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

1. One of the primary goals of individualized instruction in business education is to

A) encourage cooperation among all instructors of the same students
B) reduce the cost of instructional materials needed
C) allow the student to progress at the most appropriate rate
D) teach general theories rather than specific skills that may become obsolete

2. Which of the following do shareholders receive either quarterly or annually, when the board of directors authorizes a distribution of company earnings?

A) Royalties
B) Long-term capital gains
C) Short-term capital gains
D) Dividends

3. A small hardware store purchases 5 hammers for $5 each and sells the hammers for $9 each. Which of the following amounts represents the total gross profit?

A) $45
B) $20
C) $4
D) $25

4. Which of the following is a primary purpose of financial markets?

A) Increasing the price of common stock
B) Allocating capital efficiently
C) Lowering the yield on bonds
D) Controlling inflation

5. The term "laissez-faire" is primarily associated with a

A) command economic system
B) planned economic system
C) free enterprise economic system
D) mixed economic system

Solutions: