It's not a zero sum game here. If you test out of the 101 level course in lets say, American History, you are at many schools avoiding the large 100+ person au

It's not a zero sum game here. If you test out of the 101 level course in lets say, American History, you are at many schools avoiding the large 100+ person auditorium style class which is not much more interactive than one you could watch on TV. In return, you can then take the succeeding courses, which are likely smaller and limited to students with an interest in that subject as opposed to extra-departmental students meeting a liberal arts requirement.