20 CLEP Principles of Management practice questions, with answers and video walkthroughs
Twenty representative CLEP Principles of Management questions, each with the answer and a short explanation of why the wrong choices trap test-takers.
By Alex Stone6 min readLast fact-checked January 1970
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Twenty practice questions for CLEP Principles of Management, in the real exam's style. Score 16 of 20 here and you are in passing range. Miss more than four, and the pattern of your misses points straight at the topic to review next. Every question below is explained on video, including why the wrong answers trap most test-takers.
When I took CLEP Principles of Management for my degree at Thomas Edison State University, the move that mattered was steady practice in the exam's format, with an explanation for every miss. Use these the same way: answer, check, and read why the wrong choices are tempting. For the full plan around them, see the CLEP Principles of Management pillar guide.
Watch the full video walkthrough above, then test yourself on the twenty questions below. Each one is explained on the video, including why the wrong answers trap most test-takers.
Questions 1 to 5 (questions 1 to 5)
1. The four basic functions of management are usually listed as planning, organizing, leading, and: Controlling. The four classic functions are planning, organizing, leading, and controlling. Controlling is the step where managers measure actual results against the plan and correct any gaps.
2. Frederick Taylor is best known as the father of: Scientific Management. Frederick Taylor pioneered scientific management, using time and motion studies to find the single most efficient way to do each task and then training workers to follow it.
3. The Hawthorne studies are most famous for showing that: Worker Productivity Rose When Employees Felt They Were Being Noticed. The Hawthorne studies found that output went up simply because workers knew they were being observed and given attention. That finding launched the human relations movement in management.
4. Henri Fayol is credited with identifying the general functions of management and a set of: Principles of. Henri Fayol set out fourteen principles of management, such as unity of command and division of work, that he argued apply to organizations of every kind.
5. Max Weber's ideal bureaucracy is built mainly on: Clear Rules, a Hierarchy of Authority, and Impersonal Decisions. Max Weber's ideal bureaucracy relies on written rules, a clear chain of authority, and decisions based on the role rather than personal favoritism. The aim is fair, predictable administration.
Questions 6 to 10 (questions 6 to 10)
6. Setting goals and deciding in advance how to reach them is the management function called: Planning. Planning is the function of setting objectives and mapping out how to achieve them. Every other function builds on the targets and direction that planning establishes.
7. A SWOT analysis examines an organization's strengths, weaknesses, opportunities, and: Threats. SWOT stands for strengths, weaknesses, opportunities, and threats. Strengths and weaknesses look inside the company, while opportunities and threats look outward at the environment.
8. Grouping jobs into departments, assigning authority, and arranging resources is the function of: Organizing. Organizing is the function that builds the structure: it groups tasks into jobs and departments and assigns the authority and resources each unit needs to carry out the plan.
9. The number of subordinates who report directly to a single manager is called the: Span of Control. Span of control is how many people report directly to one manager. A wide span means many direct reports and a flatter organization, while a narrow span means fewer reports and more layers.
10. A long-term, top-level plan that sets the overall direction of the whole organization is called a: Strategic Plan. A strategic plan is the broad, long-range plan set by top management for the entire organization. Tactical and operational plans then translate that strategy into shorter-term, department-level action.
Questions 11 to 15 (questions 11 to 15)
11. In Maslow's hierarchy of needs, the needs at the very bottom of the pyramid are: Physiological Needs. Maslow placed physiological needs, like food, water, and shelter, at the base of the pyramid. He argued people must satisfy these basic needs before higher needs such as esteem motivate them.
12. According to McGregor's Theory X, managers assume that employees: Dislike Work and. Theory X managers assume workers dislike work and need to be directed and closely supervised. Theory Y managers take the opposite view, that people can be self-motivated and will seek responsibility.
13. A leadership style in which the manager makes decisions alone and simply tells employees what to do is called: Autocratic. An autocratic leader centralizes decisions and gives orders without much input. A democratic leader invites participation, and a laissez-faire leader leaves employees largely on their own.
14. In Herzberg's two-factor theory, things like salary, job security, and working conditions are called: Hygiene Factors. Herzberg called pay, security, and working conditions hygiene factors. Their absence causes dissatisfaction, but improving them only prevents unhappiness; true motivation comes from the work itself.
15. A manager who communicates with employees through the formal chain of command is following the organization's: Line of Authority. The line of authority is the formal chain that connects each level of the organization from top to bottom. The informal, unofficial network that carries rumor is instead called the grapevine.
Questions 16 to 20 (questions 16 to 20)
16. The control function of management is mainly about: Comparing Actual Results to the Plan and Correcting Deviations. Controlling means measuring performance against the standards set in planning and then taking corrective action when results fall short. It closes the loop that planning opens.
17. The human resource activity that forecasts staffing needs and locates qualified applicants is: Recruitment. Recruitment is the process of finding and attracting qualified candidates to fill the jobs the organization needs. Selection then narrows that applicant pool down to who is actually hired.
18. Total Quality Management, or TQM, stresses: Continuous Improvement and Meeting Customer Needs. Total Quality Management focuses the whole organization on continuously improving quality and satisfying the customer. Everyone, not just an inspection department, is responsible for quality.
19. A budget is best described as a control tool that is expressed in: Numbers, Usually. A budget states a plan in numerical terms, most often dollars, so managers can compare planned spending and revenue against what actually happens and stay on track.
20. The principle that an employee should receive orders from only one direct supervisor is called: Unity of Command. Unity of command holds that each employee should report to just one boss. It avoids the confusion and conflicting instructions that arise when a worker answers to several managers at once.
What to do with your score
The point of twenty questions is not the twenty, it is the pattern. When I scored a practice set, I marked which topic each miss came from, then spent my next session on that topic alone. None of it requires starting over, only tightening the spots that cost you points.
A single twenty-question set is a snapshot, not a study plan. To pass with margin you need volume: enough questions, in the exam's format, with explanations that turn a wrong answer into a correction. That is what Flying Prep's CLEP Principles of Management practice is built for: every question explained, with a free trial before you decide.
Frequently asked questions
How many of these 20 do I need to get right to be on track?
About 16. A passing score works out to roughly 80 percent, so clearing 16 of 20 consistently across a few sets puts you in passing range.
Are these the same questions that appear on the real exam?
No. These are representative practice questions in the exam's style. The real exam draws from a much larger pool, which is why practice volume, not memorizing any single set, is what moves your score.
Where do I get more questions like these?
The Flying Prep CLEP Principles of Management question bank has every question explained and reviewed against the current outline. Start a free trial and drill the topics your misses point to.

Alex Stone founded Flying Prep after earning her bachelor's degree from Thomas Edison State University using 27 CLEP and DSST exams to test out of 99 credits. She built Flying Prep to help working adults and returning students take the same path.
Deep dives
Go deeper on CLEP Principles of Management

Plan
CLEP Principles of Management for working adults: label the framework names onto the work you already do
Working managers (formal direct reports, project leads, cross-functional coordinators) perform daily tasks that have named exam-tested frameworks attached. Giving feedback uses Locke's goal-setting theory; restructuring a team uses span-of-control; running a meeting uses Tuckman's stages. This 3-week plan converts daily managerial practice into exam prep through systematic naming, around 15 to 20 hours total. Confident working managers can compress to 10 to 12 hours.
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Drill
Organizational change and ethics on CLEP Principles of Management: the 10 percent remainder that catches under-prepared readers
Together change and ethics carry roughly 10 percent of the exam, around 10 of 100 questions, in the under-covered remainder most prep books skip. This guide walks Lewin and Kotter on change, Kotter and Schlesinger's six resistance strategies, the three ethical frameworks (utilitarian, rights-based, justice-based), Kohlberg's stages of moral development, Carroll's CSR pyramid, and Sarbanes-Oxley at recognition level.
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Drill
Decision-making and problem-solving on CLEP Principles of Management: rational, bounded, intuitive, and group decisions
Decision-making cuts across all four management functions and carries roughly 7 to 10 percent of the exam, around 7 to 10 of 100 questions. This guide walks the rational vs bounded-rationality vs intuitive models, programmed vs non-programmed decisions, four group-decision techniques (brainstorming, NGT, Delphi, electronic), the canonical decision pathologies (groupthink, escalation of commitment, sunk-cost), and the seven cognitive biases the exam expects you to recognize.
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See the full CLEP Principles of Management study guide for the practice quiz, study plan, and credit details.