Download Deca Finance Cluster Exam Save Groups and more Exams Health sciences in PDF only on Docsity!
DECA-Finance Cluster Exam with questions and
detailed verified answers 2026
- Which of the following is a type of intangible business property that is protected by law: A. Equipment B. Inventory C. Acreage D. Trademark - ANSWERD
- When filing a tort against a business, the plaintiff must establish that the defendant A. damaged property intentionally. B. breached the duty of care. C. conspired with a competitor. D. violated the doctrine of sovereign immunity. - ANSWERB
- Which of the following is an example of a voluntary debtor-creditor relationship: A. Requiring specific information B. Receiving a monetary gift C. Obtaining a loan from a bank D. Owing punitive damages - ANSWERC
- Chris purchased 500 shares of microcap HRR stock. Then, he posted false information about HRR on several investment websites to hype up the stock. After driving up the price of HRR stock, Chris quickly sold all of his stock in the company and earned a large profit. The price of the stock then fell, leaving HRR investors with worthless stock. What type of investment scam did Chris commit? A. Phishing B. Pyramid scheme C. Ponzi scheme D. Pump and dump - ANSWERD
- Which of the following statements best describes the taxation of Roth IRAs: A. Contributions and withdrawals during retirement are both taxed. B. Contributions are tax deductible, but withdrawals during retirement are taxed. C. Contributions are taxed, but withdrawals during retirement are not. D. Contributions and withdrawals during retirement are tax deductible. - ANSWERC
- Compliance in the finance industry involves financial institutions operating within A. specific territories. B. regulatory guidelines. C. organizational plans. D. different relationships. - ANSWERB
- In general, a governance, risk, and compliance (GRC) software system identifies and measures risk; monitors the risk-management system; routinely checks adherence to company-wide policies; and ensures compliance with A. reporting requirements.
- Alma is preparing a presentation about her department's budget to make to the company president. She wants to use a visual representation of the budget that shows parts in relation to the whole. Alma should consider using a A. table. B. pie chart. C. line graph. D. bar graph. - ANSWERB
- What type of letter should a business include when sending copies of a contract to a vendor? A. Request B. Acknowledgment C. Claim D. Transmittal - ANSWERD
- Identify the type of appeal used in the following persuasive message: "This new book is written by Dr. Juliet Browne, who holds a doctorate from the Harvard School of Medicine and is the Chair of the World Health Organization." A. Emotions B. Reason C. Credibility D. Shock value - ANSWERC
- What is a type of informal communication that coworkers often use to communicate with each other? A. Network B. Feedback
C. Grapevine D. Structured - ANSWERC
- What is one of the benefits to a business of reinforcing service orientation through communication? A. Rewards customers for their support B. Promotes the sale of new products C. Builds positive relationships with customers D. Encourages employees to be aggressive - ANSWERC
- When Mr. Schwarz's order did not arrive at the expected time, he called Karl, the salesperson with whom he had placed his order. Karl apologized for the delay and told Mr. Schwarz that he would check into the issue. After Karl talked with the transportation company, he immediately called Mr. Schwarz to let him know where the order was and when to expect delivery. Mr. Schwarz thanked Karl for getting back with him so quickly. In this situation, Karl reinforced the company's image by A. delegating work tasks. B. giving vague answers. C. providing efficient follow-up. D. complimenting the customer. - ANSWERC
- What is an important aspect of a customer-centric business? A. Reducing the number of touch points with customers B. Limiting the employees' decision making C. Being satisfied with the status quo D. Aligning business activities with customer needs - ANSWERD
- When providing product information to clients, finance professionals should use
- Determining what consumers want in order to promote and sell those goods and services is a function of the business activity of A. risk management. B. quality management. C. production. D. marketing. - ANSWERD
- Which of the following describes the matrix organizational structure: A. It is a combination of two other organizational structures. B. It includes only traditional departments, such as sales and marketing. C. It is separated by product lines. D. It is the oldest organizational structure being used. - ANSWERA
- Seeing the big picture instead of smaller, individual parts is an organizational learning concept known as A. systems thinking. B. team learning. C. shared organizational vision. D. personal mastery. - ANSWERA
- The general economic growth of a country is supported by its A. level of productivity. B. standard of living. C. gross domestic product.
D. wealth of goods and services. - ANSWERA
- Colleen will vote next week on the new contract that her union has negotiated with management. Union and management are in the __________ stage of the collective-bargaining process. A. contract settlement B. ratification of contract C. preparation and research D. tentative agreement - ANSWERD
- An economy with a high unemployment level tends to have A. rapid GDP growth. B. a high supply of money. C. fewer monetary policies. D. a lower rate of inflation. - ANSWERD
- Jon decided to promote Bill instead of Maggie to regional manager because he thinks that women aren't assertive enough in business situations. Jon is stereotyping on the basis of A. age. B. ethnicity. C. religion. D. gender. - ANSWERD
- One way that individuals exhibit self-confidence is by being A. creative. B. enthusiastic.
C. be considered childish. D. lose their independence. - ANSWERA
- Keeping the end goal in mind refers to which standard of excellence that achievement-oriented people set? A. Results B. Improvement C. Trying something new D. Competition - ANSWERA
- One way a leader can encourage others to work toward a shared vision is by A. guaranteeing a profit for the business. B. describing the objective. C. reviewing the new assignment. D. explaining how they will benefit. - ANSWERD
- Coaching is mostly about A. talking. B. organizing. C. instructing. D. listening. - ANSWERD
- Which of the following people would make the best entrepreneur: A. A risk-averse person who wants to work 9-to- 5 B. A person who lacks self-confidence
C. A risk-taker who has a strong work ethic D. A person who often works so hard she makes herself sick - ANSWERC
- When the U.S. federal government owes money to a contracted employee or business, the government must pay the employee or business according to the A. Early Bird Act. B. Prompt Payment Act. C. Secure Contracting Act. D. Government Guidelines Act. - ANSWERB
- Financial planning can be described as a way to A. retire with a substantial amount of money in the bank. B. stop all impulsive purchases. C. achieve your professional goals. D. realize what it takes to get the things you really want. - ANSWERD
- The key factors involved in compounding growth are the amount of money you invest, how much your investment grows each year, and A. your educational background and career. B. how you earn the money that you invest. C. how long your money is invested. D. your mutual fund manager's education. - ANSWERC
- What is the first step Cameron should take to protect himself from identity theft after he loses his wallet? A. Advise the proper law enforcement authorities about the loss
A. inflation, unemployment, and bonds rates. B. interest rates, overhead expenses, and inflation. C. Gross Domestic Product, overhead expenses, and unemployment. D. Gross Domestic Product, unemployment, and inflation. - ANSWERD
- What do some investors use to hedge the risk of investing in the foreign exchange market? A. No-load funds B. Emerging markets C. Venture capital D. Derivatives - ANSWERD
- What type of financial statement includes an accounting of the shareholders' equity for a company? A. Annual report B. Income statement C. Cash flow statement D. Balance sheet - ANSWERD
- The most common headings on a stock table include the 52-week high and low, the stock symbol, the estimated dividend per share, the yield percentage/rate of return, the volume/sales for the day, the closing price for the day, the net change and the A. net income. B. earnings per share. C. price-earnings ratio. D. stockholder's equity. - ANSWERC
- Businesses usually invest in
A. bonds. B. themselves. C. stocks. D. real estate. - ANSWERB
- One advantage to businesses of using electronic funds transfer technology to collect accounts receivable is that it eliminates A. check processing. B. liquidity reporting. C. sales discounting. D. payee outsourcing. - ANSWERA
- A business's balance sheet lists $3,800 in cash, $15,125 in accounts payable, $2,775 in taxes, $10, in machinery and equipment, and $6,280 in salaries. Calculate the business's total liabilities. A. $27, B. $18, C. $15, D. $24,180 - ANSWERD
- When preparing a statement of equity, what does a business deduct from its total net income to obtain its retained earnings? A. Bad debt B. Depreciation of assets C. Sales tax payable D. Dividends paid - ANSWERD
D. They will be required to repay the money immediately. - ANSWERC
- Ethan is developing common-size financial statements so that he can compare financial performance across several different companies. Ethan is conducting __________ analysis. A. horizontal B. vertical C. ratio D. trend - ANSWERB
- Which of the following equations should employees know when they are verifying the accuracy of a business's balance sheet: A. Assets = Liabilities + Owner's Equity B. Owner's Equity = Available Cash - Liabilities C. Assets = Owner's Equity - Liabilities D. Owner's Equity = Liabilities + Available Cash - ANSWERA
- You want to have $8,000 in three years to purchase a car. You can earn 4% compound interest on your investment. How much should you invest today? A. $7,364. B. $7,111. C. $7,692. D. $7,821.47 - ANSWERB
- Effective financial-information management involves implementing processes that help companies A. revise economic indicators. B. track their ongoing projects.
C. interpret government regulations. D. make appropriate business decisions. - ANSWERD
- Which of the following is an example of a businessperson exhibiting unethical behavior in relation to a business's financial information: A. A banker requests financial information from a business to process a loan. B. An auditor verifies the accuracy of a corporation's financial statements. C. An unauthorized employee reviews a client's financial information. D. A manager examines the business's financial records to develop a budget. - ANSWERC
- The foundation of the principle of least authority is that computer data are more secure when access to specific types of data are only available to A. the customers who request it. B. mid-level managers. C. personnel during set time periods. D. the people who need it. - ANSWERD
- Tara knows that for her small business to grow, she must increase her cash flow. She's unsure, though, whether she should take out a loan or a line of credit. Which of the following budgeting software tools could Tara use to assess the potential impact of each source of funding on her business: A. Zero-based modeling B. Decision trees C. Environmental scanning D. Debt modeling - ANSWERD
- What financial analysis application does a business use to evaluate changes in its cash position from
- Amy says, "I think the primary reason that last year's sales were higher than this year's sales is because Jansen Electronics has taken a portion of our market share." This is an example of A. comparative criticism. B. a fact. C. historical data. D. an opinion. - ANSWERD
- What do most businesses use to store information for future use? A. Scanners B. Display screens C. Computer systems D. Firewalls - ANSWERC
- Adian is conducting online research for a marketing project at work. What web-based tool will help Adian save and organize the websites that contain the relevant information he needs for his final report? A. Personal intranet connection B. Notebook with color-coded dividers C. Word-processing memo template D. Browser bookmarking applications - ANSWERD
- In which of the following situations would a business use a spreadsheet software program to estimate the effect of change on its financial situation : A. A salesperson kept all appointments. B. Mailing labels are needed for a catalog. C. Customers purchased more products.
D. Sales are expected to increase by 5%. - ANSWERD
- What application enables a business to identify when a record was added to a database? A. Validation rules B. Date/Time stamp C. Data replication D. Sort - ANSWERB
- The primary purpose for record keeping is to provide information about what is happening with the A. industry. B. country. C. economy. D. business. - ANSWERD
- Which of the following is an example of how a business or industry has a unique relationship with its environment: A. Social and cultural attitudes change over time. B. An economy in prosperity will eventually experience recession. C. Demand for skilled nursing care rises as the population ages. D. New technology causes new laws to be enacted. - ANSWERC
- Determine the mode for a customer-survey question using the following statistical information: 7, 5, 3, 7, 7, 9, 5, 7, 9, 9 A. 5 B. 3
