Free Product Management Definition & Tools Certification Questions and Answers

Question 1

Jason is the proprietor of a tiny IT business. He gave 10% of the business to his friend Shanel in return for a monetary contribution. What kind of finance is demonstrated by this example?

Accepted Answer

A stock offer

Answer

Jason giving 10% of his business to Shanel in exchange for money is a classic example of equity financing. This means Shanel is purchasing a share of ownership in the company, which is facilitated through a stock offer. She becomes a shareholder, providing capital in return for a stake in the business.

Question 2

Keith called a brief team meeting after a local news story to review possibilities. He posted a memo on the employee bulletin board next to the time clock as a permanent record that all workers could see. What methods of communication did Keith use?

Accepted Answer

Oral then written

Answer

Keith first used oral communication by calling a 'brief team meeting' to discuss possibilities. Subsequently, he used written communication by 'posting a memo on the employee bulletin board' as a permanent record. Therefore, the sequence of communication methods was oral, followed by written.

Question 3

What does a WBS look like?

Accepted Answer

The HVAC unit for heat and air conditioning may also be installed by the electrical contractor, along with 25 outlets

Answer

A Work Breakdown Structure (WBS) decomposes project deliverables into smaller, manageable components. Option D describes specific, tangible work items (installing an HVAC unit and 25 outlets) that are measurable and assignable, characteristic of a work package or activity within a WBS. The other options are vague or observational statements, not structured work elements.

Question 4

Which component of the BRIE model would a task like patenting an invention by an entrepreneur fall under?

Accepted Answer

Resources

Answer

The BRIE model includes Boundary, Resources, Intention, and Exchange. Patenting an invention falls under 'Resources' because it involves acquiring and protecting intellectual property, which is a valuable asset for an entrepreneur. Resources encompass all the assets, including legal protections, that a business needs to operate and grow.

Question 5

What does a left-side entry on an account mean?

Accepted Answer

Debit

Answer

In double-entry accounting, a debit is an entry recorded on the left side of a T-account. Debits are used to increase asset and expense accounts, and decrease liability, equity, and revenue accounts. This is a fundamental principle of accounting.

Product Management Practice Test

Product Management Practice Test

Free Product Management Definition & Tools Certification Questions and Answers