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PRAXIS Praxis Business Education: Content Knowledge (5101)Exam Sample Questions:

1. Which of the following limitations of email is a barrier to clear communication?

A) The message cannot be shared with others.
B) The recipient will not be able to judge non-verbal cues.
C) The sender will not be able to make the message seem as courteous as in person.
D) The message will not be accurately transmitted.

2. If margarine and butter are substitute goods, which of the following will result in an increase in the demand for margarine?

A) An increase in the supply of margarine
B) A decrease in the supply of margarine
C) An increase in the price of butter
D) A decrease in the price of butter

3. The interest rate on short-term loans that large banks charge their commercial borrowers who have excellent credit ratings is called the

A) funds rate
B) discount rate
C) market rate
D) prime rate

4. Distribution, pricing, and promotion of the product are presented in which section of the business plan?

A) Merchandising
B) Marketing
C) Production
D) Organization

5. Which of the following best describes the market structure of the soft drink industry?

A) A monopoly that restricts further competition
B) An oligopoly that requires a huge upfront investment
C) An oligopoly that carries tight government restrictions
D) A monopoly that suffers from excessive competition

Solutions: