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PRAXIS Praxis Business Education: Content Knowledge (5101)Exam Sample Questions:
1. Which of the following terms is best defined as the unscrupulous acquisition of financial information on the Internet?
A) Phishing
B) Downloading
C) Spamming
D) Blogging
2. Which of the following is the best example of eminent domain?
A) The state government grants property ownership to homeowners who discover the property line runs through the middle of their home.
B) The local government lays pipeline beneath the surface of privately owned land.
C) The state government intends to build a ramp to the highway and takes privately owned land to complete the building project.
D) The local government tells homeowners that they may not build a multifamily dwelling in an area containing only single-family dwellings.
3. Company A is the category leader in the orange juice industry and produces Product A at $3.00 per unit.
Company B is the second category leader in the industry and produces Product B at $2.70 per unit. Because an early frost affected the orange crop, Company A raised the price of Product A to $4.00 per unit. Company B subsequently raised the price of Product B to $3.60 per unit. Which of the following pricing strategies is Company B using for Product B?
A) Discount pricing
B) Dynamic parity
C) Pure parity
D) Premium pricing
4. Which of the following best describes the market structure of the soft drink industry?
A) An oligopoly that carries tight government restrictions
B) A monopoly that restricts further competition
C) An oligopoly that requires a huge upfront investment
D) A monopoly that suffers from excessive competition
5. The Federal Reserve Bank can increase the rate of growth of the money supply primarily by
A) selling government securities in the open market
B) raising the discount rate
C) buying government securities on the open market
D) raising the reserve requirement
Solutions:
Question # 1 Answer: A | Question # 2 Answer: C | Question # 3 Answer: B | Question # 4 Answer: C | Question # 5 Answer: C |