BUS 475 FINAL EXAM 6 A+++

 

1) As Plant Controller, you are trying to determine which costs over which you have the most control on a day to day basis. Your goal is to achieve better profitability. The Plant Operations Manager suggests that overhead is the easiest area to directly reduce costs. Which of the following items would be classified as manufacturing overhead?

A. General corporate liability insurance

B. Cost of landscaping the corporate office

C. The western division’s vice president’s salary

D. Factory janitor

 

2) Balance sheet accounts are considered to be __________.

A. permanent accounts

B. capital accounts

C. nominal accounts

D.  temporary stockholders’ accounts

3) A company just starting in business purchased three merchandise inventory items at the following prices. First purchase $80; Second purchase $95; Third purchase $85. If the company sold two units for a total of $240 and used FIFO costing, the gross profit for the period would be _____.

A. $75

B. $60

C. $50

D. $65

 

4) The major reporting standard for management accounts is __________.

A. the Sarbanes-Oxley Act of 2002

B. the Standards of Ethical Conduct for Practitioners of Management Accounting and Financial Management

C. generally accepted accounting principles

D. relevance to decisions

 

5) The standards and rules that are recognized as a general guide for financial reporting are called __________.

A. generally accepted accounting principles

B. generally accepted accounting standards

C. standards of financial reporting

D. operating guidelines

 

6) Managerial accounting __________.

A. is governed by generally accepted accounting principles

B. is concerned with costing products

C. places emphasis on special-purpose information

D. pertains to the entity as a whole and is highly aggregated

 

7) Hess, Inc. sells a single product with a contribution margin of $12 per unit and fixed costs of $74,400 and sales for the current year of $100,000. How much is Hess’s break even point?

A. $25,600

B. 4,600 units

C. 2,133 units

D. 6,200 units

 

8) These are selected account balances on December 31, 2008. 

What is the net amount of property, plant, and equipment that will appear on the balance sheet?

A. $1,100,000

B. $1,300,000

C. $950,000

D. $1,600,000

 

9) Which one of the following is a product cost?

A. Office salaries

B. Indirect labor

C. Advertising costs

D. Sales person’s salaries

 

10) One of Astro Company’s activity cost pools is machine setups, with estimated overhead of $150,000. Astro produces sparklers (400 setups) and lighters (600 setups). How much of the machine setup cost pool should be assigned to sparklers?

A. $60,000

B. $150,000

C. $90,000

D. $75,000

 

11) The income statement and balance sheet columns of Pine Company’s worksheet reflects the following totals: 

Income Statement                  Balance Sheet

Dr.                  Cr                    .Dr                  .Cr.

Totals

$58,000           $48,000           $34,000           $44,000

The net income (or loss) for the period is __________.

A. $10,000 income

B. $48,000 income

C. not determinable

D. $10,000 loss

 

12) Multinational corporations __________.

A. are U.S. companies that sell goods and services in other countries

B. are U.S. companies that trade their securities on the exchanges in other countries

C. are required to use international accounting standards

D. are firms that conduct their operations in more than one country through subsidiaries, divisions, or branches in foreign countries

 

13) What exists when budgeted costs exceed actual results?

A. A favorable difference

B. An excess profit

C. A budgeting error

D. An unfavorable difference

 

14) The primary purpose of the statement of cash flows is to __________.

A. prove that revenues exceed expenses if there is a net income

B. facilitate banking relationships

C. provide information about the investing and financing activities during a period

D. provide information about the cash receipts and cash payments during a period

 

15) A logical starting point from which the study of international trade begins is __________.

A. the recognition that government intervention in markets sometimes enhances the economic welfare of the society

B. the principle of comparative advantage

C. the recognition that not all markets are competitive

D. the principle of absolute advantage

 

16) Resources are __________.

A. plentiful for households but scarce for economies

B. plentiful for households and plentiful for economies

C. scarce for households but plentiful for economies

D. scarce for households and scarce for economies

 

17) Which of the following statements about GDP is correct?

A. Money continuously flows from households to government and then back to households, and GDP measures this flow of money.

B. GDP increases if the total population increases.

C. GDP measures two things at once: the total income of everyone in the economy and the unemployment rate.

D. GDP is to a nation’s economy as household income is to a household.

 

18) One characteristic of an oligopoly market structure is:

A. firms in the industry have some degree of market power.

B. the actions of one seller have no impact on the profitability of other sellers.

C. firms in the industry are typically characterized by very diverse product lines.

D. products typically sell at a price that reflects their marginal cost of production.

 

19) If a binding price ceiling were imposed in the computer market, __________.

A. the supply of computers would decrease

B. the quality of computers would increase

C. the demand for computers would increase

D. a shortage of computers would develop

 

20) The general term for market structures that fall somewhere in-between monopoly and perfect competition is __________.

A. imperfectly competitive markets

B. oligopoly markets

C. monopolistically competitive markets

D. incomplete markets

 

21) A rational decision maker __________.

A. ignores the likely effects of government policies when he or she makes choices

B. takes an action only if the marginal benefit of that action exceeds the marginal cost of that action

C. takes an action only if the combined benefits of that action and previous actions exceed the combined costs of that action and previous actions

D. ignores marginal changes and focuses instead on “the big picture”

 

22) The political business cycle refers to __________.

A. the potential for a central bank to increase the money supply and therefore real GDP to help the incumbent get re-elected

B. the part of the business cycle caused by the reluctance of politicians to smooth the business cycle

C. changes in output created by the monetary rule the Fed must follow

D. the fact that about every four years some politician advocates greater government control of the Fed

 

23) Real GDP __________.

A. evaluates current production at the prices that prevailed in some specific year in the past.

B. is not a valid measure of the economy’s performance, since prices change from year to year.

C. is a measure of the value of goods only; it excludes the value of services.

D. evaluates current production at current prices.

 

24) The part of the balance of payments account that lists all long-term flows of payments is called the:

A. financial and capital account.

B. government financial account.

C. balance of trade.

D. current account.

 

25) In general, the longest lag for __________.

A. both fiscal and monetary policy is the time it takes for policy to affect aggregate demand

B. monetary policy is the time it takes to change policy, while for fiscal policy the longest lag is the time it takes for policy to affect aggregate demand

C. fiscal policy is the time it takes to change policy, while for monetary policy the longest lag is the time it takes for policy to affect aggregate demand

D. both fiscal and monetary policy is the time it takes to change policy

 

26) The balance of payment account is made up of:

A. an import account and an export account.

B. an investment account and a consumption account.

C. a monetary account and a fiscal account.

D. a current account and a financial and capital account.

 

27) Most economists use the aggregate demand and aggregate supply model primarily to analyze _______.

A. the effects of macroeconomic policy on the prices of individual goods

B. the long-run effects of international trade policies

C. productivity and economic growth

D. short-run fluctuations in the economy

 

28) An organization that is managed aggressively and has growth and high profits as primary objectives may be considered a(n):

A. Large corporation

B. Small business

C. Online Business

D. Multinational corporation

E. Entrepreneurship venture

 

29) Which of these describes a vision, as it pertains to leadership?

A. A mental image of a future state of an organization

B. The method through which leaders achieve goals

C. A short-term goal of an organization

D. A long-term goal of an organization

E. Likely to land you in a padded room

 

30) As related to managing of human resources, diversity refers to:

A. Differences in recruiting methods (such as newspapers, schools, flyers, magazines, agencies, etc.)

B. Differences in demographics (such as age, race, gender, disability status, lifestyle, veteran status, educational level, etc.)

C. Differences in retention strategies (such as training, hiring, incentives, etc)

D. Differences in employee benefit plans (such as pensions, insurance, vacations, memberships, etc.)

E. Differences in pay methods (such as hourly, salaried, overtime, hazard-pay, commissioned, etc.)

 

31) Which of the following best describes a mental image of a possible and desirable future state of the organization?

A. Vision

B. Leadership

C. Horizontal communication

D. Mission

E. Vertical communication

 

32) A leader is:

A. The top level manager in a firm or business

B. A strategic level manager

C. Someone well-respected by others

D. Someone with authority over others

E. Someone who influences others to attain goals

 

33) Teams that operate separately from the regular work structure and exist temporarily are known as:

A. Parallel teams

B. Self-designing teams

C. Transnational teams

D. Management teams

E. Self-managed teams

 

34) Building a dynamic organization is another way of describing which function of management?

A. Organizing

B. Leading

C. Staffing

D. Planning

E. Controlling

 

35) The term used to refer to all kinds of differences including religious affiliation, age, disability status, economic class and lifestyle in addition to gender, race, ethnicity and nationality is:

A. Employment

B. Diversity

C. Recruiting

D. Selection

E. Managerial ethics

 

36) The pursuit of lucrative opportunities by enterprising individuals is called:

A. Independence

B. Intrapreneurship

C. Entrepreneurship

D. Business incubating

E. Social experimentation

 

37) The best way for an employer to find out if a potential employee can do a job is by __________.

A. using a written test

B. using the interview process

C. administering an IQ test

D. having them spend a day in the office

E. using a performance simulation test

 

38) Having individuals actually do the job they are applying for as a test to see if they can do it is _______.

A. an approach with high face validity

B. an approach with low reliability

C. an approach with high reliability

D. an informal means of screening candidates

E. a formal means of screening candidates

 

39) Your roommate is interested in starting a business and everybody has been giving him different information about being an entrepreneur. Since you have been studying about entrepreneurship and new ventures, which of these would you tell him is true?

A. Entrepreneurs are their own bosses and completely independent

B. Anyone can start a business

C. Successful entrepreneurs take very careful, calculated risks

D. Money should not be considered a start-up ingredient

E. All entrepreneurs need venture capital in order to get started

 

40) Managers will utilize __________ skills with increasing frequency as they rise within an organization.

A. Interpersonal and communication

B. Conceptual and decision

C. Professional

D. Technical

E. Professional

 

41) To be competitive in a global economy, Europeans must increase their level of:

A. Productivity

B. Population density

C. Philanthropic contributions

D. Espionage activity

E. Financial subsidy

 

42) Twelve randomly-chosen students were asked how many times they had missed class during a certain semester, with this result: 2, 1, 5, 1, 1, 3, 4, 3, 1, 1, 5, 18. 
For this sample, which measure of central tendency is least representative of the “typical” student?

A. Median

B. Mean

C. Mode

D. Midrange

 

43) From its 32 regions, the Federal Aviation Administration selects 5 regions, and then randomly audits 20 departing commercial flights in each region for compliance with legal fuel and weight requirements. This is __________.

A. judgment sampling

B. stratified random sampling

C. simple random sampling

D. cluster sampling

 

44) Dullco Manufacturing claims that its alkaline batteries last forty hours on average in a certain type of portable CD player. Tests on a random sample of 18 batteries showed a mean battery life of 37.8 hours with a standard deviation of 5.4 hours. 
In determining the p-value for reporting the study’s findings, which of the following is true?

A. The p-value is greater than .05.

B. The p-value is less than .05.

C. The p-value cannot be determined without specifying .

D. The p-value is equal to .05.

 

45) A financial institution wishes to estimate the mean balances owed by its credit card customers. The population standard deviation is estimated to be $300. If a 98 percent confidence interval is used and an interval of ±$75 is desired, how many cardholders should be sampled?

A. 629

B. 3382

C. 87

D. 62

 

46) A poll showed that 48 out of 120 randomly chosen graduates of California medical schools last year intended to specialize in family practice. What is the width of a 90% confidence interval for the proportion that plan to specialize in family practice?

A. ± .00329

B. ± .04472

C. ± .08765

D. ± .07357

 

47) Use the following table to answer question: 
P(MA) is approximately _____.

A. .625

B. .25

C. .125

D. .50

 

48) Which one of the following statements concerning production and staffing plans is best?

A. A staffing plan is the intermediate link between the business plan and the master production schedule.

B. A master production schedule is a projected statement of income, costs, and profits.

C. Aggregation can be performed along three dimensions: product families, labor, and time.

D. Production plans are based primarily on information from the master production plan.

 

49) Suppose the estimated quadratic model Yt = 500 + 20 t – t2 is the best-fitting trend of sales of XYZ Inc. using data for the past twenty years (t = 1, 2,.., 20). 
Which statement is incorrect?

A. Latest year sales are no better than in year zero.

B. Sales are increasing by about 20 units per year.

C. The trend was higher in year 10 than in year 20.

D. The turning point would be in period 10.

 

50) You are faced with a linear programming objective function of: 
 Max P = $20X + $30Y 
and constraints of: 
 3X + (Constraint A) 
 5X – (Constraint B) 
You discover that the shadow price for Constraint A is 7.5 and the shadow price for Constraint B is 0. Which of these statements is TRUE?

A. For every additional unit of the objective function you create, you lose 0 units of B.

B. The most you would want to pay for an additional unit of A would be $7.50.

C. You can change quantities of X and Y at no cost for Constraint B.

D. For every additional unit of the objective function you create, the price of A rises by $7.50.

 

51) Which one of the following statements concerning production and staffing plans is best?

A. Production and staffing plans attempt to achieve several objectives, all of which must be consistent with one another.

B. When production and staffing plans are made, aggregation can be performed only along two dimensions: products and time.

C. The impact of production and staffing plans cuts across several functional areas of the firm.

D. Production and staffing plans specify production rates, workforce levels, and inventory holdings, but do not account for capacity limitations because they are aggregated.

 

52) Queuing models use an A/B/C notation. What do these variables represent?

A. average time between arrivals/average service time/number of parallel servers

B. maximum time between arrivals/maximum allowable service time/maximum number of parallel servers

C. minimum time between arrivals/minimum allowable service time/minimum number of parallel servers

D. distribution of time between arrivals/distribution of service times/number of parallel servers

 

53) The Global, Web-Based Platform enables individuals to do which of the following?

A. access information, services, and entertainment

B. produce and sell goods and services

C. all of these are true

D. exchange knowledge

E. connect, compute, communicate, collaborate, and compete everywhere and all the time

 

54) Networks enable which of the following applications?

A. Communications

B. Web services

C. All of the these

D. Collaboration

E. Discovery

 

55) Which of the following is NOT an advantage of the buy option for acquiring IS applications?

A. software can be tried out

B. company will know what it is getting

C. saves money

D. saves time

E. few types of off-the-shelf software are available, thus limiting confusion

 

56) Zappos built the majority of its information systems using which of the following?

A. Proprietary software

B. Free software

C. Consultants

D. Open source software

E. Vendor software

 

57) When customers access a Web site and make purchases, they generate __________.

A. Information

B. Web data

C. Hyperlink data

D. Clickstream data

E. Tracking cookies

 

58) International Game Technology’s new ERP system produced all of the following benefits except:

A. Company was able to maintain its original business processes

B. ERP system connected the company’s global operations

C. The company gained flexibility in manufacturing products

D. Operations employees were able to access manufacturing process details at their workstations

E. Integrated the company’s business functions

 

59) A company wants to use data from past promotional mailings to identify people who would likely respond favorably to future mailings. This company would most likely use _____.

A. multidimensional data analysis

B. neural networks

C. expert systems

D. data mining

E. structured query language

 

60) Which of the following statements about information systems is not correct?

A. Information systems tend to follow the structure of the organization.

B. Information systems are based on the needs of employees.

C. Any information system can be strategic.

D. Managing information systems is difficult.

E. Information systems are concentrated in the IS Department.

 

61) Computer support is greatest for which of the following problems?

A. Unstructured and operational control

B. Structured and operational control

C. Semistructured and management control

D. Structured and management control

E. Semistructured and strategic planning

 

62) Competitive advantage for an organization manifests as all of the following except:

A. higher quality

B. increased time to market

C. increased profits

D. increased speed

E. lower costs

 

63) Mortgage bonds:

A. are secured by a lien on real property.

B. usually pay little or no interest.

C. can only be issued by financial institutions.

D. are a type of debenture.

 

64) Which of the following represents an attempt to measure the earnings of the firm’s operations over a given time period?

A. Cash flow statement

B. Income statement

C. Quarterly statement

D. Balance sheet

 

65) You hold a portfolio with the following securities: 

                        Percent

   Security            of Portfolio                   Beta     Return

X Corporation      20%                             1.35       14%

Y Corporation      35%                             0.95       10%

Z Corporation      45%                             0.75       8%

 

Compute the expected return and beta for the portfolio.
A. 9.9%, 1.02

B. 10.67%, 1.02

C. 34.4%, .94

D. 9.9%, .94

 

66) An increase in future value can be caused by an increase in the __________.

A. starting value

B. annual interest rate and number of compounding periods

C. rate of return

D. dividends paid

E. original amount invested

 

67) What is the yield to maturity of a nine-year bond that pays a coupon rate of 20% per year, has a $1,000 par value, and is currently priced at $1,407? Round your answer to the nearest whole percent and assume annual coupon payments.

A. 14%

B. 5%

C. 12%

D. 11%

 

68) Your company is considering an investment in a project which would require an initial outlay of $300,000 and produce expected cash flows in Years 1 through 5 of $87,385 per year. You have determined that the current after-tax cost of the firm’s capital (required rate of return) for each source of financing is as follows: 

Long-term debt currently makes up 20% of the capital structure, preferred stock 10%, and common stock 70%. What is the net present value of this project?

A. $871

B. $463

C. $1,241

D. $1,568

 

69) Bondholders have a priority claim on assets ahead of:

A. shareholders.

B. common and preferred stockholders.

C. investors

D. creditors.

 

70) A stock with a beta greater than 1.0 has returns that are _____ volatile than the market, and a stock with a beta of less than 1.0 exhibits returns which are _____ volatile than those of the market portfolio.

A. more, less

B. more, more

C. less, more

D. less, less

 

71) The common stockholders are most concerned with:

A. the size of the firm’s beginning earnings per share.

B. the spread between the return generated on new investments and the investor’s required rate of return.

C. the percentage of profits retained.

D. the risk of the investment.

 

72) Tri State Pickle Company preferred stock pays a perpetual annual dividend of 2 1/2% of its par value. Par value of TSP preferred stock is $100 per share. If investors’ required rate of return on this stock is 15%, what is the value of per share?

A. $15.00

B. $6.00

C. $37.50

D. $16.67

 

73) A machine costs $1,000, has a three-year life, and has an estimated salvage value of $100. It will generate after-tax annual cash flows (ACF) of $600 a year, starting next year. If your required rate of return for the project is 10%, what is the NPV of this investment? (Round your answerwer to the nearest $10.)

A. $570

B. -$150

C. $490

D. $900

 

74) Which of the following best represents operating income?

A. Earnings before interest and taxes

B. Income from discontinued operations

C. Income after financing activities

D. Income from capital gains

 

75) Given the following annual net cash flows, determine the IRR to the nearest whole percent of a project with an initial outlay of $1,520. 

A. 40%

B. 28%

C. 48%

D. 32%

 

76) Coca-Cola is taking advantage of the new willingness of Chinese leaders to engage in international trade by marketing its soft drinks in China. What type of opportunity is Coke pursuing?

A. diversification

B. market penetration

C. test marketing

D. market development

E. product development

 

77) When one considers the strategy decisions organized by the four Ps, branding is related to packaging as:

A. production is to marketing.

B. personal selling is to mass selling.

C. pricing is to promotion.

D. branding is to pricing.

E. store location is to sales force selection.

 

78) The statement, “Of course people will buy our product–each of its features is better than the competition,” most closely reflects which consumer behavior concept?

A. reference groups

B. competitive advantage

C. the economic-buyer theory

D. psychographics

E. needs

 

79) Analysis of demographic dimensions:

A. considers income and sex, but not age.

B. can be used along with analysis of other dimensions to identify attractive target markets.

C. only considers age.

D. is the most important step to successful segmentation.

E. is the most effective way to identify unmet consumer needs.

 

80) Regarding organizational buying, the people who have the power to select or approve the supplier–especially for larger purchases–are called:

A. deciders.

B. gatekeepers.

C. users.

D. influencers.

E. buyers.

 

81) “Positioning”:

A. helps strategy planners see how customers view competitors’ offerings.

B. is concerned with obtaining the best shelf space in retail outlets.

C. is useful for combining but not for segmenting.

D. applies to new products–but not existing products.

E. eliminates the need for judgment in strategy planning.

 

82) The managerial process of developing and maintaining a match between the resources of an organization and its market opportunities is called:

A. marketing programming.

B. marketing strategy planning.

C. strategic (management) planning.

D. management by objective.

E. market planning.

 

83) The “four Ps” of a marketing mix are:

A. Production, Personnel, Price, and Physical Distribution

B. Promotion, Production, Price, and People

C. Potential customers, Product, Price, and Personal Selling

D. Product, Price, Promotion, and Profit

E. Product, Place, Promotion, and Price

 

84) The basic objective of the U.S. market-directed economic system is to:

A. satisfy consumer needs as they–the consumers–see them.

B. provide each person with an equal share of the economic output.

C. achieve an annual growth rate of at least 10 percent.

D. minimize inflation.

E. make the most efficient use of the country’s resources.

 

85) Comparing GDP for foreign countries can help a marketing manager evaluate potential markets if the manager remembers that:

A. income tends to be evenly distributed among consumers in most countries.

B. GDP estimates may not be very accurate for very different cultures and economies.

C. GDP measures show the degree of competition in a market.

D. GDP measures show people’s tendency to buy particular products.

E. Other countries most likely don’t use the US Dollar as their primary currency.

 

86) An Australian wine producer, facing declining sales at home, set up a new channel of distribution to sell wine in the United States. This seems to be an effort at:

A. diversification.

B. market penetration.

C. product development.

D. market development.

E. stratification.

 

87) Which of the following is a business or organizational customer?

A. a retailer.

B. a wholesaler.

C. a government agency.

D. producers of goods or services.

E. All of these are business and organizational customers.

 

88) Probable cause is most directly associated with which step of the criminal process?

A. Indictment

B. Arrest

C. Plea bargaining

D. Arraignment

E. Jury deliberations

 

89) Justin was hired in February of 2004 as a salesperson. There is no written employment contract, and Justin is paid on a commission basis. Justin’s manager has said to Justin on several occasions that if Justin continues to meet his sales quotas, that the company “will keep him around for a long time.” Justin has always met his sales quotas, but is told one day that they have decided to replace him because he does not project the image that the company wants. If Justin is an at-will employee, which of the following is true?

A. Because there is no written employment contract, the employer can terminate Justin.

B. As an at will employee, there are no restrictions on the employer terminating Justin.

C. The employer can terminate Justin only if the employer would suffer a loss by not terminating him.

D. The statements by the manager could likely give Justin contract rights that could amount to an exception to the at-will doctrine.

E. The employer would not be able to fire Justin on the basis of public policy.

 

90) In a criminal proceeding, what is the difference between an indictment and an information?

A. Guilt or innocence is determined in an indictment, but not in an information.

B. The defendant is charged with a crime in an indictment, but not in an information.

C. A grand jury issues an indictment, but does not issue an information.

D. An indictment requires proof beyond a reasonable doubt, but an information does not.

 

91) Under Section 2 of the Sherman Act, rather than making a presumption whether monopoly power exists, the courts will examine all the facts and circumstances to determine whether monopoly power exists when the defendant holds between _____ percent and _____ percent of the relevant market:

A. 20;70

B. 30;80

C. 0;50

D. 33;70

E. 50;70

 

92) Which of the following is true about the Sherman Act?

A. Liability under Section 2 for monopolization requires agreement with another party, but liability under Section 1 for restraint of trade does not.

B. Liability under Section 1 for restraint of trade requires agreement with another party, but liability under Section 2 for monopolization does not.

C. Liability under either Section 1 or Section 2 requires agreement with another party.

D. A business can be liable under either Section 1 or Section 2 without any agreement with another party.

 

93) Which of the following is correct with regard to the relationship between law and ethics?

A. The law may not .permit something that would be ethically wrong.

B. Although much of law is based on ethical standards, not all ethical standards have been enacted as law.

C. Lawful conduct is always ethical conduct.

D. The rule of law and the golden rule of ethics demand the same response.

 

94) What is the major convention that provides international protection to patents?

A. The General Agreement on Tariffs and Trade (GATT).

B. The Digital Millennium Treaty.

C. The Paris Convention.

D. The Berne Convention of 1786.

 

95) For which of the following kinds of intellectual property is a filing or registration required in order to receive protection?

A. Patents and Trademarks

B. Copyright and Service marks

C. Service marks

D. Trademarks

E. Copyrights

 

96) The Houston-based energy company that filed for Chapter 11 bankruptcy and whose business conduct is one of the grossest examples of corporate greed and fraud in America was:

A. Exxon Corporation.

B. Mobil Oil Company.

C. Enron Corporation.

D. Houston Oil and Gas Corporation.

E. Shell Oil Company.

 

97) Which of the following is true about trademark registration?

A. Once a trademark is registered, protection cannot be lost.

B. The registration of a trademark can be renewed an unlimited number of times.

C. A trademark must be registered prior to its actual use in commerce.

D. Trademark registration is optional because protection is automatic.

 

98) Although the U.S. has had a longstanding agreement with _____ after the passage of NAFTA, _____ became the United States’ second largest trading partner.

A. Canada, Mexico

B. Mexico, Venezuela

C. Great Britain, Paraguay

D. Mexico, Canada

E. Canada, Venezuela

 

99) Which country does the text describe as becoming the largest producer and consumer of many of the world’s goods?

A. Canada

B. China

C. Ecuador

D. Mexico

E. Japan

 

100) One study found that manufacturing labor costs about _____ an hour in China, compared to _____ dollars in the United States.

A. About $2; about 15

B. $2; about 25

C. Less than $1; about 40

D. Less than $1; about 25

E. Less than $1; about 15

 

 

 

 

The U.S. Court System is a complex system that includes both federal and state-level courts. The federal system includes the judicial branch of the government. This system is designed to help society interpret the U.S. Constitution and provide guidelines for society. Court cases may concern many different topics and have an unlimited number of outcomes. 

 

Use the Internet or Strayer databases to research a civil or criminal court case in which you are interested.

 

Write a five to eight (5-8) page paper in which you:

 

1. Summarize the seminal facts of the case that you chose.
2. Explain the main laws that have been violated in the case that you chose.
3. Describe the possible penalties that could be associated with the laws that you just described.
4. Explain whether your specific case was heard in the state or federal court system, and include any related jurisdictional requirements. Explain the fundamental reasons why it was necessary for the case to be heard in that particular court system.
5. Summarize the outcome of the case, and indicate whether the judge or jury made the decision.
6. Discuss whether or not you believe that the outcome of the case was justified. Provide a rationale for the response.
7. Use at least (3) quality academic resources. Note: Wikipedia and other websites do not qualify as academic resources.

 

Your assignment must follow these formatting requirements:

 

• Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
• Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.

 

The specific course learning outcomes associated with this assignment are:

 

• Examine the organizational frameworks and decision-making environment in the judicial process.
• Examine the rule of law in the American court system and in the judicial process.
• Detail the history and organization of the levels of the American court system and the issue of jurisdictional boundaries.
• Use technology and information resources to research issues in the criminal court and the judicial process in America.
• Write clearly and concisely about the American court system using proper writing mechanics and APA style conventions.

Imagine you are part of a strategic planning group at a large corporation that is considering developing a new proposed product. The marketing director has asked your team to do a competitive market analysis to determine the product’s potential success. The analysis will focus on your primary competitor in the product’s market.

 

Select a potential competitive organization and a product in that organization.

 

Write a 1,400 – 1,750-word paper of no more than analyzing the current market conditions. Address the following topics:

 

·         A short history of the organization and a description of their product

 

Factors that affect demand, supply, and equilibrium prices in the market in which the competitor organization

·         operates: Define the market for your chosen product, including an analysis of its competitors, potential customers, or potential buyers.

 

·         Any issues or opportunities your organization or industry faces that affect its competitiveness and long-term profitability with regards to your product: This may include, but is not limited, to the following elements.

 

o   Price elasticity of demand

o   Technological innovation

o   The relationship between the amount of labor & capital employed and the law of diminishing marginal productivity

o   Cost structure

 

·         Factors affecting variable costs, including productivity and others that change the supply of and demand for labor

 

·         Factors affecting fixed costs

 

Make recommendations on how your organization can maximize their profit-making potential, and successfully compete in the new market. Consider the effect your recommendations may have on marginal revenues and costs.

 

 

Format your paper consistent with APA guidelines.

Recent study illustrates that nearly two (2) million juveniles are processed through juvenile courts across the United States each year. Depending on the nature of the crime, juveniles may face detention or incarceration if they are convicted. Given the fact that many courts are reluctant to incarcerate criminal offenders, judges often consider alternatives to incarceration. The driving force behind these alternatives is to save taxpayer money yet still demand offender accountability and impose sanctions for criminal behavior. 

 

Use the Internet or Strayer databases to research the use of sanctions other than incarceration or detention for juvenile offenders. 

 

Write a two to three (2-3) page paper in which you:

 

1. Examine the underlying historical and economic reasons behind the quest for alternatives to incarcerating offenders in jails and prisons.
2. Describe three (3) alternatives to incarceration that juvenile courts currently use. Provide examples of such alternatives in practice to support the response.
3. Discuss the significant societal and individual benefits of imposing sanctions or punishments that do not involve removing an offender from his / her family or community.
4. Use at least three (3) quality references. Note: Wikipedia and other Websites do not qualify as academic resources.  

 

Your assignment must follow these formatting requirements:

 

• Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
• Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.

 

The specific learning outcomes associated with this assignment are: 

 

• Explain how delinquents have been handled throughout history.
• Contrast the differences between the juvenile and adult justice system in the United States.
• Identify successful evidence-based treatment modalities for juvenile delinquents and be able to describe the ingredients of effective programs.
• Use technology and information resources to research issues in juvenile delinquency and justice.
• Write clearly and concisely about juvenile delinquency and justice using proper writing mechanics.

 

Grading for this assignment will be based on answer quality, logic / organization of the paper, and language and writing skills, using the following rubric found here.

 

1. Which of the following statement completions is CORRECT? If the yield curve is upward sloping, then the marketable securities held in a firm’s portfolio, assumed to be held for emergencies, should

 

Answer

 

consist mainly of long-term securities because they pay higher rates.

 

consist mainly of short-term securities because they pay higher rates.

 

consist mainly of U.S. Treasury securities to minimize interest rate risk.

 

consist mainly of short-term securities to minimize interest rate risk.

 

be balanced between long- and short-term securities to minimize the adverse effects of either an upward or a downward trend in interest rates.

 

2 points

 

Question 2

 

A lockbox plan is most beneficial to firms that

 

have suppliers who operate in many different parts of the country.

 

have widely dispersed manufacturing facilities.

 

have a large marketable securities portfolio and cash to protect.

 

receive payments in the form of currency, such as fast food restaurants, rather than in the form of checks.

 

have customers who operate in many different parts of the country.

 

2 points

 

Question 3

 

Which of the following actions would be likely to shorten the cash conversion cycle?

 

Adopt a new manufacturing process that speeds up the conversion of raw materials to finished goods from 20 days to 10 days.

 

Change the credit terms offered to customers from 3/10 net 30 to 1/10 net 50.

 

Begin to take discounts on inventory purchases; we buy on terms of 2/10 net 30.

 

Adopt a new manufacturing process that saves some labor costs but slows down the conversion of raw materials to finished goods from 10 days to 20 days.

 

Change the credit terms offered to customers from 2/10 net 30 to 1/10 net 60.

 

2 points

 

Question 4

 

Which of the following statements is CORRECT?

 

Other things held constant, the higher a firm’s days sales outstanding (DSO), the better its credit department.

 

If a firm that sells on terms of net 30 changes its policy to 2/10 net 30, and if no change in sales volume occurs, then the firm’s DSO will probably increase.

 

If a firm sells on terms of 2/10 net 30, and its DSO is 30 days, then the firm probably has some past-due accounts.

 

If a firm sells on terms of net 60, and if its sales are highly seasonal, with a sharp peak in December, then its DSO as it is typically calculated (with sales per day = Sales for past 12 months/365) would probably be lower in January than in July.

 

If a firm changed the credit terms offered to its customers from 2/10 net 30 to 2/10 net 60, then its sales should increase, and this should lead to an increase in sales per day, and that should lead to a decrease in the DSO.

 

2 points

 

Question 5

 

Which of the following statements is NOT CORRECT?

 

A company may hold a relatively large amount of cash and marketable securities if it is uncertain about its volume of sales, profits, and cash flows during the coming year.

 

Credit policy has an impact on working capital because it influences both sales and the time before receivables are collected.

 

The cash budget is useful to help estimate future financing needs, especially the need for short-term working capital loans.

 

If a firm wants to generate more cash flow from operations in the next month or two, it could change its credit policy from 2/10 net 30 to net 60.

 

Managing working capital is important because it influences financing decisions and the firm’s profitability.

 

2 points

 

Question 6

 

Which of the following statements is CORRECT?

 

Net working capital is defined as current assets minus the sum of payables and accruals, and any increase in the current ratio automatically indicates that net working capital has increased.

 

Although short-term interest rates have historically averaged less than long-term rates, the heavy use of short-term debt is considered to be an aggressive strategy because of the inherent risks associated with using short-term financing.

 

If a company follows a policy of “matching maturities,” this means that it matches its use of common stock with its use of long-term debt as opposed to short-term debt.

 

Net working capital is defined as current assets minus the sum of payables and accruals, and any decrease in the current ratio automatically indicates that net working capital has decreased.

 

If a company follows a policy of “matching maturities,” this means that it matches its use of short-term debt with its use of long-term debt.

 

2 points

 

Question 7

 

Other things held constant, which of the following will cause an increase in net working capital?

 

Cash is used to buy marketable securities.

 

A cash dividend is declared and paid.

 

Merchandise is sold at a profit, but the sale is on credit.

 

Long-term bonds are retired with the proceeds of a preferred stock issue.

 

Missing inventory is written off against retained earnings.

 

2 points

 

Question 8

 

Which of the following statements is CORRECT?

 

Accruals are an expensive but commonly used way to finance working capital.

 

A conservative financing policy is one where the firm finances part of its fixed assets with short-term capital and all of its net working capital with short-term funds.

 

If a company receives trade credit under terms of 2/10 net 30, this implies that the company has 10 days of free trade credit.

 

One cannot tell if a firm has a conservative, aggressive, or moderate current asset financing policy without an examination of its cash budget.

 

If a firm has a relatively aggressive current asset financing policy vis-à-vis other firms in its industry, then its current ratio will probably be relatively high.

 

2 points

 

Question 9

 

Which of the following statements is CORRECT?

 

Under normal conditions, a firm’s expected ROE would probably be higher if it financed with short-term rather than with long-term debt, but using short-term debt would probably increase the firm’s risk.

 

Conservative firms generally use no short-term debt and thus have zero current liabilities.

 

A short-term loan can usually be obtained more quickly than a long-term loan, but the cost of short-term debt is normally higher than that of long-term debt.

 

If a firm that can borrow from its bank at a 6% interest rate buys materials on terms of 2/10 net 30, and if it must pay by Day 30 or else be cut off, then we would expect to see zero accounts payable on its balance sheet.

 

If one of your firm’s customers is “stretching” its accounts payable, this may be a nuisance but it will not have an adverse financial impact on your firm if the customer periodically pays off its entire balance.

 

2 points

 

Question 10

 

Which of the following statements is NOT CORRECT?

 

Commercial paper can be issued by virtually any firm so long as it is willing to pay the going interest rate.

 

Accruals are “free” in the sense that no explicit interest is paid on these funds.

 

A conservative approach to working capital management will result in most if not all permanent current operating assets being financed with long-term capital.

 

The risk to a firm that borrows with short-term credit is usually greater than if it borrowed using long-term debt. This added risk stems from the greater variability of interest costs on short-term debt and possible difficulties with rolling over short-term debt.

 

Bank loans generally carry a higher interest rate than commercial paper.

 

2 points

 

Question 11

 

Firms generally choose to finance temporary current operating assets with short-term debt because

 

Answer

 

matching the maturities of assets and liabilities reduces risk under some circumstances, and also because short-term debt is often less expensive than long-term capital.

 

short-term interest rates have traditionally been more stable than long-term interest rates.

 

a firm that borrows heavily on a long-term basis is more apt to be unable to repay the debt than a firm that borrows short term.

 

the yield curve is normally downward sloping.

 

short-term debt has a higher cost than equity capital.

 

2 points

 

Question 12

 

Which of the following statements is CORRECT?

 

Depreciation is included in the estimate of cash flows (Cash flow = Net income + Depreciation), hence depreciation is set forth on a separate line in the cash budget.

 

If cash inflows from collections occur in equal daily amounts but most payments must be made on the 10th of each month, then a regular monthly cash budget will be misleading. The problem can be corrected by using a daily cash budget.

 

Sound working capital policy is designed to maximize the time between cash expenditures on materials and the collection of cash on sales.

 

If a firm wants to generate more cash flow from operations in the next month or two, it could change its credit policy from 2/10 net 30 to net 60.

 

If a firm sells on terms of net 90, and if its sales are highly seasonal, with 80% of its sales in September, then its DSO as it is typically calculated (with sales per day = Sales for past 12 months/365) would probably be lower in October than in August.

 

2 points

 

Question 13

 

A lockbox plan is

 

used to protect cash, i.e., to keep it from being stolen.

 

used to identify inventory safety stocks.

 

used to slow down the collection of checks our firm writes.

 

used to speed up the collection of checks received.

 

used primarily by firms where currency is used frequently in transactions, such as fast food restaurants, and less frequently by firms that receive payments as checks.

 

2 points

 

Question 14

 

Which of the following statements is most consistent with efficient inventory management? The firm has a

 

below average inventory turnover ratio.

 

low incidence of production schedule disruptions.

 

below average total assets turnover ratio.

 

relatively high current ratio.

 

relatively low DSO.

 

2 points

 

Question 15

 

Other things held constant, which of the following would tend to reduce the cash conversion cycle?

 

Carry a constant amount of receivables as sales decline.

 

Place larger orders for raw materials to take advantage of price breaks.

 

Take all discounts that are offered.

 

Continue to take all discounts that are offered and pay on the net date.

 

Offer longer payment terms to customers.