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- 35-page printable PDF
- 180 terms with examples
- 40 practice questions, answers explained
- 2-page cram sheet and study plans
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CLEP® Study Guide
Printable PDF · 35 pages
CLEP Principles of Management Study Guide
Everything the CLEP Principles of Management exam tests, in one PDF you can print. Built from the College Board's official outline, heaviest topics first.
- 180 key terms, each with an example
- 40 practice questions with every answer explained
- A 2-page cram sheet for the night before
- 2-, 4- and 8-week study plans built from the exam weights
Last updated 2026 · exam details checked against the College Board's published exam information in 2026
Look inside the guide
Real pages from the 35-page PDF.
What you get for $5
One chapter for each official content area, in the order the exam weighs them.
- 📘35pages, printable
- 🧭4chapters, heaviest first
- 🔑180terms with examples
- ✍️40practice questions, answers explained
- ⚠️12exam traps to avoid
- 📄2page cram sheet
Try 10 free Principles of Management questions
In the style of the real exam, from all 4 areas. About 10 minutes, with every answer explained and a score by area.
10 questions
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Question 1 · Functional Aspects of Management
Before a new hire may drive a company delivery van, the firm checks her driving record and makes her pass a safety course. Which type of control is this?
Show the answer
Answer: E. Feedforward control. Screening and training an input, the driver, before any work begins is preventive, which defines feedforward control.
The trap: Concurrent control is wrong: it corrects work while it is happening, but these checks come before she ever drives.
Screening and training an input, the driver, before any work begins is preventive, which defines feedforward control.
The trap: Concurrent control is wrong: it corrects work while it is happening, but these checks come before she ever drives.
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Question 2 · Organization and Human Resources
A company is posting a new accounting opening and wants a document that lists the education, certifications and experience a candidate must have. Which document should human resources prepare?
Show the answer
Answer: B. Job specification. A job specification lists the qualifications a person needs for the job. Education, certifications and experience are exactly those qualifications.
The trap: Job description is tempting because both documents come from job analysis, but it lists the duties and conditions of the job, not the person's qualifications.
A job specification lists the qualifications a person needs for the job. Education, certifications and experience are exactly those qualifications.
The trap: Job description is tempting because both documents come from job analysis, but it lists the duties and conditions of the job, not the person's qualifications.
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Question 3 · Operational Aspects of Management
A project has three separate chains of tasks that can run at the same time. They take 9 weeks, 14 weeks and 11 weeks. What is the earliest the whole project can finish?
Show the answer
Answer: A. 14 weeks. The project is finished only when every chain is done, so the longest chain, 14 weeks, sets the minimum time. That chain is the critical path.
The trap: 34 weeks is tempting because it adds the three chains, but they run at the same time, so their durations do not add up.
The project is finished only when every chain is done, so the longest chain, 14 weeks, sets the minimum time. That chain is the critical path.
The trap: 34 weeks is tempting because it adds the three chains, but they run at the same time, so their durations do not add up.
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Question 4 · International Management and Contemporary Issues
In one country, employees rarely question their managers' decisions and expect that bosses will hold much more power than subordinates. On Hofstede's dimensions, this culture is best described as having
Show the answer
Answer: C. high power distance. Accepting that power is distributed unequally, and deferring to those with more of it, is high power distance.
The trap: Low power distance is tempting if the terms get reversed. It describes cultures where people expect power to be shared fairly equally and readily question bosses.
Accepting that power is distributed unequally, and deferring to those with more of it, is high power distance.
The trap: Low power distance is tempting if the terms get reversed. It describes cultures where people expect power to be shared fairly equally and readily question bosses.
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Question 5 · Functional Aspects of Management
A plant cuts the cost of each unit by 20 percent but keeps making a model customers no longer buy. How is the plant best described?
Show the answer
Answer: D. Efficient but not effective. Lower cost per unit means resources are used well (efficient), but making an unwanted product fails the goal (not effective).
The trap: Effective but not efficient is the reverse of the situation: costs fell, so the plant is efficient.
Lower cost per unit means resources are used well (efficient), but making an unwanted product fails the goal (not effective).
The trap: Effective but not efficient is the reverse of the situation: costs fell, so the plant is efficient.
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Question 6 · Organization and Human Resources
Employees are satisfied with their pay, benefits and working conditions but say their work is routine and unrewarding. According to Herzberg's two-factor theory, what would most increase their motivation?
Show the answer
Answer: A. Giving them more responsibility and recognition. Pay, conditions, supervision and policies are hygiene factors that only prevent dissatisfaction. Responsibility, achievement and recognition are motivators that create satisfaction.
The trap: Raising salaries is tempting, but pay is a hygiene factor and these employees are already satisfied with it, so more pay will not make the work more motivating.
Pay, conditions, supervision and policies are hygiene factors that only prevent dissatisfaction. Responsibility, achievement and recognition are motivators that create satisfaction.
The trap: Raising salaries is tempting, but pay is a hygiene factor and these employees are already satisfied with it, so more pay will not make the work more motivating.
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Question 7 · Operational Aspects of Management
Last month a plant made 480 units using 60 labor hours. This month it made 540 units using the same 60 labor hours. What is this month's labor productivity?
Show the answer
Answer: D. 9 units per labor hour. Labor productivity is output divided by labor hours: 540 divided by 60 is 9 units per labor hour.
The trap: 8 units per labor hour is tempting because it is last month's figure (480 divided by 60), not this month's.
Labor productivity is output divided by labor hours: 540 divided by 60 is 9 units per labor hour.
The trap: 8 units per labor hour is tempting because it is last month's figure (480 divided by 60), not this month's.
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Question 8 · International Management and Contemporary Issues
Four neighboring countries agree to remove tariffs on most goods traded among them. Each country keeps its own tariffs on goods from outside the group. This arrangement is best described as
Show the answer
Answer: C. a free trade agreement. Members that drop tariffs among themselves but keep separate tariffs toward outsiders have a free trade agreement, like the USMCA. A customs union, common market or economic union also sets one common outside tariff.
The trap: A customs union is tempting because its members also trade without tariffs, but they charge outsiders one common tariff. Here each country keeps its own.
Members that drop tariffs among themselves but keep separate tariffs toward outsiders have a free trade agreement, like the USMCA. A customs union, common market or economic union also sets one common outside tariff.
The trap: A customs union is tempting because its members also trade without tariffs, but they charge outsiders one common tariff. Here each country keeps its own.
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Question 9 · Functional Aspects of Management
A manager hands a client report to an analyst. It arrives late and full of errors. Who must answer to the director for the result?
Show the answer
Answer: B. The manager, because accountability cannot be delegated. Delegation passes the task and the authority to do it, but the manager stays accountable for the outcome.
The trap: The analyst alone is wrong: the analyst has responsibility for doing the task, but the manager answers upward.
Delegation passes the task and the authority to do it, but the manager stays accountable for the outcome.
The trap: The analyst alone is wrong: the analyst has responsibility for doing the task, but the manager answers upward.
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Question 10 · Organization and Human Resources
A sales representative learns that a coworker with the same duties and experience earns a higher commission rate. She begins making fewer client calls. Which theory best explains her change in effort?
Show the answer
Answer: E. Equity theory. She compared her rewards for her effort with her coworker's and found them unfair, then reduced her inputs. That is equity theory.
The trap: Expectancy theory links effort to the belief that effort leads to a valued reward. Her change came from comparison with another person, not from doubting she could earn the reward.
She compared her rewards for her effort with her coworker's and found them unfair, then reduced her inputs. That is equity theory.
The trap: Expectancy theory links effort to the belief that effort leads to a valued reward. Her change came from comparison with another person, not from doubting she could earn the reward.
The CLEP Principles of Management exam at a glance
The CLEP Principles of Management exam is a 90-minute, computer-based test from the College Board with about 100 multiple-choice questions. A score of 50 on the 20–80 scale earns an ACE credit recommendation of 3 semester hours, though each college sets its own policy. The exam covers 4 content areas; the heaviest is Functional Aspects of Management at 45–55%.
- Questions
- About 100multiple choice
- Time
- 90 minabout 54 seconds a question
- Passing score
- 50on a 20–80 scale
- ACE credit
- 3semester hours
- Exam fee
- $97paid to College Board
- Calculator
- Nonot allowed
What the exam covers
4 areas, heaviest first. The guide's chapters follow this order.
- Functional Aspects of Management45–55%
- Organization and Human Resources15–25%
- Operational Aspects of Management10–20%
- International Management and Contemporary Issues10–20%
How it works
- 1Buy once, $5Secure checkout. No subscription needed.
- 2Download the PDFFrom your TransferCredit.org account, right away and any time later.
- 3Study the heaviest areas firstFollow the 2-, 4- or 8-week plan, then read the cram sheet the night before.
Questions students ask
What's in the full CLEP Principles of Management study guide?
35 pages: 4 chapters, one per official content area, heaviest first. 180 terms, each with a plain-English definition and an example, 19 key people, common traps and memory tricks, 40 practice questions with an answer key that explains every answer, question tactics, 2-, 4- and 8-week study plans and a 2-page cram sheet.
How much is the full CLEP Principles of Management study guide?
The full 35-page PDF is $5, a one-time payment. The 10 practice questions on this page are free, with no account.
What does the $29 plan include?
$29 a month gives you all 28 CLEP subjects: every CLEP study guide plus the full prep course for each subject, and you can cancel anytime. If you only need this exam, the guide on its own is a one-time $5.
How do I get the full guide?
Choose Buy this guide ($5) and check out. Then sign in to your TransferCredit.org account, then open the course and its Download Your Study Guide lesson. The PDF is yours to keep, and you can download it again from your account at any time.
Can I print the guide or use it on my phone?
Yes. It's a PDF, so it opens on phones, tablets and computers, and printing is allowed. Its tick boxes and answer bubbles work in PDF readers that support forms. Copying and editing are turned off.
Is this an official CLEP study guide?
No. CLEP® is a registered trademark of the College Board, which was not involved in producing this guide and does not endorse it. TransferCredit.org is independent. We built the guide from the official exam outline, and the exam details were checked against the College Board's published exam information in 2026.
Why is this study guide better than a generic review?
It follows the official outline area by area and spends the most pages on what the exam weighs most. Every term comes with an example, each chapter names the traps the exam sets, and the answer key explains why the most tempting wrong answer is wrong, not just which answer is right. It ends with a 2-page cram sheet for the night before.
What is the CLEP Principles of Management exam?
The CLEP Principles of Management exam is a 90-minute, computer-based test from the College Board with about 100 multiple-choice questions. A score of 50 on the 20–80 scale earns an ACE credit recommendation of 3 semester hours, though each college sets its own policy. The exam covers 4 content areas; the heaviest is Functional Aspects of Management at 45–55%.
More questions about the CLEP Principles of Management exam (21)
How many questions are on the CLEP Principles of Management exam, and how long is it?
The exam has approximately 100 questions to be answered in 90 minutes. Some of the questions are pretest questions that will not be scored.
What is the passing score for CLEP Principles of Management?
The passing score is 50 on a 20–80 scale. At 50 or above, the American Council on Education (ACE) recommends 3 semester hours. Each college sets its own passing score and credit award, so check your school's policy before you book.
How much does the CLEP Principles of Management exam cost?
The exam fee is $97, paid to the College Board. Test centers may add their own administration fee. Eligible U.S. military service members can usually test for free through DANTES.
How many college credits is CLEP Principles of Management worth?
ACE recommends 3 semester hours for a passing score of 50. Your college decides how many credits it awards and which course they replace. Check your college's policy.
Can I use a calculator on the CLEP Principles of Management exam?
No. This exam doesn't allow a calculator.
Is there a penalty for guessing on CLEP Principles of Management?
No. Your score counts only correct answers, so a wrong answer costs nothing. Never leave a question blank: rule out what you can and pick your best guess.
What topics are on the CLEP Principles of Management exam?
4 content areas, from the official outline: Functional Aspects of Management (45–55%); Organization and Human Resources (15–25%); Operational Aspects of Management (10–20%); International Management and Contemporary Issues (10–20%).
Which CLEP Principles of Management topics should I study first?
Start with the three heaviest: Functional Aspects of Management (45–55%), Organization and Human Resources (15–25%) and Operational Aspects of Management (10–20%). Together they are about 85% of the exam, roughly 85 of 100 questions. The guide's chapters run in that order, heaviest first.
Is the CLEP Principles of Management exam hard?
It depends on what you already know. The exam has only 4 content areas, so each one carries real weight: Functional Aspects of Management (45–55%), Organization and Human Resources (15–25%), Operational Aspects of Management (10–20%) and International Management and Contemporary Issues (10–20%). Take the free diagnostic above to see where you stand in about 10 minutes.
What kinds of questions are on the CLEP Principles of Management exam?
The guide sorts them into 5 types: “Name the term”, “Apply it to a situation”, “Match the idea to its originator”, “Tell similar ideas apart” and “All EXCEPT”. Every question has 5 answer choices. Try the 10 free questions above to see the style.
How long should I study for CLEP Principles of Management?
Use the diagnostic to decide. If you already know most areas, two weeks of daily review is often enough; if the subject is new to you, plan on eight. The full guide has 2-, 4- and 8-week plans built from the exam weights.
How should I pace myself on the CLEP Principles of Management exam?
On average you have about 54 seconds per question (90 minutes for 100 questions). Be past question 33 a third of the way through and past question 67 two-thirds through. If a question takes more than a minute, pick your best guess, mark it and come back.
What happens if I don't pass CLEP Principles of Management?
You can retake a CLEP exam after three months. Use the wait to work through the areas the score report and the diagnostic show you missed.
Do colleges accept CLEP Principles of Management for credit?
CLEP exams are accepted at more than 2,900 U.S. colleges and universities, but each school decides which exams it accepts, the score it requires and the credit it gives. Look up your college's CLEP policy before you book.
How up to date is this CLEP Principles of Management guide?
Last updated 2026. The exam details were checked against the College Board's published exam information in 2026. Exams change, so confirm the details on the official exam page before you register.
What should I do the night before the exam?
Read the cram sheet once, slowly. Check your test time, the location or remote-proctoring setup, and the ID you need. Then sleep: a rested brain recalls more than a crammed one. In the morning, skim the memory tricks and common traps, then stop studying.
Which management theorists should I know for the CLEP exam?
Taylor, Fayol, Weber, the Gilbreths, Follett, Mayo and the Hawthorne studies, Maslow, McGregor, Herzberg, McClelland, Vroom, Fiedler, Hersey and Blanchard, Lewin, Kotter, Hofstede and Deming.
What kinds of questions are on CLEP Principles of Management?
The College Board says about 10% test factual recall, 40% ask you to match terminology to management ideas and techniques, 40% test your understanding of theories and their assumptions, and 10% ask you to apply principles to specific problems.
Does CLEP Principles of Management cover human resources?
Yes. Organization and Human Resources is 15–25% of the exam: recruiting and selection, training and development, performance appraisal, compensation and benefits, collective bargaining, legal concerns and workforce diversity.
Does work experience help with CLEP Principles of Management?
Yes. Many questions describe workplace situations, and managers and supervisors often recognize them quickly. You still need the formal terms and theories the exam uses.
Is CLEP Principles of Management the same as DSST Principles of Supervision?
No. They are different exams from different providers. Principles of Management covers the full management course; DSST Principles of Supervision focuses on first-line supervision. Check which one your college accepts.
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