Online Access Free HBX.CORe.v2025-04-09.q188 Practice Test (Page 6)

CORe Exam Question 21

Which of the following options is the measure of how long it takes from the time a business has to pay for inventory from a supplier until it collects cash from the customer from a sale?

A.Cash efficiency

B.Days payable outstanding

C.Cash conversion cycle

D.Working capital

CORe Exam Question 22

Which of the following activities will cause assets and owner's equity to decrease?

A.Repurchase common shares for cash

B.Pay off the principal and interest of a long-term debt

C.Declare dividends on outstanding shares

D.Sell used plant equipment and realize a gain

CORe Exam Question 23

Topic 1, Business Analytic
Exhibit:

Based on the scatterplot below, which of the following correlation coefficients BEST describes the relationship between undergraduate GPA and beginning annual salary?

A.0.9

B.-0.2

C.-0.9

D.0.2

CORe Exam Question 24

Managers at a fast food chain that employs mostly minimum wage workers learn that a new law may increase the minimum wage in the United States by 25 percent. Assuming demand for labor is NOT perfectly elastic, how will this affect the market outcome?

A.At any market price, fast food restaurants will be willing to supply less food.

B.Demand for fast food will increase, offsetting the change in price due to decreased supply.

C.Price and quantity of fast food will not change, but the fast food chain will capture more value.

D.As more people will be willing to work for the higher wage, the fast food chain's output will increase.

CORe Exam Question 25

A supply manager for DEF Inc. meets with the firm's operations team to discuss the requirements for a new piece of equipment. The team establishes the specifications, and the supply manager begins contacting suppliers. The supply manager finds that almost everything specified is outside the normal features of the equipment and will require custom modifications. These modifications will raise the cost to 2.5 times the amount budgeted. In this situation, which of the following should the supply manager do?

A.Review the specifications to ensure alignment between what is available and what is requested

B.Negotiate with the suppliers to get a price closer to the budgeted cost

C.Purchase the equipment as specified by the operations team and quoted by the suppliers

D.Source new suppliers for the equipment with better prices

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