MFT MBA EXAM QUESTIONS AND ANSWERS
Which of the following organizations is more likely to use project financing?
A. a small start up
B. a financial services firm w an extensive client list
C. a large consumer goods company
D. a large public utility involved in infrastructure development - Answers- D.
After an extensive recruitment process to select well-qualified individuals, a large
percent of a company's new hires resigned within the first month of the job. Which of the
following is the most likely explanation for this situation?
A. the training process to prepare the new hires for their assigned tasks was inadequate
B. the health benefits provided by the company were not competitive w those of the rest
of the industry
C. the starting salary for the new hires was not competitive w that of the rest of the
industry
D. the new hires lacked the basic skills required to learn the job. - Answers- A
Wave is a telecommunications company that wants to become involved in e-commerce.
It has to decide whether to develop a business-to-business or business-to-consumer
strategy. As Wave's strategic planner, you have been asked to develop a business plan
for each opportunity and present these to senior management. The answer to which of
the following questions is most important to know before starting your plan?
A. what are the company's core competencies?
B. What is the potential market size?
C. What is the impact on the estimated revenue?
D. Does the company have e-commerce capabilities?
C - Answers- A
A call option gives the holder the right (but not the obligation) to buy. If you were the
holder of a call option (having cost you $2) on some stock with an exercise price of $20,
it would be best for you to exercise your option when the market price is at
A. $18
B. $20
C. $22
D. $24 - Answers- D
increase globalization and technological change, particularly in telecommunications,
enable more organizations to adopt which of the following organizational structures?
A. Functional
B. Matrix
, C. Network
D. Mechanistic - Answers- C
Marketing communications can be used to inform customers about a new brand and its
relative advantages while promoting that brand's image. It can increase consumer
familiarity with a brand and encourage favorable associations with it. Accordingly, the
primary purpose of marketing communication is to
A. build brand equity
B. enhance a company's image
C. increase long-term sales
D. Provide an additional incentive to buy - Answers- A
All of the following might be considered in the economic evaluation of a business unit
EXCEPT
A. wages paid to labor
B. Projected annual revenues of competitors
C. The cost of materials used in the production process
D. The price at which goods produced are sold to customers - Answers- B
When the selling division considering an internal transfer has excess demand from
outside customers for the product that is being transferred, the lowest acceptable
transfer price for the selling division would be which of the following?
A. the amount that the purchasing division would have to pay an outside seller to
acquire a similar product
B. the variable cost of producing a unit of product
C. the full absorption cost of producing a unit of product
D. the market price charged to outside customers minus the costs saved by transferring
internally. - Answers- D
14 assume that the average cost of airfare is $400 per chaperone and incidentals are
$150 per day per chaperone. all vacation packages are for 6 days. if a ratio of one
chaperone per 15 travelers is kept, what is the minimum amount that must be included
in the vacation package price charged to each customer to cover the cost of a
chaperone?
A. $60
B. $87
C. $104
D. $150 - Answers- B
Bertha has decided to use demographic segmentation to divide her market before she
gives any additional consideration o redesigning her product offerings or
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