Aviation Management Midterm Review

Break-Even Analysis is one of the best tools for ensuring that a company has a continuous cash flow at any time during a financial period

False

Over time, the simulation of business scenarios has proven to not be effective to help the manager make effective decisions

False

The National Transportation Safety Board (NTSB) is the primary regulatory and safety agency for the aviation industry

False

The income statement depicts the financial status of a business by showing both the operating account and the capital account

False

When it comes to marketing, as long as a business has a solid plan and strategy there is no need to be marketing oriented

False

Which of the following would not be useful in analyzing the business activities of a department?

File Control

Which of the following is not considered as one of the phases of the financial process for a business organization

Forecasting

Which of the following is not one of the main components of the aviation industry in the US?

International Civil Aviation Organization

________ entry is the first accounting record of transactions that occur inside the business. It serves as a 'financial diary' in the business accounting systems

Journal

Which of the following would be a good approach to market the convenient goods to your consumers?

Mass Promotion

Which agency of the federal government is responsible to monitor the incidents and accidents that occur in the aviation industry?

National Transportation Safety Board

When it comes to directing and controlling, which one of these traits tends to be a problem for most managers?

Poor Delegation

When writing a business plan, the first thing to think about and write down would be your:

Product or Service

Which of the following would not be classified as a variable expense for a business?

Rent for the Aircraft Hangar

Jaguar Aviation, a FBO company operating in the Amazon forest in Brazil, plans to engage in the community activities by donating $200,000 towards the building of a village hospital. To achieve that, the company is setting aside a portion of the profit obtained during the financial year 2019-2020 to donate towards the cause. What profit objective would be the best for the organization?

Social Responsibility

Which of the following is not one of the four functions of management described in your textbook?

Time Management

A Business with a good forecasting regression model will have to continue reviewing the model over time as the relationships among the variables may change

True

Aircraft operators are still expressing the need for cost-effective aircraft

True

As a manager you can have as many business plans for your product lines and/or services that you of plan to offer

True

Cash Flow tendency has been shifting towards the credit market/economy compared to previous years where most business operated with real cash

True

Depending on the nature of the company, the manager might decide to reserve some roles and not delegate those to the other staff

True

During the budgeting processes, the business will have to prepare both Capital and Annual Operational Budgets

True

General Aviation can serve as means of transport and also means of accomplishing an activity while in the air

True

One of applications of a Management Information Systems in a company is the ability to track the financial and marketing performance

True

One of the challenges facing the generation aviation sector is the retaining of pilots as most of them continue up the rank into more sophisticated areas of aviation

True

Planning in Management is very crucial because is at this stage when the manager gets to develop the business plan

True

Sampling techniques have proven to be effective in aviation to help the managers obtain customers' opinion regarding the products and services

True

Setting up profit centers within the business means that each revenue-generating area of the business will be treated as its own mini-business

True

Sport Pilot Certificate Program is one of the events that have encouraged more pilots to obtain their pilot certificates and be engaged with general aviation

True

The balance sheet is mainly made up of three main sections which are Assets, Liabilities, and Stockholders' Equity

True

Which of the following indicator is used by the investors to determine whether or not the company is efficient in collecting its debts from the customers?

Accounts Receivable Turnover

Which of the following is not one of the sources of aviation forecasting data

Aerospace Industrial Forecast Magazine

Public airports that are categorized as 'essential' are funded through what program of the Federal government?

Airport Improvement Program

Which of the following should we use when we are trying to price a product based on the amount of money we spent producing it?

Cost-Based

Which of the following is not necessarily a specific data requirement to consider while establishing a data system for the business?

Data Manipulation

Which of the following would not qualify as an external source of finance for an organization?

Deferred Taxes

Which one of these is not included in the FAA's definition of FBOs services?

Ground Transportation