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This set of Service Management Multiple Choice Questions & Answers (MCQs) focuses on Service Management Set 1

Q1 | Services are characterized by all of the following characteristics except-
  • intangibility
  • homogeneity
  • inseparability
  • heterogeneity
Q2 | Which of the following is not a tangible dominant?
  • buildings
  • automobiles
  • investment management
  • computer
Q3 | What does GDP stand for?
  • gross domestic profile.
  • gross demand profile.
  • gross domestic product.
  • general domestic product.
Q4 | Hospital8. Which of the following fields would be least likely to be described as intangible- dominant?
  • manufacturing
  • education
  • insurance
  • banking
Q5 | A triangle of Company, Customers, Employees, Internal Marketing, External Marketingcommunications and Interactive marketing is known as…………..
  • marketing triangle
  • service triangle
  • communication triangle
  • sales triangle
Q6 | Odd one out
  • internal marketing
  • external marketing
  • interactive marketing
  • international marketing
Q7 | Ranking from highest to lowest, the countries with the largest service sector employmentare:
  • european community, united states, japan
  • united states, japan, european community
  • united states, european community, japan
  • united states, european community, japan
Q8 | The primary cost of producing a service is
  • rent
  • overhead
  • cost of goods sold
  • labour
Q9 | Tourism is a major creator of jobs in the world. Approximately what percentage ofglobal employment is represented by tourism?
  • 20%
  • 50%
  • 2%
  • 8%
Q10 | According to definitions of the tourist, what is the maximum allowable length of stay ina destination ?
  • one year.
  • 6 months
  • one month
  • one day.
Q11 | What does the acronym TSA stand for?
  • tourism satellite assessment.
  • travellers’ security association
  • tourism system account.
  • tourist satellite account.
Q12 | What is domestic tourism?
  • travel for less than one day in your own country
  • a business trip overseas
  • travel involving an international stay away from home
  • travel within your own country
Q13 | Which bank is known as bankers bank in India ?
  • sbi
  • rbi
  • indian bank
  • bank of india
Q14 | In which year banks were nationalized in India?
  • 1947
  • 1956
  • 1969
  • 2010
Q15 | The regulation of the financial services industry in the UK is now carried out by the
  • bank of england
  • sfa
  • sib
  • fsa
Q16 | A corporation in the U.S. estimates and pays it taxes __________.
  • monthly
  • quarterly
  • semi-annually
  • annually
Q17 | In finance we refer to the market for relatively long-term financial instruments as the__________ market.
  • money
  • capital
  • primary
  • secondary
Q18 | Discuss the social purpose and organization of health care insurance. Moral hazardby insurance companies can result in:
  • over utilization of health insurance.
  • community rating.
  • adverse selection.
  • risk pooling.
Q19 | A person injured in a motor vehicle accident will have health care expenses paid by:
  • social insurance programs.
  • auto insurance.
  • employment- based insurance
  • workers compensation insurance
Q20 | Which of the following characteristics/situations qualifies a patient for benefits under along term care insurance contract?
  • workplace injury
  • limitation in adl function
  • recent hospitalization
  • motor vehicle accident
Q21 | Which of the following laws requires that employers offer continuation of health careinsurance after a person leaves employment?
  • cobra
  • erisa
  • hipaa
  • state insurance statute
Q22 | 'Reinsurance' refers to the practice by insurance companies of:
  • terminating existing policies.
  • buying insurance from another firm
  • issuing new policies
  • renewing existing policies
Q23 | By taking out insurance cover an individual:
  • reduces the cost of an accident
  • transfers the risk to someone else
  • converts the possibility of large loss to certainty of a small one
  • reduces the risk of an accident
Q24 | Diversification is one way in which insurance companies can protect themselvesagainst:
  • positively correlated risks
  • the law of large numbers
  • parameter change
  • random fluctuation
Q25 | A 'pay as you go' pension system is unsuitable for a private firm because:
  • the firm may cease trading
  • employees are not willing to pay
  • the dependency ratio is too high
  • the benefits are insufficient