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PRAXIS Praxis Business Education: Content Knowledge (5101)Exam Sample Questions (Q12-Q17):

NEW QUESTION # 12
Which of the following statements best describes a recession?

A. Businesses expand production and unemployment rises.
B. Demand for goods and services falls and unemployment rises.
C. The amount of goods a given amount of money buys declines.
D. Demand for goods and services rises and productivity falls.

Answer: B

Explanation:
A recession is characterized by a decline in economic activity, leading to reduced demand for goods and services and increased unemployment as businesses cut back. Option B is incorrect, as business expansion typically reduces unemployment. Option C is incorrect, as rising demand does not align with a recession.
Option D describes inflation, not a recession. This question falls under the Economics category, focusing on macroeconomic concepts.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Economics; Principles of Economics, Chapter 22.

NEW QUESTION # 13
Which of the following best describes the purpose of tabs in word-processing software?

A. To single-space lines of text
B. To create graphics
C. To wrap text around a graphic
D. To position text within a line

Answer: D

Explanation:
Tabs in word-processing software are used to position text at specific points within a line, creating aligned columns or indentations. Option A (create graphics) is unrelated to tabs. Option C (single-space lines) pertains to line spacing settings. Option D (wrap text around graphics) involves text-wrapping features, not tabs. This question falls under the Information Technology category, focusing on software functionality.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Information Technology; Introduction to Business Information Systems, Chapter 4.

NEW QUESTION # 14
For the development and maintenance of a business webpage, it is essential that

A. the most current software be used
B. the hardware support video and sound
C. the webpage be continuously updated
D. the server be maintained in-house

Answer: C

Explanation:
A business webpage must be continuously updated to ensure content remains relevant, accurate, and engaging, maintaining customer trust and search engine rankings. Option A (current software) is important but not essential, as older software can still function. Option C (video and sound support) is optional, depending on the webpage's purpose. Option D (in-house server) is not necessary, as many businesses use third-party hosting. This question aligns with the Information Technology category, emphasizing web management.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Information Technology; Web Design: Principles and Practices, Chapter 6.

NEW QUESTION # 15
Which of the following is an example of a primary source?

A. Reading a book
B. Conducting an interview
C. Studying a journal article
D. Searching a website

Answer: B

Explanation:
A primary source provides firsthand information or original data, such as an interview, where the information comes directly from the source. Option A (journal article) is typically a secondary source, as it analyzes or interprets primary data. Option B (book) is usually secondary, unless it is an autobiography or original document. Option D (website) can contain primary or secondary information but is not inherently primary.
Conducting an interview directly gathers original data, making it a primary source. This question aligns with the Communication and Career Development category, emphasizing research and communication skills.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Communication and Career Development; Business Research Methods, Chapter 4.

NEW QUESTION # 16
As a consequence of bankruptcies resulting from fraudulent accounting practices and lack of ethical behavior by corporate officials, the United States Congress passed legislation in 2002 in an attempt to increase the accountability of corporate executives. Which of the following laws did Congress pass for this purpose?

A. Sarbanes-Oxley Act
B. Provide Appropriate Tools Required to Intercept and Obstruct Terrorism (PATRIOT) Act
C. Consumer Credit Protection Act
D. Robinson-Patman Act

Answer: A

Explanation:
The Sarbanes-Oxley Act (SOX) of 2002 was enacted to enhance corporate accountability and prevent fraudulent accounting practices following scandals like Enron. It imposes stricter financial reporting and auditing requirements. Option B (PATRIOT Act) addresses terrorism, not corporate governance. Option C (Robinson-Patman Act) prevents price discrimination. Option D (Consumer Credit Protection Act) protects credit consumers, not corporate accountability. This question aligns with the Business Law category, emphasizing corporate ethics.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Business Law; Business Law: Text and Cases, Chapter 41.

NEW QUESTION # 17
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