Business Education 5101

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The Praxis® Study Companion

Business Education:
Content Knowledge
5101

www.ets.org/praxis

Welcome to the Praxis® Study Companion

Welcome to The Praxis®Study Companion
Prepare to Show What You Know
You have been working to acquire the knowledge and skills you need for your teaching career. Now you are
ready to demonstrate your abilities by taking a Praxis® test.
Using the Praxis® Study Companion is a smart way to prepare for the test so you can do your best on test day.
This guide can help keep you on track and make the most efficient use of your study time.
The Study Companion contains practical information and helpful tools, including:
• An overview of the Praxis tests
• Specific information on the Praxis test you are taking
• A template study plan
• Study topics
• Practice questions and explanations of correct answers
• Test-taking tips and strategies
• Frequently asked questions
• Links to more detailed information
So where should you start? Begin by reviewing this guide in its entirety and note those sections that you need
to revisit. Then you can create your own personalized study plan and schedule based on your individual needs
and how much time you have before test day.
Keep in mind that study habits are individual. There are many different ways to successfully prepare for your
test. Some people study better on their own, while others prefer a group dynamic. You may have more energy
early in the day, but another test taker may concentrate better in the evening. So use this guide to develop the
approach that works best for you.
Your teaching career begins with preparation. Good luck!

Know What to Expect
Which tests should I take?
Each state or agency that uses the Praxis tests sets its own requirements for which test or tests you must take for
the teaching area you wish to pursue.
Before you register for a test, confirm your state or agency’s testing requirements at www.ets.org/praxis/states.

How are the Praxis tests given?
Praxis tests are given on computer. Other formats are available for test takers approved for accommodations (see
page 32).

The Praxis® Study Companion

Welcome to the Praxis® Study Companion

What should I expect when taking the test on computer?
When taking the test on computer, you can expect to be asked to provide proper identification at the test
center. Once admitted, you will be given the opportunity to learn how the computer interface works (how to
answer questions, how to skip questions, how to go back to questions you skipped, etc.) before the testing time
begins. Watch the What to Expect on Test Day video to see what the experience is like.

Where and when are the Praxis tests offered?
You can select the test center that is most convenient for you. The Praxis tests are administered through an
international network of test centers, which includes Prometric® Testing Centers, some universities, and other
locations throughout the world.
Testing schedules may differ, so see the Praxis web site for more detailed test registration information at www.
ets.org/praxis/register.

The Praxis® Study Companion

Table of Contents

Table of Contents
The Praxis® Study Companion guides you through the steps to success
1. Learn About Your Test.....................................................................................................5
Learn about the specific test you will be taking
2. F
amiliarize Yourself with Test Questions.......................................................................8
Become comfortable with the types of questions you’ll find on the Praxis tests
3. Practice with Sample Test Questions.......................................................................... 12
Answer practice questions and find explanations for correct answers
4. Determine Your Strategy for Success.......................................................................... 19
Set clear goals and deadlines so your test preparation is focused and efficient
5. Develop Your Study Plan.............................................................................................. 22
Develop a personalized study plan and schedule
6. Review Study Topics..................................................................................................... 26
Review study topics with questions for discussion
7. Review Smart Tips for Success..................................................................................... 30
Follow test-taking tips developed by experts
8. Check on Testing Accommodations............................................................................ 32
See if you qualify for accommodations that may make it easier to take the Praxis test
9. Do Your Best on Test Day.............................................................................................. 33
Get ready for test day so you will be calm and confident
10. Understand Your Scores............................................................................................. 35
Understand how tests are scored and how to interpret your test scores
Appendix: Other Questions You May Have .................................................................... 37

The Praxis® Study Companion

Step 1: Learn About Your Test

1. Learn About Your Test
Learn about the specific test you will be taking

Business Education: Content Knowledge (5101)

Test at a Glance
Test Name

Business Education: Content Knowledge

Test Code

5101

Time

2 hours

Number of Questions

120

Format

Selected-response questions

Test Delivery

Computer delivered

Content Categories

Approximate
Number of
Questions

Approximate
Percentage of
Examination

Accounting and Finance

15%

II.

Communication and Career Development

15%

III. Economics

10%

IV. Entrepreneurship

10%

15%

VI. Law and International Business

15%

VII. Marketing and Management

10%

VIII. Professional Business Education

10%

VII

VIII

I
II

VI
V

III

Information Technology

About This Test
The Praxis Business Education: Content Knowledge test is intended primarily for persons planning to teach in
business education programs. The test concentrates on the core of knowledge and cognitive skills common
to all business teachers, including content that contributes to general business and economic literacy. Also
included are questions about business education in general and questions about areas of specialization
within business education. An examinee planning to take this test should be prepared to encounter ethical
and technological concepts as well as emerging trends and issues. Because of the variations among business
education programs, some questions may refer to areas you may not have studied. Therefore, no one is
expected to answer all of the questions on the test correctly. In addition, this test may contain some questions
that do not count toward your score.
In general, the topics concern areas broadly defined as business and economic literacy; professional business
education, including knowledge, comprehension, and application of pedagogical techniques; and business
specialization, including specific background and application knowledge considered essential for a business
education teacher. The examination is typically taken by examinees who have completed a bachelor’s degree
program in education with appropriate coursework in business education. Examinees will be allowed to use a
calculator during the examination; however, calculators with QWERTY keyboards will not be allowed.

The Praxis® Study Companion

Step 1: Learn About Your Test

Test Specifications
Test specifications in this chapter describe the knowledge and skills measured by the test. Study topics to help
you prepare to answer test questions can be found on page 26.

Accounting and Finance
A.

Accounting: the accounting cycle, the accounting
process, and the interpretation and use of
financial statements
Personal and business finance: savings and
investments; managing credit, finances, and risks;
financial institutions

II. Communication and Career Development

IV. Entrepreneurship
A.

Characteristics

Entrepreneurial opportunities

Forms of ownership: sole proprietorship,
partnership, corporation

Business plans: components and rationale

V. Information Technology
A.

Written and oral communications: letters, memos,
email, presentations, reports

Operations and concepts: hardware, software,
networking, operating environments, file
management, security

Employment communication: résumés,
applications, interview techniques and tools

Human factors: ergonomics, workflow, physical
design/layout

Technology tools:

Career research: evaluating occupational interests
and using career research tools and resources

Foundations of communication: barriers,
techniques, and skills

1. Communication (e.g., telecommunications,
Internet, netiquette)
2. Research (e.g., Internet usage, search strategies,
databases)
3. Problem solving and decision making using
applications (e.g., word processing,
multimedia, spreadsheet, database, desktop
publishing, web design, programming,
collaborative software)

III. Economics
A.

Allocation of resources: supply and demand,
opportunity cost, scarcity, factors of production,
etc.

Economic systems: free enterprise, market versus
command economies, mixed economies

Market structures: monopolies, oligopolies,
competition, the effect of the structures on
pricing and the quality of goods and services

Role of government: fiscal policies, taxation,
monetary policies, banking regulations

Economic indicators: growth, productivity,
employment, the business cycle

The Praxis® Study Companion

VI. Law and International Business
A.

Foundations of international business: role and
impact

International business environment: social,
cultural, political, legal, and economic factors; and
the impact of a country’s infrastructure

Trade relations: imports and exports; trade barriers,
trade agreements, and balance of trade

Contract law

Consumer law

Computer law: copyright, intellectual property,
privacy/security

United States court system

Step 1: Learn About Your Test

VII. Marketing and Management
A.

Marketing: marketing principles, marketing mix,
and consumer behavior

Management: management functions and human
resources

VIII. Professional Business Education
A.

B.
C.

Professional business education organizations
1. Student organizations and the role of the
advisor
2. Teacher organizations and the importance of
staying actively involved in the profession
Career and technical education legislation (e.g.,
Carl Perkins)
School and community relationships
1. Advisory committees
2. Student recruitment
3. Involvement of business community
Mission and objectives of the business education
program

Pedagogy

Work-based learning
1.
2.
3.
4.
5.

School-based enterprises
Internships
Mentorship
Cooperative education
Job shadowing

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Step 2: Familiarize Yourself with Test Questions

2. Familiarize Yourself with Test Questions
Become comfortable with the types of questions you’ll find on the Praxis tests
The Praxis assessments include a variety of question types: constructed response (for which you write a
response of your own); selected response, for which you select one or more answers from a list of choices or
make another kind of selection (e.g., by clicking on a sentence in a text or by clicking on part of a graphic); and
numeric entry, for which you enter a numeric value in an answer field. You may be familiar with these question
formats from taking other standardized tests. If not, familiarize yourself with them so you don’t spend time
during the test figuring out how to answer them.

Understanding Computer-Delivered Questions
Questions on computer-delivered tests are interactive in the sense that you answer by selecting an option
or entering text on the screen. If you see a format you are not familiar with, read the directions carefully. The
directions always give clear instructions on how you are expected to respond.
For most questions, you respond by clicking an oval to select a single answer from a list of answer choices.
However, interactive question types may also ask you to respond by:
• Clicking more than one oval to select answers from a list of choices.
• Typing in an entry box. When the answer is a number, you may be asked to enter a numerical answer.
Some questions may have more than one place to enter a response.
• Clicking check boxes. You may be asked to click check boxes instead of an oval when more than one
choice within a set of answers can be selected.
• Clicking parts of a graphic. In some questions, you will select your answers by clicking on a location (or
locations) on a graphic such as a map or chart, as opposed to choosing your answer from a list.
• Clicking on sentences. In questions with reading passages, you may be asked to choose your answers by
clicking on a sentence (or sentences) within the reading passage.
• Dragging and dropping answer choices into targets on the screen. You may be asked to select answers
from a list of choices and drag your answers to the appropriate location in a table, paragraph of text or
graphic.
• Selecting answer choices from a drop-down menu. You may be asked to choose answers by selecting
choices from a drop-down menu (e.g., to complete a sentence).
Remember that with every question you will get clear instructions.
Perhaps the best way to understand computer-delivered questions is to view the Computer-delivered Testing
Demonstration on the Praxis web site to learn how a computer-delivered test works and see examples of
some types of questions you may encounter.

The Praxis® Study Companion

Step 2: Familiarize Yourself with Test Questions

Understanding Selected-Response Questions
Many selected-response questions begin with the phrase “which of the following.” Take a look at this example:
Which of the following is a flavor made from beans?
(A) Strawberry
(B) Cherry
(C) Vanilla
(D) Mint

How would you answer this question?
All of the answer choices are flavors. Your job is to decide which of the flavors is the one made from beans.
Try following these steps to select the correct answer.
1) L
imit your answer to the choices given. You may know that chocolate and coffee are also flavors made
from beans, but they are not listed. Rather than thinking of other possible answers, focus only on the choices
given (“which of the following”).
2) E
liminate incorrect answers. You may know that strawberry and cherry flavors are made from fruit and
that mint flavor is made from a plant. That leaves vanilla as the only possible answer.
3) V
erify your answer. You can substitute “vanilla” for the phrase “which of the following” and turn the
question into this statement: “Vanilla is a flavor made from beans.” This will help you be sure that your answer
is correct. If you’re still uncertain, try substituting the other choices to see if they make sense. You may want
to use this technique as you answer selected-response questions on the practice tests.

Try a more challenging example
The vanilla bean question is pretty straightforward, but you’ll find that more challenging questions have a
similar structure. For example:
Entries in outlines are generally arranged according
to which of the following relationships of ideas?
(A) Literal and inferential
(B) Concrete and abstract
(C) Linear and recursive
(D) Main and subordinate
You’ll notice that this example also contains the phrase “which of the following.” This phrase helps you
determine that your answer will be a “relationship of ideas” from the choices provided. You are supposed to find
the choice that describes how entries, or ideas, in outlines are related.
Sometimes it helps to put the question in your own words. Here, you could paraphrase the question in this way:
“How are outlines usually organized?” Since the ideas in outlines usually appear as main ideas and subordinate
ideas, the answer is (D).

The Praxis® Study Companion

Step 2: Familiarize Yourself with Test Questions

QUICK TIP: Don’t be intimidated by words you may not understand. It might be easy to be thrown by words
like “recursive” or “inferential.” Read carefully to understand the question and look for an answer that fits. An
outline is something you are probably familiar with and expect to teach to your students. So slow down, and
use what you know.

Watch out for selected-response questions containing “NOT,” “LEAST,” and “EXCEPT”
This type of question asks you to select the choice that does not fit. You must be very careful because it is easy
to forget that you are selecting the negative. This question type is used in situations in which there are several
good solutions or ways to approach something, but also a clearly wrong way.

How to approach questions about graphs, tables, or reading passages
When answering questions about graphs, tables, or reading passages, provide only the information that the
questions ask for. In the case of a map or graph, you might want to read the questions first, and then look at the
map or graph. In the case of a long reading passage, you might want to go ahead and read the passage first,
noting places you think are important, and then answer the questions. Again, the important thing is to be sure
you answer the questions as they refer to the material presented. So read the questions carefully.

How to approach unfamiliar formats
New question formats are developed from time to time to find new ways of assessing knowledge. Tests may
include audio and video components, such as a movie clip or animation, instead of a map or reading passage.
Other tests may allow you to zoom in on details in a graphic or picture.
Tests may also include interactive questions. These questions take advantage of technology to assess
knowledge and skills in ways that standard selected-response questions cannot. If you see a format you are
not familiar with, read the directions carefully. The directions always give clear instructions on how you are
expected to respond.

QUICK TIP: Don’t make the questions more difficult than they are. Don’t read for hidden meanings or tricks.
There are no trick questions on Praxis tests. They are intended to be serious, straightforward tests of
your knowledge.

Understanding Constructed-Response Questions
Constructed-response questions require you to demonstrate your knowledge in a subject area by creating
your own response to particular topics. Essays and short-answer questions are types of constructed-response
questions.
For example, an essay question might present you with a topic and ask you to discuss the extent to which you
agree or disagree with the opinion stated. You must support your position with specific reasons and examples
from your own experience, observations, or reading.
Take a look at a few sample essay topics:
• “ Celebrities have a tremendous influence on the young, and for that reason, they have a responsibility to
act as role models.”
• “ We are constantly bombarded by advertisements—on television and radio, in newspapers and
magazines, on highway signs, and the sides of buses. They have become too pervasive. It’s time to put
limits on advertising.”
• “Advances in computer technology have made the classroom unnecessary, since students and teachers
are able to communicate with one another from computer terminals at home or at work.”

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Step 2: Familiarize Yourself with Test Questions

Keep these things in mind when you respond to a constructed-response question
1) A
nswer the question accurately. Analyze what each part of the question is asking you to do. If the
question asks you to describe or discuss, you should provide more than just a list.
2) A
nswer the question completely. If a question asks you to do three distinct things in your response,
you should cover all three things for the best score. Otherwise, no matter how well you write, you will
not be awarded full credit.
3) A
nswer the question that is asked. Do not change the question or challenge the basis of the
question. You will receive no credit or a low score if you answer another question or if you state, for
example, that there is no possible answer.
4) G
ive a thorough and detailed response. You must demonstrate that you have a thorough
understanding of the subject matter. However, your response should be straightforward and not filled
with unnecessary information.
5) R
eread your response. Check that you have written what you thought you wrote. Be sure not to
leave sentences unfinished or omit clarifying information.

QUICK TIP: You may find that it helps to take notes on scratch paper so that you don’t miss any details. Then
you’ll be sure to have all the information you need to answer the question.
For tests that have constructed-response questions, more detailed information can be found on page 5.

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Step 3: Practice with Sample Test Questions

3. Practice with Sample Test Questions
Answer practice questions and find explanations for correct answers

Sample Test Questions
This test is available on computer. To illustrate what the computer-delivered test looks like, the following sample
question shows an actual screen used in a computer-delivered test. For the purposes of this guide, sample
questions are provided as they would appear in a paper-delivered test.

The Praxis® Study Companion

Step 3: Practice with Sample Test Questions

The sample questions that follow illustrate the kinds of questions
on the test. They are not, however, representative of the entire
scope of the test in either content or difficulty. Answers with
explanations follow the questions.

Directions: Each of the questions or statements below is
followed by four suggested answers or completions. Select
the one that is best in each case.

1. Which of the following actions by the Federal
Reserve System would be most likely to
increase consumer spending?
(A) Increasing the discount rate to member
banks
(B) Decreasing the discount rate to member
banks
(C) Selling large amounts of government
securities
(D) Keeping reserve requirements of member
banks constant
2. The total retail market value of all the goods
and services produced in a nation, usually
stated in annual terms, is the
(A) ratio of profit to sales
(B) current ratio
(C) gross domestic product
(D) trade surplus
3. An important source of information on the
credit rating of retail businesses is

5. An accounts payable entry appears in the
(A) asset section of the balance sheet
(B) liability section of the balance sheet
(C) cost of goods sold section of the income
statement
(D) operating expense section of the income
statement
6. Which of the following best describes the
situation after the price is raised on a product
that has an inelastic demand?
(A) The quantity demanded will not change.
(B) The quantity demanded will increase.
(C) Total revenue will decrease.
(D) Total revenue will not change.
7. If one party to a contract is forced to sign, the
contract is defined as
(A) enforceable
(B) executory
(C) unilateral
(D) voidable
8. Which of the following defenses may NOT be
used to legally avoid payment on a negotiable
instrument?
(A) Breach of contract
(B) Diminished economic resources

(A) the Retail Merchants Association

(B) the local chamber of commerce

(D) Mental incapacity

(C) Dun & Bradstreet, Inc.
(D) the United States Retail Credit
Association
4. Which of the following is the government
regulator for all securities firms operating in
the United States?

9. Which of the following prescribes standards
for wages and overtime pay that affect most
private and public employment?
(A) The Employee Retirement Income
Security Act

(A) Federal Trade Commission

(B) The American Recovery and
Reinvestment Act

(B) Federal Deposit Insurance Corporation

(D) The Federal Employees’ Compensation
Act

(D) Financial Industry Regulatory Authority

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Step 3: Practice with Sample Test Questions

10. When Corporation X pays out $300,000 in
salaries, which of the following is the impact
on assets and liabilities?

14. What is the fundamental basis of competition
in a market with poorly differentiated
products?

(A) Salary expense is increased by
$300,000; cash is increased by $300,000

(A) Promotion

(B) Salary expense is increased by
$300,000; cash is decreased by
$300,000

(C) Salary expense is decreased by
$300,000; cash is increased by $300,000
(D) Salary expense is decreased by
$300,000; cash is decreased by
$300,000

(B) Product placement
(D) Value proposition
15. Which of the following protocols is used to
transport HTML pages from Web servers to
Web browsers?
(A) BOOTP
(B) HTTP

11. What is the most likely impact of an increase
in interest rates?
(A) Investment levels diminish
(B) Employment increases
(C) The value of the U.S. dollar increases
(D) Mortgage rates decline

(C) SNMP
(D) SMTP
16. Which of the following protocols is usually
associated with hyperinflation?
(A) A rapid decrease in total spending
(B) A rapid increase in money supply

12. Which of the following is the best description
of a consumer checking account?
(A) An asset for the consumer and a liability
for the bank
(B) A liability for the consumer and an asset
for the bank
(C) An asset for both the consumer and the
bank
(D) A liability for both the consumer and the
bank
13. Jacques, Hedwig, and Reyes want to form a
business entity through which they can raise
capital by selling equity shares to the public.
Which of the following business structures
should they adopt?
(A) LLC
(B) PC
(C) Corporation
(D) LLP

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(C) A slow increase in exports
(D) A slow increase in labor productivity
17. Which of the following should a computer
user do to prevent screen-induced eyestrain?
(A) Use eye drops regularly
(B) Change choice of software programs
(C) Limit the resolution on the monitor
(D) Take periodic breaks to view natural
lighting
18. When preparing a presentation, which of the
following might make data-heavy text more
reader friendly?
(A) Providing an overview of data
(B) Using italics on numbers
(C) Using double-spacing for all text
(D) Including relevant graphics with text

Step 3: Practice with Sample Test Questions

19. Which of the following is the best source of
objective information about a prospective
employer that is publicly traded?

Questions 21–22 relate to the graph below.

(A) Annual reports
(B) Press releases
(C) Newspaper articles
(D) 10-K filings with the SEC
20. Which of the following would be provided in
the marketing segment of a business plan?
(A) How the products and services will be
priced
(B) The organizational structure of the
business
(C) Any factors that could affect employee
retention
(D) The details of the budget plan

21. An increase in the price of leather and a
simultaneous increase in consumers’ incomes
will most likely have which of the following
effects on the equilibrium price and quantity
of leather garments?
Price

Quantity

(A) Increase

Increase

(B) Increase

Indeterminate

Decrease

22. If the government places a price ceiling on
leather garments that is below the equilibrium
price, which of the following will occur in the
market for leather garments?
(A) There will be a shortage.
(B) There will be a surplus.
(C) The demand curve for leather garments
will shift leftward.
(D) The supply curve for leather garments
will shift rightward.

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Step 3: Practice with Sample Test Questions

23. Many employers rely on temporary workers to
provide flexibility in times of fluctuating need.
However, an important consideration in hiring
temporary workers is that they
(A) are often less experienced and less
committed to the job than full-time
employees
(B) are limited to 30 days on the job before
they must be offered a permanent
position
(C) must be offered health care and other
benefits like regular full-time employees
(D) are required to receive pay equal to that
of regular full-time employees doing the
same job
24. Which of the following scenarios does not
include a producer?
(A) Direct selling
(B) Reverse channels
(C) Indirect channels
(D) Dual distribution
25. Which of the following steps should be taken
first to effectively present new information to
coworkers?
(A) Analyzing the audience
(B) Determining the objective
(C) Creating three to five key messages
(D) Choosing a communication tool
26. Which of the following responsibilities of a
human resources manager would have the
most negative impact on a company if
performed incorrectly?
(A) Recruiting and hiring new employees
(B) Providing professional development
opportunities for employees
(C) Ensuring company compliance with laws
and regulations
(D) Filing employee compensation and
benefits forms

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27. Determining how a product can be useful,
identifying the target price, finding a place to
sell the product, and deciding how to promote
it best exemplifies using
(A) market research
(B) positioning
(C) marketing mix
(D) segmenting
28. As part of a staffing strategy, a human
resources manager hires new personnel
through a hidden market. Which of the
following best represents the use of a hidden
market?
(A) Posting the job opening to a social
media Web site
(B) Advertising the job opening on job
posting Web sites
(C) Receiving a recommendation from a
current employee
(D) Participating in a career fair at a local
community college
29. A business teacher has students analyze a
scenario in which a few firms in the gas
industry produce a homogeneous product
and dominate the market. This situation would
primarily produce a market structure
representative of
(A) an oligopoly
(B) a pure monopoly
(C) monopolistic competition
(D) pure competition
30. The labor force primarily consists of all
(A) employed workers under the age of 16
(B) persons classified as unemployed or
employed
(C) persons who are employed as full-time
workers
(D) unemployed, employed, and
discouraged workers

Step 3: Practice with Sample Test Questions

Answers to Sample Questions
1. The correct answer is (B). A reduction in the discount
rate, the rate commercial banks are charged to borrow
money from the Federal Reserve, encourages banks to
lend money, promoting consumer spending.

12. The correct answer is (A). A checking account is a
claim against the bank’s assets for the consumer (i.e., an
asset of the consumer) and a obligation by the bank to
pay (i.e., a liability for the bank).

2. The correct answer is (C). Gross domestic product
can be defined as the total market value of all final
goods and services produced by factors of production
located within a country, regardless of who owns them.

13. The correct answer is (C). Of all business structures,
only corporations can sell equity.

3. The correct answer is (C). One of the primary
services of Dun & Bradstreet, Inc. is to provide credit
information on businesses. (A), (B), and (D) are
organizations made up of member firms with common
interests.
4. The correct answer is (D). The Financial Industry
Regulatory Authority is the regulator for all securities
firms operating in the United States.
5. The correct answer is (B). Accounts payable shows
the amount owed to a creditor for goods or services
bought on credit.
6. The correct answer is (A). (B) is incorrect because an
increase in the price of a product that has an inelastic
demand will not cause a change in the quantity
demanded. Total revenue will increase if the price is
raised on a product that has an inelastic demand.
Therefore (C) and (D) are incorrect.
7. The correct answer is (D). A forced agreement is not
a genuine agreement. The contract is voidable due to
duress.
8. The correct answer is (B). A lack of economic
resources does not legally void the payment obligation
on a negotiable instrument. (A), (C), and (D) are legal
reasons for nonpayment on a negotiable instrument.
9. The correct answer is (C). The Fair Labor Standards
Act (FLSA) prescribes standards for wages and overtime
pay, which affect most private and public employment.
The act is administered by the Wage and Hour Division
of the Department of Labor. It requires employers to
pay covered employees who are not otherwise exempt
at least the federal minimum wage and overtime pay of
one-and-one-half times the regular rate of pay.
10. The correct answer is (B). The debit of $300,000 to
Salary expense increases Expenses; the credit of
$300,000 to Cash decreases Assets.

14. The correct answer is (C). In a commodity market
where products are close substitutes of each other, the
only basis for competition is price.
15. The correct answer is (B). The question tests your
knowledge of information technology with respect to
hypertext markup language (HTML). (A), the bootstrap
protocol (BOOTP), is used to assign an IP address to
diskless computers and tell it what server and file to
load to provide it with an operating system. (C), the
simple network management protocol (SNMP), is used
to manage all types of network elements based on
various data sent and received. (D), the simple mail
transfer protocol (SMTP), is used to transport mail. (B),
the hypertext transfer protocol (HTTP), is used to
transport HTML pages from Web servers to Web
browsers and is the protocol used to communicate
between Web servers and Web browser software clients.
16. The correct answer is (B). Hyperinflation is caused by
extremely rapid growth in the supply of money. It
occurs when the monetary and fiscal authorities of a
nation regularly issue large quantities of money to pay
for a large stream of government expenditures.
17. The correct answer is (D). Looking at natural light is
known to relieve eyestrain caused by pixilated images.
18. The correct answer is (D). While additional
formatting, (A), (B), and (C), can improve readability,
graphical presentation is often the most effective
conveyor of data.
19. The correct answer is (D). In annual 10-K filings,
publicly traded companies are required by statute to
report assets, liabilities, activities, and risks accurately.
Sources such as annual reports, press releases, and
newspaper articles can be biased and incomplete.
20. The correct answer is (A). Pricing strategy is a part of
the marketing segment. This segment would discuss
how the products and services are priced. (B), (C), and
(D) are not a part of the marketing segment.

11. The correct answer is (A). A rise in interest rates
means an increase in the cost of borrowing, which can
discourage investment. A rise in interest rates can cause
employment to decline (B), the value of the U.S. dollar
to decrease (C), and mortgage rates to increase (D).

The Praxis® Study Companion

Step 3: Practice with Sample Test Questions

21. The correct answer is (B), because an increase in
the price of leather decreases the supply of leather
garments, and an increase in incomes will increase the
demand for leather garments, assuming leather
garments are normal goods. These simultaneous shifts
in the curves will result in an increase in price, but the
effect on quantity is indeterminate and will depend on
the extent of the shift of each curve.
22. The correct answer is (A). The result of an effective
price ceiling below the equilibrium price will be an
excess of quantity demanded over quantity supplied,
which will result in a shortage.
23. The correct answer is (A) correct. Temporary
workers do not have as much invested in a job as
regular full-time workers, and also tend to be less
experienced. (B) is incorrect. There is no limitation on
the time frame of a temporary worker or a rule that
mandates they must be hired on a full-time basis. (C) is
incorrect. There is no rule outlining that temporary
workers must receive the same benefits as regular
workers, which explains why it is a cost-cutting move.
(D) is incorrect. There is no requirement for equal pay
for a temporary worker and full-time employee.
24. The correct answer is (B). Reverse channels take
something from the traditional end point (consumer)
and find a way to reuse it. An example would be using
recycled plastics to create building-material blocks to
build smaller low-cost housing. (A) is incorrect. Direct
selling is when someone is producing something and
selling it directly to the buyer. (C) is incorrect. In an
indirect channel there is a producer and then some
intermediary such as a wholesaler and/or retailer to get
the product to the consumer. (D) is incorrect. Dual
distribution is when there is a producer and that
producer uses more than one distribution path to get
to the consumer, possibly selling directly and also
through a wholesaler.
25. The correct answer is (B). The first step to effectively
present new information to coworkers is to determine
the objective of the presentation. Choices (A), (C) and
(D) are all incorrect because they come later in the
presentation development process.
26. The correct answer is (C). Making an error in the
area of legal compliance could cost a company money
(in fines and lawsuits) and its reputation, and the error
could have an effect on the viability and future of the
company. Choice (A) is incorrect because making an
error in recruiting and hiring employees could result in
missing out on hiring an employee who would make a
positive impact or in hiring an employee who is not a
good fit for the firm; however, these are situations in

The Praxis® Study Companion

which a company could recover and move forward.
Choice (B) is incorrect because although it is vital for
the company to provide professional development
opportunities for the future growth of its staff, this is an
area that can be added gradually and modified as
needed as the company becomes more established.
Choice (D) is incorrect because although it is important
to correctly file compensation and benefits forms,
doing so incorrectly could be rectified quickly and
without detriment to the company
27. The correct answer is (C). The marketing mix is also
known as the four P’s of marketing, which are product,
place, price, and promotion. Choice (A) is incorrect
because market research is the process of gathering
information about the market and using it to
determine what kinds of products to produce. Choice
(B) is incorrect because positioning is a part of the
strategic marketing formula that helps marketers
identify and segment their audience, target their
market, and posture their products to cultivate the
desired brand position. Choice (D) is incorrect because
segmenting is the part of the strategic marketing
formula that helps marketers identify and segment
their audience, target their market, and posture their
products to cultivate their desired brand position.
28. The correct answer is (C). The hidden market
consists of jobs that are not advertised to the general
public. Job seekers gain access to the hidden market
through family and friends or through networking with
current employees. Choices (A), (B), and (D) all
represent the public advertising of a job posting, which
is not a part of the hidden market.
29. The correct answer is (A). An oligopoly exists where
a few large firms that produce a homogeneous
product exercise dominance over the market. Choice
(B) is incorrect because a pure monopoly exists when a
single entity, such as a professional sports league or
public utility, is the sole producer of a product. Choice
(C) is incorrect because monopolistic competition
occurs when a relatively large number of competitors,
such as clothing stores, offer similar (but not identical)
products. Choice (D) is incorrect because in pure
competition, the decision of a single seller will have no
impact on market price, and individual firms must
accept the market price and cannot exert an influence
on price.
30. The correct answer is (B). The question tests your
knowledge of labor issues. The labor force is defined as
all the nonmilitary people who are officially employed
or unemployed.

Step 4: Determine Your Strategy for Success

4. Determine Your Strategy for Success
Set clear goals and deadlines so your test preparation is focused and efficient
Effective Praxis test preparation doesn’t just happen. You’ll want to set clear goals and deadlines for yourself
along the way. Otherwise, you may not feel ready and confident on test day.

1) Learn what the test covers.
You may have heard that there are several different versions of the same test. It’s true. You may take one
version of the test and your friend may take a different version a few months later. Each test has different
questions covering the same subject area, but both versions of the test measure the same skills and
content knowledge.
You’ll find specific information on the test you’re taking on page 5, which outlines the content categories
that the test measures and what percentage of the test covers each topic. Visit www.ets.org/praxis/
testprep for information on other Praxis tests.

2) Assess how well you know the content.
Research shows that test takers tend to overestimate their preparedness—this is why some test takers
assume they did well and then find out they did not pass.
The Praxis tests are demanding enough to require serious review of likely content, and the longer you’ve
been away from the content, the more preparation you will most likely need. If it has been longer than a few
months since you’ve studied your content area, make a concerted effort to prepare.

3) Collect study materials.
Gathering and organizing your materials for review are critical steps in preparing for the Praxis tests. Consider
the following reference sources as you plan your study:
• D
id you take a course in which the content area was covered? If yes, do you still have your books or
your notes?
• D
oes your local library have a high school-level textbook in this area? Does your college library have a
good introductory college-level textbook in this area?
Practice materials are available for purchase for many Praxis tests at www.ets.org/praxis/testprep. Test
preparation materials include sample questions and answers with explanations.

4) Plan and organize your time.
You can begin to plan and organize your time while you are still collecting materials. Allow yourself plenty of
review time to avoid cramming new material at the end. Here are a few tips:
• C
hoose a test date far enough in the future to leave you plenty of preparation time. Test dates can be
found at www.ets.org/praxis/register/centers_dates.
• Work backward from that date to figure out how much time you will need for review.
• Set a realistic schedule—and stick to it.

The Praxis® Study Companion

Step 4: Determine Your Strategy for Success

5) Practice explaining the key concepts.
Praxis tests with constructed-response questions assess your ability to explain material effectively. As a
teacher, you’ll need to be able to explain concepts and processes to students in a clear, understandable
way. What are the major concepts you will be required to teach? Can you explain them in your own words
accurately, completely, and clearly? Practice explaining these concepts to test your ability to effectively
explain what you know.

6) Understand how questions will be scored.
Scoring information can be found on page 35.

7) Develop a study plan.
A study plan provides a road map to prepare for the Praxis tests. It can help you understand what skills and
knowledge are covered on the test and where to focus your attention. Use the study plan template on page
24 to organize your efforts.
And most important—get started!

Would a Study Group Work for You?
Using this guide as part of a study group
People who have a lot of studying to do sometimes find it helpful to form a study group with others who are
working toward the same goal. Study groups give members opportunities to ask questions and get detailed
answers. In a group, some members usually have a better understanding of certain topics, while others in the
group may be better at other topics. As members take turns explaining concepts to one another, everyone
builds self-confidence.
If the group encounters a question that none of the members can answer well, the group can go to a teacher or
other expert and get answers efficiently. Because study groups schedule regular meetings, members study in a
more disciplined fashion. They also gain emotional support. The group should be large enough so that multiple
people can contribute different kinds of knowledge, but small enough so that it stays focused. Often, three to
six members is a good size.
Here are some ways to use this guide as part of a study group:

• P
lan the group’s study program. Parts of the study plan template, beginning on page 24, can help
to structure your group’s study program. By filling out the first five columns and sharing the worksheets,
everyone will learn more about your group’s mix of abilities and about the resources, such as textbooks, that
members can share with the group. In the sixth column (“Dates I will study the content”), you can create an
overall schedule for your group’s study program.
• P
lan individual group sessions. At the end of each session, the group should decide what specific
topics will be covered at the next meeting and who will present each topic. Use the topic headings and
subheadings in the Test at a Glance table on page 5 to select topics, and then select practice questions,
beginning on page 12.
• P
repare your presentation for the group. When it’s your turn to present, prepare something that is
more than a lecture. Write two or three original questions to pose to the group. Practicing writing actual
questions can help you better understand the topics covered on the test as well as the types of questions
you will encounter on the test. It will also give other members of the group extra practice at answering
questions.

The Praxis® Study Companion

Step 4: Determine Your Strategy for Success

• T
ake a practice test together. The idea of a practice test is to simulate an actual administration of the
test, so scheduling a test session with the group will add to the realism and may also help boost everyone’s
confidence. Remember, complete the practice test using only the time that will be allotted for that test on
your administration day.
• L earn from the results of the practice test. Review the results of the practice test, including the
number of questions answered correctly in each content category. For tests that contain constructedresponse questions, look at the Sample Test Questions section, which also contain sample responses to
those questions and shows how they were scored. Then try to follow the same guidelines that the test
scorers use.
• B
e as critical as you can. You’re not doing your study partner(s) any favors by letting them get away with
an answer that does not cover all parts of the question adequately.
• B
e specific. Write comments that are as detailed as the comments about the sample responses. Indicate
where and how your study partner(s) are doing an inadequate job of answering the question. Writing notes
in the margins of the answer sheet may also help.
• B
e supportive. Include comments that point out what your study partner(s) got right.
Then plan one or more study sessions based on aspects of the questions on which group members performed
poorly. For example, each group member might be responsible for rewriting one paragraph of a response in
which someone else did an inadequate job.
Whether you decide to study alone or with a group, remember that the best way to prepare is to have an
organized plan. The plan should set goals based on specific topics and skills that you need to learn, and it
should commit you to a realistic set of deadlines for meeting those goals. Then you need to discipline yourself
to stick with your plan and accomplish your goals on schedule.

The Praxis® Study Companion

Step 5: Develop Your Study Plan

5. Develop Your Study Plan
Develop a personalized study plan and schedule
Planning your study time is important because it will help ensure that you review all content areas covered on the
test. Use the sample study plan below as a guide. It shows a plan for the Core Academic Skills for Educators: Reading
test. Following that is a study plan template that you can fill out to create your own plan. Use the “Learn about Your
Test” and “Test Specifications" information beginning on page 5 to help complete it.
Use this worksheet to:
1. Define Content Areas: List the most important content areas for your test as defined in chapter 1.
2. Determine Strengths and Weaknesses: Identify your strengths and weaknesses in each content area.
3. Identify Resources: Identify the books, courses, and other resources you plan to use for each content area.
4. Study: Create and commit to a schedule that provides for regular study periods.
Praxis Test Name (Test Code):
Test Date:

Core Academic Skills for Educators: Reading (5712)
9/15/15

Description
of content

Content covered

How well do
I know the
content?
(scale 1–5)

What
resources do I
have/need for
the content?

Where can I
find the
resources I
need?

Dates I will
study the
content

Date
completed

Key Ideas and Details
Draw inferences and
implications from the
directly stated content
of a reading selection

Middle school
English
textbook

College library,
middle school
teacher

7/15/15

Determining Ideas

Identify summaries or
paraphrases of the main
idea or primary purpose
of a reading selection

Middle school
English
textbook

College library,
middle school
teacher

7/17/15

Determining Ideas

Identify summaries
or paraphrases of the
supporting ideas and
specific details in a
reading selection

Middle and
high school
English
textbook

College library,
middle and
high school
teachers

7/20/15

7/21/15

Middle and
high school
English
textbook

College library,
middle and
high school
teachers

7/25/15

7/26/15

Middle and
high school
English
textbook,
dictionary

College library,
middle and
high school
teachers

7/25/15

7/27/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/1/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/1/15

Close reading

Craft, Structure, and Language Skills
Interpreting tone

Determine the author’s
attitude toward material
discussed in a reading
selection

Analysis of
structure

Identify key transition
words and phrases in a
reading selection and
how they are used

Analysis of
structure

Identify how a reading
selection is organized
in terms of cause/effect,
compare/contrast,
problem/solution, etc.

Author’s purpose

Determine the role that
an idea, reference, or
piece of information
plays in an author’s
discussion or argument

(continued on next page)

The Praxis® Study Companion

Step 5: Develop Your Study Plan

Content covered

Language in
different contexts

Description
of content
Determine whether
information presented
in a reading selection
is presented as fact or
opinion

Contextual
meaning

Identify the meanings of
words as they are used in
the context of a reading
selection

Figurative
Language

Understand figurative
language and nuances in
word meanings

Vocabulary range

Understand a range
of words and phrases
sufficient for reading at
the college and career
readiness level

How well do
I know the
content?
(scale 1–5)

What
resources do I
have/need for
the content?

Where can I
find the
resources I
need?

Dates
I will
study the
content

Date
completed

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/1/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/1/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/8/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/15/15

8/17/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/22/15

8/24/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/24/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/27/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/28/15

8/30/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

8/30/15

8/31/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

9/3/15

9/4/15

High school
textbook,
college course
notes

College library,
course notes,
high school
teacher, college
professor

9/5/15

9/6/15

Integration of Knowledge and Ideas
Analyze content
presented in diverse
Diverse media and media and formats,
formats
including visually and
quantitatively, as well as
in words
Evaluation of
arguments

Identify the relationship
among ideas presented
in a reading selection

Evaluation of
arguments

Determine whether
evidence strengthens,
weakens, or is relevant
to the arguments in a
reading selection

Evaluation of
arguments

Determine the logical
assumptions upon
which an argument or
conclusion is based

Evaluation of
arguments

Draw conclusions from
material presented in a
reading selection

Comparison of
texts

Recognize or predict
ideas or situations that
are extensions of or
similar to what has been
presented in a reading
selection

Comparison of
texts

Apply ideas presented
in a reading selection to
other situations

The Praxis® Study Companion

Step 5: Develop Your Study Plan

My Study Plan
Use this worksheet to:
1. Define Content Areas: List the most important content areas for your test as defined in chapter 1.
2. Determine Strengths and Weaknesses: Identify your strengths and weaknesses in each content area.
3. Identify Resources: Identify the books, courses, and other resources you plan to use for each content area.
4. Study: Create and commit to a schedule that provides for regular study periods.
Praxis Test Name (Test Code): ____________________________________________________________
Test Date:
_____________

Content covered

Description
of content

How well do
I know the
content?
(scale 1–5)

What
resources do I
have/need for
this content?

Where can I
find the
resources I
need?

Dates I will
study this
content

Date
completed

(continued on next page)

The Praxis® Study Companion

Step 5: Develop Your Study Plan

Content covered

The Praxis® Study Companion

Description
of content

How well do
I know the
content?
(scale 1–5)

What
resources do I
have/need for
the content?

Where can I
find the
resources I
need?

Dates I will
study the
content

Date
completed

Step 6: Review Study Topics

6. Review Study Topics
Review study topics with questions for discussion

Using the Study Topics That Follow
The Business Education: Content Knowledge test is designed to measure the knowledge and skills necessary for
a beginning teacher.
This chapter is intended to help you organize your preparation for the test and to give you a clear indication of
the depth and breadth of the knowledge required for success on the test.
Virtually all accredited programs address the topics covered by the test; however, you are not expected to be an
expert on all aspects of the topics that follow.
You are likely to find that the topics below are covered by most introductory textbooks. Consult materials and
resources, including lecture and laboratory notes, from all your coursework. You should be able to match up
specific topics and subtopics with what you have covered in your courses.
Try not to be overwhelmed by the volume and scope of content knowledge in this guide. Although a specific
term may not seem familiar as you see it here, you might find you can understand it when applied to a real-life
situation. Many of the items on the actual test will provide you with a context to apply to these topics or terms.

Discussion Areas
Interspersed throughout the study topics are discussion areas, presented as open-ended questions or
statements. These discussion areas are intended to help test your knowledge of fundamental concepts and your
ability to apply those concepts to situations in the classroom or the real world. Most of the areas require you
to combine several pieces of knowledge to formulate an integrated understanding and response. If you spend
time on these areas, you will gain increased understanding and facility with the subject matter covered on the
test. You may want to discuss these areas and your answers with a teacher or mentor.
Note that this study companion does not provide answers for the discussion area questions, but thinking about the
answers to them will help improve your understanding of fundamental concepts and will probably help you
answer a broad range of questions on the test.

The Praxis® Study Companion

Step 6: Review Study Topics

Study Topics
An overview of the areas covered on the test, along
with their subareas, follows.

III. Economics
A.

Allocation of resources: supply and demand,
opportunity cost, scarcity, factors of production,
etc.

Economic systems: free enterprise, market versus
command economies, mixed economies

Accounting and Finance
A.

Accounting: the accounting cycle, the
accounting process, and the interpretation and
use of financial statements

Market structures: monopolies, oligopolies,
competition, the effect of the structures on
pricing and the quality of goods and services

Personal and business finance: savings and
investments; managing credit, finances, and risks;
financial institutions

Role of government: fiscal policies, taxation,
monetary policies, banking regulations

Economic indicators: growth, productivity,
employment, the business cycle

Discussion areas: Accounting and Finance

Discussion areas: Economics

• What are the steps in the accounting cycle?

• What are the basic features of assorted
economic systems?

• How do you create, interpret, and use various
financial statements?
• What are the different types of financial
institutions and their functions?

• What are the characteristics and role of
government in developing fiscal policies and
setting regulations?

• What are the principles of and terminology
associated with personal and business
financial management?

• What are the different characteristics of
economic indicators?

• What are the characteristics of and services
provided by different types of financial
institutions?

II. Communication and Career Development
A.

Foundations of communication: barriers,
techniques, and skills

Written and oral communications: letters, memos,
email, presentations, reports

Employment communication: résumés,
applications, interview techniques and tools

Career research: evaluating occupational interests
and using career research tools and resources
Discussion areas: Communication and
Career Development
• How do the foundations of communication
impact a business setting?

IV. Entrepreneurship
A.

Characteristics

Entrepreneurial opportunities

Forms of ownership: sole proprietorship,
partnership, corporation

Business plans: components and rationale
Discussion areas: Entrepreneurship
• What are the various types and
characteristics of businesses?
• What are the differences between the forms
of business ownership, including
proprietorships, partnerships, corporations,
and franchises?
• What are the major components and
functions of a business plan?

• What are the functions of written and oral
communication formats in the workplace?
• What communication tools and skills are
important for gaining employment?
• How has social media influenced
communication?

The Praxis® Study Companion

Step 6: Review Study Topics

V. Information Technology
A.

Operations and concepts: hardware, software,
networking, operating environments, file
management, security

Human factors: ergonomics, workflow, physical
design/layout

Technology tools:
1. Communication (e.g., telecommunications,
Internet, netiquette)
2. Research (e.g., Internet usage, search
strategies, databases)
3. Problem solving and decision making using
applications (e.g., word processing,
multimedia, spreadsheet, database, desktop
publishing, web design, programming,
collaborative software)
Discussion areas: Information Technology
• What are the functions and concepts related
to operating and maintaining the hardware
and software of a computer system?
• How are human factors affected by
technology in the workplace?
• What is the impact of information
technology on business and society?
• What role does computer technology play in
specific business contexts (e.g., product
design, sales and marketing, inventory)?

VI. Law and International Business
A.

Foundations of international business: role and
impact

International business environment: social,
cultural, political, legal, and economic factors; and
the impact of a country’s infrastructure

Trade relations: imports and exports; trade
barriers, trade agreements, and balance of trade

Contract law

Consumer law

Computer law: copyright, intellectual property,
privacy/security

United States court system
Discussion areas: Law and International
Business
• What are the social, cultural, political, legal,
and economic factors in relation to the
international business environment?
• What are the financial forces and economic
theories affecting a country’s infrastructure
(e.g., effects of foreign exchange markets)?
• What are the trade barriers and trade
agreements relevant to international
business (e.g., exchange rates, quotas, tariffs,
etc.)?
• What are the concepts associated with
contract law and laws associated with the
use of computers?
• What are the concepts related to consumer
law (e.g., consumer protection, legislation)?
• What are the concepts related to business
law (e.g., trademark, laws against fraud)?

The Praxis® Study Companion

Step 6: Review Study Topics

VII. Marketing and Management
A.
B.

Marketing: marketing principles, marketing mix,
and consumer behavior

VIII. Professional Business Education
A.

Management: management functions and
human resources
Discussion areas: Marketing and
Management

• What are the basic principles and
terminology related to marketing?

• What are the elements included in the
marketing mix (e.g., product, price,
promotion, place)?
• What are the basic functions of management
and its implementation in the business
environment (e.g., planning, organizing,
directing/leading, controlling)?
• What are the functions of human resource
management (e.g., needs analysis,
recruitment)?
• How is social media related to marketing?

Pedagogy

Work-based learning
1.
2.
3.
4.
5.

School-based enterprises
Internships
Mentorship
Cooperative education
Job shadowing
Discussion areas: Professional Business
Education
• What are the characteristics, functions, and
organizational structure of student
organizations?
• What is the relationship between classroom
learning and student organizations? The
relationship between business education
programs and advisory committees?
• What are the roles and responsibilities of
business education teachers in regard to
creating and maintaining community
partnerships?
• What are the mission and objectives of the
business education program?
• What is the importance of regulations for
using work-based learning (e.g., internships,
cooperative education, job shadowing)?

The Praxis® Study Companion

Step 7: Review Smart Tips for Success

7. Review Smart Tips for Success
Follow test-taking tips developed by experts
Learn from the experts. Take advantage of the following answers to questions you may have and practical tips
to help you navigate the Praxis test and make the best use of your time.

Should I guess?
Yes. Your score is based on the number of questions you answer correctly, with no penalty or subtraction for an
incorrect answer. When you don’t know the answer to a question, try to eliminate any obviously wrong answers
and then guess at the correct one. Try to pace yourself so that you have enough time to carefully consider
every question.

Can I answer the questions in any order?
You can answer the questions in order or skip questions and come back to them later. If you skip a question,
you can also mark it so that you can remember to return and answer it later. Remember that questions left
unanswered are treated the same as questions answered incorrectly, so it is to your advantage to answer every
question.

Are there trick questions on the test?
No. There are no hidden meanings or trick questions. All of the questions on the test ask about subject matter
knowledge in a straightforward manner.

Are there answer patterns on the test?
No. You might have heard this myth: the answers on tests follow patterns. Another myth is that there will never
be more than two questions in a row with the correct answer in the same position among the choices. Neither
myth is true. Select the answer you think is correct based on your knowledge of the subject.

Can I write on the scratch paper I am given?
Yes. You can work out problems on the scratch paper, make notes to yourself, or write anything at all. Your
scratch paper will be destroyed after you are finished with it, so use it in any way that is helpful to you. But make
sure to select or enter your answers on the computer.

Smart Tips for Taking the Test
1. S
kip the questions you find extremely difficult. Rather than trying to answer these on your first pass
through the test, you may want to leave them blank and mark them so that you can return to them later.
Pay attention to the time as you answer the rest of the questions on the test, and try to finish with 10 or
15 minutes remaining so that you can go back over the questions you left blank. Even if you don’t know
the answer the second time you read the questions, see if you can narrow down the possible answers, and
then guess. Your score is based on the number of right answers, so it is to your advantage to answer every
question.

The Praxis® Study Companion

Step 7: Review Smart Tips for Success

2. K
eep track of the time. The on-screen clock will tell you how much time you have left. You will probably
have plenty of time to answer all of the questions, but if you find yourself becoming bogged down, you
might decide to move on and come back to any unanswered questions later.
3. R
ead all of the possible answers before selecting one. For questions that require you to select more
than one answer, or to make another kind of selection, consider the most likely answers given what the
question is asking. Then reread the question to be sure the answer(s) you have given really answer the
question. Remember, a question that contains a phrase such as “Which of the following does NOT …” is
asking for the one answer that is NOT a correct statement or conclusion.
4. C
heck your answers. If you have extra time left over at the end of the test, look over each question and
make sure that you have answered it as you intended. Many test takers make careless mistakes that they
could have corrected if they had checked their answers.
5. D
on’t worry about your score when you are taking the test. No one is expected to answer all of the
questions correctly. Your score on this test is not analogous to your score on the GRE® or other tests. It doesn’t
matter on the Praxis tests whether you score very high or barely pass. If you meet the minimum passing
scores for your state and you meet the state’s other requirements for obtaining a teaching license, you will
receive a license. In other words, what matters is meeting the minimum passing score. You can find passing
scores for all states that use the Praxis tests at http://www.ets.org/s/praxis/pdf/passing_scores.pdf or on
the web site of the state for which you are seeking certification/licensure.
6. U
se your energy to take the test, not to get frustrated by it. Getting frustrated only increases stress
and decreases the likelihood that you will do your best. Highly qualified educators and test development
professionals, all with backgrounds in teaching, worked diligently to make the test a fair and valid measure
of your knowledge and skills. Your state painstakingly reviewed the test before adopting it as a licensure
requirement. The best thing to do is concentrate on answering the questions.

The Praxis® Study Companion

Step 8: Check on Testing Accommodations

8. Check on Testing Accommodations
See if you qualify for accommodations that may make it easier to take the Praxis test
What if English is not my primary language?
Praxis tests are given only in English. If your primary language is not English (PLNE), you may be eligible for
extended testing time. For more details, visit www.ets.org/praxis/register/plne_accommodations/.

What if I have a disability or other health-related need?
The following accommodations are available for Praxis test takers who meet the Americans with Disabilities Act
(ADA) Amendments Act disability requirements:
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•

E xtended testing time
Additional rest breaks
Separate testing room
Writer/recorder of answers
Test reader
Sign language interpreter for spoken directions only
Perkins Brailler
Braille slate and stylus
Printed copy of spoken directions
Oral interpreter
Audio test
Braille test
Large print test book
Large print answer sheet
Listening section omitted

For more information on these accommodations, visit www.ets.org/praxis/register/disabilities.

Note: Test takers who have health-related needs requiring them to bring equipment, beverages, or snacks into
the testing room or to take extra or extended breaks must request these accommodations by following the
procedures described in the Bulletin Supplement for Test Takers with Disabilities or Health-Related Needs (PDF),
which can be found at http://www.ets.org/s/disabilities/pdf/bulletin_supplement_test_takers_with_
disabilities_health_needs.pdf.
You can find additional information on available resources for test takers with disabilities or health-related needs
at www.ets.org/disabilities.

The Praxis® Study Companion

Step 9: Do Your Best on Test Day

9. Do Your Best on Test Day
Get ready for test day so you will be calm and confident
You followed your study plan. You prepared for the test. Now it’s time to prepare for test day.
Plan to end your review a day or two before the actual test date so you avoid cramming. Take a dry run to the
test center so you’re sure of the route, traffic conditions, and parking. Most of all, you want to eliminate any
unexpected factors that could distract you from your ultimate goal—passing the Praxis test!
On the day of the test, you should:
• be well rested
• wear comfortable clothes and dress in layers
• eat before you take the test
• bring an acceptable and valid photo identification with you
• bring an approved calculator only if one is specifically permitted for the test you are taking (see Calculator
Use, at http://www.ets.org/praxis/test_day/policies/calculators)
• be prepared to stand in line to check in or to wait while other test takers check in
You can’t control the testing situation, but you can control yourself. Stay calm. The supervisors are well trained
and make every effort to provide uniform testing conditions, but don’t let it bother you if the test doesn’t start
exactly on time. You will have the allotted amount of time once it does start.
You can think of preparing for this test as training for an athletic event. Once you’ve trained, prepared, and
rested, give it everything you’ve got.

What items am I restricted from bringing into the test center?
You cannot bring into the test center personal items such as:
• handbags, knapsacks, or briefcases
• water bottles or canned or bottled beverages
• study materials, books, or notes
• p
ens, pencils, scrap paper, or calculators, unless specifically permitted for the test you are taking (see
Calculator Use, at http://www.ets.org/praxis/test_day/policies/calculators)
• any electronic, photographic, recording, or listening devices
Personal items are not allowed in the testing room and will not be available to you during the test or during
breaks. You may also be asked to empty your pockets. At some centers, you will be assigned a space to store
your belongings, such as handbags and study materials. Some centers do not have secure storage space
available, so please plan accordingly.
Test centers assume no responsibility for your personal items.

The Praxis® Study Companion

Step 9: Do Your Best on Test Day

If you have health-related needs requiring you to bring equipment, beverages or snacks into the testing
room or to take extra or extended breaks, you need to request accommodations in advance. Procedures for
requesting accommodations are described in the Bulletin Supplement for Test Takers with Disabilities or
Health-related Needs (PDF).

Note: All cell phones, smart phones (e.g., Android® devices, iPhones®, etc.), and other electronic, photographic,
recording, or listening devices are strictly prohibited from the test center. If you are seen with such a device, you
will be dismissed from the test, your test scores will be canceled, and you will forfeit your test fees. If you are
seen using such a device, the device will be confiscated and inspected. For more information on what you can
bring to the test center, visit www.ets.org/praxis/test_day/bring.

Are You Ready?
Complete this checklist to determine whether you are ready to take your test.
❒ Do you know the testing requirements for the license or certification you are seeking in the state(s) where
you plan to teach?
❒ Have you followed all of the test registration procedures?
❒ Do you know the topics that will be covered in each test you plan to take?
❒ Have you reviewed any textbooks, class notes, and course readings that relate to the topics covered?
❒ Do you know how long the test will take and the number of questions it contains?
❒ Have you considered how you will pace your work?
❒ Are you familiar with the types of questions for your test?
❒ Are you familiar with the recommended test-taking strategies?
❒ Have you practiced by working through the practice questions in this study companion or in a study
guide or practice test?
❒ If constructed-response questions are part of your test, do you understand the scoring criteria for
these questions?
❒ If you are repeating a Praxis test, have you analyzed your previous score report to determine areas where
additional study and test preparation could be useful?
If you answered “yes” to the questions above, your preparation has paid off. Now take the Praxis test, do your
best, pass it—and begin your teaching career!

The Praxis® Study Companion

Step 10: Understand Your Scores

10. Understand Your Scores
Understand how tests are scored and how to interpret your test scores
Of course, passing the Praxis test is important to you so you need to understand what your scores mean and
what your state requirements are.

What are the score requirements for my state?
States, institutions, and associations that require the tests set their own passing scores. Visit
www.ets.org/praxis/states for the most up-to-date information.

If I move to another state, will my new state accept my scores?
The Praxis tests are part of a national testing program, meaning that they are required in many states for
licensure. The advantage of a national program is that if you move to another state that also requires Praxis tests,
you can transfer your scores. Each state has specific test requirements and passing scores, which you can find at
www.ets.org/praxis/states.

How do I know whether I passed the test?
Your score report will include information on passing scores for the states you identified as recipients of your
test results. If you test in a state with automatic score reporting, you will also receive passing score information
for that state.
A list of states and their passing scores for each test are available online at www.ets.org/praxis/states.

What your Praxis scores mean
You received your score report. Now what does it mean? It’s important to interpret your score report correctly
and to know what to do if you have questions about your scores.
Visit http://www.ets.org/s/praxis/pdf/sample_score_report.pdf to see a sample score report.
To access Understanding Your Praxis Scores, a document that provides additional information on how to read
your score report, visit www.ets.org/praxis/scores/understand.

Put your scores in perspective
Your score report indicates:
• Your score and whether you passed
• The range of possible scores
• The raw points available in each content category
• The range of the middle 50 percent of scores on the test
If you have taken the same Praxis test or other Praxis tests in the last 10 years, your score report also lists the
highest score you earned on each test taken.

The Praxis® Study Companion

Step 10: Understand Your Scores

Content category scores and score interpretation
Questions on the Praxis tests are categorized by content. To help you in future study or in preparing to retake
the test, your score report shows how many raw points you earned in each content category. Compare your
“raw points earned” with the maximum points you could have earned (“raw points available”). The greater the
difference, the greater the opportunity to improve your score by further study.

Score scale changes
E T S updates Praxis tests on a regular basis to ensure they accurately measure the knowledge and skills that are
required for licensure. When tests are updated, the meaning of the score scale may change, so requirements
may vary between the new and previous versions. All scores for previous, discontinued tests are valid and
reportable for 10 years, provided that your state or licensing agency still accepts them.
These resources may also help you interpret your scores:
• Understanding Your Praxis Scores (PDF), found at www.ets.org/praxis/scores/understand
• T he Praxis Passing Scores (PDF), found at www.ets.org/praxis/scores/understand
• State requirements, found at www.ets.org/praxis/states

The Praxis® Study Companion

Appendix: Other Questions You May Have

Appendix: Other Questions You May Have
Here is some supplemental information that can give you a better understanding of the Praxis tests.

What do the Praxis tests measure?
The Praxis tests measure the specific knowledge and skills that beginning teachers need. The tests do not
measure an individual’s disposition toward teaching or potential for success, nor do they measure your actual
teaching ability. The assessments are designed to be comprehensive and inclusive but are limited to what can
be covered in a finite number of questions and question types. Teaching requires many complex skills that are
typically measured in other ways, including classroom observation, video recordings, and portfolios.
Ranging from Agriculture to World Languages, there are more than 80 Praxis tests, which contain selectedresponse questions or constructed-response questions, or a combination of both.

Who takes the tests and why?
Some colleges and universities use the Praxis Core Academic Skills for Educators tests (Reading, Writing, and
Mathematics) to evaluate individuals for entry into teacher education programs. The assessments are generally
taken early in your college career. Many states also require Core Academic Skills test scores as part of their
teacher licensing process.
Individuals entering the teaching profession take the Praxis content and pedagogy tests as part of the teacher
licensing and certification process required by many states. In addition, some professional associations and
organizations require the Praxis Subject Assessments for professional licensing.

Do all states require these tests?
The Praxis tests are currently required for teacher licensure in approximately 40 states and United States
territories. These tests are also used by several professional licensing agencies and by several hundred colleges
and universities. Teacher candidates can test in one state and submit their scores in any other state that requires
Praxis testing for licensure. You can find details at www.ets.org/praxis/states.

What is licensure/certification?
Licensure in any area—medicine, law, architecture, accounting, cosmetology—is an assurance to the public that
the person holding the license possesses sufficient knowledge and skills to perform important occupational
activities safely and effectively. In the case of teacher licensing, a license tells the public that the individual has
met predefined competency standards for beginning teaching practice.
Because a license makes such a serious claim about its holder, licensure tests are usually quite demanding. In
some fields, licensure tests have more than one part and last for more than one day. Candidates for licensure
in all fields plan intensive study as part of their professional preparation. Some join study groups, others study
alone. But preparing to take a licensure test is, in all cases, a professional activity. Because a licensure exam
surveys a broad body of knowledge, preparing for a licensure exam takes planning, discipline, and sustained
effort.

Why does my state require the Praxis tests?
Your state chose the Praxis tests because they assess the breadth and depth of content—called the “domain”—
that your state wants its teachers to possess before they begin to teach. The level of content knowledge,
reflected in the passing score, is based on recommendations of panels of teachers and teacher educators in

The Praxis® Study Companion

Appendix: Other Questions You May Have

each subject area. The state licensing agency and, in some states, the state legislature ratify the passing scores
that have been recommended by panels of teachers.

How were the tests developed?
E T S consulted with practicing teachers and teacher educators around the country during every step of the
Praxis test development process. First, E T S asked them what knowledge and skills a beginning teacher needs to
be effective. Their responses were then ranked in order of importance and reviewed by hundreds of teachers.
After the results were analyzed and consensus was reached, guidelines, or specifications, for the selectedresponse and constructed-response tests were developed by teachers and teacher educators. Following these
guidelines, teachers and professional test developers created test questions that met content requirements and
E T S Standards for Quality and Fairness.*
When your state adopted the research-based Praxis tests, local panels of teachers and teacher educators
evaluated each question for its relevance to beginning teachers in your state. During this “validity study,” the
panel also provided a passing-score recommendation based on how many of the test questions a beginning
teacher in your state would be able to answer correctly. Your state’s licensing agency determined the final
passing-score requirement.
E T S follows well-established industry procedures and standards designed to ensure that the tests measure what
they are intended to measure. When you pass the Praxis tests your state requires, you are proving that you have
the knowledge and skills you need to begin your teaching career.

How are the tests updated to ensure the content remains current?
Praxis tests are reviewed regularly. During the first phase of review, E T S conducts an analysis of relevant state
and association standards and of the current test content. State licensure titles and the results of relevant
job analyses are also considered. Revised test questions are then produced following the standard test
development methodology. National advisory committees may also be convened to review and revise existing
test specifications and to evaluate test forms for alignment with the specifications.

How long will it take to receive my scores?
Scores for tests that do not include constructed-response questions are available on screen immediately after
the test. Scores for tests that contain constructed-response questions or essays aren’t available immediately after
the test because of the scoring process involved. Official score reports are available to you and your designated
score recipients approximately two to three weeks after the test date for tests delivered continuously, or two to
three weeks after the testing window closes for other tests. See the test dates and deadlines calendar at www.
ets.org/praxis/register/centers_dates for exact score reporting dates.

Can I access my scores on the web?
All test takers can access their test scores via My Praxis Account free of charge for one year from the posting
date. This online access replaces the mailing of a paper score report.
The process is easy—simply log into My Praxis Account at www.ets.org/praxis and click on your score report. If
you do not already have a Praxis account, you must create one to view your scores.

Note: You must create a Praxis account to access your scores, even if you registered by mail or phone.
*E T S Standards for Quality and Fairness (2014, Princeton, N.J.) are consistent with the Standards for Educational and Psychological Testing,
industry standards issued jointly by the American Educational Research Association, the American Psychological Association, and the
National Council on Measurement in Education (2014, Washington, D.C.).

The Praxis® Study Companion

Your teaching career is worth preparing for, so start today!
Let the Praxis® Study Companion guide you.

To search for the Praxis test prep resources
that meet your specific needs, visit:

www.ets.org/praxis/testprep

To purchase official test prep made by the creators
of the Praxis tests, visit the E T S Store:

www.ets.org/praxis/store

Copyright © 2017 by Educational Testing Service. All rights reserved. E T S, the E T S logo, PRAXIS, GRE and MEASURING THE POWER OF
LEARNING are registered trademarks of Educational Testing Service (E T S).
All other trademarks are property of their respective owners.

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