SALES MANAGEMENT QUESTIONS

1. The following are characteristics of sales forecasting except:

A. Forecasts are rarely perfect
B. Forecast accuracy decreases as the time horizon increases
C. The conditions that exist in the past will continue in the future
D. Forecast accuracy increases as time horizon increases
2. One of the following is the characteristics of the salespeople which is referred as the hard
work made by the salespeople to achieve sales targets and satisfying customers:

A. Determination
B. Industriousness
C. Alertness
D. Imagination

3. The type of sales quota which is applicable for setting quota for fast growing markets that are
without too much price competition is:

A. Financial quota
B. Activity quota
C. Combination quota
D. Sales volume

4. One of the following is done in an organization to attract and retain most valuable sales
people who can be and are assets of the organization:

A. Sales force training

B. Sales force evaluation
C. Sales force controlling
D. Sales force compensation
5. If an organization identified that most of its sales force is composed of goal and money
oriented, which compensation plan is applicable to satisfy its sales force?
A. Fixed salary
B. Recognition
C. Salary and commission
D. Commission only
6. The following are external factors which influence compensation plan of an organization
except:
A. Society
B. The employee
C. The economy
D. Labor laws
7. methods of forecasting has advantage over the executives method as it allows repeated
discussion among group of forecasting members:
A. Delphi Method
B. Sales force composite
C. Time serious method
D. Jury of executives’ opinion
8. Of the following, one is not the objective of performance appraisal
A. Fair and Equitable Format
B. Basis for Salary/Promotion
C. Recommendations
D. Recruitment
9. Of the following one is not step in selection process
A. Job analysis
B. Interview
C. Physical examination
D. Applicant evaluation
10. Which of the following not an advantage of external recruitment?
A. Provide wider pool
B. New culture introduced to the company
C. New idea introduced to the company
D. Nepotism and favoritism may exist
11. A sales training mainly involves all of the following except.
A. Tell him (salesman) what to do
B. Show him how to do it
C. Anarchical supervision
D. Let him do it himself
12. One of the following is different from the other
A. Promotion
B. Advertising
C. Word of mouth
D. Walk-ins
13. One of the following methods of closing the sale is applied to assess the eagerness of the
prospect.
A. Asking direct question
 B. Assuming the choice
C. Offering inducement to buy
D. Suggestive close
14. Which of the following is not objective of sales organization?
A. Growth
B. Market leadership
C. Customer relationship
D. Market share reduction
15. The importance of sales quota includes all except;
A. Maximizing of Financial Risk
B. Increase Efficiency of Management
C. Division of labor
D. Coordination and Control
16. From the following one doesn’t influence sales organization structure
A. Price of the product produced in the company
B. Nature of the product
C. Type of peer-to-peer customer communication
D. Nature of the market
17. Quality of good salesman which is related to capacity to recognize customer, recall previous
meetings and recall their specific requirements and suggestion is referred to as;
A. Observation
B. Cheerfulness
C. Memory
D. Sincerity
18. Which one of the following method is on offensive form of handling objection that is used to
avert the negative comment from customers?
A. Yes………. but method
B. Direct denial method
C. Reverse position method
D. Indirect denial method
19. Which of the following sailing process comes first?
A. Prospecting
B. Approach
C. Pre-approach
D. Closing
20. The process which involves when a hiring manager, employer, or recruiter contacts a job
candidate's former workplace to get more information on the candidate's performance and
skills is –––––––––––––––––––––––––.
A. Physiological testing
B. A reference check
C. Placement
D. Induction
21. Which one of the following is not an advantage of internal sources of sales force
requirement?
A. Shorten onboarding times
B. Cost less process
C. Create resentment among employees and managers
D. Strengthen employee engagement
22. The type of sales quota which is applicable for setting quota for fast growing markets that are
without too much price competition is:
A. Financial quota
B. Activity quota
C. Combination quota
D. Sales volume
23. From the following one doesn’t influence sales organization structure
A. Price of the product produced in the company
B. Nature of the product
C. Type of peer-to-peer customer communication
D. Nature of the market
24. Which method of handling objection can successfully be applied only while meeting false
excuses and trivial things having little base?
A. Interrogation method
B. Reverse Position method
C. Direct denial method
D. Superior point method
25. All of the following are correct about internal source of recruitment, except;
A. It offers unlimited scope of selection
B. It limits the pool of talent available to the organization
C. Less costly as it is often cheaper and easier to hire an already professional
D. It promotes loyalty among employees for it gives them a sense of job security
26. A sales forces organization that assigns each salesperson to a geographical territory in which
that salespersons have to sell the company's full line is_________.
A. Product sales force
B. Customer sales force
C. Complex structure
D. Provincial sales force
27. One comes first in the process of performance appraisal steps.
A. Communicating the standard
B. Comparing the standard
C. Setting performance standard
D. Discussing outcomes
28. ______is a process of searching for prospecting employees and stimulating and encouraging
them to apply for jobs in an organization.”
A. Selection
B. Placement
C. Recruitment
D. Induction
29. The success of one of the following sales training program or methods depends on the
qualifications and interest of the senior salesman under whom the trainee is put.
A. Apprenticeship
B. Initial training
C. Institutions
D. On-the-job training
30. This department is responsible for collecting information about the product from the public
A. Sales department
B. Advertising department
C. Credit and collection department
D. Public relation department
31. A sales manager's tasks often include: except
A. Assigning sales territories,
B. Setting quotas,
 C. Mentoring the members of her sales team,
D. Building a financial plan
32. The method of forecasting sales which relies on answers from customers regarding their
expected consumption or purchases of the product is ________.
A. Sales force composite
B. Users’ (buyers’) expectation
C. Jury of executive opinion
D. Delphi techniques
33. The method of forecasting sales gets its name from the fact that the initial inputs is the
opinion of each member of the field sales staff in each person states how much he or she
expects to sell during the forecast period is ________.
A. Sales force composite
B. Users’ (buyers’) expectation
C. Jury of executive opinion
D. Delphi techniques
34. Under which method of handling objection, the prospects are asked question tactfully so that
their objections are answered by themselves.
A. Superior point method
B. Boomerang method
C. Interrogation method
D. Pass up method
35. Which one of the following is the first step in the process of recruitment and selection? It is
concerned with the determination of job traits?
A. Job analysis
B. Environment analysis
C. Personal analysis
D. Hiring
36. The sales manager has to determine the probable characteristics and qualities (particular
qualities and general qualities) which the future salesman has to possess.
A. Job analysis
B. Environment analysis
 C. Personal analysis
D. Group analysis
37. choose out the odd one among the following
A. Advertisement
B. Recommendations
C. Transfer
D. Self-offers
38. A special perform incentive in which sales representative are paid on basis of a percentage of
sales value they generate is_______
A. Commission
B. Bonus
C. Wage
D. Service related pay
39. A kind of compensation that increases by fixed increments on a scale or pay spin depending
on service in job is _______
A. Commission
B. Bonus
C. Wage
D. Service related pay
40. Normally a lump sum payment made when specific achievements occur refers to _______.
A. Bonus
B. Commissions
C. Salary
D. Wage
41. The method of training which is adopted where the salesmen are widely scattered, working in
different sales territories and extensive practical knowledge is not very important for them.
A. Postal training
B. Correspondence training
C. Sales meeting and conferences
D. None of the above
42. Quality of good salesman which is related to capacity to recognize customer, recall previous
meetings and recall their specific requirements and suggestion is referred to as .
A. Observation
B. Memory
C. Cheerfulness
D. Sincerity
43. Which of the following is the stage where the salesperson collects information about the
prospect to prepare him/her to explain the product?
A. Approach
B. Presentation and demonstration
C. Pre-approach
D. Post-Approach
44. The most recommended budgeting approaches is:
A. Percentage of sales
B. Objective and task method
C. Return on investment
D. Affordable method
45. The step in the effective selling process model in which the salesperson asks the customer for
an order is the__________ step.
A. Follow-up
B. Handling objections
C. Closing
D. Approach
46. Given the following information, what will be the new forecast for Product A using
exponential smoothing?
Alpha factor 0.7; This year sales 600; This year Forecast 562, Seasonal index 2.1

A. 589
B. 602
C. 592
D. 568
47. One comes First in salesman selection process
 A. Preliminary screening interview
B. In-depth interview
C. Reference check
D. Application form
48. Edlawit is the saleswoman for Smart computer solutions and she used "personal call without
introduction" method, to approach the manager of ABC computer accessories. Which
describes the best Edlawit’s method?
A. After presenting a formal letter of recommendation
B. By making an initial appointment request through a telephone call
C. Directly and quickly, without any prior introduction
D. By sending a business card without any additional context
49. Liya, an account salesperson with a billboard advertising company, knew an important
customer wanted particular billboards in her territory. Two years later, when the billboards
finally became available, she called the customer and got the sale. Liya showed the
__________ selling skill.
A. Follow up
B. Writing
C. Closing
D. Listening
50. When J. R. Wright began selling his Blue True Texas barbecue sauce, he went from store to
store asking retailers to buy a case if his sauce to sell in their stores. Before selling to these
retailers, Wright did not try to learn anything about them. He believed that if he could get any
kind of store to carry his sauce, he had made a good sale. Which of the following prospecting
techniques best describes the method Wright used?
A. cold canvassing
B. endless chain referral method
C. bird-dog method
D. center of influence method
51. Saron sells security systems. She has just called on a retail store that she believes ought to
carry the merchandise she sells. After spending almost an hour showing how her company's
security system operated, she learned that her prospect did not have the authority to place an
order. What costly time management mistake did Saron make?
A. She did not use the most efficient routing pattern.
B. She did not demand a larger sales territory.
C. She forgot to qualify her prospect before making the sales call.
D. She did not make a time management mistake.
52. Genet’s father introduced her to a friend of his outside the post office. When Genet sold
candy bars for a school fund-raiser to her father's friend, she asked him if he knew of others
who would buy her candy. He suggested she go to the post office counter and selling a box to
Daniel, one the postal employees. When asked who else to try, Daniel suggested she try a
park bench near the post office where his wife and some of her friends gather to eat their
lunch. Using the _____ method of prospecting, Genet was soon sold out of candy bars.
A. Personal observation
B. endless chain referral
 C. spotters method
D. cold canvassing
53. Girum is required by his sales manager to make a minimum quota of 25 sales calls per week
on customers in his territory. This is an example of which of the following quotas?
A. Sales volume
B. Financial
C. Activity
D. Combination
54. The number of orders obtained, average dollar per order, percent of quota achieved, and
gross margin by product or customer type are examples of sales--------.
A. Efforts.
B. Results.
C. Quotas.
D. Objectives
55. Nardos wanted to gain an interview with Mr. Yonas. She began by complimenting him on
the organization of the files and the beauty of his office, saying that these are the products of
his skillful management.
A. The Compliment Approach
B. The Curiosity approach
C. The Introductory Approach
D. The Shock Approach