Business Final, BUS101 FINAL PT.2

Which of the following statements is true of a product layout?

It organizes machinery, equipment, and other resources according to the specific sequence of operations that must be performed.

Who is most likely to benefit in a case where there is a strong dollar against a euro?

a European firm that imports goods from America

Which of the following statements is true of computer-integrated manufacturing (CIM) software?

It allows firms to produce custom-designed products for consumers quickly and at a low cost.

The most socially responsible companies establish ________ for their vendors, setting clear policies for human rights, wages, safety, and environmental impact.

codes of conduct

​_____ software takes the electronic design for a product and creates the programmed instructions that robots must follow to produce that product as efficiently as possible.

computer-aided manufacturing

The spectrum of socially responsible behavior of firms may vary from:

no contributions to proactive contributions

Requiring red-tape-intensive import licenses for certain categories is an example of a:

non-tariff barrier

A(n) _____ is an example of a depository institution

Commercial Bank

​_____ is a branch of accounting that addresses the needs of external stakeholders, including stockholders, creditors, and government regulators

financial accounting

According to a report in Fast Company, a major reason why many human resource managers struggle to add value to their firm is that they:

lack business acumen in addition to strategic skills.

The heavy reliance on accounting information by business stakeholders has led to it sometimes being called the:

language of business

For financial managers to be socially responsible, it is necessary that they:

make a long-term commitment to the needs of stakeholders

Sebastian is an employee of Power Trans Inc. His duties include preparing reports and analyzing company accounting data. He also appraises financial performances, verifies the accuracy and validity of the company's internal records and accounting procedures. Sebastian's role is that of a _____.

management accountant

Marketing of raw materials, one of the business product categories, primarily emphasizes:

product differentiation

Managerial accounting:

provides reports and analysis to managers to help them make informed business decisions

Matt is asked by Clint Publishers to carry out an external audit of its books. He is also asked to prepare the tax returns for another client, Mrs. Zhirkov. Matt is a _____.

public accuntant

In the context of customer relationship management (CRM), a firm selling a high-ticket product to a small customer base is most likely to:

pursue a full partnership with each of its key clients

Through the generally accepted accounting principles (GAAP), the Financial Accounting Standards Board (FASB) aims to ensure that financial statements are _____.

relevant, reliable, consistent, and comparable

Neon Bolt is an energy drink manufacturer. The marketing strategies of Neon Bolt are focused on males in the age group of 16-25 years who enjoy sports and other outdoor activities. The company advertises its product at skateboard parks, basketball venues, and ski resorts. The customer group that Neon Bolt focuses on is called its _____

target market

People with an external locus of control:

feel buffeted by forces such as random luck.

​Pyoiunalek's, a U.S. restaurant chain, markets and endorses its business in Germany by offering buyers the rights to launch and operate the restaurant in their own country. It lends financial and marketing assistance to the buyers. Pyoiunalek's is employing the strategy of _____.

foreign franchising

​Quitor Inc., which is based in the U.S., contracts with Falconnien Suppliers, a small-scale supplier in Taiwan, to manufacture its computers and tablets across the world. This strategy by Quitor Inc. is an example of _____.

foreign outsourcing

The core goal of successful firms is to:

generate long-term profits by delivering unsurpassed value to their customers.

Compared to the US, China and India have:

higher GDP growth rates

Critics of the North America Free Trade Agreement (NAFTA) believe Mexico and Canada have contributed to the United States' trade deficit because:

imports from Mexico and Canada have grown faster than exports to these nations.

Microeconomics focuses on:

individual businesses

​Huge factories replaced skilled artisan workshops during the _______.

industrial revolution

Jacob is in urgent need of financing for his rapidly-growing online travel business, Travelmuch. Since Jacob does not usually pay off his loans on time, his credit score is very low. He feels overwhelmed and thinks that it would be ideal if he gets some guidance on how to run the business. Given his situation, which of the following key sources of funding would be ideal for Jacob?

A venture capital firm

Which of the following is a disadvantage of holding larger inventories?

Additional holding costs

Which of the following statements is true about ethics?

All actions that are legal need not be ethical.

Which of the following is a similarity between venture capital firms and angel investors?

Both invest in start-up companies with high growth potential in exchange for a share of ownership.

A _________ is a formal document that describes a business concept and outlines the core business objectives while detailing the strategies and timelines for achieving those objectives.

Business plan

The economic system of the Unites States is called ________.

Capitalism

_______________ is the benefit a country has in a given industry if it can make products at a lower opportunity cost than other countries.

Comparative advantage

​_____ software enables users to test, analyze, and optimize their designs through computer simulations.

Computer- aided engineering (CAE)

Jessica Marshall, the CEO of ANS Oil Drilling Inc., has decided to set aside $10, 000 from the company's annual profit to donate to local nonprofit organizations. This donation is an example of:

Corporate philanthropy

Which of the following is a duty of a socially responsible organization toward customers

Delivering value by providing quality products at fair prices

Identify a true statement about e-commerce.

E-commerce excludes the sales of goods and services through websites or online portals.

Which of the following statements is true of enterprise resource planning (ERP)?

ERP makes it easier for organizations throughout a supply chain to coordinate their activities.

In operations management, using resources to create value by providing customers with goods and services that offer a better relationship between price and perceived benefits is known as _____.

Effectiveness

Which of the following statements is true of the impact of federal regulations on entrepreneurship?

Extensive regulations can impede entrepreneurship.

US corporations are forbidden to offer bribes since 1977 under the ______________.

Foreign Corrupt Practices Act

Which of the following is a difference between goods and services?

Goods are produced independently of the consumer, while services often require customers to be actively involved in their production.

Which of the following is an intimidating difficulty that small businesses face?

High health insurance costs

In operations management, quality is defined in terms of:

How well a product satisfies customer preferences.

Which of the following is a drawback of buying a franchise?

If the national brand suffers, so does the franchisee.

​Which of the following occurred during the entrepreneurship era?

Industrial titans created enormous wealth and dominated their markets

Which of the following is true of a partnership?

It is a formal, long-term agreement

Identify a true statement about comparative advantage.

It is affect by major trade barriers to international trade.

Which of the following is a true statement about profit in a business?

It is the financial reward that comes for starting and running a business.

Identify a true statement about exporting.

It is the most basic level of international market development.

Identify a true statement about macroeconomics.

It is the study of a country's overall economic dynamics.

In the context of factors of production, which of the following is an example of a natural resource?

Land

​_____ is an approach to production that emphasizes the elimination of waste in all aspects of production processes

Lean production

Ethan is in the process of launching his new business venture that specializes in electronic waste recycling. During this period, he is in constant touch with Lloyd, who has seen success in this niche market. Which of the following entrepreneurial development strategies is Ethan utilizing?

Learning from others

Vieorien, a Swedish company, has allowed Loineker, an American company, the rights to produce Vieorien's products and use the Vieorien trademark. However, Vieorien does not have the authority or the rights to dictate the business operations of Loineker. In this scenario, Loineker is the _____.

Licensee

Which of the following is the most costly form of foreign direct investment?

Offshoring

Which of the following statements is true of ethical decisions?

Personal empathy in ethical choices is an important predictor of ethical leadership.

In the context of barriers to international trade, which of the following is an example of energy infrastructure in a country?

Power Plants

In today's competitive markets, operations managers:

Realize that a product that offers better features is more attractive than one that has a lower price.

Which of the following statements is true of robots?

Robots perform jobs that human workers find dangerous or physically demanding.

Local offices affiliated with the Small Business Administration (SBA) that provide comprehensive management assistance to current and prospective small business owners are known as _________.

Small business development centers

___________ include differences among countries in language, attitudes, and values.

Sociocultural differences

SeeStreet is a company that produces gourmet coffee. Its employees, coffee bean growers who supply raw materials to the company, people who drink the coffee, and the people who live in the community where the company produces the coffee are called SeeStreet's ______________.

Stakeholders

________ refers to the quantity of products that producers are willing to offer for sale at different market prices.

Supply

David is the chief executive officer of Grand Rocks mining company. He has convinced the company's board of directors to implement a change in the mining procedures which will reduce the company's impact on the environment in which it operates. This will ensure that the abilities of future generations to meet their needs will not be harmed. By agreeing to David's suggestion, Grand Rocks has embraced the idea of _____.

Sustainable development

​Computers, digital tools, and telecommunications are most likely to be part of the _____ dimension of a business environment.

Technological

Which of the following firms supported by the Small Business Administration (SBA) provides free, comprehensive counseling for small businesses from qualified volunteers?

The Service Corps of Retired Executives

Which of the following bodies assists entrepreneurs by guaranteeing loans from local commercial lenders?

The Small Business Administration

Which of the following statements is true of necessity entrepreneurship in high-income countries?

The rate of necessity entrepreneurship is low

Which of the following is a disadvantage of foreign outsourcing?

The risk of poor quality control becomes higher.

​Identify a true statement about nonprofit organizations.

They employ people and take in revenue.

Which of the following statements is a characteristic of entrepreneurs?

They produce a ripple effect that enriches everyone around them.

Which of the following is true in the context of the steps that need to be taken by top managers in executing the integrated approach to the implementation of code of ethics in an organization?

They should ensure that the company's ethics code is both local and global in scope.

Which of the following is the goal of sustainable development?

To meet the needs of their current generation without harming the ability of future generations to meet their needs.

Which of the following is the purpose of a written code of ethics?

To provide guidance to help employees make sound ethical decisions across a range of situations.

Steaks & Grillz, a restaurant, uses pleasant music and lighting along with impressive decor to attract customers. In this scenario, the restaurant is attempting to enhance its _____.

ambience

​Iris has been told by her boss that the company is planning to lay off some people and that only one employee in her department will be retained. In order to keep her job, Iris has to sabotage the professional image and good work of her colleagues or she will be laid off. This situation is an example of _____.

an ethical drama

Overhead costs for small businesses:

are often lower than they are for big companies, giving small businesses a competitive opportunity

In the context of the U.S. economy, small businesses:

are often the first to contract when times are tough.

When tax revenue is higher than government expenditures, the government incurs a _________.

budget surplus

The nonprofit, nonpartisan Character Counts organization has worked with educators, community leaders, and experts to establish a set of:

core ethical values that transcend political, ethnic, class, and religious differences.

___________ includes all business donations to nonprofit groups, including both money and products

corporate philanthropy

Companies typically engage in ________ to meet the needs of customers that don't have access to hard currency or credit.

countertrade

The _____ is a project management tool that illustrates the relationships among all the activities involved in completing a project and identifies the sequence of activities likely to take the longest to complete

critical path method

​Legislation that supports enforceable contracts usually forms part of an organization's _____ environment.

economic

David works in a small manufacturing firm that makes customized and ergonomically sound office furniture. He feels it is important to work directly with customers to design high-quality furniture that precisely meets their needs. From the given information, we can conclude that David tends to focus on _____.

effectiveness

The primary reason many people become entrepreneurs is to:

make more money

Balance of payments deficit means that:

more money flows out than in.

When a large company downsizes, some of the middle-aged and older workers who are laid off find it difficult to get another job. When such workers decide to start their own businesses, they are known as _____.

necessity entrepreneurs.

Operations managers at UCON Industries Inc. agree that the company is trying to handle too many supply chain functions on its own, resulting in an inefficient use of resources. This suggests that the company may soon adopt the strategy of:

outsourcing process

A(n) _____ is a set of related activities that transform inputs into outputs, thus adding value

process

Paul, an employee at a well-established bank, offers free financial advice to account holders. Paul is offering a _____.

service

When designing a retail facility, operations managers should be mindful of the _____, which is an environment where consumers and service providers interact.

servicescape

Ethics refers to:

sets of beliefs about right and wrong.

Every year, the members of the managing committee at Willem Inc. systematically evaluate how well the firm meets its ethics and corporate responsibility objectives. This process is referred to as a(n) _____.

social audit

A clothing company, Patagonia, pledges 1% of its annual revenue to environmental causes around the world. Founders of the company believe they have an obligation to contribute to the world. This is an example of ____________.

social responsibility

_________ is the rate at which a new product moves from conception to commercialization.

speed-to-market

The debt ceiling is:

the maximum amount congress lets the government borrow.

Consumerism is a widely accepted social movement. Proponents of this movement believe that ________ is a right of all consumers.

the right to be informed

Which of the following can be achieved by marketers by acquiring customer loyalty?

Acquisition of new customers

The physical good or delivered service that provides a core benefit is called the _____ product.

Actual

Habib is a writer. He regularly uses Microsoft Word for his work so he can write, edit, and prepare his manuscripts for publication. In this scenario, which of the following computer products is Habib using?

Applications software

Which of the following is a major challenge faced by most human resources departments?

Being considered irrelevant by many employees

Hansel owns and runs a fruit juice manufacturing company. He decides that the company will sell packaged fruit juices through wholesalers and retailers. In this scenario, which of the following distribution strategies is Hansel planning to use?

Channel intermediaries

​_____ refers to planning for unexpected events, usually involving a range of scenarios and assumptions that differ from the assumptions behind the core plans

Contingency planning

_____ are the inexpensive goods and services that consumers buy frequently with limited consideration and analysis

Convenience products

​_____ is the ongoing process of acquiring, maintaining, and growing profitable customer associations by delivering unmatched value.

Customer relationship management

_____ are files of related facts and figures organized according to a logical system and stored on hard drives or some other computer-accessible storage media

Databases

The _____ of 2010 expanded the Fed's regulatory authority over nondepository financial institutions, such as hedge funds and mortgage brokers that had previously operated with little regulatory oversight or accountability

Dodd-Frank Act

​_____ are best described as specialized Internet sites, which provide a platform to interact for businesses, specifically those involved in business-to-business (B2B) transactions

E- marketplaces

_____ refers to marketing, buying, selling, and servicing of products over a network, usually the Internet

E-commerce

Which of the following statements is true of expectancy theory?

Employees will not be motivated if their efforts do not lead to reward

_____ means establishing only one retail outlet in a given area

Exclusive distribution

Financial capital refer to the:

Funds a firm uses to acquire its assets and finance its operations

​​_____ refers to the physical components used to collect, input, store, and process data, and to display and distribute information

Hardware

Which of the following statements is true of business-to-business (B2B) e-commerce?

It involves business selling supplies, components, machinery, equipment, or services to other businesses

Documents stored on the World Wide Web are written and linked together using _____.

Hypertext Markup Language (HTML)

Which of the following statements is true about the markets around the world?

India's subscriber base for cell phones has grown explosively over the past 5 years.

Which of the following pieces of information is found in the Small Business Administration (SBA) resources?

Industry-specific statistics

Data become _____ when they are processed, organized, and presented in a way that makes them useful to a decision maker in a company

Information

Which of the following business product categories refers to large capital purchases designed for a long productive life and the marketing of which emphasizes personal selling and customization?

Installations

Which of the following is a characteristic of Six Sigma?

It aims to reduce defects to no more than 3.4 per million opportunities.

Which of the following was a major outcome of the Banking Act of 1933?

It banned commercial banks from competing with non-depository institutions

Which of the following statements is true of the distribution strategy?

It is a plan for delivering the right product to the right person at the right place at the right time

Identify a true statement about global trade.

It offers companies an invaluable source of new ideas.

Which of the following statements best describes a money market mutual fund?

It pools funds from many investors and uses these funds to purchase very safe, highly liquid securities

Which of the following statements is true of the Financial Accounting Standards Board (FASB)?

Its members can be reappointed to serve one additional term

Which of the following is the scope of relationship of marketers who actively gather data and pursue a connection with customers who initiate contact.

Limited relationship

_____ ratios measure the ability of an organization to convert assets into the cash it needs to pay off liabilities that come due in the next year

Liquidity

In the context of human resource management challenges, which of the following statements is true of older workers?

Many companies have started flexible schedules, training opportunities, and creative pay schedules to retain their best older employees

During the _________, business began to develop brands to help customers understand the difference among various products.

Marketing Era

_________ refers to Federal Reserve decisions that shape the economy by influencing interest rates and the supply of money.

Monetary policy

Jessica, the chief human resources officer at GA Trading Company, is facing a problem at work. One third of the employees of the company, who belong to the Baby Boomer generation, will be retiring next year. In response to this problem, she introduces benefits like flextime and telecommuting. In this scenario, she is trying to retain _____

Older workers

Which of the following marketing strategies can be best employed for attracting tourists?

Place marketing

The characteristics of a product that a marketer offers are known as _____.

Product features

Kyra Inc. has applied for a business loan in the United Bank. In order to best assess the loan case, the loan officer at the bank, Sirigu, decides to look at the company's net income figure. Sirigu will find this information in Kyra's _____.

Profit and loss statement

Which of the following must be done by human resource managers to nurture their human investment so that it yields the highest possible return?

Promoting career development

Which of the following is an example of an internal recruitment method?

Promotions

Established by the Sarbanes-Oxley Act of 2002, it is the responsibility of the _____ to protect the interests of investors and further the public interest in the preparation of informative, fair, and independent audit reports.

Public Company Accounting Oversight Board

A management consulting firm offers a management training program that instructs students on utilizing various tools for effective time management and aims to improve their risk management skills. Which form of product is the firm offering?

Pure services

​_____ is a technology that stores information on a microchip—such as a unique serial number—and transmits it to a reader when it is within range

Radio frequency identification

_____ refer to the pay that employees receive over a fixed period, most often weekly or monthly.

Salaries

​_____ refers to unsolicited commercial emails, usually sent to a large number of people with little regard for the users' interest in the product or its promotion.

Spam

is software that installs itself on a computer without permission and then tracks its behavior in some way.

Spyware

A marketable security is a cash equivalent unlike _____.

Trade credit

_____ refers to specific, shorter-term planning that applies strategic plans to specific functional areas

Tactical planning

_____ refer to expertise in a specific functional area or department

Technical Skills

Which of the following bodies makes U.S. accounting practices more consistent with those in other nations along with the Financial Accounting Standards Board (FASB)?

The International Accounting Standards Board (IASB)

​_____ is often referred to as the world's largest computer network

The Internet

Which of the following statements is true of the members of a distribution channel?

The businesses that buy from wholesalers can be retailers, other wholesalers, or business users.

Which of the following is most likely to be true if a company adopts external recruitment methods?

The external recruitment methods will tap into a range of different resources.

Juan, the CEO of a technological firm, believes that the firm's employees are intelligent, creative, and hardworking. He is convinced that they are passionate about their work, and they can be further motivated through rewards. In this scenario, Juan's views about his workers is consistent with _____ assumptions.

Theory Y

In the context of strategic planning, which of the following is true of mission statements?

They provide a clear, long-term focus for an organization

Which of the following statements is true of angel investor?

They typically provide funds to start-ups in exchange for a share of ownership

Firms create _____ by offering limited access to certain areas of their intranets to select groups of people

extranets

​_____ is best described as an Internet advertising strategy that attempts to get customers to communicate a firm's message to friends, family, and colleagues.

Viral marketing

​Entrepreneurs find new solutions to old problems and develop new products that people didn't even realize they needed. These entrepreneurs are said to have _____.

Vision

Which of the following is a powerful contribution made by small businesses to the U.S. economy?

Vitalizing inner cities

A(n) _____ is similar to a virus, except that it is an independent program that can be spread across computer networks without being attached to other files.

Worm

Dividents to common stockholders of a company are:

a distribution of earnings that are paid only if declared by the company's board of directors

Which of the following is uncharacteristic of a capital budgeting proposal evaluation process?

a. Buying Treasury bills and bonds for the next six months

The _____ reports the financial position of a firm by identifying and reporting the value of the firm's assets, liabilities, and owners' equity

balance sheet

The overall value of a brand to an organization—the extra money that consumers will spend to buy that brand—is called _____.

brand equity

The _____ forecasts the types and amounts of assets a firm will need to implement its future plans as well as the amount of additional financing the firm must arrange in order to acquire those assets.

budgeted balance sheet

When a person buys stocks through an online broker such as Charles Schwab, he or she participates in _____ e-commerce

business-to-consumer

The two key phases of a business cycle are:

contraction and expansion

Andrew's parents want him to get a good education and, therefore, send him to the best school in the town. In this case, Andrew's education is the _____ his parents were looking for when they got him admitted in the school.

core benefit

A(n) _____ gives managers access to large amounts of data and the processing power to convert the data into high-quality information quickly and efficiently.

decision support system

Socially responsible employers:

ensure that hard work, commitment, and talent pay off.

While raising start-up funds from friends and family, it is:

essential to keep the relationship as professional as possible.

The __________ express the value of one nation's currency in terms of another nations currency.

exchange rate

A(n) _____ is a decision support system that helps managers make better decisions in an area where they lack sufficient knowledge

expert system

Benjamin works for a private firm that has been contracted to examine the books of accounts of the Luigi Corporation. After checking the figures and examining the company's accounting methods, he is required to prepare a report on his findings. The work that Benjamin is tasked with is the characteristic of a(n) _____.

external auditor

During his tenure as the manager of a large toy store, Barry developed strong technical skills. He will soon be promoted to the position of regional manager for several branches of the toy store. Barry's boss informs him that in this new role, he will need to communicate, coach, and motivate other managers. In this case, which of the following management skills is his boss describing?

human skills

The capital expenditure budget:

identifies a firm's planned investments in major fixed assets and long-term projects

The senior management of a firm recognizes the potential of the human resource (HR) department:

if the HR department reports to the CEO of the firm.

A(n) _____ is the first time a company issues stock that may be bought by the general public.

initial public offering

A(n) _____ is a financial intermediary that specializes in helping firms raise financial capital by issuing securities in primary markets

investment bank

The benefit that cloud computing provides to individual users is that:

it allows them to store large files without taking up valuable space on their computers' hard drives.

The _____ is a philosophy that makes customer satisfaction the central focus of an entire organization.

marketing concept

Annual reports include _____ that disclose additional information about a firm's operations and special circumstances that clarify and supplement the numbers reported on the financial statements

notes

The stocks of firms that do not meet the listing requirements of stock exchanges are traded on the _____.

over-the-counter market

Which of the following refers to the claims that stockholders have against their firm's assets?

owners' equity

At Blyrie Technologies, a leading spare parts manufacturing firm, a few workers were injured on the job. Following this, its management decided to implement certain changes in the workplace. It provided the workers with enough protective gears, health insurance plans, and life insurance. According to Maslow's hierarchy of needs theory, Blyrie Technologies is motivating its employees by meeting their _____.

safety needs

A specialty store:

sells a wide selection of merchandise within a narrow category

In order to preserve independence and impartiality, Financial Accounting Standards Board (FASB) members are required to:

sever all ties with any firms or institutions they served prior to joining the board

A company that values its employees:

strives to recognize the untapped potential of its employees.

The two broad categories of software are:​

system software and application software

Nursing jobs usually have a high level of _____ due to the fact that the work performed by nurses has a large and direct impact on the welfare of others

task significance

assets refer exclusively to:

the resources owned by a firm

In the management hierarchy, _____ includes managers who set the overall direction of a firm, articulating a vision, establishing priorities, and allocating time, money, and other resources.

top management

The balance sheet of Ranger Inc. shows its liabilities and owners' equity as $150,000 and $75,000, respectively. In this case, Ranger's _____.

total assets are $225,000

A(n) _____ opinion is issued if an external auditor does not find any problems with the way a firm prepares and presents its financial statements

unqualified