Business Education 6– to 12

Test Format and Sample Questions

The Business Education 6– to 12 subject area test consists of approximately 80 multiple-choice questions. You will have two and one-half hours to complete the test.

Each question will contain four response options, and you will indicate your answer by selecting A, B, C, or D.

The table below presents types of questions on the exam and directs you to examples of these formats among the sample items that follow.

Table of Question Formats

Type of Question	Sample Question
Direct Question Choose the response option that best answers the question.	Question 1
Sentence Completion Select the response option that best completes the sentence.	Question 3
Scenario Examine a situation, problem, or case study. Then answer a question, make a diagnosis, or recommend a course of action by selecting the best response option.	Question 10

Sample Questions

The following questions represent both the form and content of questions on the examination. These questions will acquaint you with the general format of the examination; however, these sample questions do not cover all of the competencies and skills that are tested and will only approximate the degree of examination difficulty.

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Competency 1—Knowledge of information technology

DIRECTIONS: Read the question and select the best response.

Which of the following best describes proper posture when touch keyboarding?

Choose an answer

1. back straight and feet in front
2. body leaning back with shoulders relaxed
3. elbows out and knees together
4. leaning forward with wrists resting on the desk

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: A.

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Competency 1—Knowledge of information technology

DIRECTIONS: Read the question and select the best response.

Which of the following types of software applications is most appropriate for creating slides to assist in providing information on a particular subject to an audience?

Choose an answer

1. presentation
2. spreadsheet
3. web development
4. word processing

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: A.

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Competency 1—Knowledge of information technology

DIRECTIONS: Read the question and select the best response.

In computer programming, a loop function is used to

Choose an answer

1. sum a series of values.
2. repeat a set of instructions.
3. order data in a sequence.
4. define a variable type.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: B.

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Competency 1—Knowledge of information technology

DIRECTIONS: Read the question and select the best response.

The resolution level of a photograph taken on a camera phone is determined primarily by the

Choose an answer

1. focal length of the image-capturing device.
2. rate of connectivity transferring the image.
3. dimensions of the image display screen.
4. number of pixels contained in the image file.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: D.

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Competency 2—Knowledge of business communications

DIRECTIONS: Read the question and select the best response.

While giving a presentation, an employee often touches colleagues on the shoulder when trying to obtain acknowledgement of a major point or topic. Which of the following best describes this type of nonverbal behavior?

Choose an answer

1. chronemics
2. kinesics
3. haptics
4. proxemics

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: C.

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Competency 2—Knowledge of business communications

DIRECTIONS: Read the question and select the best response.

Which of the following methods of communication would be most appropriate for a supervisor to use to notify employees of upcoming changes in the company's sick leave policy?

Choose an answer

1. telephone
2. business letter
3. memorandum
4. personal meeting

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: C.

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Competency 2—Knowledge of business communications

DIRECTIONS: Read the question and select the best response.

Which of the following is a résumé format that highlights relevant skills and achievements in categories rather than job titles and is often used by people who have been out of the workforce for an extended period of time?

Choose an answer

1. chronological
2. integrated
3. targeted
4. functional

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: D.

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Competency 3—Knowledge of accounting and personal finance

DIRECTIONS: Read the question and select the best response.

Which of the following principles forms the basis for the adjusting entry of an uncollectible accounts expense estimate?

Choose an answer

1. revenue recognition principle
2. objective evidence principle
3. timeliness principle
4. matching principle

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: D.

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Competency 3—Knowledge of accounting and personal finance

DIRECTIONS: Read the question and select the best response.

The Statement of Shareholders' Equity includes which of the following items?

Choose an answer

1. interest income
2. total liabilities
3. common stock
4. operating expenses

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: C.

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Competency 3—Knowledge of accounting and personal finance

DIRECTIONS: Read the question and select the best response.

An employee would like to set aside some money for the future. The employee would like to contribute modest amounts monthly to a federally insured account, yet have access to funds in case of an emergency. Which of the following options would be most appropriate for the employee?

Choose an answer

1. regular savings account
2. certificates of deposit
3. money market accounts
4. U.S. savings bonds

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: A.

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Competency 4—Knowledge of business management and administrative procedures

DIRECTIONS: Read the question and select the best response.

Which of the following behaviors best describes a transformational leader?

Choose an answer

1. inspiring employees through demonstrating behaviors that are desired in subordinates
2. motivating employees to do exceptional things by having a clearly stated mission and the ability to persuade employee commitment
3. clarifying employees' roles and task requirements by providing rewards and penalties contingent on performance
4. tailoring the management style that allows different relationships with different subordinates

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: B.

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Competency 4—Knowledge of business management and administrative procedures

DIRECTIONS: Read the question and select the best response.

Which of the following security measures includes the use of digital signatures?

Choose an answer

1. proxy
2. authentication
3. token
4. biometrics

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: B.

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Competency 4—Knowledge of business management and administrative procedures

DIRECTIONS: Read the question and select the best response.

A business institutes a program that includes steps to protect the public from exposure to hazardous substances through handling, education, and awareness. This is an example of

Choose an answer

1. behavioral leadership.
2. contingency planning.
3. philanthropic mission.
4. social responsibility.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: D.

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Competency 5—Knowledge of entrepreneurship and marketing

DIRECTIONS: Read the question and select the best response.

Several doctors would like to set up a medical practice together and organize their business so that they are shielded from one another's liabilities associated with malpractice. Which of the following legal structures would be the most appropriate organization for this group?

Choose an answer

1. C corporation
2. S corporation
3. nonprofit corporation
4. professional corporation

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: D.

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Competency 5—Knowledge of entrepreneurship and marketing

DIRECTIONS: Read the question and select the best response.

Which of the following is a common mistake that entrepreneurs often make when preparing a business plan?

Choose an answer

1. claiming performance that is much lower than industry averages
2. introducing the team of professionals they are working with
3. reporting lower than expected growth levels
4. underestimating the need for capital

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: D.

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Competency 5—Knowledge of entrepreneurship and marketing

DIRECTIONS: Read the question and select the best response.

An electronics store that introduces its new line of televisions at a high price for early adapters and then lowers the price over time is using which of the following pricing policies?

Choose an answer

1. cost pricing
2. penetration pricing
3. skimming pricing
4. flexible pricing

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: C.

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Competency 6—Knowledge of business law and ethics

DIRECTIONS: Read the question and select the best response.

Which of the following would most likely be considered a violation of criminal law rather than tort law?

Choose an answer

1. A politician libels an opponent in a local newspaper.
2. A homeowner cuts down a tree that is on a neighbor's property.
3. A shopper is injured after slipping on a wet floor in a store.
4. An employee steals computer equipment from the company.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: D.

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Competency 6—Knowledge of business law and ethics

DIRECTIONS: Read the question and select the best response.

Which of the following is an example of a voidable contract?

Choose an answer

1. Person A agrees to sell his car to Person B for $5,000. Person B later learns that the car is worth only $2,500.
2. Person C agrees to pay $100 to Person D to steal a painting from a neighbor and deliver it to Person C.
3. Person E agrees to sell her rowboat to Person F for $250. Person E later learns that Person F is a minor.
4. Person G and Person H agree orally on a price for home repairs. Additional problems arise as the job progresses.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: C.

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Competency 6—Knowledge of business law and ethics

DIRECTIONS: Read the question and select the best response.

Which of the following acts would be considered illegal by the U.S. Securities and Exchange Commission?

Choose an answer

1. A medical doctor reads an article about a recent drug trial and purchases stock in the company that makes the drug.
2. A company president decides to give all employees shares in the company instead of cash bonuses.
3. A vice president informs shareholders that based on product sales the company is expecting significant growth.
4. An executive for a company shares some internal corporate files with a friend who is a major investor.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: D.

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Competency 7—Knowledge of foundations, teaching methods, and professional development

DIRECTIONS: Read the question and select the best response.

An instructor is using a blended learning approach for a lesson on the accounting equation. Which of the following best describes an advantage of this type of instruction?

Choose an answer

1. Teachers can utilize an interdisciplinary curriculum to link important ideas.
2. Students have opportunities to engage in face-to-face sessions with their teacher.
3. Class time can be devoted to solving problems rather than introducing content.
4. On-the-job training opportunities can be designed to support instruction.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: C.

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Competency 7—Knowledge of foundations, teaching methods, and professional development

DIRECTIONS: Read the question and select the best response.

Which of the following is a student career organization that sponsors the Workplace Skills Assessment Program?

Choose an answer

1. BPA
2. O*NET
3. FBLA
4. NBEA

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: A.

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Competency 7—Knowledge of foundations, teaching methods, and professional development

DIRECTIONS: Read the question and select the best response.

An example of an internship is a(an)

Choose an answer

1. college student who has summer employment related to a professional career.
2. high school graduate who takes classes and works part time to learn a trade.
3. entry-level worker who earns a promotion from trainee to manager at a large firm.
4. businessperson who contracts as an independent salesperson with a major retailer.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: A.

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Competency 7—Knowledge of foundations, teaching methods, and professional development

DIRECTIONS: Read the question and select the best response.

Compared to other work-based programs, a student enrolled in a cooperative education program will

Choose an answer

1. receive school credit in addition to pay.
2. obtain a license in a commercial trade.
3. earn an industry certification in a technical field.
4. be eligible for postsecondary higher education.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: A.

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Competency 7—Knowledge of foundations, teaching methods, and professional development

DIRECTIONS: Read the question and select the best response.

Which of the following instructional approaches is likely to be most effective in preparing students for employment interviews?

Choose an answer

1. concept mapping
2. role-playing
3. explicit teaching
4. inquiry learning

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: B.

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Competency 8—Knowledge of international business

DIRECTIONS: Read the question and select the best response.

A large U.S. company is planning on adapting one of its most popular products to sell in a foreign country. The company decides to create a new marketing message and a new product name and hires marketing specialists from the target country to assist in this project.

This approach best reflects an effort to reduce risks associated with which of the following?

Choose an answer

1. disruptions in the supply chain
2. cross-cultural miscommunication
3. trademark and intellectual property
4. fluctuations in asset valuation

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: B.

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Competency 8—Knowledge of international business

DIRECTIONS: Read the question and select the best response.

Which of the following best describes the practice known as corporate inversion?

Choose an answer

1. A U.S. company purchases an overseas company to avoid paying U.S. income taxes.
2. An overseas company manufactures goods in the United States to avoid import tariffs.
3. A U.S. company contracts with an overseas company to reduce labor costs.
4. An overseas company purchases a U.S. company to obtain new technology and manufacturing processes.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: A.

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Competency 8—Knowledge of international business

DIRECTIONS: Read the question and select the best response.

Before establishing operations in an area of political instability, it would be most important for the managers of a multinational corporation to assess the risk of

Choose an answer

1. fluctuating currency exchange rates.
2. supply chain interruptions.
3. expropriation and nationalization.
4. employee cultural clashes.

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: C.

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Competency 9—Knowledge of career development

DIRECTIONS: Read the question and select the best response.

Globalization, the availability of inexpensive labor, and advances in telecommunications technology have led most directly to which of the following?

Choose an answer

1. flextime
2. union contracts
3. outsourcing
4. job sharing

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: C.

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Competency 9—Knowledge of career development

DIRECTIONS: Read the question and select the best response.

Which of the following is the most important question to ask first when measuring the success of a team?

Choose an answer

1. Does the team socialize outside of work?
2. Does the team regularly meet its goals?
3. Are the team members courteous to each other?
4. Are the team members strong leaders?

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: B.

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Competency 9—Knowledge of career development

DIRECTIONS: Read the question and select the best response.

Which of the following is an example of an employee soft skill that is valued by businesses?

Choose an answer

1. computer programming
2. communication abilities
3. accounting knowledge
4. professional certification

AnswerEnter to expand or collapse answer.Answer expanded

Correct Response: B.

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