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35) Between the late 1960s and the mid-1980s, the use of written
35) Between the late 1960s and the mid-1980s, the use of written tests declined because they were characterized as _____. A. invalid B. unprofessional C. mathematically flawed D. discriminatory E. unreliable 36) Each of the six personality types developed in Holland’s personality-job fit theory has a ________. A. supplemental occupational environment B. supplemental personality style C. supplemental skill set D. congruent personality style E. congruent occupational environment 37) Phrases such as “more cultural diversity,” “many new entrants with inadequate skills,” and “increase in aging workers” are all examples of what force for change? A. social trends B. technology C. competition D. world politics E. nature of the work force 38) Whenever Jane is successful she takes full credit for what has happened, but whenever she is unsuccessful she attributes her failure to bad luck or blames one of her fellow employees. She is guilty of _____. A. distinctiveness B. fundamental attribution error C. self-serving bias D. attribution bias E. the halo effect 39) Organizational structure has six key elements. Which of the following is not one of these elements? A. formalization B. centralization C. location of authority D. departmentalization E. work specialization 40) Investors bragged about their investing expertise during the stock market rally between 1996 and early 2000, then blamed analysts, brokers, and the Federal Reserve when the market imploded in 2000. These investors were most probably guilty of what? A. distinctiveness B. fundamental attribution error C. selective perception D. self-serving bias E. the halo effect 41) The previous forecast of 65 turned out to be four units less than the actual demand. The next forecast is 66. What would be the value of alpha if the simple exponential smoothing forecast method is being used? A. 0.25 B. 0.02 C. 0.04 D. 0.4 42) The phenomenon of magnification of demand variability as we move from the customer to the producer in the supply-chain is referred to as the: A. price deflator B. postponement effect C. Just-in-time approach D. Elasticity of demand E. bullwhip effect 43) Operations stage toolkit for the Data Analysis and Solution Development phase include(s): I. SPC tools II. Bottleneck analysis III. Computer simulation IV. Balanced scoreboard A. II, III, and IV B. I and II C. I, II, III, and IV D. II and III E. I, II, III 44) Which of the following statements are true about time-series forecasting? A. Time series methods are useful for long-range forecasts when the demand pattern is erratic B. Time series analysis is based on the idea that the history of occurrences over time can be used to predict the future. C. Under time-series methods, demand is divided into the time-based components such as daily, weekly, etc. D. Time series analysis tries to understand the system underlying and surrounding the item being forecast. 45) Under exponential smoothing, if we want our forecast to be responsive to recent demand, the value of alpha should be: A. zero B. large C. moderate D. small 46) Due to asymmetric information, the market fears that a firm issuing securities will do so when the stock is _________. A. being sold by insiders B. overvalued C. undervalued D. caught up in a bear market 47) __________ says to look for opportunities to invest in positive-NPV projects in foreign markets or to develop derivatives or design arrangements that enable firms to cope better with the risks they face in their foreign operations. A. The Principle of Valuable Ideas B. The Principle of Diversification C. The Principle of Risk-Return Trade-off D. The Principle of Capital Market Efficiency 48) __________ says to recognize the value of hidden options in a situation, such as the foreign exchange options in some derivative instruments. A. The Time Value of Money Principle B. The Principle of Comparative Advantage C. The Options Principle D. The Principle of Two-Sided Transactions 49) __________ says to seek out investments that offer the greatest expected risk-adjusted real return. A. The Principle of Valuable Ideas B. The Signaling Principle C. The Principle of Incremental Benefits D. The Principle of Self-Interested Behavior 50) A checking account is __________. A. a place to “collect” money between inflows and outflows B. an account that acts like a reservoir C. useful because you can add money in any amount D. all of these 51) An all-equity-financed firm would __________. A. pay corporate income taxes if its taxable income is positive B. pay corporate income taxes because it would have interest expense. C. not pay any income taxes because interest would exactly offset its taxable inco
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