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PRAXIS Praxis Business Education: Content Knowledge (5101)Exam Sample Questions (Q22-Q27):
NEW QUESTION # 22
The vast majority of funds appropriated in the form of grants under the Perkins Act is awarded to which of the following entities?
- A. School boards
- B. Career and technology schools
- C. State education agencies
- D. Early college high schools
Answer: C
Explanation:
The Carl D. Perkins Career and Technical Education Act provides federal funding primarily to state education agencies, which then distribute funds to local schools and institutions for career and technical education programs. Option A (school boards) may receive funds indirectly. Option C (career and technology schools) and Option D (early college high schools) are specific recipients, not primary awardees. This question aligns with the Professional Business Education category, focusing on educational funding.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Professional Business Education; U.S. Department of Education, Perkins Act Guidelines.
NEW QUESTION # 23
A company's financial statements show the following for the fiscal year: total assets of $1,200,000, total liabilities of $750,000, net income of $150,000, and dividends paid of $50,000. The company has no preferred stock, and the beginning retained earnings were $200,000. What is the company's ending retained earnings?
- A. $400,000
- B. $250,000
- C. $300,000
- D. $350,000
Answer: C
Explanation:
Retained earnings represent the cumulative net income retained by a company after dividends. The formula for ending retained earnings is: Ending Retained Earnings = Beginning Retained Earnings + Net Income # Dividends. Given the beginning retainedearnings of $200,000, net income of $150,000, and dividends of
$50,000, the calculation is: $200,000 + $150,000 # $50,000 = $300,000. Option A ($250,000) incorrectly omits net income or miscalculates dividends. Option C ($350,000) ignores dividends. Option D ($400,000) adds dividends instead of subtracting. This question tests advanced financial statement analysis, a critical component of the Accounting and Finance category, requiring precise application of the retained earnings formula under time pressure, typical of the Praxis 5101 exam's complexity.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Accounting and Finance; Financial Accounting, Chapter 11.
NEW QUESTION # 24
Which of the following is the best example of engaging with an external business communication?
- A. Studying recruits' personality test scores prepared by human resources
- B. Reading a Material Safety Data Sheet for a recently purchased chemical product
- C. Considering an invitation from quality control to attend a Six Sigma meeting
- D. Analyzing an annual draft stock report from the chief financial officer
Answer: B
Explanation:
External business communication involves interactions or information exchange with entities outside the organization. Reading a Material Safety Data Sheet (MSDS) for a purchased chemical product involves engaging with information provided by an external supplier or regulatory body, making it the best example.
Option A (Six Sigma meeting) is internal, as quality control is within the organization. Option B (stock report) and Option C (personality test scores) are also internal, generated by the CFO and HR, respectively.
This question aligns with the Communication and Career Development category, emphasizing external communication.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Communication and Career Development; Business Communication, Chapter 2.
NEW QUESTION # 25
A business that installs a voiceprint system on its computer network is most likely concerned about
- A. organizing files
- B. the currency of data
- C. the security of data
- D. the reliability of data
Answer: C
Explanation:
A voiceprint system is a biometric security measure used to authenticate users and protect access to a computer network, indicating a primary concern for data security. Option A (currency) relates to data timeliness. Option B (reliability) concerns data accuracy. Option D (organizing files) is unrelated to voiceprint systems. This question aligns with the Information Technology category, emphasizing cybersecurity.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Information Technology; Cybersecurity Fundamentals, Chapter 5.
NEW QUESTION # 26 
Answer:
Explanation:

NEW QUESTION # 27
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