CapSim Part Two :))))) SOS
208. What is the most important criteria to a "High End Segment" customer? a. Positioning b. Performance c. Price d. Age e. MTBF
a
209. Size Segment customer consider this buying criteria to be the most important a. Positioning b. Price c. Age d. MTBF e. Performance
a
217. The company's negotiation starting position for wages a. is never more than 150% of the current contract. b. is always lower than what Labor expects. c. is always exactly 80% of the current contract. d. is always half of the increase workers are asking for. e. none of these.
a
219. The interest rate on a bond ______ by________ for each______ in the bond rating category. a. Increases; 0.5%; Decrease b. Decreases; 1.4%; Decrease c. Increases; 0.5%; Increases d. Decreases; 1.4%; Increase e. Increases; 7.5% ; Decrease
a
231. The sales channel effectiveness for the outside sales people is highest for a. High End and Size. b. Performance, High and Size. c. Traditional and Low. d. Low End and High End. e. Size.
a
236. Which of the following is true about the Accounts Receivable Lag and its implications on customer survey score? a. If you offer no credit, customer survey score falls to about 60% of maximum. b. At 30 days, score is 90% of maximum. c. At 45 days, score is 95% of maximum. d. At 60 days, demand is 95% of maximum. e. At 90 days, demand is 95% of maximum.
a
240. Investing in Concurrent Engineering can a. reduce R&D cycle time and lower R&D costs b. reduce labor and administrative costs. c. increase demand and reduce labor costs d. reduce R&D cycle time and increase demand.
a
241. Investing in Channel Support Systems can a. increase demand. b. reduce R&D cycle time. c. reduce material costs. d. reduce labor costs. e. reduce administrative costs.
a
247. Your inventory for a product will be automatically liquidated at half average cost of production if you a. Sell all the capacity on the corresponding production line b. Sell all but one unit of capacity on the corresponding production line c. Increase automation level of the corresponding production line d. Buy new capacity on the corresponding production line e. None of the above
a
254. The Consumer Report rates product attributes of price, reliability, age, positioning, awareness and accessibility using: a. Three levels (such as Good, Fair, or Poor) b. Four levels (such as Very good, good, fair or poor) c. Two levels (such as good or fair) d. Others
a
262. With each year (round) customer awareness for each product decreases by: a. 33% b. 25% c. 30% d. 50% e. none of the above
a
265. For non-advanced marketing module, promotion expenditures reach diminishing returns at a. about $3M b. $2.5M c. $1M d. $4M e. none of the above
a
272. The center spot of traditional products drifts _______ each year. a. +0.7 performance, -0.7 size b. +0.5 performance, -0.5 size c. +0.9 performance, -0.9 size d. +1.0 performance, -0.7 size e. +0.7 performance, -1.0 size
a
290. In promo budget of the advanced marketing module, the term "reach" refers to a. the potential number of customers who would see the advertisement message. b. the potential number of customers that can be reached by the sales personnel. c. the number of times a message is repeated. d. the primary segment towards which promotions will be targeted. e. the fact that all segment respond similarly to each media type.
a
296. Companies can enter a Recruiting Spend budget up to an additional ____. a. $5,000 b. $7,500 c. $10,000 d. $20,000 e. $50,000
a
298. One way to enter sales forecasts and production schedules is to develop a worst case/best case scenario. Where would you enter your best case scenario and where would you enter your worst case scenario? a. On the Marketing spreadsheet enter your worst case forecast in Your Sales Forecast cell, and on the Production spreadsheet enter your best case forecast in the Production Schedule cell. b. On the Marketing spreadsheet enter your best case forecast in Your Sales Forecast cell, and on the Production spreadsheet enter your worst case forecast in the Production Schedule cell. c. Enter your best case forecast for both Your Sales Forecast cell on the Marketing spreadsheet and in the Production Schedule cell on the Production spreadsheet. d. Enter your worst case forecast for both Your Sales Forecast cell on the Marketing spreadsheet and in the Production Schedule cell on the Production spreadsheet. e. None of the above.
a
302. The CAPSIM simulation is based on which industry? a. sensor industry b. textile industry c. automotive industry d. electronics industry
a
306. Decisions on a product's prices and MTBFs in its segment's rough cut can also affect the product's demand. a. True b. False
a
307. Which module in CAPSTONE allows investment in workforce training? a. HR b. Planning c. Finance d. Marketing
a
311. What is most likely to happen on introduction of a new product, if you do not buy the production line, in the year prior to the product's introduction? a. You cannot manufacture your new product. b. If the product is moved close to existing products on the R&D spreadsheet, a few but insufficient number of the new product would be produced. c. The product would automatically cease to exist. d. The new product would stock out and there would be a loss in sales revenue. e. None of the above.
a
327. Investing more than $5,000,000 in the same TQM initiative over a two or three year period creates a. little or no additional improvement. b. high additional improvement. c. the same improvement than last period. d. diminishing returns.
a
328. According to Capstone, Complement is best defined as: a. the number of workers in your workforce this year. b. letter from the simulation telling your team you did a good job. c. the number of workers needed to reduce your overtime. d. none of the above.
a
329. Capstone's definition of reach in the marketing module is defined by the potential number of customers who would see the message. Based on this definition what segment has "fair" reach with direct mailing? a. High End b. Traditional c. Low End d. Performance e. Size
a
330. Where are the credit policies for customer and supplier set in Capstone.xls? a. Marketing spreadsheet b. Production spreadsheet c. Finance spreadsheet d. Credit spreadsheet e. None of the above
a
337. Which screens are necessary to make a complete human resource decision when the advance module has been activated? a. Production & human resources b. Marketing & human resources c. Finance & marketing d. Human resources & TQM e. None of the above choices are correct
a
338. What is working capital? a. Current asset minus current liability b. The cash on hand at the end of the day c. Profits less current liabilities d. The amount of funds a company needs to run indefinitely e. Total sales less total expenses
a
341. Which is false about production in Capsim? a. Teams cannot produce beyond 100% capacity. b. Teams should match their production schedule to the teams sales forecast. c. There is a one year lag between purchase and use of additional production capacity. d. There is a one year lag between purchase and use of additional production automation. e. All of the above are true.
a
205. If you sell off a production line (capacity and automation), the amount of cash that the company will receive from the sales of capacity will be a. 65% of the original value. b. average cost of production for the previous year (market price). c. 50% of the book value. d. 50% of the acquisition cost. e. 65% of the book value.
a.
211. A new unit of capacity costs $6 for the floor space plus $4 times a. hourly wage. b. automation rating. c. unit cost. d. MTBF. e. $0.65.
b
212. A functional manager is responsible for coordinate strategy and tactics across all functional areas of the company exemplified by a. one of the five market segments. b. R&D, Marketing, Production, Finance, Human Resources & TQM. c. one of the five products in the starting product line. d. none of these. e. monitoring competitors in their entirety.
b
214. Which of the following buying criteria does not have a rough cut? a. Performance b. Age c. Size d. Reliability e. Price
b
215. When investing in E-mail, diminishing returns apply after a. $600,000 per segment. b. $600,000 per product. c. $800,000 per product. d. $800,000 per segment. e. $500,000 per product.
b
218. Labor will strike for a maximum: a. 10 days. b. 84 days. c. 60 days. d. 30 days. e. There is no strike maximum.
b
222. Which of the following is not a Process Management Initiative available to your company? a. Concurrent Engineering b. GEMI Sustainability c. Continuous Process Improvement d. UNEP Green e. Channel Support System
b
224. Products that are halfway between the fine and rough cut circle will experience a drop in customer survey score by: a. 1% b. 50% c. 10% d. 99%
b
227. Adding one additional unit of capacity costs a. $4 x Change (difference) in Automation Level b. $6 + ($4 x Current Automation Level). c. $6 x Change (difference) in Automation Level. d. $4 + ($6 x Current Automation Level). e. none of these.
b
232. The potential reach for web media is rated as good for the a. Performance and High End. b. Size and Performance. c. Traditional and Low End. d. High and Low End. e. Performance and Low End.
b
245. When purchasing increased Capacity and Automation, the new capacity becomes available a. immediately. b. in 1 year. c. in 6 months. d. in 2 years. e. none of these.
b
248. Emergency loans are made at what rate over the normal Current Debt interest rate? a. 5% b. 7.5% c. 10% d. 12% e. 25%
b
251. What is the size of the plant at the start of the simulation? a. 5 assembly lines with space to add 1 more. b. 5 assembly lines with space to add 3 more. c. 5 assembly lines with space to add 2 more. d. 8 assembly lines. e. 0 - the plan can be built to team specification.
b
259. Which one is not the source of acquiring capital? a. Profits b. T-Bills c. Current Debt d. Stock e. Bond
b
266. In the High End Segment, price as a buying criteria accounts for: a. 53% of decision. b. 9% of decision. c. 23% of decision d. 19% of decision e. None of the above.
b
271. The accounts payable lag has implications for production. At ________ days, suppliers withhold all material. a. 120 b. 150 c. 160 d. 170 e. none of the above
b
274. If you sell all the capacity on a production line, Capstone interprets this as a. a liquidation instruction and will sell your remaining inventory for one third of the average cost of production. b. a liquidation instruction and will sell your remaining inventory for half the average cost of production. c. a liquidation instruction and will sell your remaining inventory for 65 percent of the production cost. d. a liquidation instruction and will sell your remaining inventory for 10 percent of the production cost. e. a liquidation instruction but will continue to sell your remaining inventory for 100 percent of the production cost.
b
278. In CapSim, a product's demand is driven by its _________________. a. Color b. Customer Survey Score c. Usage d. R&D investment e. Labor forces
b
279. The ______________ details sales volume in all segments, reporting each product's actual and potential sales. a. Balance Sheet b. Market Share Report c. HR/TQM/Sustainability Report d. Round Analysis e. Annual Report
b
281. Which of the following will give your company an AAA bond rating: a. Have contribution margins higher than 30%. b. Have absolutely no debt. c. Retire all of the current outstand stock. d. Pay a dividend that is less than EPS. e. Retire bonds before they are due.
b
287. Which one of the following statements regarding preferred position in fine cut is false? a. Traditional customers want products located in the center of the circle. b. Low end customers want the high performance and large sized product. c. High end customers want high performance and small sized product. d. Performance customers prefer higher performance product. e. Size customers want smaller product.
b
292. The inner fine cut circles on the perceptual map have a radius of ________ units. a. 2 b. 2.5 c. 2.75 d. 1.5 e. 3
b
293. Every year the Traditional segment circle drifts ____ in performance and _____ in size. a. +1.0, -0.7 b. +0.7, -0.7 c. -0.7, +0.7 d. +0.5, -0.5 e. +0.9, -0.9
b
305. Account Receivables lag impacts sales. At no credit terms, the customer survey score falls to about ______ % of maximum, at 30 days, the score is _____ %, at 60 days, the score is ______%. a. 98.5, 92, 65 b. 60, 93, 99.3 c. 70, 85, 99 d. none of the above, there is no impact
b
308. Investments in training leads to a __________ and _________. a. higher costs, higher turnover b. higher productivity, lower turnover c. lower productivity, lower turnover d. none of the above
b
309. In what circumstance would a company have a high market share relative to that of its competitors, though it is not making best use of resources available to it? a. Market share is the best yard stick for measuring how effectively and efficiently a company is making use of its resources. b. Where competitors underperform, a company may have a higher market share than that of its competitors though it is not making best use of its resources. c. There is no way a company would have a high market share when it is not making best use of its resources. d. A huge investment in customer awareness and accessibility is a smart way to increase market share. e. By selling your products at prices lower than those of your competitors, you are sure to have a large market share.
b
316. At the start of the simulation, all assembly lines have an automation level between: a. 2.0 and 4.0. b. 3.0 and 5.0. c. 4.0 and 6.0. d. 5.0 and 7.0. e. 6.0 and 8.0.
b
319. The December Customer Survey indicates a. a product's customer awareness. b. how customers perceived the products in the segment. c. the accessibility of each product. d. none of the above.
b
331. The primary difference between the Proformas and annual reports is: a. Proformas report on product information; annual reports report on financial data. b. Proformas are projections of results for the upcoming year; annual reports are results from the previous year. c. Proformas are results from the previous year; annual reports are projections of results for the upcoming year. d. Proformas report on financial data; annual reports report on product data. e. None of the above.
b
332. What is the most important element that ensures the accuracy of the Proformas reports? a. Production capacity b. Marketing sales forecasts c. R & D decisions d. Financial decisions e. All of the above
b
335. In the Perceptual Map each segment has a set of circles where: a. The demand is the same everywhere within the inner fine cut circles. b. The inner fine cut circles represent the heart of the segment where demand is strong. c. At the center of each inner fine cut circle is the ideal spot where demand is strongest. d. a and b. e. a, b and c.
b
336. Different customer demands impact the drifting speed of the segments such that: a. The High End Segments drifts at a faster rate than the other segments. b. High End, Performance and Size drift at a faster rate than the other segments. c. All segments drift at the same rate but the customer expectations grow faster in the High End, Performance and Size Segments compared to the other segments. d. All segments drift at the same rate but the costumer expectations grow faster in the High End Segment compared to the other segments. e. All segments drift at different rate and the overlap between the segments increases over time.
b
210. It takes ______ years to invent a product. a. 3 or 4 months b. 6 months c. at least one year d. More than 3 years
c
213. How many market segments are there? a. 3 b. 4 c. 5 d. 6 e. 7
c
216. What is a market segment? a. Group of customers with differing purchasing concerns b. Area of perceptual map where all points intersect c. Group of customers with similar purchasing concerns d. Geographic area where customers are located e. Common area of buying patterns
c
228. How much does it cost for MTBF per 1,000 hours of reliability? a. $0.50 b. $0.40 c. $0.30 d. $0.20 e. $0.10
c
233. A 6 month project in R&D costs____________; while a 12 month project in R&D costs ________. a. 1,000,000; 1,500,000 b. 650,000; 850,000 c. 500,000; 1,000,000 d. 750,000; 1,000,000 e. 1,000,000; 750,000
c
234. The potential reach for print media is rated as good for the a. Performance and Low End. b. Performance and High End. c. Traditional and Low End. d. High and Low End. e. Size and Performance.
c
242. If the previous year you reached 100% customer awareness in your company, this year what will you need to do to maintain this level? a. There is nothing to do. I have already reached as much awareness as I could. b. Spend the same amount of money spent the previous year to reach the same percentage of awareness this year. c. I would only need to create 33% new awareness to maintain 100% this year. d. I need to spend at least half of the money spent the previous year to reach 75% of the population. e. None of these.
c
243. Teams can produce up to ______ products. a. 9 b. 7 c. 8 d. 5 e. 6
c
249. The Ideal Spot a. is the best performance spot of a segment. b. drifts faster than the segment. c. drifts at same pace as the segment. d. is located at the center of the segment. e. drifts more slowly than the segment.
c
253. Each round is the equivalent of a. two years. b. none of these. c. one year. d. one quarter.
c
257. Customer Awareness Reports: a. each company's level of accessibility. b. percentage of Customers who bought the product. c. percentage of Customers who knew about the product. d. percentage of Customers who are in that segment. e. each company's success in pricing.
c
258. For positioning in the fine cut, which one is not right? a. Traditional preferred position is located in the center of circle. b. Low End preferred position is located upper left of circle. c. High End preferred Position is located in the lower left of the circle. d. Performance preferred position is located in the lower right of the circle. e. Size preferred position is located in the lower right of the circle.
c
260. Price accounts for _________customers' decision-making in the low end sector. a. 75% b. 95% c. 53% d. 47% e. 43%
c
263. Diminishing returns for a single year and a single initiative on TQM budgets become noticeable at a. $3.0M. b. $1.5M. c. $2.0M. d. $5.0M. e. $1.0M.
c
264. High end customers prefer a product age of 0, at what age exceeds the fine cut for the product a. 5 years. b. 3 years. c. 2 years. d. 2.5 years. e. 4 years.
c
268. In the Traditional Segment, age as a buying criteria accounts for: a. 53% of decision. b. 43% of decision. c. 47% of decision. d. 29% of decision. e. None of the above
c
273. Finance Decisions should be made a. before the other departments enter their decisions. b. at any time. c. after the other departments have entered their decisions. d. after the R&D department has entered its decisions. e. none of the above.
c
283. The order of the 4 buying criteria is the same for the following two segments: a. Traditional and Low End. b. Performance and Size. c. Size and High End. d. High End and Performance. e. Performance and Traditional.
c
285. In the December customer survey, a product would not receive a perfect score of 100 if a. it was priced at the bottom of the expected range. b. it was perfectly positioned. c. it had an MTBF at the middle of the expected range. d. it had 100% awareness. e. it had ideal age for segment.
c
295. The cost to increase automation to 8.0 is equal to a. First Shift Capacity X [$8 X (4 - Automation Level). b. First Shift Capacity X [$8 X (4 + Automation Level). c. First Shift Capacity X [$4 X (8 - Automation Level). d. First Shift Capacity X [$4 X (8 + Automation Level). e. First Shift Capacity X [$4 X (4 - Automation Level).
c
297. The following describe the strategy of Differentiation with Product Lifecycle Focus, except: a. develops an R&D competency to keep designs fresh and exciting. b. concentrates on the High End, Traditional and Low End segments. c. prices are below average. d. products maintains pace with the market. e. capacity is expanded as demand is increased.
c
303. Your ___________ department controls the performance and size, therefore position of your sensor products within the market. a. Planning b. Finance c. R&D d. Marketing
c
304. Customers go through ________________stage(s) as they make their purchase decisions. a. fine cut only b. rough cut only c. fine cut and rough cut d. none of the above
c
313. Your company was formed ______________ a. As a start-up venture b. Buy a merger of two separate companies c. When a former monopoly was broken up into identical competitor d. After emerging from bankruptcy e. None of the above
c
314. How is Contribution Margin calculated? a. Material Cost - Labor Cost b. Price*(Material Cost-Labor Cost) c. Price - (Material cost + Labor cost) d. Price - Material Cost e. Profit -(Material Cost + Labor Cost)
c
321. Lowering the automation level will result in a. receiving a cash payment of $4 per unit of capacity. b. a tax credit. c. a charge. d. immediate changes to production lines. e. none of the above.
c
323. As a general rule, stock issues are used to: a. Protect you from getting a loan from Big Al. b. Fund the purchase of more market share. c. Fund long term investments in capacity and automation. d. Fund yearly sales and promotional budgets. e. All of the above.
c
326. Looking at the production, if the potential bar is lower than the actual, a. the company over produced and missed sales opportunities. b. the company lost sales because other companies over produced. c. the company picked up sales because other companies under produced. d. the company produced as much as last period and under produced nothing. e. the company under produced and missed sales opportunities.
c
333. When should you purchase the production line to produce a new product? a. The year you create the product b. The year after you create the product c. The year prior to its introduction d. The year of its introduction e. The year after its introduction
c
334. Which tool can you use as a quick comparison tool when conducting a competitive analysis concerning production? a. Bond ratings b. Stock price c. Customer survey d. Market share e. None of the above
c
207. Traditional customers consider this buying criteria to be the most important a. Price b. MTBF c. Positioning d. Age e. Performance
d
220. You are charged a ______ brokerage fee to issue bonds and ______ brokerage fee if you retire bonds prior to their maturation date. a. 0%; 5% b. 5%; 5% c. 5%; 0% d. 5%; 1.5% e. 1.5%; 5%
d
221. EPS (Earning Per Share) is calculated by a. adding net profit by the number of current shares. b. dividing net profit by the number of current shares. c. adding net profit to the number of shares outstanding. d. dividing net profit by the number of shares outstanding. e. none of these.
d
225. Quality Initiative Training can a. increase demand. b. decrease R&D cycle time. c. decrease material costs. d. decrease labor costs. e. decrease administrative costs.
d
226. Investing in Vendor Just In Time can a. reduce material costs and R&D cycle time. b. reduce administrative costs and labor costs. c. reduce R&D cycle time and increase demand. d. reduce material costs and administrative costs. e. reduce material costs and increase demand.
d
237. If your company offers 90 days Account Payable policy, suppliers will start to withhold material for production at a. 100%. b. 63%. c. 50%. d. 26%.
d
239. Investing in Quality Function Deployment Effort can a. reduce labor and administrative costs. b. increase demand and reduce labor costs. c. reduce R&D cycle time and increase demand. d. reduce R&D cycle time and enhance the effectiveness of the promo and sales Budgets. e. increase demand.
d
244. A production line with 1000 units of capacity has a max production capability of: a. 1000. b. 1500. c. 2500. d. 2000. e. as many as needed.
d
246. Capacity is sold by a. entering a zero in the Buy/Sell row on the Production Spreadsheet. b. entering a null value in the Buy/Sell row on the Production Spreadsheet. c. entering a negative number in the Buy/Sell row on the Marketing Spreadsheet. d. entering a negative number in the Buy/Sell row on the Production Spreadsheet. e. entering a positive number in the Buy/Sell row on the Production Spreadsheet.
d
250. Ideal Spot is particularly important for a. low price-oriented segments. b. high reliability-oriented segments. c. all product segments. d. high technology segments. e. low technology segments.
d
252. What are the Process Management Initiatives? a. CPP, JIT, Quality Function Deployment Effort, Channel Support Systems, Concurrent Development, GEMI TQM Sustainability b. Benchmarking, JIT, Quality Function Deployment Effort, Channel Support Systems, Concurrent Engineering c. CPI, Benchmarking, QIT, Channel Support Systems, JIT, UNEP Green d. CPI, UNEP Green, JIT, QIT, Channel Support Systems, Concurrent Engineering e. GEM TQM Sustainability, CCE, JIT, QIT, Channel Support Systems, Concurrent Engineering
d
255. If you see a red flag on one of your spreadsheets, what does it mean? a. The cell is locked. b. You need to surrender. c. You have an error. d. There is more information. e. You need to reenter your data.
d
256. Which one of these criteria is not a top product characteristic of at least one segment? a. Size b. Performance c. Price d. Promotion e. Age
d
267. Companies with this strategy state their vision as follows: Low priced products for the whole industry, our brands offer solid value. Our primary stakeholders and bondholders, customers, stockholders and management. a. Niche Cost Leader b. Cost leader with Product Life Cycle Focus c. Differentiation Strategy with a Product Life Cycle Focus d. Broad Cost Leader e. Broad Differentiation
d
269. An accessibility of 60% means that ________. a. only 60% of customers have an easy time finding a product, talking to a salesperson and taking delivery. b. of the customers who cannot easily locate the product, they will seek it out. c. 40% of customers will not buy the product. d. a and b. e. a and c.
d
270. How much higher are second shift wages than the first shift wages? a. 0 % b. 20 % c. 40 % d. 50 % e. 60 %
d
277. A product's __________ does not play a role in the rough cut a. Positioning b. Price c. Reliability d. Age e. MBTF
d
280. Automation levels are given on a scale of _____ to _____. a. 0.0; 5.0 b. 1.0; 5.0 c. 0.0; 10.0 d. 1.0; 10.0 e. 5.0; 10.0
d
282. Products that are modified through R&D: a. Are always more attractive to customers. b. Will allow the company to increase the price. c. Are thought of as new products. d. Are perceived to be half the age as before entering R&D. e. Are always completed in less than one year.
d
284. Which of the following will result in the highest interest rate: a. Issuing Bonds. b. Issuing Stock. c. Current Debt. d. Emergency Loan. e. Both a combination of a and b.
d
289. Workers will not strike approximately 7 days for a. $1 difference in wages. b. $300 difference in benefit package. c. percentage point difference in Profit Sharing. d. 1 hour difference in training. e. percentage point difference in Annual Raise.
d
310. A perfect product (with 100% awareness) starting with a survey score of 100, what is the survey score if the accessibility rate is only 60%? a. ((1+awareness)/2)*base score = 100 b. ((1+awareness)/2)*base score = 80 c. ((1+accessibility)/2)*base score = 100 d. ((1+accessibility)/2)*base score = 20 e. None of the above.
d
312. R&D project length can be as long as ___________. a. 3 months b. 2 years c. 1 year d. 3 years e. There is no limit, it is dependent on positioning and MTBF.
d
315. The percentage of workers that left the company last year is the: a. Complement. b. Separated Employees. c. Productivity Index. d. Turnover rate. e. None of the above.
d
317. Segment price ranges drop _____ per year. a. $1.00 b. $0.60 c. $0.90 d. $0.50 e. $2.00
d
320. Period costs include a. R&D. b. promotion. c. sales and administration expenses. d. all of the above.
d
324. Which segment has the highest growth rate? a. Traditional b. Low end c. High end d. Performance e. Size
d
325. Looking at the production, if the potential bar is higher than the actual one, a. the company should spend more budget in sales. b. the company over produced and missed sales opportunities. c. the company produced the right amount and missed no sales opportunities. d. the company under produced and missed sales opportunities. e. the company should spend more budget in marketing.
d
204. At the start of the simulation, your production plant has ___lines with room for ____more a. 5, 5 b. 5, 2 c. 5, 1 d. 5, 3 e. 5, 4
d. 5,3
206. Inventory Carrying Cost is ___% of the average cost of production. a. 13 b. 4 c. 10 d. 8 e. 12
e
223. Which of the following is not one of the five parts to the Situation Analysis: a. Perceptual Map. b. Demand Analysis. c. Capacity Analysis. d. Consumer Report. e. Forecasting Analysis.
e
229. How are the Starting Position and the Negotiation Ceiling related? a. The Negotiation Ceiling is always 15% above the Starting Position. b. They are not related. c. Their values are equal. d. The Negotiation Ceiling is always 10% beyond the Starting Position. e. The Negotiation Ceiling is always 10% above the Starting Position.
e
230. Labor costs are driven by: a. Wage and benefit rates b. Automation levels c. Second shift d. TQM investment e. All of the above
e
235. Stock price is a function of: a. Book value, Earnings per Share, and Net Profit. b. Book value, Dividend, and Retained Earnings. c. Earnings per Share, Dividend, and Retained Earnings. d. Earnings per Share, Dividend, and Net Profit. e. Book value, Earnings per Share, and Dividend.
e
238. A bond with the number 12.6S2005, indicates that: a. the interest rate is 12.6%; due in May. b. the interest rate is 12%; due on June 05. c. the interest rate is 12%; due in June 2005. d. the interest rate is 5%; due on December 6. e. the interest rate is 12.6%; due on December 31, 2005.
e
261. What does not drive length of R&D project? a. The product's automation level on the Production line. b. The amount of money you are willing to spend on it. c. The number of R&D projects underway at the same time. d. The proximity of the product's new location to an existing product in your company's line. e. The labor strike.
e
275. Customers evaluate the sensor industry based on: a. Positioning. b. Reliability. c. Age. d. Price. e. All of the Above.
e
276. When the Human Resources module is activated, which areas must be addressed? a. Complement (number of workers) b. Caliber (recruitment of talent of workers) c. Training (time workers spend in training) d. Benefits (retirement planning for workers) e. a, b, and c
e
286. Each product can be promoted by a. Print media. b. Direct mail. c. Web media. d. Trade shows. e. All of the above.
e
288. The turnover rate a. is the percentage of workers who left the company last year, excluding down-sizing. b. does not ignore down-sizing factors. c. is not driven by recruiting spend or training days. d. includes unavoidable factors like retirement, relocation and weeding out poor workers (about 5%). e. a and d.
e
291. Capital used for financing activities can be acquired through_______________. a. Current debt b. Stock issues c. Bond issues d. Profits e. All the above
e
294. The growth rate for industry demand in the _____ segment is 18.3%. a. Traditional b. Low End c. High End d. Performance e. Size
e
299. Which of the following statements is true about promo and sales budget? a. From one year to the next, a third of those who knew about a product forgot about it. b. If a product ended last year with an awareness of 50%, this year it will start with an awareness of approximately 33%. c. If you have two or more products that meet a segment's fine cut criteria, the sales budget for each product contributes to that segment's accessibility percentage. d. Companies must have at least two products in the segment's fine cut to achieve 100% accessibility. e. All of the above.
e
300. Which of the following is not one of the primary concerns in the Finance Department? a. Acquiring the capital needed for company activities. b. Establishing a dividend policy that maximizes the return to shareholders. c. Setting accounts payable and accounts receivable policies. d. Driving the financial structure of the firm, its relationship between debt and equity. e. Deciding promo and sales budget.
e
301. Which of the following is not the correct yearly drift rate for the corresponding segment? a. In the traditional segment performance drifts by +0.7 and size by -0.7. b. In the low segment performance drifts by +0.5 and size by -0.5. c. In the high end segment performance drifts by +0.9 and size by -0.9. d. In the performance segment performance drifts by +1.0 and size by -0.7. e. In the size segment performance drifts by -0.7 and size by +1.0.
e
318. Each year the company receives bond ratings. The range of these bond ratings from best to worse is: a. A to F. b. A to C. c. D to AA. d. D to AAA. e. AAA to D
e
322. If all of the capacity on a production line is sold a. all remaining inventory is sold for half the average cost of production. b. a loss is written off on the income statement. c. Capstone interprets the action as a liquidation instruction. d. the company will receive a cash payment of 65% the original investment on capacity. e. all of the above.
e
339. What happens if you increase the A/R lag days in the marketing function? a. Sales forecast increases b. Collection time increases c. Nothing d. You pay a penalty e. Both a and b are correct.
e
340. Which of the following is an important about working capital in Capsim? a. Emergency loans are closely linked to your working capital policy b. Shows the liquidity situation of your firm c. Can be calculated using numbers from the balance sheet under the headings current assets and current liabilities d. Shows how much equity is in use e. All of the above are important
e
