Question 1

What does paralingual refer to?
A)Tone and pitch of your voice
B)Body language
C)Feedback
D)Eye contact
E)Written language

Accepted Answer

Paralingual pertains to the sound (tone and pitch) of a voice when speaking (think Fran Drescher).
Key Takeaway: Pay careful attention to what the tone of pitch of your voice convey. It should be confident, without being cocky.

Question 2

The following graphic could represent which of the choices below in a well-run project:
A)Project likelihood of completion over time
B)Need for leadership over time
C)Stakeholder influence over time
D)Cost of changes over time
E)All of the above

Accepted Answer

In a well-run project, the influence of the stakeholders is high at the beginning of the project and should decrease over time as their input and requirements are established.
We want to stress the importance of identifying all possible stakeholders for your project as early on as possible. This is sometimes hard in an early stage of a project where you don't know the organization well. However, if you don't do it, you will find a new stakeholder later in the process who is unhappy you did not include them.
Key Takeaway: We included this question for two reasons. First, we don't want you to panic if someone hands you a chart. Secondly, many interviews ask you how you would go about kicking off a project. One of the keys is to identify all the relevant stakeholders early on in the process.

Question 3

What is the average per capita income in the United States (as of 2008)?
A)$35,000
B)$41,000
C)$47,000
D)$52,000
E)$55,000

Accepted Answer

Per capita income in the US in 2008 was right around $47,000 per year.
Key Takeaway: This is a good anchor number to make estimates for other developed countries as well.

Question 4

From 1946 to 2008, what is the range of inflation adjusted average annual oil prices?
A)$32.48 to $160.03
B)$8.05 to $122.50
C)$12.95 to $140.05
D)$15.77 to $91.35
E)$41.09 to $63.50

Accepted Answer

$15.77 to $91.35 has been the range of inflation adjusted average annual oil prices.
Key Takeaway: Oil prices spiked as high as $122.64 in June 2008. Since energy prices are critical to many businesses, this is a good range to have a sense of. Note that the $15.77 number came in 1998, so it is not a product of ancient history.

Question 5

What can be used as a combined state and federal tax rate for corporations in the United States?
A)20.3%
B)25.3%
C)32.3%
D)35.3%
E)39.3%

Accepted Answer

The US combined federal and state corporate tax burden is 39.3%.
Key Takeaway: Some of your analysis may require you to factor in taxation. At 39.3%, the US has one of the highest taxation rates in the world. It is 2nd only to Japan (39.5%) amongst OECD countries.

Question 6

Every five minutes a baby is born in the Nigindia. How many babies are born in a year?
A)150,120
B)105,120
C)100,510
D)300,450
E)103,555

Accepted Answer

There are 60 minutes in an hour, thus 60/5 minutes is 12. Multiply that by 24 hours in a day which is 288 per day. 288 x 365 days is 105,120 babies per year.
FYI, close to 4 million babies are born a day in the United States. That's one nearly every 14 seconds!
Key Takeaway: Get good working with 7, 12, 24, 30 and 60. Units of time are frequently used. Days, months, hours and minutes are frequently calculations you will have to make.

Question 7

The population of the town of Homeville increased by approximately 0.5% last year. If the population at the beginning of the year was 2,460, what was the approximate population by the end of the year?
A)2,472
B)2,960
C)2,465
D)2,465.
E)2,510

Accepted Answer

This problem is asking you to find ½ of 1 percent change of 2,460. To do this mentally, first determine what 1 percent of the original number is, then half that. In this case, 1% of 2,460 is 24.6, and half of that is 12.3. Since you can't have 3/10 of a person, we can approximate the population increase as 12 people. Add that to the initial 2,460 to find that the new population is 2,472.
Key takeaway: There are many types of percent problems you may encounter. It will be helpful to you if you know that you find 10% of a number by moving the decimal one place to the left and 1% of a number by moving the decimal point two places to the left.

Question 8

Sawyer's Pet Store has averaged a net profit of $2,500 for the past 11 weeks. What is the total net profit over this length of time?
A)$26,000
B)$27,500
C)$27,900
D)$28,000
E)$29,300

Accepted Answer

$27,500. It is very easy to quickly multiply 2-digit numbers by 11. For this problem, let's calculate 25 x 11, then add the 2 zeroes back at the end later.
Key Takeaway: To multiply a number by 11:
Rewrite the first number with a space between. In this case, 2__ 5. Then, add those two numbers together (to get 7), and put that in the space: 275. Therefore, 25 x 11 is 275. Going back to the original problem, add the zeroes back at the end. 2500 x 11 = 27,500.
If the sum of the two digits is greater than 9, you will have to carry the 1. For instance, 48 x 11.
4_8
4+8 = 12.
Put the 2 in middle and carry the 1 and you will get 528.

Question 9

In July 2009, unemployment in Michigan reached 15%. The number of workers was 4,900,000. Approximately how many were unemployed?
A)735,000
B)745,000
C)710,000
D)718,000
E)751,000

Accepted Answer

15% of 4.9 million people is 735,000 unemployed.
Key Takeaway: To find 15% of a 2-digit number, follow these steps:
First, multiply the number by 3 (49 x 3 = 147).
Then, divide that answer by 2 (147/2 = 73.5).
Move the decimal point. Rather than counting, use your intuition in this case. 15% should move the decimal 1 from the original millions number. (73.5 becomes 735,000).
The amount of the discount in this problem is $13.50, so the sale price is $76.50.
Key Takeaway: This works for multiplying by 1.5, 15, 150 and so on down the line so long as you keep your decimals right.

Question 10

The wholesale price of a fountain pen is $2.80. What will the new price be if a 5% increase is instituted?
A)$2.84
B)$2.90
C)$2.94
D)$2.96
E)$2.97

Accepted Answer

$2.94. To find 5% of a number, first find 10%, then halve it. In this case, 10% of $2.80 is $0.28. Half of that is $0.14. Add the 14 cents to $2.80 to get $2.94.
Key Takeaway: Logical reasoning is critical with percent problems. Knowing how to manipulate numbers in relation to "friendly" numbers is important. For example, to find 5%, halve 10%. To find 20%, double 10%.

Question 11

Other than Price and Product, what are the other 4Ps of marketing? Select two:
A)Payers
B)Promotion
C)People
D)Place
E)Providers

Accepted Answer

Promotion and place are the missing Ps in addition to price and product.
Key Takeaway: This framework is an essential one to know. However, don't recite it as it seems canned. If you do, at least change the word "Place" to "Distribution".
Image Credit: Frederik Beuk

Question 12

Which of the following goods has positive network externalities? Select all that apply:
A)Luxury goods
B)Fax machines
C)Video formats (DVD, VHS, Blu-Ray)
D)Social networking sites
E)Stock exchanges

Accepted Answer

Fax machines, video formats, social networking websites and stock exchanges all have positive network effects. Each person who is on the network increases the value of the network. Luxury goods tend to have negative network effects. The more people have them, the less exclusive they are. This is called a snob effect.
Key Takeaway: Being adopted as a standard is key to creating network effects. However, in many cases, in order to become the de facto standard, companies must use aggressive penetration pricing or heavy marketing.

Question 13

Which of the following choices is a strategic planning framework?
A)SWOT
B)Marginal analysis
C)PERT
D)Synergies
E)Leadership Vision

Accepted Answer

SWOT stands for Strengths, Weaknesses, Opportunities and Threats and is a strategic planning framework.
Strengths: attributes are helpful to achieving the objective.
Weaknesses: attributes that are harmful to achieving the objective.
Opportunities: external conditions that are helpful to achieving the objective
Threats: external conditions which could do damage to the business's performance
Key Takeaway: This is a bit of a bailout framework you can use when asked about a company's characteristics and positioning in the market.

Quiz 1: Consulting Case Interview

What does paralingual refer to?

The following graphic could represent which of the choices below in a well-run project:

What is the average per capita income in the United States (as of 2008) ?

From 1946 to 2008, what is the range of inflation adjusted average annual oil prices?

What can be used as a combined state and federal tax rate for corporations in the United States?

Every five minutes a baby is born in the Nigindia. How many babies are born in a year?

The population of the town of Homeville increased by approximately 0.5% last year. If the population at the beginning of the year was 2,460, what was the approximate population by the end of the year?

Sawyer's Pet Store has averaged a net profit of $2,500 for the past 11 weeks. What is the total net profit over this length of time?

In July 2009, unemployment in Michigan reached 15%. The number of workers was 4,900,000. Approximately how many were unemployed?

The wholesale price of a fountain pen is $2.80. What will the new price be if a 5% increase is instituted?

Other than Price and Product, what are the other 4Ps of marketing? Select two:

Which of the following goods has positive network externalities? Select all that apply:

Which of the following choices is a strategic planning framework?