Financial Management Four: Business Case Analysis

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What would be the most appropriate action to take in the growth phase of the product life cycle model?

Add staff, equipment, and information systems support

What should be used when an HCMO is considering a major new service or product line?

Business plan

What classification of the portfolio matrix is characterized by steady stream of current revenue?

Cash cow

Which of the following is not one of the major factors to consider in a "make vs. buy" decision?

Competitor actions

In addition to a list of tasks and time-frames for completion, what is next most critical in implementing the business plan?

Defining responsibilities

What would be the most appropriate action to take in the maturity phase of the product life cycle model?

Enhance the product or develop new product lines

Which one of the following plans is developed last?

Financial plan

Which of the following is not one of the four keys to the successful implementation of plans?

Have the right people with the right skills

Which one of the following statements is false?

In the development of organizational plans, business plans should be developed first

Which one of the following would not be included in a summary document for a business plan?

Marketing plan

What is usually NOT included in the pro forma of the business plan?

Risk analysis

What is the basis for the business plan?

Strategic plan

Which one of the following tools would be most appropriate for deciding on a new "big ticket" medical equipment purchase?

***Portfolio analysis

Which one of the following is not a major component of a business plan?

***Risk analysis *** Demand analysis

Which one of the following plans is developed first?

***Strategic plan


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