring guest safety in rooms

Managing hotel reservations

83 / 100

Is the type of catering which is take uphold in Off-from the premises

Transportation Catering

Outdoor Catering

Indoor catering

Club catering

84 / 100

Which service is NOT mentioned as another request from hotel guests?

Repair and maintenance service

Alteration & mending service

In-room dining (room service)

Full board meal plan

85 / 100

The main functions of the front office department in a hotel include:

Reservation

Reception

Portering

All of the Above

86 / 100

A tourist generating country is a ______ for tourism.

Destination

Market

Spot

Region

87 / 100

The following statements really tells us the main functions of travel agencies’, except;

Issues tickets or travel documents

Delivering room services for the gust

Travel information

Itinerary preparation for various tourists and types of trips.

88 / 100

What is the consequence of breakdown in communication between housekeeping and the Front Office department?

Delayed room turnovers

Improper linen inventory

Overstaffing in housekeeping

Inadequate guest amenities

89 / 100

All are important customer handling techniques; except:

Identification of customer background

Identification of customer needs and expectations

Acting beyond professionalism

Providing appropriate services

90 / 100

Which of the following is a technical consideration in event management?

Event theming

Selecting event catering

Setting event ticket prices

Choosing audiovisual equipment

91 / 100

Which of the following is an example of a marketing strategy for a tourist destination?

Collaborating with local businesses for cross-promotion

Offering discounted rates during off-peak seasons

Developing unique travel packages

All of the above

92 / 100

Which department collaborates with housekeeping to schedule maintenance during low occupancy periods?

Engineering

Security

Human Resources

Purchasing

93 / 100

From the following, one is does not belong to the category of cultural tourism resources?

Traditions

Historical place

Mountain

Cultural event

94 / 100

Hotels located near to airports are called____________?

Motels

Airport hotels

Floating hotels

Railway hotels

95 / 100

One is not the characteristics of good customer service

Accepting them with warm welcoming and smiling face

Giving undivided attention while they are talking

Using jargon words while explaining about products

Calling by his/her name with Mr. or Madam if remind the guest

96 / 100

What is a logistical consideration in event management?

Event sponsorship

Event catering

Transportation for attendees

Event theming

97 / 100

Which one is the most expensive type of tourism?

Green Tourism

Cruise Tourism

Space Tourism

Religious Tourism

98 / 100

How are rooms prioritized for cleaning by room attendants?

Based on guest preferences

Based on room rates

Based on a random order

Based on a logical sequence of priorities

99 / 100

Which of the following is NOT a common basis for market segmentation?

Demographics

Psychographics

Geographic’s

Economographics

100 / 100

Who are the concerned persons while developing a menu

F&B manager, Restaurant Manager & Executive Chef

F&B manager, Restaurant manager &F&B controller

F&B manager, operational manager &Executive chef

F&B manager, Executive chef & F&B controller

Your score is

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Posted on February 22, 2024March 30, 2024

Management exit Exam Model 2016

311

100

Created by

Dr. Lemma Belay

Management exit Exam Model 2016

Choose the Best From the Alternatives

Name of StudentID NumberModality (egular, Extention or Weekend)Phone Number

1 / 100

What is management?

The process by which an organization realizes its objectives in a planned way

The co-ordination and integration of various elements of business

The art of getting things done through others

The process of securing maximum prosperity with a minimum of effort

All are answers

cognitive

2 / 100

Which quote best describes the role of management in an organization?

"Management is the art of securing maximum prosperity with a minimum of effort"

"Management is a dynamic life-giving element in an organization"

"There is no more important area of human activity than management"

"Management helps in the transformation of resources into ultimate goals or objectives"

cognitive

3 / 100

Which of the following statements about management as an art is true?

Management is personalized.

Like any art, management is based on scientific principles.

The process of management involves the use of know-how and skills.

All of the above statements are true

cognitive

4 / 100

Which level of management consists of the Board of Directors, the Chief Executive Officer, and the General Manager?

Executive level management

Middle-level management

Lower level management

Top level management

cognitive

5 / 100

What is the primary function of management?

Staffing

Planning

Controlling

Organizing

cognitive

6 / 100

What is the function of staffing?

Determining and meeting the manpower requirements of an enterprise

Evaluating the alternative courses and selecting the right type of action

Transmitting orders, suggestions, policy decisions, and instructions to lower level

Overseeing of subordinates at workplace with a view to guide and regulate their efforts

cognitive

7 / 100

Which of the following is a factor affecting leading in management?

Communication

Power

Motivation

All of the above

cognitive

8 / 100

The process of comparing actual performance with standards and taking corrective action refers____

Controlling

Organizing

Planning

Leading

cognitive

9 / 100

The process of allocating and arranging resources to carry out plans is called___.

Controlling

Leading

Organizing

Planning

cognitive

10 / 100

What is the formal process of ensuring the availability of qualified workers at all levels in the organization?

Leading

Controlling

Staffing

Planning

cognitive

11 / 100

Which of the following is NOT the functions of management?

Planning

Staffing

Leading

Contracting

cognitive

12 / 100

How does management contribute to the welfare of society?

By decreasing the standard of living

By neglecting the profit aspect of business

By avoiding utilization of scarce resources

Through better economical production

cognitive

13 / 100

The highest level of management in the organizational hierarchy is known as:

Board of Directors

Middle-level management

General Manager

Top level management

cognitive

14 / 100

Which of the following are the significances of management?

Optimizing resources

Establishing sound organization

For growth and survival of the organization.

All

cognitive

15 / 100

How many subordinates a manager can supervise, is determined by the principle of

Span of control

Scalar chain

Unity of efforts

None

cognitive

16 / 100

Policy formulation is the function of:

Top level managers.

Middle level managers,

Operational management.

All of the above

cognitive

17 / 100

The directing function of management embraces the activities of

Providing Leadership

Supervising subordinates

Issuing order to subordinates

All of these

cognitive

18 / 100

This is a conventional distinction made between managers and leaders?

Managers maintain while leaders develop

Managers innovate while leaders administer

Managers inspire while leaders control

Managers originate while leaders imitate

cognitive

19 / 100

When managers dealing with problems, crisis, and changes beyond their immediate control refers to¬¬____.

Entrepreneurial role

Information role

Decision role

Disturbance handle role

cognitive

20 / 100

Theory Y assumes which of the following?

People are poorly motivated

People achieve little satisfaction from work

People are committed to organizational activities

People seek to avoid

cognitive

21 / 100

Theory X assumes which of the following?

People regard work as normal activity

People achieve little satisfaction from work

People seek out responsibility

People are self-motivated

cognitive

22 / 100

Which of the following is a characteristic of Participative leadership?

Believe success arise from leaders and staff working together

Employs a clear chain of command

Takes the view that rewards and punishment motivate staff

Seeks to involve staff in the decision making process

cognitive

23 / 100

Transactional leadership has which of the following characteristics?

Takes the view that rewards and punishment motivate staff

Seeks to ensure staff understand issues facing the organization

Seeks to involve staff in the decision making process

Believe success arises from leaders and staff working together

cognitive

24 / 100

Transformational leadership has which of the following characteristics?

Believe success arises from leaders and staff working together

Seeks to involve staff in the decision making process

Employs a clear chain of command

Takes the view that rewards and punishment motivate staff

cognitive

25 / 100

Which of the following is reward power?

Leader can reward staff who comply with instructions

Leaders is able to exercise power because of their charisma and reputation

Leader can punish staff who do not comply with instructions

Leader has power because of expert knowledge

cognitive

26 / 100

Among the following, which one is not a leadership style?

Transactional leadership

Transmission leadership

Transformational leadership

Paternalistic leadership

cognitive

27 / 100

Which of the following is an expert power?

Leader can exercise power as a result of their position in the organization

Leader has power because of their expert knowledge

Leader has power because subordinates trust him/her

Leader can punish staff who do not comply with instructions

cognitive

28 / 100

Which of the following quality is not possessed by a leader?

Paternalistic

Delegating

Stressful

Motivational

cognitive

29 / 100

In leadership trait theory, what is a trait?

A list of the things that make leaders different to everyone else

A list of the key things that a leader should do to be great

The list of key behaviors a leader exhibits

A list of key characteristics that makes a leader great

cognitive

30 / 100

Contingency theory is based on the assumption that the leader:

Shapes their leadership style depending on the situation

Provides clear instructions to the followers so that they know what they are doing

Knows what their strengths are and makes the most out of them

Spends time with their followers and therefore listens and responds to their needs

cognitive

31 / 100

A long run dream of an organization refers

Mission

Vision

Objective

Goal

cognitive

32 / 100

Which of the below is an example of laissez-faire leadership?

‘’ I need your feedback before I make decision. Please speak out.’’

‘’ Everybody will fall in at 14:oo hour sharp.’’

‘’ don’t go to the zoo unless you are told to do so.’’

‘’ We can go to the zoo or bird park for this outing. I am OK with anything”

cognitive

33 / 100

Leadership may be defined as ?

The ability to motivate people to work towards a common goal

The ability to command people to work towards a common goal

The ability to discipline people

None of the above

cognitive

34 / 100

According to Kurt Lewin, which of the following is not a stage in the change process?

Unfreezing

Refreezing

Changing

Restraining

cognitive

35 / 100

A company that decides to decentralize its sales procedures in managing what change category?

Technology

Competitors

People

Structure

cognitive

36 / 100

In organizations, people who act as catalysts and assume the responsibility for managing the change process are called ?

Change masters

Change agents

Operations managers

Charismatic leaders

cognitive

37 / 100

Managers’ options for change essentially fall into what three categories?

Environment, technology and mission

Structure, technology and people

Mission, structure and people

Mission, environment and process

cognitive

38 / 100

The unfreezing step of the change process can be thought of as .

Thawing the organization loose from the current status to the new status

Making the move to the new organizational condition

Loosening the organization from the old condition and moving it to the new condition

Preparing for the needed change

cognitive

39 / 100

All are the advantages of Internal recruitment, Except;

Information on employee performance is readily available and predictable

Employees feel that the organization offers opportunities for advancement.

Internal recruitment is less costly as compared to external recruitment.

Excludes excellent candidates that may be available from external sources.

cognitive

40 / 100

A recruitment method used by employer/s to attract a large number of applicants to one location for interviews is;

Employee Leasing

Competitive Games

Job Fairs

Employee referrals

cognitive

41 / 100

The process of receiving and welcoming employees when they first join a company is called .

Induction

Selection

Appraisal

Formalization

cognitive

42 / 100

A type of Interview in which a board of interviewers questions and observes a single candidate is Known as

Sequential Interview

Panel Interview

Behavioral Description Interview

None of the Above.

cognitive

43 / 100

All are the goals of recruitment process Except:

Manage the vacancies in the organization.

Run the internal recruitment process.

Provide feedback about the trends in the job market

None of the Above

cognitive

44 / 100

The first and foremost process of recruitment plan is/are .

Identifying the vacancy.

Recruitment planning

Searching the right candidate.

Analyzing human resource strategy

cognitive

45 / 100

———is the process of filtering the applications of the candidates for further selection process.

Searching

Source activation

Screening

Reviewing of Resumes.

cognitive

46 / 100

Which of the following is/are a training process whereby a skilled person trains someone who is unskilled?

Simulation

Apprenticeship

Role-play.

Lecture

cognitive

47 / 100

Which of the following is a performance rating error in which employee’s evaluation is biased because of comparison with another employee just previously evaluated?

Contrast error

Forced distribution

Leniency error

Recency error

cognitive

48 / 100

Which of the following is a training system in which trainees learn their jobs on the equipment they will be using on the job?

Apprenticeship

Vestibule

Simulation

Role Playing

cognitive

49 / 100

—————is fixed pay an employee receives on a regular basis, either in the form of a salary or as an hourly wage.

Benefits

Compensation

Base Compensation

None of the Above

cognitive

50 / 100

One of the following involves combining various activities at the same level in the organization and adding them to the existing job.

Job analysis

Job rotation

Job enlargement

Job enrichment

cognitive

51 / 100

—————–Summarizes the personal qualities, traits, skills, and background required for getting the job done.

Job specification

Job description

Job analysis

Job evaluation

cognitive

52 / 100

A process that identifies current and future human resources needs for an organization to achieve its goals is—

Job Analysis

Human resource planning

Job specification

Human resource requirement

cognitive

53 / 100

A pay plan in which most employees are part of the same compensation system is

Elitist pay system

Knowledge based pay

Egalitarian pay system

Monetary pay system

cognitive

54 / 100

What is the main purpose of research?

To satisfy personal curiosity about the unknown.

To verify existing knowledge and theories.

To discover answers to questions through scientific methods

To solve immediate practical problems

cognitive

55 / 100

Which of the following sampling methods does not allow for estimating the probability of each item in the population being included in the sample?

Probability sampling

Non-probability sampling

Simple random sampling

Stratified random sampling

cognitive

56 / 100

According to the sample design, when a sample survey is preferable to a census survey?

When the population is very large and geographically dispersed.

When the research needs to be completed quickly and inefficiently

When the study requires detailed examination of each individual in the population

When the researcher wants to ensure absolute accuracy in the results

cognitive

57 / 100

What is the main difference between research and the scientific method?

Research focuses on specific results, while the scientific method seeks generalizable knowledge.

Research involves experimentation, while the scientific method emphasizes observation.

Research can be applied to any field, while the scientific method is specific to science.

Research is subjective, while the scientific method is objective

cognitive

58 / 100

Which research technique is not associated with qualitative research?

Survey questionnaires

Focus group interviews

Projective techniques

Depth interviews

cognitive

59 / 100

Which type of research aims to find solutions for immediate problems?

Quantitative research

Fundamental research

Descriptive research

Applied research

cognitive

60 / 100

What are the most common reasons people undertake a research?

Desire to face the challenge of solving problems

Desire for intellectual joy of creative work

Desire for a research degree and its benefits

Desire to be of service to individual

cognitive

61 / 100

What type of research aims to achieve new insights into a phenomenon?

Descriptive research

Diagnostic research

Exploratory research

Hypothesis-testing research

cognitive

62 / 100

Which of the following statements best defines the term “research”?

Quest for knowledge driven by curiosity about the unknown.

A careful investigation that involves formulating hypotheses and testing them.

A systematic search for information to solve a specific problem or question.

The manipulation of things or concepts to create new knowledge or verify existing knowledge.

cognitive

63 / 100

The chi square independent test can be used

To test the equality in mean of three or more groups of population

To test whether a data distribution has specific pattern

To test whether two variables are related

To test change in the value of population

cognitive

64 / 100

Suppose a farming firm used fertilizer to increase its crop products. Accordingly if the test for goodness of fit indicates a test statistics of x2= 9.231 and assuming that the critical value is 11.210 what is the decision of the manager?

The fertilizer increase the productivity of the farm

The fertilizer didn’t change the productivity of farm

The fertilizer and crop product are independent

The fertilizer and crop product are dependent.

pyschomotor

65 / 100

————–is statistical Analysis which measures and analyses the degree or extent to which the two variables fluctuate with reference to each other.

Chi-square

ANOVA

Regression

correlation

pyschomotor

66 / 100

If the coefficients of correlation between two variables, r = 0.89, it mean

The two variables have perfect positive correlation

The two variables are negatively correlated

The two variables have weak positive correlation

The variables have no correlation

pyschomotor

67 / 100

Suppose the average mean salary of employees of an organization is expected as 4000 birr. Currently 36 sample employees are selected and mean of salary of birr 4200 with standard deviation of 100 birr is computed. If whether the mean salary is more than expected, what is the alternative hypothesis?

The mean salary is equal to 4000 birr

The mean salary is greater than 4000 birr

The mean is different from the expected mean

The mean is less than the expected mean.

pyschomotor

68 / 100

While we make decision in hypothesis testing if we strongly reject the null hypothesis which is actually true, we commit

Type I error

Type II error

Bias

measurement error

pyschomotor

69 / 100

___is a measurement that the distances between consecutive numbers have meaning and the data are always numerical.

Nominal

Ordinal

Interval

Ratio

pyschomotor

70 / 100

Suppose a raw data is collected from 30 sample individuals. If the data is organized using grouped frequency distribution, how many class intervals are created?

pyschomotor

71 / 100

What is the geometric mean of the values 10, 25, 5, and 30?

17.5

13.9

pyschomotor

72 / 100

What is the median of the values 3, 6, 4, 7, 10 and 8?

6.5

pyschomotor

73 / 100

The arithmetic mean of 20 sample values was computed as 30. But, while calculated the mean value of two items are misread as 24 and 12 instead of 42 and 21 respectively. What is the correct mean?

31.35

34.2

pyschomotor

74 / 100

————-is the set of all possible outcomes of an experiment.

Outcome

Sample space

Experiment

Event

pyschomotor

75 / 100

Consider a quality control procedure where an inspector randomly selects two of five parts to test for defects. In a group of five parts how many combinations of two parts can be selected without replacement?

pyschomotor

76 / 100

Suppose two coins are tossed. What is the probability that both will land tail up?

0.5

0.25

0.1

0.75

pyschomotor

77 / 100

Suppose 40% of the people entering electronics store this month make a purchase. If 10 people enter the store, what is the expected number making a purchase?

pyschomotor

78 / 100

Suppose sample of 4 products are tested. What is the probability of getting 2 defective items?

0. 0.5

0.25

0.375

0.1

pyschomotor

79 / 100

————-is the value that is computed from sample results and to be compared with the critical value to conclude either to accept or reject the null hypothesis.

Critical point

Parameter

significance level

Test statistics

pyschomotor

80 / 100

————–is a probability distribution of all the values of sample statistics.

Normal probability

discrete probability

sampling distribution

Binomial

cognitive

81 / 100

In selecting simple random samples of size n from a population, the sampling distribution of the sample mean can be approximated by a normal probability distribution as the sample size becomes large. This assumption indicates

Continuity

Central limit theorem

linearity

similarity

cognitive

82 / 100

The economic aspects of MsEs covers

Market Share

Independence

Personalized Management

Geographical Area of Operation

cognitive

83 / 100

One is not the Role/Importance of MSEs in Developing Countries?

Large Employment Opportunities

Economical Use of Capital

C. Balanced Regional Development/ Removing Regional Imbalance

Inequitable Distribution of Wealth and Decentralization of Economic Power

cognitive

84 / 100

The first stage of product development process is:

Incubation

Implementations

Diffusion

Idea Generation

cognitive

85 / 100

All are Intellectual Property Protection except one

Patents

Trademarks

Copyrights

Idea Generation

cognitive

86 / 100

One is not the core Marketing concepts

Needs, wants and demands

Products (Goods, Services and Idea)

Value, cost and satisfaction

None of the above

cognitive

87 / 100

Marketing provides utility including:

Form Utility

Place Utility

Time Utility

Information Utility

All

cognitive

88 / 100

The major Functional Roles of Marketing Research is/are:

Descriptive Function

Diagnostic (analytical) Function

Predictive Function

all

cognitive

89 / 100

All are the Marketing Research Components except one

Market size

Market Share

Market penetration

Brand equity research

None

cognitive

90 / 100

The first stage in Marketing Research Process is

Define the research purpose or objectives

Research Design Formulation

Gather Primary Data

Data Processing and Analysis

cognitive

91 / 100

One is not the Importance of Marketing Intelligence?

Market and customer orientation

Identification of new opportunities

Smart segmentation.

Later warning of competitor moves

cognitive

92 / 100

Forces affecting organizational behavior are

People

Environment

Technology

All of the above

cognitive

93 / 100

Scope of Organizational Behavior does not include

Leadership

Perception

Job Design

Technology

cognitive

94 / 100

In present context, challenges for Organizational Behavior are

Employee expectation

Workforce diversity

Globalization

All of the above

cognitive

95 / 100

Organizational behavior focuses at 3 Levels

Individuals, Organization, Society

Society, Organization, Nation

Employee, Employer, Management

Individual, Groups, Organization

cognitive

96 / 100

What model has been constructed from Operation Research problems for solving the models that are available in many cases?

Geometric

Scientific Models

Algorithms

Mathematical Models

cognitive

97 / 100

Which technique is used in finding a solution for optimizing a given objective, such as profit maximization or cost reduction under certain constraints?

Quailing Theory

Waiting Line

Game theory

Linear Programming

cognitive

98 / 100

Operation Research can help to evaluate only the effects of ———————————–

Personnel factors

Financial factors

Numeric and quantifiable factors

Behavioral aspects

cognitive

99 / 100

Which of the following is a method for improving an initial solution in a transportation problem?

northwest-corner

intuitive lowest-cost

southeast-corner rule

stepping-stone

cognitive

100 / 100

In a transportation problem, we must make the number of —– and —– equal.

units supplied; units demanded

destinations; sources

columns; rows

positive cost coefficients; negative cost coefficients

cognitive

Your score is

Posted on February 22, 2024March 30, 2024

Economics 2016 Model Evening

Choose the best From the Alternative

Name of StudentID NumberModality (egular, Extention or Weekend)

1 / 100

Balanced growth theories of Ragnar Nurkse advocate

A steady rate of growth of GNP

Parity between capital stock and labor

Simultaneous development of all sectors of the economy

All of the above

2 / 100

According to W.W.Rostow, which of the following does not belong to the “precondition for takeoff”?

Increased agricultural productivity

Political stability

Development of social overhead capital

Growth of the durable consumer goods industry

3 / 100

According to the Harrod-Domar model, an increase in growth rates depends on one of the followings

Increase in capital-output ratio

Decrease in capital-output ratio

Increase in marginal propensity to consume

None of the above

4 / 100

The main domestic source of savings in LDCs is

savings by households

Savings by public sector enterprise

Government savings through budget surplus

corporate retained earnings

5 / 100

Which of the following describes an increase in technological knowledge?

A farmer sends his child to agricultural college and the child returns to work on the farm.

A farmer hires another day labourer

A farmer buys another tractor

A farmer discovers that it is better to plant in the spring rather than in the fall

6 / 100

Identify the incorrect statement according to the Solow growth model.

Saving rate is not a key determinant of the steady-state capital stock.

Depreciation and population growth are reasons to shrink capital output ratio.

High rates of saving lead to high growth temporarily.

Countries with higher population growth will have lower levels of GDP per person

7 / 100

Which of the following is the make the Tobin’s q model different from neoclassical model?

Tobin’s q measure current profitability

Tobin’s q measure the expected future profit

Tobin’s q measure last profitability

All makes the Tobin’s q odd

8 / 100

Which the following countries have higher fertility rates?

Nepal

China

Niger

USA

9 / 100

Which of the following case contributes for the higher population growth?

Longer maternal leave

A rise in school fees

increased educational and employment opportunities for women

provision of publicly financed old-age social security schemes

10 / 100

Which of the following statement is false?

Developing nations are rich in human capital

Nations will spend more on human capital when income is higher

Young females receive less education than young males in most nations

Health spending on men is higher than that on women in developing nations

11 / 100

Compared to the developed countries, the LDCs have

Higher birth rates and lower death rates

Higher birth rates and higher death rates

Lower birth rates and lower death rates

Lower birth rates and higher death rates

12 / 100

The Malthusian theory of population growth, as formulated by Malthus, proved

Entirely correct for human behavior

Overly pessimistic about future productivity increases

That food output will decline with population growth

None of the above

13 / 100

Which of the following is not true about agriculture's role in economic development

Provides labor for non-agricultural sector

Provides a market for non-agricultural commodities

Source of industrial raw materials

None of the above

14 / 100

Economy can face trade deficit due to one of the following results

When investment exceeds national saving.

when Export is greater than import

when nations finance their investment only from their own saving

when investment is less than saving

15 / 100

Identify incorrect statement about the difference between differentiation and integration

Differentiation is the change in total function while integration is the process of getting back the total function from marginal function

Derivative of zero is zero but integration of zero is some constant

Integration of constant yield some linear function but derivative of constant is zero

None

16 / 100

If the profit (π) of a company is linear function of output (x) which is given as π(x)=3x+5 then, the value of marginal profit is_______

17 / 100

Given polynomial cost of production function as ƒ(x) = 3×3 – 4×2 + 6x+200. Then at when 2 units of output are produced (i.e. at x=2),

The cost of production is decreasing

The cost function is increasing at a decreasing rate

The MC is increasing

TC is concave

18 / 100

One of the following integrals is indefinite integral

19 / 100

Given the marginal saving as a function of income (x) as MS(x)=, then how much is the total saving between 2 and 4 income level

128

112

20 / 100

1. Derivative of one of the following is equivalent to its integral

y=lnx

y=ex

y=ax

y=log f(x)

21 / 100

integration of one the following function is equal to

22 / 100

Suppose that the National Bank of Ethiopia purchases Birr 100 of bonds from a bank and pays for them with a Birr 100 check. From this information which one is correct?

The National bank finds that its liabilities would increase by the additional Birr 100 of reserves.

Bank will find itself a reduction in its holdings of securities of Birr 100.

Security of national bank would increase by 100 birr.

All

23 / 100

Among the player in money supply process which one is an individuals and institutions that save in banks mostly.

Banks

Central banks

Depositors

Borrower

24 / 100

If the person or corporation selling the bonds to the Central bank and cashes the Central bank's check at a local bank for currency, which would be incorrect alternative on the possible impact of this OMO on reserve, security and monetary base?

Central banks reserve would not change.

Currency in circulation would increase

Monetary base would increase

Liability of central bank would not change

25 / 100

Which of the following are financial intermediaries that accept deposits from individuals and institutions and make loans.

savings and loan associations

Credit unions.

mutual savings banks

All

26 / 100

Which of the following factors that affect liquidity of an asset?

How easily it can be bought or sold.

The transactions cost of buying or selling it.

How stable its price is.

All

27 / 100

Which one is incorrect about open market operation from the following statements?

If the government (through central bank) sells bond to private companies, it can reduce the amount of money circulating in the economy.

If the government (through central bank) sells bond to private companies, it can reduces money supply.

If the central bank buys bonds and securities from private business companies, the amount of money supply will be reduced.

If the central bank buys bonds and securities from private business companies, it can inject more money into the economy.

28 / 100

Which one of the following is a direct monetary instrument of central bank?

Ceilings on the growth rate of bank lending.

Open market operation.

Reserve requirements.

Discount policy.

29 / 100

From the following which one is considered as the liability of central bank?

Central bank notes (currency) outstanding.

Reserves

Treasury deposits

All

30 / 100

People hold their wealth in different assets and money is one alternative of holding wealth. This statements best suit for which motive of money?

Transaction demand for money

Speculative demand for money

Precautionary demand for money

None

31 / 100

Which of the following is not characteristic/assumption of monopolistic competition market?

Relatively large number of sellers and buyers in market

Perfectly elastic demand curve

differentiated products

Freedom of entry and exit

32 / 100

Which of the followings can be rationale for collusion?

reducing degree of competition

reducing uncertainty

barrier to new entry

all

33 / 100

In Cournot model if there are 6 firms in the industry each will provide _______ of the market, and the industry output will be _________. The missed values in this statement are respectively

1/6 & 6/7

1/7 & 6/7

1/6 & 3/6

None

34 / 100

Suppose that the probability of players playing low price is 25% and playing high price is 75%. Then what is the mixed strategy Nash equilibrium of this game?

Playing low price for both players

Playing high price for both players

Playing low price for player A and playing high price for player B

Playing low price for player B and playing high price for player

35 / 100

Monopolistic exploitation is occurred

When labor is paid price equal to MRP which is smaller than the VMP.

When labor is paid price equal to VMP.

Under perfectly competitive factor market

All

36 / 100

Which of the following is incorrect about technological Progress and income distribution?

Neutral technological progress increases the shares of both labour and capital.

Capital deepening technology decreases the share of labour and increases share of capital.

Labour deepening technology increases the share of labour and decreases share of capital.

Neutral technological progress does not change the shares of both labour and capital.

37 / 100

Moral hazard is an information problem that arises when:

A buyer/seller enters into an exchange with another party with more information.

High quality goods tend to disappear, leaving low quality goods in the market.

A party to a contract passes the cost of his/her behavior onto the other party.

Only social pressure forces people to make voluntary payments.

38 / 100

_____________ is the process by which sellers send messages to buyers conveying information about product quality.

Moral Hazard

signaling

Warranty

Adverse selection

39 / 100

Which of the following statement is false?

The strategy “tit-for-tat” holds in a game wherein players move simultaneously (or play strategies at the same time).

The substitution effect tends to shift MPPL and VMPL curves inwards for firms operating under perfectly competitive labor market with several variable inputs.

The output effect and the profit maximizing effect tend to shift MPPL and VMPL curves inwards for firms operating under perfectly competitive labor market with several variable inputs.

The supply of labor is not cost determined like the supply of commodities.

40 / 100

Which one of the following schools of economic thought favor “Laissez-faire”?

Classical

Keynesian

Neo Classical

A&C

41 / 100

Which of the following statements is correct?

Throughout stages of macroeconomic development, schools of thoughts disagree on macroeconomic objectives though there has been consensus on policy instruments they prescribe to achieve them.

GDP is more commonly taken as basic measure of nation’s output as compared to GNP.

Say’s law states that demand creates its own supply.

The total value at market prices of final goods and services produced within domestic boundary of territory in specified period is called Gross National Product (GNP).

42 / 100

……………….. is the purchase of new plant & equipment by firms to add to their stock of capital & to replace existing capital as it wears out.

Non-durable goods investment

Business fixed investment

Residential fixed investment

Inventory investment

43 / 100

……………………..is a decrease in private investment as a result of a rise in government purchase/ investment.

Expansionary fiscal policy

Government purchase multiplier

Contractionary policy

Crowding out effect

44 / 100

Which of the following is true regarding aggregate demand curve?

An increase in money supply shifts aggregate demand curve to the right, citrus paribus.

An increase in government purchases shifts aggregate demand curve to the right, citrus paribus.

A decrease in taxes shifts the aggregate demand curve to the right, citrus paribus.

All of the above

45 / 100

Which of the following statements is incorrect?

In open economy, an increase in government expenditure will have no expansionary effect on national income.

In open economy, the multiplier effect of an increase in exports is identical to that of an increase in government expenditure.

In open economy, an increase in government expenditure leads to deterioration of current account balance.

In open economy, an increase in export leads to an improvement in the current account balance.

46 / 100

If the government of Ethiopia decreases the price of one dollar from Birr 55/$1 to Birr 50/$1 we say that

Birr is devalued

Birr is appreciated

Birr is revalued

Birr is depreciated

47 / 100

Which of the following is incorrect regarding IS-LM model?

it is based on the notion of no supply constraints & pre-determined prices in the short-run.

There is sufficient excess capacity so that an increase in demand leads to more production without raising costs & prices.

It mainly tells as how price is determined

It is focused on quantity adjustment rather than price adjustment

48 / 100

In Imperfect-Information Model

markets clear, i.e., all wages & prices are free to adjust to balance supply & demand.

Suppliers temporarily confuse real & nominal wages.

Nominal wage slowely

none of the above

49 / 100

Which of the following is not the basic characteristic of project?

Definable tasks

Use of multiple resources

abstract objective

Inherency of risk and uncertainty

50 / 100

The static method doesn’t include:

Simple rate of return

Payback period

Debt equity ratio

None of the above

51 / 100

If the price of inputs and outputs of the project are proposed to be greatly affected by inflation over the entire life span of a given project we have to value costs and benefits of that project by:

Current price

constant price

both current price and constant price

Relative price

52 / 100

The advantage of NPV include

It considers cash flow from the beginning to the end

Its use for comparison of mutually exclusive projects that are of the same size

Assumption of constant opportunity cost of capital( discount rate)

All

53 / 100

Which of the following is different from the others?

Net Present Value

Payback period

Benefit Cost Ratio

Internal Rate of Return

54 / 100

The problems of valuing the benefits of social sector projects stem from

Difficulties in quantifying benefits

The existence of sizeable external benefits

The problem of determining willingness to pay the services

all

55 / 100

Non tradable goods can’t inter international trade because of

Policy barriers that affect international trade

Their nature or physical characteristics

Economics of trading

all

56 / 100

Suppose that Fitche town administration launched females training project which will be completed within three years. The town will present facilities, trainers and training modules. The trainers will properly lecture and guide 500 youth who will attend the training course. Suppose also that only 100 females will successfully graduate from the training project. From those who will graduate only 50 females achieved the required skill and will be employed in various sectors. As a result the annual income of Fitche town will be increased by 10 million Birr. Then the outcomes of this project will be respectively.

facilities, trainers and training modules

100 females who will successfully graduate from the training project

50 females who achieved the required skill and will be employed in various sectors.

the annual income of Fitche town which will be increased by 10 million Birr.

57 / 100

Which of the following models are linear in both parameters and variables?

Y_i=β_1+β_2 (1/X_i )+u_i

Y_i=β_1+β_2 lnX_i+u_i

Y_i=β_1+β_2 X_i+u_i

〖 lnY〗_i=β_1-β_2 (1/X_i )+u_i

58 / 100

Which of the following is not feature of time series data?

It consist of observations on a variable(s) over time

In time series data we gather information about several micro units at the same point in time. It is generally assumed that such data are collected on the basis of a random sample.

It consists of time series for each cross-sectional member (i.e., same individuals) in the data set

Chronological order

59 / 100

Which of the following is incorrect statement regarding to classical linear regression model assumptions?

The conditional mean value of disturbance term is zero.

The value of independent variable is fixed in a given sample.

No autocorrelation between the disturbance terms.

Regression model is linear in parameters but it may not be linear in variables.

60 / 100

Which of the following is not among formal methods of detecting Hetroscedaicity?

Graphical Test

Breusch–Pagan–Godfrey Test

White’s General Heteroscedasticity Test

Spearman’s Rank Correlation Test

61 / 100

Which of the following is correctly deﬁned:

r_12.3 = partial correlation coefﬁcient between Y and X_1, holding X_2 constant

r_13.2 = partial correlation coefﬁcient between Y and X3, holding X2 constant

r_23.1= partial correlation coefﬁcient between X2 and X3, holding X_1 constant

None of the above

62 / 100

Suppose that we estimate the model given as : Y_i=α+βX_i+u_i from the data collected from a sample size of 10 and we got RSS=200 and ESS = 200. Then which of the following can be the value of coefficient of determination?

0.5

63 / 100

To test the significance of the OLS parameter estimators we need, except

Variance of the parameter estimators

Unbiased estimator of

The assumption of normality of the distribution of error term

None of the above

64 / 100

A strategy in which trade and industrial incentives are biased in favor of production for domestic market over the export market.

An inward oriented strategy

Import substitution strategy

Outward oriented strategy

A. A&C

65 / 100

Which one of the following was not principle of GATT

Non Discrimination

Protection through tariffs and quota

A stable basis of trade

Consultation

66 / 100

Which one of the following is the most radical form of economic cooperation?

International policy harmonization

Integration of economic policy

Exchange of information

International policy coordination

67 / 100

From the following one is not Major features of mercantilists

Restrictive trade aiming at the acceleration of imports and reduction of exports

Strict focus on the welfare promotion than wealth accumulation

There are high simultaneous gains or sharing of gains among countries is possible.

None

68 / 100

For Heckscher and Ohlin, the most important cause of the difference in relative commodity price and trade between nations is a difference in

Factor endowments

technology

tastes

demand conditions

69 / 100

Temporary trade restrictions for new industries until they build competition capacity is refereed as ________________

The infant-industry argument

The national security argument

The jobs argument

A. Unfair competition argument

70 / 100

One of the following is not an opportunity of WTO membership

Enhanced market access opportunities

Access to the dispute settlement

Instituting domestic reforms

Loss of national autonomy in policy making

71 / 100

According to the permanent income hypothesis, consumption is primarily determined by:

Current income

Expected future income

Current disposable income

Saving rate

72 / 100

When you deposit birr 100,000 in your local bank such as Commercial Bank of Ethiopia, even though you can withdraw that amount at any time:

The bank becomes the legal owner of that birr 100,000 deposit

It automatically and instantaneously creates birr 100,000 in the bank's reserves

The bank's assets become birr 100,000 more than its liabilities

The bank's balance sheet remains unchanged because its new asset equals its new liability

73 / 100

If we assume workers and all jobs are the same and each worker equally well-suited to each job, then:

Frictional unemployment will be equal to structural unemployment

Labour market is said to be frictionless

The economy is said to be at full employment

Labour market is said to be at optimal

74 / 100

The American economist, Robert Lucas has argued that traditional methods of policy evaluation:

Relies on standard macro-econometric models that do not adequately take into account the impact of policy on expectations

Unlikely to arises in the analysis of disinflation

Excludes the parameters of large scale macro-econometric models that may not remain constant in the face of policy changes

Assumes that only unanticipated changes to money supply will have an impact on output

75 / 100

A time-inconsistency problem in macroeconomic policy can occur when the policymaker:

Is made to follow a strict and an inflexible rule

Has discretion in the short-run, but follows a rule in the long-run

Has discretion to act as it seems best in each situation, based on his or her own knowledge and experience

Has no discretion

76 / 100

In the Solow growth model, if the capital stock is below the Golden Rule level:

An increase in the capital stock raises output more than depreciation, so that consumption rises

An increase in the capital stock reduces consumption, since the increase in output is smaller than the increase in depreciation

The production function is steeper than the k* line, so the gap between these two curves grows as k* decreases

A decrease in further capital stock increases current consumption at the expense of future consumption

77 / 100

Which of the following statements is necessarily correct?

Any steady state level is Golden Rule level

Only steady state with the highest consumption level is said to be the Golden Rule steady state

When the steady state is reached in the economy, Golden Rule steady state is also reached

A steady state saving rate of 100% implies that no new investment capital is being created

78 / 100

The Solow growth model shows that:

In the long run, a country’s standard of living depends positively on its saving rate and population growth rate

If the economy has more capital stock than the Golden Rule level, then increasing saving will increase consumption at all points in time, thereby make all generations better-off

If the economy has less capital stock than the Golden Rule level, then increasing saving will increase consumption for future generations, but reduce consumption for the current generation

An increase in the saving rate leads to higher output in the long run, faster growth and steady state growth temporarily

79 / 100

A high level of tariff rate that aims is to stop all international trade is ____________.

Preferential Tariff

Specific Tariff

Ad valorem tariff

Prohibitive tariff

80 / 100

Given that the spot rate of Yuan today is $2.00 while the 3 month forward rate is $2.02, how can a U.S. importer who has to pay ¥10,000 in 3 months hedge his foreign exchange risk?

After 3 months, when his payment becomes due, the importer will pay $10,000 and get the ¥20,200; the importer needs to make the payment, regardless of what the spot rate of the Yuan is at that time

The importer can hedge by buying ¥20,000 today for delivery in 3 months at today’s 3-month forward rate of the Yuan of $2.02

The importer willingly pays on his forward contract $0.02 more per Yuan than today’s spot rate in order to insure himself against the risk that the spot rate of the Yuan in 3 months will be much higher than $2.02

The importer can hedge by buying ¥20,200 today for delivery in 3 months regardless of what the spot rate of the Yuan is at that time

81 / 100

If birr’s and dollar’s interest rate are 0.01 and 0.02 respectively, and the current exchange rate is 105.

The investors should invest only in birrs

The investors should invest only in dollars

The investors should be indifferent between birrs and dollars

It is impossible to decide how to invest, given the above information solely

82 / 100

The statistical discrepancy component of a balance of payment is used to:

Ensure that the sum of all debits matches the sum of all credits

Ensure that trade imports equal the value of trade exports

Obtain an accurate account of a BoPs deficit

Obtain an accurate account of a BoPs surplus

83 / 100

According to the J-curve effect, when the exchange value of a country’s currency appreciates, the country’s trade balance:

First moves toward deficit, then later toward surplus

First moves toward surplus, then later toward deficit

Moves into deficit and stays there

Moves into surplus and stays there

84 / 100

The main difference between the monetary approach and the portfolio balance approach is that:

The monetary approach allows the holding of both domestic and foreign currencies

The monetary approach allows the holding of both domestic and foreign bonds

The portfolio balance approach allows the holding of both domestic and foreign currencies

The portfolio balance approach allows the holding of both domestic and foreign bonds

85 / 100

In the Mundell-Fleming model under fixed exchange rates, the automatic adjustment process produces BoP equilibrium as:

The LM curve shifts along the fixed IS and BoP curves

The IS curve shifts along the fixed LM and BoP curves

The BoP curve shifts along the fixed IS and LM curves

The IS, LM, and BoP curves all shift

86 / 100

The monetary approach to BoP adjustment has been subjected to criticisms on all of the following grounds, except the assumption of:

Stability of money demand functions

Full employment

Single price for identical products

Monetary lags

87 / 100

Given the foreign currency market for the Kenyan shilling, the supply of shillings slopes upward, because as the dollar price of the shillings rises:

America’s demand for Kenyan merchandise rises

America’s demand for Kenyan merchandise falls

Kenyan demand for American merchandise rises

Kenyan demand for American merchandise falls

88 / 100

If a researcher has a qualitative information independent variable and introduce all the categories in to a regression model without creating a benchmark. Hence she will face a Problem of:

Autocorrelation

Hetroschedasticity

Perfect Multicollinarity

Endoginality

89 / 100

If all the explanatory variables are qualitative information, and you run regression without including an intercept term, the estimated coefficients represent :

The mean value of the dependent variables in each categories

The change in the dependent variables for a small change in the categories

An average increment of the explanatory variables for a small change in dependent variable.

They don’t have a real interpretation, they just represent average changes.

90 / 100

It is possible to convert the coefficients of logit estimation to their probit perspective by multiplying them √3/( π). According to Amemiya it is possible to convert LPM coefficients with same conversion factors to logit coefficient irrespective of which coefficient in the model.

The first statement is false

The second statement is false

Both statements are true

The second statement is true

91 / 100

Which of the following is correct concerning logit and probit models?

They use a different method of transforming the model so that the probabilities lie between zero and one.

The logit model can result in too many observations falling at exactly zero or exactly one.

For the logit model, the marginal effect of a change in one of the explanatory variables is simply the estimate of the parameter attached to that variable, whereas this is not the case for the probit model.

The probit model is based on a cumulative logistic function.

92 / 100

Suppose that we estimate a logit model based on an intercept and two explanatory variables and the parameter estimates are respectively β ̂_1=0.1,β ̂_2=0.3 and β ̂_3=-0.2, the average values of the explanatory variables are X ̅_1=0.5,X ̅_1=0.8. A 1-unit increase in X_2 will cause an increase in the probability that the outcome corresponding to Y=1 to

Fall by 0.05

Fall by 0.2

Fall by 0.1

Increase by 0.3

93 / 100

In the context of simultaneous equations modeling, which of the following statements is true concerning an endogenous variable?

The values of endogenous variables are determined outside the system

There can be fewer equations in the system than there are endogenous variables

Reduced form equations will not contain any endogenous variables on the RHS

Reduced form equations will contain only endogenous variables on the RHS

94 / 100

If OLS is applied separately to each equation that is part of a simultaneous system, the resulting estimates will be

Unbiased and consistent

Biased but consistent

Biased and inconsistent

It is impossible to apply OLS to equations that are part of a simultaneous system

95 / 100

Which one of the following is false?

Short run costs are the costs over a period during which some factors of production are fixed

Cost function shows the algebraic relationship between the cost of production and various factors which determine it.

The long- run costs are the cost over a period long enough to permit the change of only one factor of production.

Fixed costs means a cost which doesn’t vary with the level of output

96 / 100

Which one of the following is not true about Stage one production period?

In this stage as there prevails positive marginal product throughout the end.

This is the stage from initial production (AP= 0) up to the maximum of average product (where MP=AP)

In this stage a rational firm should increase production because the additional variable input employed will by large induce production.

Resources are over utilized and there is unfavorable working condition.

97 / 100

In the long run the average cost fulfills the following, except:

It can be seen as a planning decision by the firm in the long run

The short run average cost can be less than the long run average cost.

The long run average cost is the envelop of the short run average cost.

All

98 / 100

The main decision for a profit maximizing perfectly competitive firm is NOT what ________ but what ________.

level of output to produce; price to charge

price to charge; level of output to produce

level of output to produce; total revenue to achieve

price to charge; total cost to achieve

99 / 100

When a perfectly competitive firm makes a decision to shut down, it is most likely that

marginal cost is above average variable cost.

marginal cost is above average total cost.

price is below the minimum of average variable cost.

fixed costs exceed variable costs.

100 / 100

he short run supply curve of a competitive market firm is:

The MC curve starting from its minimum value

The MC curve above the minimum AVC of the firm

The AC curve above the price level

The increasing part of AFC curve

Your score is

Posted on February 22, 2024March 30, 2024

Economics regular model exit 2016

145

Economics regular model exit 2016

Choose the Best from the Alternatives

Please fill the following

Name of StudentID NumberModality (egular, Extention or Weekend)

1 / 100

In a given market, consumers' surplus would, all else equal, be increased by:

leftward shifts of the demand and supply curves that leave price unchanged.

a decrease in supply.

an increase in price.

an increase in supply

2 / 100

In order to determine whether to use a fixed effects or random effects model, a researcher conducts a Hausman test. Which of the following statements is false?

For random effects models, the use of OLS would result in consistent but inefficient parameter estimation

If the Hausman test is not satisfied, the random effects model is more appropriate.

Random effects estimation involves the construction of "quasi-demeaned" data

Random effects estimation will not be appropriate if the composite error term is correlated with one or more of the explanatory variables in the model

3 / 100

Which of the following are advantages of the use of panel data over pure cross-sectional or pure time-series modeling?(i) The use of panel data can increase the number of degrees of freedom and therefore the power of tests(ii) The use of panel data allows the average value of the dependent variable to vary either cross-sectionally or over time or both(iii) The use of panel data enables the researcher allows the estimated relationship between the independent and dependent variables to vary either cross-sectionally or over time or both

(i) only

(i) and (ii) only

(ii) only

(i), (ii), and (iii)

4 / 100

According to the Marshall-Lerner condition, if a country's currency depreciates its trade balance will worsen if elasticity of demand for exports is ______ and elasticity of demand for imports is _______.

0.8 and 0.5 respectively

0.4 and 0.6 respectively

0.6 and 0.6 respectively

0.4 and 0.4 respectively

5 / 100

Assume that Kenya faces an 8% inflation rate while no inflation exists in Japan. According to the purchasing power parity theory, in the long-run Kenyan shilling will be expected to:

Appreciate by 8% against the Japanese yen

Depreciate by 8% against the Japanese yen

Remain at its existing exchange rate

Any of the above

6 / 100

Which of the following statements is necessarily incorrect about AK endogenous growth model?

It is the simplest endogenous model that gives a constant saving rate of endogenous growth

It assumes a constant, exogenous saving rate and fixed level of the technology

It shows elimination of diminishing returns leading to endogenous growth

Assuming a closed economy, it states that saving is less than investment under the conditions of full employment

7 / 100

The steady state growth rates in the Solow growth model with technological progress indicates:

Both capital per efficiency unit and output per efficiency unit are constant

While output per worker grows at rate g, total output also grows at rate g

The number of efficiency units per worker grows at rate n+g

While output per worker grows at rate g, total output grows at rate n

8 / 100

he short run supply curve of a competitive market firm is:

The MC curve starting from its minimum value

The MC curve above the minimum AVC of the firm

The AC curve above the price level

The increasing part of AFC curve

9 / 100

When a perfectly competitive firm makes a decision to shut down, it is most likely that

marginal cost is above average variable cost.

marginal cost is above average total cost.

price is below the minimum of average variable cost.

fixed costs exceed variable costs.

10 / 100

The main decision for a profit maximizing perfectly competitive firm is NOT what ________ but what ________.

level of output to produce; price to charge

price to charge; level of output to produce

level of output to produce; total revenue to achieve

price to charge; total cost to achieve

11 / 100

In the long run the average cost fulfills the following, except:

It can be seen as a planning decision by the firm in the long run

The short run average cost can be less than the long run average cost.

The long run average cost is the envelop of the short run average cost.

All

12 / 100

Which one of the following is not true about Stage one production period?

In this stage as there prevails positive marginal product throughout the end.

This is the stage from initial production (AP= 0) up to the maximum of average product (where MP=AP)

In this stage a rational firm should increase production because the additional variable input employed will by large induce production.

Resources are over utilized and there is unfavorable working condition.

13 / 100

Which one of the following is false?

Short run costs are the costs over a period during which some factors of production are fixed

Cost function shows the algebraic relationship between the cost of production and various factors which determine it.

The long- run costs are the cost over a period long enough to permit the change of only one factor of production.

Fixed costs means a cost which doesn’t vary with the level of output

14 / 100

If OLS is applied separately to each equation that is part of a simultaneous system, the resulting estimates will be

Unbiased and consistent

Biased but consistent

Biased and inconsistent

It is impossible to apply OLS to equations that are part of a simultaneous system

15 / 100

In the context of simultaneous equations modeling, which of the following statements is true concerning an endogenous variable?

The values of endogenous variables are determined outside the system

There can be fewer equations in the system than there are endogenous variables

Reduced form equations will not contain any endogenous variables on the RHS

Reduced form equations will contain only endogenous variables on the RHS

16 / 100

Fall by 0.05

Fall by 0.2

Fall by 0.1

Increase by 0.3

17 / 100

Which of the following is correct concerning logit and probit models?

They use a different method of transforming the model so that the probabilities lie between zero and one.

The logit model can result in too many observations falling at exactly zero or exactly one.

The probit model is based on a cumulative logistic function.

18 / 100

The first statement is false

The second statement is false

Both statements are true

The second statement is true

19 / 100

If all the explanatory variables are qualitative information, and you run regression without including an intercept term, the estimated coefficients represent :

The mean value of the dependent variables in each categories

The change in the dependent variables for a small change in the categories

An average increment of the explanatory variables for a small change in dependent variable.

They don’t have a real interpretation, they just represent average changes.

20 / 100

If a researcher has a qualitative information independent variable and introduce all the categories in to a regression model without creating a benchmark. Hence she will face a Problem of:

Autocorrelation

Hetroschedasticity

Perfect Multicollinarity

Endoginality

21 / 100

Given the foreign currency market for the Kenyan shilling, the supply of shillings slopes upward, because as the dollar price of the shillings rises:

America’s demand for Kenyan merchandise rises

America’s demand for Kenyan merchandise falls

Kenyan demand for American merchandise rises

Kenyan demand for American merchandise falls

22 / 100

The monetary approach to BoP adjustment has been subjected to criticisms on all of the following grounds, except the assumption of:

Stability of money demand functions

Full employment

Single price for identical products

Monetary lags

23 / 100

In the Mundell-Fleming model under fixed exchange rates, the automatic adjustment process produces BoP equilibrium as:

The LM curve shifts along the fixed IS and BoP curves

The IS curve shifts along the fixed LM and BoP curves

The BoP curve shifts along the fixed IS and LM curves

The IS, LM, and BoP curves all shift

24 / 100

The main difference between the monetary approach and the portfolio balance approach is that:

The monetary approach allows the holding of both domestic and foreign currencies

The monetary approach allows the holding of both domestic and foreign bonds

The portfolio balance approach allows the holding of both domestic and foreign currencies

The portfolio balance approach allows the holding of both domestic and foreign bonds

25 / 100

According to the J-curve effect, when the exchange value of a country’s currency appreciates, the country’s trade balance:

First moves toward deficit, then later toward surplus

First moves toward surplus, then later toward deficit

Moves into deficit and stays there

Moves into surplus and stays there

26 / 100

The statistical discrepancy component of a balance of payment is used to:

Ensure that the sum of all debits matches the sum of all credits

Ensure that trade imports equal the value of trade exports

Obtain an accurate account of a BoPs deficit

Obtain an accurate account of a BoPs surplus

27 / 100

If birr’s and dollar’s interest rate are 0.01 and 0.02 respectively, and the current exchange rate is 105.

The investors should invest only in birrs

The investors should invest only in dollars

The investors should be indifferent between birrs and dollars

It is impossible to decide how to invest, given the above information solely

28 / 100

Given that the spot rate of Yuan today is $2.00 while the 3 month forward rate is $2.02, how can a U.S. importer who has to pay ¥10,000 in 3 months hedge his foreign exchange risk?

After 3 months, when his payment becomes due, the importer will pay $10,000 and get the ¥20,200; the importer needs to make the payment, regardless of what the spot rate of the Yuan is at that time

The importer can hedge by buying ¥20,000 today for delivery in 3 months at today’s 3-month forward rate of the Yuan of $2.02

The importer can hedge by buying ¥20,200 today for delivery in 3 months regardless of what the spot rate of the Yuan is at that time

29 / 100

A high level of tariff rate that aims is to stop all international trade is ____________.

Preferential Tariff

Specific Tariff

Ad valorem tariff

Prohibitive tariff

30 / 100

The Solow growth model shows that:

In the long run, a country’s standard of living depends positively on its saving rate and population growth rate

If the economy has more capital stock than the Golden Rule level, then increasing saving will increase consumption at all points in time, thereby make all generations better-off

If the economy has less capital stock than the Golden Rule level, then increasing saving will increase consumption for future generations, but reduce consumption for the current generation

An increase in the saving rate leads to higher output in the long run, faster growth and steady state growth temporarily

31 / 100

Which of the following statements is necessarily correct?

Any steady state level is Golden Rule level

Only steady state with the highest consumption level is said to be the Golden Rule steady state

When the steady state is reached in the economy, Golden Rule steady state is also reached

A steady state saving rate of 100% implies that no new investment capital is being created

32 / 100

In the Solow growth model, if the capital stock is below the Golden Rule level:

An increase in the capital stock raises output more than depreciation, so that consumption rises

An increase in the capital stock reduces consumption, since the increase in output is smaller than the increase in depreciation

The production function is steeper than the k* line, so the gap between these two curves grows as k* decreases

A decrease in further capital stock increases current consumption at the expense of future consumption

33 / 100

A time-inconsistency problem in macroeconomic policy can occur when the policymaker:

Is made to follow a strict and an inflexible rule

Has discretion in the short-run, but follows a rule in the long-run

Has discretion to act as it seems best in each situation, based on his or her own knowledge and experience

Has no discretion

34 / 100

The American economist, Robert Lucas has argued that traditional methods of policy evaluation:

Relies on standard macro-econometric models that do not adequately take into account the impact of policy on expectations

Unlikely to arises in the analysis of disinflation

Excludes the parameters of large scale macro-econometric models that may not remain constant in the face of policy changes

Assumes that only unanticipated changes to money supply will have an impact on output

35 / 100

If we assume workers and all jobs are the same and each worker equally well-suited to each job, then:

Frictional unemployment will be equal to structural unemployment

Labour market is said to be frictionless

The economy is said to be at full employment

Labour market is said to be at optimal

36 / 100

When you deposit birr 100,000 in your local bank such as Commercial Bank of Ethiopia, even though you can withdraw that amount at any time:

The bank becomes the legal owner of that birr 100,000 deposit

It automatically and instantaneously creates birr 100,000 in the bank's reserves

The bank's assets become birr 100,000 more than its liabilities

The bank's balance sheet remains unchanged because its new asset equals its new liability

37 / 100

According to the permanent income hypothesis, consumption is primarily determined by:

Current income

Expected future income

Current disposable income

Saving rate

38 / 100

One of the following is not an opportunity of WTO membership

Enhanced market access opportunities

Access to the dispute settlement

Instituting domestic reforms

Loss of national autonomy in policy making

39 / 100

Temporary trade restrictions for new industries until they build competition capacity is refereed as ________________

The infant-industry argument

The national security argument

The jobs argument

A. Unfair competition argument

40 / 100

For Heckscher and Ohlin, the most important cause of the difference in relative commodity price and trade between nations is a difference in

Factor endowments

technology

tastes

demand conditions

41 / 100

From the following one is not Major features of mercantilists

Restrictive trade aiming at the acceleration of imports and reduction of exports

Strict focus on the welfare promotion than wealth accumulation

There are high simultaneous gains or sharing of gains among countries is possible.

None

42 / 100

Which one of the following is the most radical form of economic cooperation?

International policy harmonization

Integration of economic policy

Exchange of information

International policy coordination

43 / 100

Which one of the following was not principle of GATT

Non Discrimination

Protection through tariffs and quota

A stable basis of trade

Consultation

44 / 100

A strategy in which trade and industrial incentives are biased in favor of production for domestic market over the export market.

An inward oriented strategy

Import substitution strategy

Outward oriented strategy

A. A&C

45 / 100

To test the significance of the OLS parameter estimators we need, except

Variance of the parameter estimators

Unbiased estimator of

The assumption of normality of the distribution of error term

None of the above

46 / 100

0.5

47 / 100

Which of the following is correctly deﬁned:

r_12.3 = partial correlation coefﬁcient between Y and X_1, holding X_2 constant

r_13.2 = partial correlation coefﬁcient between Y and X3, holding X2 constant

r_23.1= partial correlation coefﬁcient between X2 and X3, holding X_1 constant

None of the above

48 / 100

Which of the following is not among formal methods of detecting Hetroscedaicity?

Graphical Test

Breusch–Pagan–Godfrey Test

White’s General Heteroscedasticity Test

Spearman’s Rank Correlation Test

49 / 100

Which of the following is incorrect statement regarding to classical linear regression model assumptions?

The conditional mean value of disturbance term is zero.

The value of independent variable is fixed in a given sample.

No autocorrelation between the disturbance terms.

Regression model is linear in parameters but it may not be linear in variables.

50 / 100

Which of the following is not feature of time series data?

It consist of observations on a variable(s) over time

In time series data we gather information about several micro units at the same point in time. It is generally assumed that such data are collected on the basis of a random sample.

It consists of time series for each cross-sectional member (i.e., same individuals) in the data set

Chronological order

51 / 100

Which of the following models are linear in both parameters and variables?

Y_i=β_1+β_2 (1/X_i )+u_i

Y_i=β_1+β_2 lnX_i+u_i

Y_i=β_1+β_2 X_i+u_i

〖 lnY〗_i=β_1-β_2 (1/X_i )+u_i

52 / 100

Which of the following is different from the others?

Net Present Value

Payback period

Benefit Cost Ratio

Internal Rate of Return

53 / 100

In Imperfect-Information Model

markets clear, i.e., all wages & prices are free to adjust to balance supply & demand.

Suppliers temporarily confuse real & nominal wages.

Nominal wage slowely

none of the above

54 / 100

Which of the following is incorrect regarding IS-LM model?

it is based on the notion of no supply constraints & pre-determined prices in the short-run.

There is sufficient excess capacity so that an increase in demand leads to more production without raising costs & prices.

It mainly tells as how price is determined

55 / 100

If the government of Ethiopia decreases the price of one dollar from Birr 55/$1 to Birr 50/$1 we say that

Birr is devalued

Birr is appreciated

Birr is revalued

Birr is depreciated

56 / 100

Which of the following statements is incorrect?

In open economy, an increase in government expenditure will have no expansionary effect on national income.

In open economy, the multiplier effect of an increase in exports is identical to that of an increase in government expenditure.

In open economy, an increase in government expenditure leads to deterioration of current account balance.

In open economy, an increase in export leads to an improvement in the current account balance.

57 / 100

Which of the following is true regarding aggregate demand curve?

An increase in money supply shifts aggregate demand curve to the right, citrus paribus.

An increase in government purchases shifts aggregate demand curve to the right, citrus paribus.

A decrease in taxes shifts the aggregate demand curve to the right, citrus paribus.

All of the above

58 / 100

……………………..is a decrease in private investment as a result of a rise in government purchase/ investment.

Expansionary fiscal policy

Government purchase multiplier

Contractionary policy

Crowding out effect

59 / 100

……………….. is the purchase of new plant & equipment by firms to add to their stock of capital & to replace existing capital as it wears out.

Non-durable goods investment

Business fixed investment

Residential fixed investment

Inventory investment

60 / 100

Which of the following statements is correct?

Throughout stages of macroeconomic development, schools of thoughts disagree on macroeconomic objectives though there has been consensus on policy instruments they prescribe to achieve them.

GDP is more commonly taken as basic measure of nation’s output as compared to GNP.

Say’s law states that demand creates its own supply.

The total value at market prices of final goods and services produced within domestic boundary of territory in specified period is called Gross National Product (GNP).

61 / 100

Which one of the following schools of economic thought favor “Laissez-faire”?

Classical

Keynesian

Neo Classical

A&C

62 / 100

Which of the following statement is false?

The strategy “tit-for-tat” holds in a game wherein players move simultaneously (or play strategies at the same time).

The substitution effect tends to shift MPPL and VMPL curves inwards for firms operating under perfectly competitive labor market with several variable inputs.

The output effect and the profit maximizing effect tend to shift MPPL and VMPL curves inwards for firms operating under perfectly competitive labor market with several variable inputs.

The supply of labor is not cost determined like the supply of commodities.

63 / 100

_____________ is the process by which sellers send messages to buyers conveying information about product quality.

Moral Hazard

signaling

Warranty

Adverse selection

64 / 100

Moral hazard is an information problem that arises when:

A buyer/seller enters into an exchange with another party with more information.

High quality goods tend to disappear, leaving low quality goods in the market.

A party to a contract passes the cost of his/her behavior onto the other party.

Only social pressure forces people to make voluntary payments.

65 / 100

Which of the following is incorrect about technological Progress and income distribution?

Neutral technological progress increases the shares of both labour and capital.

Capital deepening technology decreases the share of labour and increases share of capital.

Labour deepening technology increases the share of labour and decreases share of capital.

Neutral technological progress does not change the shares of both labour and capital.

66 / 100

Monopolistic exploitation is occurred

When labor is paid price equal to MRP which is smaller than the VMP.

When labor is paid price equal to VMP.

Under perfectly competitive factor market

All

67 / 100

Suppose that the probability of players playing low price is 25% and playing high price is 75%. Then what is the mixed strategy Nash equilibrium of this game?

Playing low price for both players

Playing high price for both players

Playing low price for player A and playing high price for player B

Playing low price for player B and playing high price for player

68 / 100

In Cournot model if there are 6 firms in the industry each will provide _______ of the market, and the industry output will be _________. The missed values in this statement are respectively

1/6 & 6/7

1/7 & 6/7

1/6 & 3/6

None

69 / 100

Which of the followings can be rationale for collusion?

reducing degree of competition

reducing uncertainty

barrier to new entry

all

70 / 100

Which of the following is not characteristic/assumption of monopolistic competition market?

Relatively large number of sellers and buyers in market

Perfectly elastic demand curve

differentiated products

Freedom of entry and exit

71 / 100

People hold their wealth in different assets and money is one alternative of holding wealth. This statements best suit for which motive of money?

Transaction demand for money

Speculative demand for money

Precautionary demand for money

None

72 / 100

From the following which one is considered as the liability of central bank?

Central bank notes (currency) outstanding.

Reserves

Treasury deposits

All

73 / 100

Which one of the following is a direct monetary instrument of central bank?

Ceilings on the growth rate of bank lending.

Open market operation.

Reserve requirements.

Discount policy.

74 / 100

Which one is incorrect about open market operation from the following statements?

If the government (through central bank) sells bond to private companies, it can reduce the amount of money circulating in the economy.

If the government (through central bank) sells bond to private companies, it can reduces money supply.

If the central bank buys bonds and securities from private business companies, the amount of money supply will be reduced.

If the central bank buys bonds and securities from private business companies, it can inject more money into the economy.

75 / 100

Which of the following factors that affect liquidity of an asset?

How easily it can be bought or sold.

The transactions cost of buying or selling it.

How stable its price is.

All

76 / 100

Which of the following are financial intermediaries that accept deposits from individuals and institutions and make loans.

savings and loan associations

Credit unions.

mutual savings banks

All

77 / 100

Central banks reserve would not change.

Currency in circulation would increase

Monetary base would increase

Liability of central bank would not change

78 / 100

Among the player in money supply process which one is an individuals and institutions that save in banks mostly.

Banks

Central banks

Depositors

Borrower

79 / 100

Suppose that the National Bank of Ethiopia purchases Birr 100 of bonds from a bank and pays for them with a Birr 100 check. From this information which one is correct?

The National bank finds that its liabilities would increase by the additional Birr 100 of reserves.

Bank will find itself a reduction in its holdings of securities of Birr 100.

Security of national bank would increase by 100 birr.

All

80 / 100

integration of one the following function is equal to

81 / 100

1. Derivative of one of the following is equivalent to its integral

y=lnx

y=ex

y=ax

y=log f(x)

82 / 100

Given the marginal saving as a function of income (x) as MS(x)=, then how much is the total saving between 2 and 4 income level

128

112

83 / 100

One of the following integrals is indefinite integral

84 / 100

Given polynomial cost of production function as ƒ(x) = 3×3 – 4×2 + 6x+200. Then at when 2 units of output are produced (i.e. at x=2),

The cost of production is decreasing

The cost function is increasing at a decreasing rate

The MC is increasing

TC is concave

85 / 100

If the profit (π) of a company is linear function of output (x) which is given as π(x)=3x+5 then, the value of marginal profit is_______

86 / 100

Identify incorrect statement about the difference between differentiation and integration

Differentiation is the change in total function while integration is the process of getting back the total function from marginal function

Derivative of zero is zero but integration of zero is some constant

Integration of constant yield some linear function but derivative of constant is zero

None

87 / 100

Economy can face trade deficit due to one of the following results

When investment exceeds national saving.

when Export is greater than import

when nations finance their investment only from their own saving

when investment is less than saving

88 / 100

Which of the following is not true about agriculture's role in economic development

Provides labor for non-agricultural sector

Provides a market for non-agricultural commodities

Source of industrial raw materials

None of the above

89 / 100

The Malthusian theory of population growth, as formulated by Malthus, proved

Entirely correct for human behavior

Overly pessimistic about future productivity increases

That food output will decline with population growth

None of the above

90 / 100

Compared to the developed countries, the LDCs have

Higher birth rates and lower death rates

Higher birth rates and higher death rates

Lower birth rates and lower death rates

Lower birth rates and higher death rates

91 / 100

Which of the following statement is false?

Developing nations are rich in human capital

Nations will spend more on human capital when income is higher

Young females receive less education than young males in most nations

Health spending on men is higher than that on women in developing nations

92 / 100

Which of the following case contributes for the higher population growth?

Longer maternal leave

A rise in school fees

increased educational and employment opportunities for women

provision of publicly financed old-age social security schemes

93 / 100

Which the following countries have higher fertility rates?

Nepal

China

Niger

USA

94 / 100

Which of the following is the make the Tobin’s q model different from neoclassical model?

Tobin’s q measure current profitability

Tobin’s q measure the expected future profit

Tobin’s q measure last profitability

All makes the Tobin’s q odd

95 / 100

Identify the incorrect statement according to the Solow growth model.

Saving rate is not a key determinant of the steady-state capital stock.

Depreciation and population growth are reasons to shrink capital output ratio.

High rates of saving lead to high growth temporarily.

Countries with higher population growth will have lower levels of GDP per person

96 / 100

Which of the following describes an increase in technological knowledge?

A farmer sends his child to agricultural college and the child returns to work on the farm.

A farmer hires another day labourer

A farmer buys another tractor

A farmer discovers that it is better to plant in the spring rather than in the fall

97 / 100

The main domestic source of savings in LDCs is

Government savings through budget surplus

corporate retained earnings

savings by households

Savings by public sector enterprise

98 / 100

According to the Harrod-Domar model, an increase in growth rates depends on one of the followings

Increase in capital-output ratio

Decrease in capital-output ratio

Increase in marginal propensity to consume

None of the above

99 / 100

According to W.W.Rostow, which of the following does not belong to the “precondition for takeoff”?

Increased agricultural productivity

Political stability

Development of social overhead capital

Growth of the durable consumer goods industry

100 / 100

In a given market, consumers' surplus would, all else equal, be increased by:

leftward shifts of the demand and supply curves that leave price unchanged.

a decrease in supply.

an increase in price.

an increase in supply

Your score is

Posted on February 22, 2024March 30, 2024

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