Questions 1–20: Select the one best answer to each question.
1. The most common policy used in U.S. companies today is
a/an _______ approach.
A. opt-out C. defensive
B. advocacy D. opt-in
2. Which of the following procurement activities has been made
easier through the use of Web technologies?
A. Finding and qualifying suppliers
B. Inspecting shipping documents
C. Identifying and quantifying needs
D. Inspecting and qualifying materials
3. A visitor to a Web site is bound by the terms of the service
A. reading the text and linked sites.
B. clicking on the Accept button.
C. simply using the site.
D. sending an e-mail acknowledgement to the
4. The classic objective of _______ has always been to provide the right goods in the
right quantities in the right place at the right time.
A. outsourcing C. procuring
B. logistics D. purchasing
5. A company that's responsible for transporting all or a large portion of a customer's
material is a/an
A. 3PL. C. RFID.
B. EDI. D. ACH.
6. Which one of the following statements best describes direct connection EDI?
A. Each business operates its own EDI translator computer that's connected directly to
other computers in the system.
B. Businesses use a value-added network that stores communication software needed
for the EDI transaction.
C. Businesses use the Internet for EDI transactions.
D. Businesses send EDI documents through the mail.
allows you to upload digital pictures to its Web site at no
charge. When it sells prints of these photos to you, it engages in
A. bait-and-switch tactics. C. monetizing.
B. cross-selling. D. viral marketing.
8. Dell Computer is one company that has been able to reduce supply chain costs by
A. sharing information with its suppliers.
B. absorbing the cost.
C. sending the cost back to consumers.
D. reducing its need for suppliers.
9. Vendors selling indirect materials on the Web achieve a major reduction in the cost of
A. researching replacement items.
B. printing and shipping catalogs.
C. negotiating with their suppliers.
D. advertising improved products.
10. The main law governing privacy on the Internet today is the _______ Act of 1986.
A. Privacy Rights Advocacy
C. Electronic Communications Privacy
11. A business-to-business Web auction is an inexpensive way for a company to dispose of
A. high-demand finished products. C. back-ordered spare parts.
B. short-supply raw material. D. unusable or excess inventory.
12. All eBay auctions have a _______ increment.
A. minimum bid C. time limit
B. space limit D. maximum bid
13. In a/an _______ auction, multiple sellers submit price bids to an auctioneer who
represents a single buyer.
A. sealed-bid double C. Dutch
B. reverse (seller-bid) D. English
14. In an EDI purchasing process, the _______ has been replaced with the data
communications of an EDI network.
A. federal tax return C. insurance claim form
B. receiving department D. mail service
15. Until the legal environment of privacy regulation becomes more clear, privacy
advocates recommend that electronic commerce Web site be _______ in their
collection and use of customer data.
A. generous C. public
B. conservative D. liberal
16. The relationship between the government and a tax-paying entity is known as
A. a nexus. C. TOS.
B. statutory law. D. common law.
17. Roadway Trucking customers can determine where their shipments are by accessing a
Web site that monitors truck positions using GPS technology. Using GPS and portable
computing technologies is an example of
A. just-in-time delivery management.
B. support service management.
C. second-wave electronic commerce.
D. computerized inventory management.
18. Which one of the following is not a legal issue that can arise regarding the Web page
content of electronic commerce sites?
A. Product disparagement C. Reaffirmation
B. Advertising claim regulation D. Deceptive trade practices
19. The sales tax collection process in the United States is largely regarded as a
A. growth opportunity. C. profit generator.
B. serious problem. D. loss magnet.
20. _______ are those materials that become part of the finished product in a
A. Spot welds C. Indirect materials
B. Direct materials D. Operating supplies
1. A key measurement for Web server performance is
throughput, which is the
A. rate of transfer when downloading a 1-megabyte file.
B. number of HTTP requests processed in a given amount
C. number of concurrent users on the Web site during a
given time period.
D. amount of time it takes to access the home page during
peak transaction periods.
2. When Web server hardware and software combination
are _______, they can be adapted to meet changing
requirements when their clients grow.
3. Server-side scripting is used to provide
A. storage requests. C. dynamic Web site content.
B. static Web site content. D. SQL tables.
4. Code Red and Nimda are examples of
A. antivirus software. C. worm busters.
B. multivector viruses. D. SatanBug virus/worms.
5. The main disadvantage to a decentralized Web server architecture is that
A. load balancing is not possible.
B. operating systems become inefficient.
C. several switches and hubs are required.
D. peripherals can't be attached to the system.
6. A hosting service that provides the physical space to the client for the client's own Web
server is called a _______ service.
A. time-sharing C. dedicated
B. distributed D. co-location
7. Shopping cart software keeps track of the items chosen during a Web shopping visit by
A. having the user fill out forms.
B. storing purchase information in Web files.
C. using text box controls on the Web page.
D. storing screens on a disk.
8. A _______ catalog stores the information about items in a database, usually on a
separate computer that's accessible to the server that's running the Web site itself.
A. analogue C. dynamic
B. static D. digital
9. In a denial-of-service attack, normal processing can be disrupted when
A. service providers lose their credit cards.
B. someone warchalks a building.
C. wireless access points are stolen.
D. an excessive number of requests overwhelms a Web server.
10. Cybervandalism is an example of
A. active wiretapping.
B. an integrity violation.
D. a wireless network.
11. The rules used in the business that cause an application server to perform a certain
action based on input are called
A. data directives. C. step-by-step procedures.
B. e-commerce commands. D. business logic.
12. Commerce service providers usually provide
A. Web server management software and applications.
B. unlimited software licenses to clients.
C. customer service support for site customers.
D. in-person desk side support for the company.
13. _______ provides search and catalog capabilities, electronic shopping carts, online
credit card transaction processing, and the ability to connect to existing back-end
business systems and databases.
A. Yahoo! Store
C. WebSphere Commerce Suite
B. Intershop Enfinity MultiSite
D. Bigstep Turtle Servers
14. An important goal of companies when they install middleware is
A. co-location. C. open sourcing.
B. shared hosting. D. interoperability.
15. Large electronic commerce sites usually keep _______ combinations in a separate
database with built-in security features.
A. virus scan C. firewall
B. username/password XXXXX log file directory
16. A macro virus attack is most often launched through
A. attachments to e-mail messages. C. sound and video files.
B. infected floppy disks. D. corrupt Web sites.
17. If properly configured, your Internet browser can detect that a Web site is attempting
to load active content to your computer and
A. prompt you for your username and password.
B. shift to text-only display mode.
C. terminate the session.
D. display a security warning message.
18. In a _______, the contents of an e-mail are often changed in a way that negates the
message's original meaning.
A. man-in-the-middle exploit
C. router jacknife
B. encryption end run
D. TCP/IP protocol
19. _______ is a programming language developed by Sun Microsystems that's used
widely in Web pages to provide active content.
20. The Code Red worm-virus combination is an example of a
A. macro virus. C. multivector virus.
B. untrusted applet.
1. You purchase an item from the Web site www.buyme.com
on January 27 and pay with a credit card. However, they've
charged you twice. When is the last day that the consumer
can contest an online credit card purchase?
A. January 30
C. February 26
B. March 1
D. February 6
2. Which of the following statements best represents an open
A. Two companies both buy and sell products to
B. A third party processes a financial payment.
C. Two companies are involved in a financial payment
without any intermediary services.
D. A merchant bank is using the EMV standard.
3. One of the disadvantages of electronic cash is that
A. there's no audit trail. C. it has high transaction costs.
B. it can be easily counterfeited. D. it requires special hardware.
4. Which of the following is a disadvantage to server-side electronic wallets?
A. They aren't portable.
B. They require software downloads.
C. They're subject to possible security problems.
D. They require special hardware.
5. Which of the following represents digital cash that can be exchanged for goods or
services, but not physical cash?
A. Yahoo! Wallet
C. VISA's smart card
B. Microsoft .NET Passport
6. Which of the following statements best describes fast venturing?
A. A company offers start-up companies location, assistance, and technology
at a low cost.
B. A company offers outsourcing skills for partial profits for a start-up company.
C. A company offers outsourcing skills for stock options in an established company.
D. An existing company joins up with another company to start an electronic
7. Which of the following employees is responsible for tracking costs, objectives, and
performance for a product?
A. Account manager
C. Business manager
B. Project manager D. Portfolio manager
8. Which of the following companies represents an incubator?
9. What is one of the most predictable results of widespread use of electronic billing and
payment over the Internet?
A. Reduction in transaction costs
C. Spread of computer literacy
B. Increase in online banking services
D. Higher network speeds
10. Which of the following is not a type of payment card?
A. Charge cards
B. Debit cards
D. Credit cards
11. Which of the following is the primary reason that online merchants accept payment
cards for Web purchases?
A. Assurance of payment
C. Product warranty
B. Limitation of liability
D. No fee for transactions
12. Marianne never received the electric drill she bought from http://www.tools.com
She successfully had the charge removed from her MasterCard bill. The bank then
retrieved that amount from the Web site's account in a process called a
A. credit transfer.
C. bill reversal.
D. payment revocation.
13. A type of fraud where the same electronic cash is sent to several different
vendors is called
A. e-cash overdrafting.
C. double spending.
14. What makes smart cards safer than conventional credit cards?
A. Installation software
C. Multiple-account access
D. Security clearances
15. A company hesitates to build a sales Web site because they want to save money.
The company loses sales due to its inaction, and has experienced a/an
A. opportunity cost. C. customer loss.
B. marketing damage. D. public relations fiasco.
16. To create a Web site with electronic commerce operations that's far ahead of
competitors costs _______ million and up.
A. five C. fifteen
B. ten D. twenty
17. In which form of outsourcing does a company outsource specific components
of the project?
A. Early C. Partial
B. Late D. Total
18. Why are electronic commerce projects shorter in duration than other information
A. Qualified personnel are in short supply.
B. Technology changes rapidly.
C. Funding is insufficient for long projects.
D. Project benefits are too vague to measure.
19. Once the electronic commerce project is operational, a call center is needed to
A. respond to customer inquiries.
B. plan for future implementations.
C. monitor the usage of server disk space.
D. audit payment methods.
20. Which one of the following is not a tangible benefit of electronic commerce initiatives?
A. Increased sales
B. Reduced costs
C. Measured faster deliveries of ordered goods
D. Increased customer satisfaction