UGC NET Mock Test 5 on Management - 20 Questions for Practice

1. Which theory of human motivation focuses on personal perceptions of the performance process?

a.McClelland’s Need Theory

b.Alderfer’s ERG Theory

c.Adam’s Theory of Inequality

d.Vroom’s Expectancy Theory

2. Minimum wage means

a.A wage sufficient to satisfy the workman’s basic needs.

b.Wage sufficient to ensure the workman food, shelter, clothing, frugal comfort and provision for evil days.

c.A sum of money paid under contract by an employer to a workman for services rendered.

d.Wages paid in proportion to workman’s work efficiency.

3. Which of the following statements is true?

a.Profit distribution under a profit sharing plan are used to fund employee retirement plans.

b.An experiment in profit shares on a wide scale would therefore be definitely undertaking a voyage of an uncharted sea.

c.All of the above.

d.Profit sharing is an agreement freely entered into by which the employees receive share fixed in advance from the organization’s profits.

4. Which of the following method of incorporation of risk in the capital budgeting decision framework is useful for situations in which decisions at one point of time also affect the decisions of the firm at some later date?

a.Risk-adjusted Discount Rate Approach

b.Certainty Equivalent Approach

c.Decision-tree Approach

d.Probability Distribution Approach

5. Performance appraisal includes

a.Promote employees for self-appraisal.

b.Check reviews done by the supervisors.

c.Review his performance in relation to the objectives and other behaviours.

d.All of the above.

6. The process through which individuals attempt to determine the causes behind others’ behaviour is known as

a.Attitude

b.Perception

c.Attribution

d.Social identity theory

7. In which of the approach, the market value of the firm depends upon the EBIT and the overall cost of capital?

a.Net Operating Income Approach

b.None of the above

c.Net Income Approach

d.Modigliani-Miller Approach

8. A deliberate and careful choice of organisation, product, price, promotion, place strategies and policies best define the concept of ____

a.Product Mix

b.Market Segmentation

c.Marketing Mix

d.Market Penetration

9. Which is the assumption of Modigliani and Miller approach to cost of capital?

a.All investors have the same expectations from a firm’s net operating income which is necessary to evaluate the value of a firm.

b.The firms can be classified into homogeneous risk class.

c.All of the above.

d.The capital markets are assumed to be perfect.

10. The degree to which a firm’s present value of future cash flows can be influenced by exchange rate fluctuations is referred to as

a.Translation exposure

b.Accounting exposure

c.Economic exposure

d.Transaction exposure

11. Annual Reports, Balance Sheets, Brochures and Advertisements in organisational communication are the means to aim at

a.Credibility building

b.Influencing

c.Image building

d.Group building

12. Rational motives in buying process are explained as

a.Activity buyer adopts to satisfy buying needs.

b.Motives based on careful, logical reasoning and self-acceptance.

c.Motives based on sensual satisfaction, fear and entertainment.

d.All of the above.

13. If a firm raises Rs. 1, 00,000 by the issue of debentures at 10%, repayable after 10 years, the rate of return that equates the present value of cash inflows with the present value of cash outflows is referred to as

a.Implicit cost

b.Specific cost

c.Explicit cost

d.Future cost

14. Statement I: Demand for a commodity refers to quantity of the commodity demanded at a certain price during any particular period of time.
Statement II: Contraction of demand is the result of an increase in the price of the goods concerned.

a.Both I and II are incorrect.

b.I is correct and II is incorrect.

c.Both I & II are correct.

d.II is correct and I is incorrect.

15. In which case, the acquirer puts pressure on the management of the target company by threatening to make an open offer; the board capitulates straight away and agrees for settlement with the acquirer for change of control.

a.None of the above

b.Bear Hug

c.Poison Put

d.Poison Pill

16. The major objective of economists to monopolies is

a.The inability in an industry where there is a single producer.

b.The dangerous impact on democratic government.

c.The tendency to restrict output and charge a higher price.

d.Lack of technological progress in such industries.

17. On-the-job training methods are not based on

a.Demonstration methods

b.Interactive methods

c.Vestibule Training methods

d.Apprentice training method

18. Which of the following combination, according to hierarchy of effects model is correct?

a.Awareness – Liking – Knowledge – Conviction – Purchase – Preference.

b.Awareness – Knowledge – Liking – Preference – Conviction – Purchase.

c.Awareness – Preference – Knowledge – Liking – Preference – Purchase.

d.Awareness – Liking – Knowledge – Conviction – Preference – Purchase.

19. The sum of the value of all final goods and services produced within a country and net factor income from abroad is termed as

a.Real GDP

b.GNP

c.NNP

d.Nominal GDP

20. Bid/ask spread of a foreign currency can be computed by which of the following formulae?

a.(Bid Rate – Ask Rate) / Ask Rate

b.(Ask Rate – Bid Rate) / Bid Rate

c.(Bid Rate – Ask Rate) / Bid Rate

d.(Ask Rate – Bid Rate) / Ask Rate

UGC NET Mock 5 on Management – 20 Questions for Practice

UGC NET Mock Test 5 on Management – 20 Questions for Practice

Take Test 5 20 questions for Practice – Management Test 5

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