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TExES Business and Finance 6-12 (276) Practice Test
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There are five content areas, called domains, on the test. Each content area tests in several categories. Finance: Tests knowledge of money matters, such as comparing and contrasting investment strategies Banking and financial services, including how to utilize banking information systems Securities and investments, which includes selecting client investments and calculating asset values Insurance operation, which includes techniques to identify fraud Basic and advanced accounting by showcasing critical thinking skills independently and in teams Financial analysis to solve... Show more
TExES Business and Finance 6-12 (276) Practice Test
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25 Questions

1. Refer to the following table:

Cost

Franchise fee

Average gross monthly revenue

Average monthly expenses

Business A

$500,000

5% of gross revenue

$20,000

$15,000

Business B

$440,000

4% of gross revenue

$16,000

$10,000

Business C

$320,000

None

$10,000

$5,000

Business D

$175,000

None

$8,000

$5,000


Sarah has up to $550,000 to invest, and is trying to decide which of four catering businesses she wants to purchase. Which of the options below correctly lists the businesses in order of average monthly profit from largest to smallest when the franchise fee is taken into consideration?
2. A company that is included in the Dow Jones Industrial Average most likely to be:
3. A company considering manufacturing a product in several different emerging markets will most likely consider which of the following factors in choosing between them?
4. Refer to the following table:

Cost

Franchise fee

Average gross monthly revenue

Average monthly expenses

Business A

$500,000

5% of gross revenue

$20,000

$15,000

Business B

$440,000

4% of gross revenue

$16,000

$10,000

Business C

$320,000

None

$10,000

$5,000

Business D

$175,000

None

$8,000

$5,000


If Sarah wanted to get her initial investment back as quickly as possible, which of the following options would you advise her to choose, based upon the information in the table?
5. Which of the following countries is not part of NAFTA?
6. Which of the following is not a responsibility of the Securities and Exchange Commission (SEC)?
7. Which of the following is not a part of Maslow’s hierarchy of needs?
8. Businesses can increase the security of confidential customer information by:
9. Search engine optimization (SEO) is the process of:
10. Refer to the following table:

Sticker price of the car

Down payment

Monthly payment

Term of loan

Option A

$8,000

$0

$330

36 months

Option B

$8,000

$3,000

$160

60 months

Option C

$15,000

$0

$250

60 months

Option D

$15,000

$5,000

$400

36 months


Which of the options listed in the table would require the family to pay the highest amount of interest, total?
11. Which of the following terms best describes a situation where an individual enters into an agreement with a company to use the company’s business model within a given territory, usually in exchange for a fee?
12. Which of the following is true of a Wide Area Network (WAN)?
13. Upon which organization does the international community primarily rely to deal with claims of unfair protectionism by one country against another?
14. Which of the following countries would be considered an emerging market?
15. Which of the following activities provides the best example of collaboration between business education teachers and teachers of other subject areas?
16. Accounts receivable are:
17. An individual who is about to retire and wants to earn interest without risking his or her principal would most likely be advised to invest in:
18. Nations whose economies rely primarily of the export of non-oil commodities like rubber or copper are:
19. In order to start an online business, and individual would need all but which of the following:
20. In order to facilitate communication between employees within a company, the company is considering providing all employees with unlimited access to a file that contains employee names, work phone numbers and addresses, work email addresses, birthdates, and social security numbers. What confidentiality issues would this new policy raise?
21. Frank is 33 years old and married, with 2 children. He has $40,000 in his retirement account, which is earning an average of 5% annually, and $10,000 in his personal savings account, which is earning 2% annually. He is current with his mortgage, and has $50,000 left to pay at a rate of 6%. Frank also has $30,000 in credit card debt with an average rate of 13%. If Frank wants to increase his chances of retiring comfortably, what would the best way be for him to spend a Christmas bonus of $10,000?
22. A successful manager will be able to effectively delegate:
23. Refer to the following table:

Sticker price of the car

Down payment

Monthly payment

Term of loan

Option A

$8,000

$0

$330

36 months

Option B

$8,000

$3,000

$160

60 months

Option C

$15,000

$0

$250

60 months

Option D

$15,000

$5,000

$400

36 months


A family wants to buy a new car, and is trying to decide between four different car and car loan options. Which of the loans would require them to pay the least amount of money overall, including the down payment and the monthly payments?
24. A new manager with ABC Industries has noticed that many of his employees are chronically late to work. To remedy the problem, the manager decides to implement a bonus system that will financially reward employees who are on time to work for ten consecutive days. According to B.F. Skinner’s Operant Conditioning theory, what type of behavior modification approach is the manager using?
25. The par value of a bond is the:

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