Business Administration Paper – 2008

1) The last stage of Maslow Need Hierachy is Esteem. FalsE.

2) An effective Manager is one who achieves the goal with the least amount of resources.
TruE.

3) Audit is a type of controlling system. TruE.

4) Removal of undesirable elements serves as Negative Reinforcement tool to motivate the
people. TruE.

5) Marketing of services heavily rely on advertising. TruE.

6) Advertising is paid, personal communication through media FalsE.

7) Skimming pricing is used when the customers are quality conscious. TruE.

8) Advertising is usually at the top of Promotion Mix of every product. TruE.

9) Profit as against Share Price Maximization is always a desirable goal of organization.
FalsE.

10) For a short-term creditor, liquidity ratios are more important than efficiency ratios.
TruE.

11) Low levels of net working capital decrease risks. FalsE.

12) The present value of an annuity is inversely related to future value of annuity.
TruE.

13) The three levels of a product are:

A. Core, Packaging and Promotion
B. Actual, Core and Pricing
C. Augmentation, Core and Actual
D. None of these

14) MBO means:

A. Management based on Organization
B. Management based on Objectives
C. Management by Objectives
D. None of these

15) The two broad price policies are:

A. Demand and sales based pricing
B. Penetration and low pricing
C. Skimming and Demand based pricing
D. None of these

16) Quick Ratio is calculated by dividing:

A. Current Assets by Current Liabilities
B. Current Assets by Inventories
C. Current Liabilities by Current Assets
D. None of these

17) Decreasing inventories is a source of:

A. Assets
B. Funds
C. Credit
D. None of these

18) Entrepreneur is:

A. Manager looking for profit
B. Manager looking for employee‟s satisfaction
C. Manager looking for every opportunity
D. None of these

19) The depth of a ‘Product Mix’ indicates:

A. All products offered by a company with its versions
B. All products offered by a company with its brands
C. All products and service brands
D. None of these

20) A person directly involved in operation and accomplishment of main objectives of the firm
is called:

A. First-Line manager
B. Line-Manager
C. Staff-Manager
D. None of these