BUS 101 3
If a company's assets are $10 million and its liabilities are $8 million in liabilities, the company's owner's equity is ________. $2 million $8 million $10 million $18 million
$2 million
The marketing mix is also called the ________. core principles 4Ps competitive advantage promotional mix
4Ps
Which of the following is an example of a company offshoring? A restaurant chain headquartered in Los Angeles opens two new restaurants in Hawaii. A German automaker builds a manufacturing facility in Alabama. A hospital in Tampa has two doctors who received their degrees in France. A lawyer in Florida partners with lawyers in Georgia, Alabama, and South Carolina.
A German automaker builds a manufacturing facility in Alabama.
Promotion directed to the end consumer that builds product demand at the consumer level is referred to as: A pull strategy A push strategy A sales promotion strategy A brand strategy
A pull strategy
A company pays its employees a total of $10,000 in July. Which of the following statements most accurately reflects its impact on the company's balance sheet? Cash decreased, and accounts receivable decreased. Accounts payable decreased, and long-term assets decreased. Accounts payable decreased, and cash decreased. Intangible assets increased, and cash decreased.
Accounts payable decreased, and cash decreased.
A company pays its employees a total of $10,000 in July. Which of the following statements most accurately reflects its impact on the company's balance sheet? Intangible assets increased, and cash decreased. Cash decreased, and accounts receivable decreased. Accounts payable decreased, and cash decreased. Accounts payable decreased, and long-term assets decreased.
Accounts payable decreased, and cash decreased.
Which of the following is an example of a B2B transaction? The owner of a sports bar buys a new TV as a birthday gift for his son. A college professor buys a new laptop directly from Apple.com to help her manage her personal finances. An IT company buys a dozen security cameras from Costco. The CEO of a company just purchased a Bentley Bentayga for her husband's personal use.
An IT company buys a dozen security cameras from Costco.
Which of the following best describes a company's assets? The total profit of a company Anything owed to owners Anything owned of value by a company Anything owed to non-owners
Anything owned of value by a company
Which of the following best describes a company's assets? The total profit of a company Anything owned of value by a company Anything owed to owners Anything owed to non-owners
Anything owned of value by a company
The fundamental accounting equation is: Assets = Liabilities Assets + Owner's Equity = Liabilities Assets = Liabilities + Owner's Equity Profit = Revenues - Costs
Assets = Liabilities + Owner's Equity
Which of the following statements about cash flow generation is true, all other factors being constant? Assets that generate positive cash flow later are valued higher by organizations. Assets that generate positive cash flow sooner are valued lower by organizations. Assets that generate positive cash flow sooner are valued the same as assets that generate positive cash flow later. Assets that generate positive cash flow sooner are valued higher by organizations.
Assets that generate positive cash flow sooner are valued higher by organizations.
Holding all other things equal, which of the following statements is not true? Investors will demand to be compensated if they have to wait to be paid back. Borrowers prefer to pay expenses earlier than required. Investors would rather see their profits sooner than later. Borrowers would rather pay expenses later than sooner.
Borrowers prefer to pay expenses earlier than required.
Holding all other things equal, which of the following statements is not true? Investors will demand to be compensated if they have to wait to be paid back. Borrowers would rather pay expenses later than sooner. Borrowers prefer to pay expenses earlier than required. Investors would rather see their profits sooner than later.
Borrowers prefer to pay expenses earlier than required.
________ occurs when a business experiences an unintended reduction in sales of one product due to its introduction of another similar product. Maturity Cannibalization Decline Competition
Cannibalization
________ research is also described as predictive and attempts to explain cause and effect relationships. Exploratory Descriptive Secondary Causal
Causal
Which of the following is not a step in the accounting cycle? creating a journal where all transactions are recorded collecting funds from customers preparing a trial balance bookkeeping
Collecting funds from customers
Which of the following is the first effort potential buyers make when considering a purchase? Consider what they already know Look at customer reviews Ask a friend's opinion Go to the store to ask a salesperson questions
Consider what they already know
Which of the following is the first effort potential buyers make when considering a purchase? Look at customer reviews Go to the store to ask a salesperson questions Ask a friend's opinion Consider what they already know
Consider what they already know
Which of the following statements regarding corporate bonds is true? Corporate bonds may be secured or unsecured. Corporate bonds are a form of equity financing. Corporate bonds are considered assets of the firms that issue them. Issuers of corporate bonds may make dividend payments to investors.
Corporate bonds may be secured or unsecured.
Q12 Which of the following is not one of the ways promotion should be used to communicate to the target market about a business's products, brands, company, or people? Persuades Reminds Deceives Informs
Deceives
________ research is the most common type of marketing research and involves counting numbers of respondents who have certain characteristics or behaviors. Descriptive Secondary Causal Exploratory
Descriptive
Which of the following does not describe a responsibility of an operations manager? Creating outputs that satisfy the needs of customers Determining the best price to charge for a product or service Managing the transformation of inputs into outputs Understanding how all of the parts of a business relate to each other
Determining the best price to charge for a product or service
Which of the following does not describe a responsibility of an operations manager? Determining the best price to charge for a product or service Managing the transformation of inputs into outputs Understanding how all of the parts of a business relate to each other Creating outputs that satisfy the needs of customers
Determining the best price to charge for a product or service
Which of the following does not describe a responsibility of an operations manager? Determining the best price to charge for a product or service Understanding how all of the parts of a business relate to each other Managing the transformation of inputs into outputs Creating outputs that satisfy the needs of customers
Determining the best price to charge for a product or service
Andy Martinez is the CFO of Horizon Construction Company, He is weighing the advantages and disadvantages of raising funds via debt or equity. Which of the following is a true statement? Additional debt can dilute existing investors' ownership in the company. Retained earnings cannot be considered a source of additional funds. Debt will not need to be paid back, but equity investments will. Dividend payments associated with equity financing are not tax deductible.
Dividend payments associated with equity financing are not tax deductible.
Andy Martinez is the CFO of Horizon Construction Company, He is weighing the advantages and disadvantages of raising funds via debt or equity. Which of the following is a true statement? Debt will not need to be paid back, but equity investments will. Additional debt can dilute existing investors' ownership in the company. Dividend payments associated with equity financing are not tax deductible. Retained earnings cannot be considered a source of additional funds.
Dividend payments associated with equity financing are not tax deductible.
Which of the following is not a broad category of financial ratios? Economic ratio Profitability ratio Leverage ratio Liquidity ratio
Economic ratio
Which of the following is not a broad category of financial ratios? Leverage ratio Economic ratio Profitability ratio Liquidity ratio
Economic ratio
Which of the following is not a challenge that operations managers in manufacturing companies face? Distributing finished products to distributors and retailers Producing products that customers want Acquiring raw materials from suppliers Ensuring that employees have the social skills to interact with customers
Ensuring that employees have the social skills to interact with customers
Which of the following is not a challenge that operations managers in manufacturing companies face? Ensuring that employees have the social skills to interact with customers Producing products that customers want Acquiring raw materials from suppliers Distributing finished products to distributors and retailers
Ensuring that employees have the social skills to interact with customers
"Postponement" is a technique that is similar to backordering an item that is not available. True False
False
A new task buy is the least complex buying situation for a business. True False
False
A product with an elastic demand has customers who are not sensitive to price fluctuations. True False
False
A straight rebuy occurs when a business has previously purchased a product, but must revisit the product specifications due to a change in circumstances. True False
False
An advantage of debt financing is that the firm can deduct both principal and interest payments when calculating taxable income. True False
False
Because the user will be the one in a business using the product once it is purchased, he/she will have the most input into the purchasing decision. True False
False
Ceteris paribus, individuals expect that less risky investment opportunities are associated with higher rates of return. True False
False
Customer demand is easy for a company to forecast accurately. True False
False
Financial accountants are responsible for reporting potential future financial transactions. True False
False
Lower labor costs were the only reason US semiconductor producers moved low-value assembly operations to Asia. True False
False
Net income is found on the balance sheet. True False
False
The final step of the market research process is communicating the results and making a decision. True False
False
The marketing mix describes the overall group of products that a business offers, and consists of a combination of product items, product categories, and product lines. True False
False
The process layout is most appropriate for make-to-stock production. True False
False
The term B2C refers to a business-to-company transaction. True False
False
Which of the following statements best describes the shareholder wealth maximization approach to financial management decisions? Financial managers should always make decisions that favor riskier projects because they offer the possibility of higher returns. Financial managers should always make decisions that focus on maximizing the short-term profitability of the firm. Financial managers should always make decisions that focus on minimizing production costs. Financial managers should always make decisions that are in the best interests of the shareholders and/or owners of the firm.
Financial managers should always make decisions that are in the best interests of the shareholders and/or owners of the firm.
According to the text, which of the following is most likely to be a reason that a domestic firm would decide not to locate a facility in another country? Higher facilities costs Lack of raw materials Increased labor costs Increased transportation costs
Increased transportation costs
According to the text, which of the following is most likely to be a reason that a domestic firm would decide not to locate a facility in another country? Increased labor costs Higher facilities costs Increased transportation costs Lack of raw materials
Increased transportation costs
A buying center is a(n) ________ group of individuals that, together, make a business buying decision. outside complex informal formal
Informal
________ means that a service is both produced and consumed at the same time. Heterogeneity Inseparability Intangibility Perishability
Inseparability
________ means that a service is both produced and consumed at the same time. Heterogeneity Intangibility Inseparability Perishability
Inseparability
________ is a planning process designed to assure that all brand contacts received by a customer are relevant to that person and consistent over time. The new product development process The product mix Integrated marketing communications The promotional mix
Integrated marketing communications
________ is a planning process designed to assure that all brand contacts received by a customer are relevant to that person and consistent over time. The product mix The promotional mix Integrated marketing communications The new product development process
Integrated marketing communications
Which one of the following is not one of the factors that most companies study when setting a price? Cost structure Interest rates Competition Demand
Interest rates
Which one of the following is not one of the factors that most companies study when setting a price? Demand Cost structure Competition Interest rates
Interest rates
Which of the following is considered to be a current asset? Inventory Common stock outstanding Short-term liabilities Property, plants, and equipment
Inventory
Which of the following is considered to be a current asset? Short-term liabilities Inventory Property, plants, and equipment Common stock outstanding
Inventory
________ is the management of items held for future use. Operations management Inventory management Quality management Acceptance sampling
Inventory management
What did the Sarbanes-Oxley Act of 2002 do? It created the Financial Accounting Standards Board and required that all companies in the United States prepare their financial statements in accordance with those standards. It defined the steps of the accounting cycle. It ensured the independence of the audit process by placing restrictions on the relationship between auditors and a firm. It created a timeline for companies in the United States to conform with International Financial Reporting Standards.
It ensured the independence of the audit process by placing restrictions on the relationship between auditors and a firm.
What did the Sarbanes-Oxley Act of 2002 do? It ensured the independence of the audit process by placing restrictions on the relationship between auditors and a firm. It defined the steps of the accounting cycle. It created the Financial Accounting Standards Board and required that all companies in the United States prepare their financial statements in accordance with those standards. It created a timeline for companies in the United States to conform with International Financial Reporting Standards.
It ensured the independence of the audit process by placing restrictions on the relationship between auditors and a firm.
Which of the following statements best describes what operations management does? It develops a strategy for acquiring and allocating monetary resources in a company. It chooses the corporate strategy that enables a company to achieve its mission. It is responsible for attracting customers. It manages the transformation of inputs into outputs that customers demand.
It manages the transformation of inputs into outputs that customers demand.
In which quadrant of the positioning map in Figure 11-1 of the text would a standard minivan such as the Hyundai Entourage best fit? Upper right (high priced and sporty) Upper left (economical and sporty) Lower right (high priced and family) Lower left (economical and family)
Lower left (economical and family)
Which of the following statements best describes how a product layout is designed? All products don't require the same processing steps, so the layout needs to accommodate different routes thorough the facility. It is necessary to design as much flexibility as possible into the system so that the layout can produce a variety of products. Machinery is often arranged in a line, because every product requires the same type of processing. Product layouts are designed for make-to-stock production
Machinery is often arranged in a line, because every product requires the same type of processing.
Which of the following statements best describes how a product layout is designed? It is necessary to design as much flexibility as possible into the system so that the layout can produce a variety of products. All products don't require the same processing steps, so the layout needs to accommodate different routes thorough the facility. Machinery is often arranged in a line, because every product requires the same type of processing. Product layouts are designed for make-to-stock production. References
Machinery is often arranged in a line, because every product requires the same type of processing.
Suppose that a restaurant had ten waitpersons working last night and--at the end of the night--realized that six would have been enough to cover the demand from that evening. What can the restaurant do with that excess capacity? Last night's excess capacity can be used to offset a capacity shortage that might occur tonight Nothing. Excess service capacity is lost forever It can store the excess capacity until it is needed Part of last night's excess capacity can be used in the future, but the rest is no longer available
Nothing. Excess service capacity is lost forever
Which of the following would not be a strategy for improving short-term cash flow in a firm? Finding ways to save money on the materials your firm uses to produce its product Paying expenses as soon as invoices arrive in the mail Delaying the payment of the firm's bills as long as possible Encouraging customers to pay on time or early
Paying expenses as soon as invoices arrive in the mail
Which of the following would not be a strategy for improving short-term cash flow in a firm? Paying expenses as soon as invoices arrive in the mail Finding ways to save money on the materials your firm uses to produce its product Encouraging customers to pay on time or early Delaying the payment of the firm's bills as long as possible
Paying expenses as soon as invoices arrive in the mail
Which of the following location decision factors is more of a consideration for service businesses than it is for manufacturers? Availability of raw materials Availability of skilled labor Cost of facilities Presence of the customer
Presence of the customer
Which of the following location decision factors is more of a consideration for service businesses than it is for manufacturers? Availability of skilled labor Presence of the customer Availability of raw materials Cost of facilities
Presence of the customer
________ is the relationship between a percentage change in the market price of a product and a consequential percentage change in the quantity demanded for the product. Marketplace pricing Price elasticity of demand Inelastic demand Pricing strategy
Price elasticity of demand
Which of the following is not a function of a product's packaging? Product differentiation Product promotion Product protection during shipping, storage, handling and use Product design
Product design
Which of the following is not a function of a product's packaging? Product protection during shipping, storage, handling and use Product promotion Product differentiation Product design
Product design
Which one of the following lists comprises the Marketing Mix? Position, profit, place, plan Advertising, PR, sales promotion, sponsorship Name, logo, symbol, brand Product, promotion, price, place
Product, promotion, price, place
Which one of the following lists comprises the Marketing Mix? Position, profit, place, plan Product, promotion, price, place Name, logo, symbol, brand Advertising, PR, sales promotion, sponsorship
Product, promotion, price, place
What is the primary difference between public and private accountants? Private accountants work externally for a fee; public accountants work within a company. Public accountants can conduct audits; private accountants cannot. Public accountants work externally for a fee; private accountants work within a company. Private accountants can conduct audits; public accountants cannot.
Public accountants work externally for a fee; private accountants work within a company.
________ is the characteristics of a product or service that bear on its ability to satisfy stated or implied needs. Positioning Operations management Clustering Quality
Quality
________ variability in a process can be monitored using control charts. Negative Positive Neutral Random
Random
________ add value to products by providing transportation, storage, financing, and a variety of other value-added activities. Producers Buyers Resellers Influencers
Resellers
________ are the total money received by a company during a given time period due to business activities. Revenues Assets Retained earnings Expenses
Revenues
The ________ is the government agency that creates, updates, and enforces the rules of accounting for publicly traded companies. IASB NYSE GAO SEC
SEC
The ________ is the government agency that creates, updates, and enforces the rules of accounting for publicly traded companies. IASB SEC GAO NYSE
SEC
The idea of the ________ pricing objective is that a business can be profitable by selling more items at lower prices. status quo sales maximization cannibalization profit maximization
Sales maximization
Which of the following answers shows steps of the new product development process in the correct order? Screening, concept testing, business analysis Idea generation, test marketing, screening Business analysis, concept testing, screening Test marketing, product development, idea generation
Screening, concept testing, business analysis
________ research is information that has already been gathered, perhaps by someone else, for a different purpose. Exploratory Causal Secondary Descriptive
Secondary
What does STP stand for? Segmentation, targeting, and positioning Sales, turnover, and profit Sales tag price Sync timing of promotions
Segmentation, targeting, and positioning
________ forecasts are based on expectations of net cash flows within the next 12 months. Medium-term cash flow Long-term cash flow Short-term cash flow Annual cash flow
Short-term cash flow
______ is a quality improvement technique that uses control charts to monitor the variability in processes over a period of time. Acceptance sampling Statistical process control Yield management Total quality management
Statistical process control
Which of the following is an example of postponement? A dressmaker makes a dress for a specific customer after taking her measurements and after she selected the material she wanted. The can of "ocean blue" paint you purchased was mixed at the last minute using a can of base with added pigments. The pasta dish you ordered at a restaurant was prepared from scratch after your placed your order. You delay your purchase of a Lamborghini Huracán until after you win the lottery.
The can of "ocean blue" paint you purchased was mixed at the last minute using a can of base with added pigments.
A company sold stock in return for cash. Which of the following statements most correctly states the transaction's impact on the company's balance sheet? The company's cash increased, and the company's owner's equity increased. The company's cash decreased, and the company's owner's equity increased. The company's cash decreased, and the company's owner's equity decreased. The company's cash increased, and the company's owner's equity decreased.
The company's cash increased, and the company's owner's equity increased.
Which of the following statements about inventory management is true? Companies do not worry if they are not able to satisfy customer demand, because the customers will return when the items are available. It is easy for companies to avoid inventory by producing exactly the quantities that customers demand. There are costs associated with having too much inventory, and there are costs associated with not having enough inventory. There are no problems associated with having too much inventory.
There are costs associated with having too much inventory, and there are costs associated with not having enough inventory.
Which of the following statements about inventory management is true? There are costs associated with having too much inventory, and there are costs associated with not having enough inventory. There are no problems associated with having too much inventory. It is easy for companies to avoid inventory by producing exactly the quantities that customers demand. Companies do not worry if they are not able to satisfy customer demand, because the customers will return when the items are available. References
There are costs associated with having too much inventory, and there are costs associated with not having enough inventory.
Which of the following is a characteristic of make-to-order items? They are not made until customers demand them. Customers do not have the opportunity to customize them. They are typically more affordable than items that have been produced in advance. They can be produced the same way repeatedly without modifications.
They are not made until customers demand them.
Which of the following is a characteristic of make-to-order items? They are not made until customers demand them. They can be produced the same way repeatedly without modifications. Customers do not have the opportunity to customize them. They are typically more affordable than items that have been produced in advance.
They are not made until customers demand them.
"Investors demand a premium in exchange for waiting to get their money later." This statement corresponds to which one of the key financial ideas? Diversification Time value of money Risk-return trade-off Valuation of assets
Time value of money
"Investors demand a premium in exchange for waiting to get their money later." This statement corresponds to which one of the key financial ideas? Risk-return trade-off Time value of money Diversification Valuation of assets
Time value of money
Why does Walmart locate each of its stores in the United States close to a distribution center? To minimize the cost of building and maintaining the stores and distribution centers To ensure that each store can be restocked frequently with items customers demand To increase the economic impact that Walmart has on communities To increase its real estate holdings
To ensure that each store can be restocked frequently with items customers demand
Both marketing and operations management play a role in ensuring that products and services available when and where customers want them. True False
True
Even if a product satisfies a customer's stated needs, it's still possible that the customer will be dissatisfied. True False
True
Firms are not required to pay back the funds contributed by equity investors. True False
True
In business buying, a product purchase usually involves a set of specifications that have been determined by a purchasing manager or a buying group. True False
True
Managerial accountants prepare budgets and provide forecasts. True False
True
One attractive aspect of venture capital financing is that the investors can also provide helpful guidance to a young and growing company. True False
True
Status quo pricing occurs in very competitive markets requiring a new product to be introduced at a price equal to other competitors in the marketplace. True False
True
The decider is frequently the highest-level management person involved in the business buying decision. True False
True
The evaluation of the financial reports by an unbiased auditor is known as an independent audit. True False
True
W. Edwards Deming was the American statistician who introduced control charts to Japanese business leaders after World War II. True False
True
When products are made to stock, they are generally more affordable to customers than they would have been otherwise. True False
True
Which of the following statements best describes how a process layout is designed? The layout is designed to produce products that require the same processing steps. Workstations group similar types of equipment together. The layout is specialized and does not allow for changes in the type of product being produced. Machinery required to produce products is typically arranged in a line.
Workstations group similar types of equipment together.
Q16 Which of the following is a technique that an airline could use to manage its service capacity? Statistical process control Yield management Postponement Acceptance sampling
Yield management
Which of the following is a technique that an airline could use to manage its service capacity? Yield management Postponement Statistical process control Acceptance sampling
Yield management
The most strategic view considers that a brand is a promise or a business's commitment to its target market. the way a product is designed. the name of a product. a symbol or other feature that distinguishes one seller's product from another.
a promise or a business's commitment to its target market.
The most strategic view considers that a brand is the way a product is designed. a symbol or other feature that distinguishes one seller's product from another. the name of a product. a promise or a business's commitment to its target market.
a promise or a business's commitment to its target market.
When Procter & Gamble introduces a new, improved Febreze fragrance, it offers retailers such as Target and Walmart an advertising allowance to encourage them to include the new Febreze product in their weekly advertising inserts. This is an example of ________. a pull promotional strategy a push promotional strategy personal selling one-to-one marketing
a push promotional strategy
The END result of market segmentation should be selection of ________. the total market multiple segments segments that need to be improved a target market
a target market
The process of evaluating financial statements to ensure they are accurate, timely, and reliable is known as ________. ratio analysis cost accounting the accounting cycle auditing
auditing
The process of evaluating financial statements to ensure they are accurate, timely, and reliable is known as ________. the accounting cycle auditing cost accounting ratio analysis
auditing
make an arresting first impression avoid angles use U-shapes guide customers to the right
avoid angles
The product mix for Proctor & Gamble can be described as ________ contains more than 20 different product lines. narrow long broad deep
broad
Haley Martin was preparing a budget related to expected purchases of long-term assets like manufacturing equipment and warehouse facilities for her employer. She was most likely working on a ________ budget. operating revenue capital cash flow
capital
Haley Martin was preparing a budget related to expected purchases of long-term assets like manufacturing equipment and warehouse facilities for her employer. She was most likely working on a ________ budget. revenue cash flow operating capital
capital
Sources of equity financing include all of the following except venture capital. issuing new shares of stock. commercial paper. retained earnings.
commercial paper.
In a ________ targeting strategy, a company selects a single segment of the market on which it focuses all of its marketing efforts. concentrated multi-segment differentiated undifferentiated
concentrated
In a ________ targeting strategy, a company selects a single segment of the market on which it focuses all of its marketing efforts. multi-segment differentiated concentrated undifferentiated
concentrated
Which of the following is not a category of business buyers? consumers producers resellers institutions
consumers
A ________ product is a relatively inexpensive product that a consumer purchases on a regular, routine basis without much thought or effort. business convenience specialty shopping
convenience
Which of the following is a liquidity ratio? debt to owner's equity return on assets current ratio earnings per share
current ratio
The Gap Corporation owns Old Navy, The Gap, and Banana Republic. When The Gap Corporation chooses to target these three well-defined markets and develops a unique marketing mix to appeal differentially to each, it is using a(n) ________ targeting strategy. concentrated niche differentiated undifferentiated
differentiated
The Gap Corporation owns Old Navy, The Gap, and Banana Republic. When The Gap Corporation chooses to target these three well-defined markets and develops a unique marketing mix to appeal differentially to each, it is using a(n) ________ targeting strategy. concentrated undifferentiated niche differentiated
differentiated
The Gap Corporation owns Old Navy, The Gap, and Banana Republic. When The Gap Corporation chooses to target these three well-defined markets and develops a unique marketing mix to appeal differentially to each, it is using a(n) ________ targeting strategy. niche differentiated concentrated undifferentiated
differentiated
When Toyota identifies different needs in the car market and develops distinct products and marketing mixes to appeal to multiple identified market segments, it is employing a ________ targeting strategy. concentrated niche undifferentiated differentiated
differentiated
When Toyota identifies different needs in the car market and develops distinct products and marketing mixes to appeal to multiple identified market segments, it is employing a ________ targeting strategy. niche undifferentiated differentiated concentrated
differentiated
Price ________ are often used as defensive tools by lazy marketers who don't understand product differentiation. objectives strategies discounts increases
discounts
Michael has decided to buy a television for his home before football season starts. He has researched the differences between plasma and HD on the Internet and has shopped at a few electronics stores to get the advice of salespeople. Michael has also asked his friends which type of TV they think is best. Michael's purchase process is an example of ________. extended problem solving limited problem solving a new task buy routine response behavior
extended problem solving
Michael has decided to buy a television for his home before football season starts. He has researched the differences between plasma and HD on the Internet and has shopped at a few electronics stores to get the advice of salespeople. Michael has also asked his friends which type of TV they think is best. Michael's purchase process is an example of ________. limited problem solving routine response behavior a new task buy extended problem solving
extended problem solving
Michael has decided to buy a television for his home before football season starts. He has researched the differences between plasma and HD on the Internet and has shopped at a few electronics stores to get the advice of salespeople. Michael has also asked his friends which type of TV they think is best. Michael's purchase process is an example of ________. limited problem solving routine response behavior extended problem solving a new task buy
extended problem solving
In the business buying decision, a(n) ________ controls access to the information and/or the decision-maker. decider influencer purchaser gatekeeper
gatekeeper
Q35 In the business buying decision, a(n) ________ controls access to the information and/or the decision-maker. decider gatekeeper purchaser influencer
gatekeeper
A ________ is an unbranded product. store product generic product manufacturer's brand private-label brand
generic product
A ________ is an unbranded product. store product manufacturer's brand generic product private-label brand
generic product
An indication that an industry is moving from ________ in the product life cycle is the point at which industry profit peaks and begins to decline. growth to maturity introduction to growth maturity to decline growth to decline
growth to maturity
An indication that an industry is moving from ________ in the product life cycle is the point at which industry profit peaks and begins to decline. introduction to growth maturity to decline growth to decline growth to maturity
growth to maturity
Which of the following is not an element of total quality management? inspecting finished products to ensure that they are free of defects developing lasting relationships with suppliers designing processes that can produce the products that customers want providing a culture that values the contributions of employees
inspecting finished products to ensure that they are free of defects
Coca Cola uses a(n) ________ distribution strategy for its soft drinks. intensive promotional exclusive selective
intensive
The value of an asset in an organization is determined by its ability to generate positive profits over time. its ability to generate a positive cash flow over time. governmental regulations regarding financial reporting standards. the price paid to acquire that asset in a prior period.
its ability to generate a positive cash flow over time.
If the debt to owner's equity exceeds 1, then the company relies more on ________ to finance its purchases. stock purchases liabilities assets owner's equity
liabilities
A ________ channel is made up of all the businesses necessary to move a product from the producer to the end user. pricing service marketing product
marketing
A ________ channel is made up of all the businesses necessary to move a product from the producer to the end user. service pricing product marketing
marketing
A ________ channel is made up of all the businesses necessary to move a product from the producer to the end user. service product marketing pricing
marketing
The ________ process makes it possible for an organization to use existing information or to collect new information using techniques such as interviews, surveys, and examining data collected from customer databases to predict what customers' preferences are. marketing research market segmentation positioning target marketing
marketing research
A ________ creates a unifying financial plan over a given time horizon. short-term cash flow forecast long-term cash flow forecast capital budget master budget
master budget
Accounts receivables are best described as ________. money expected to be received in the near term financial obligations that need to be paid in the short term new customers who were gained by the company during the year long-term debts owed by a company
money expected to be received in the near term
The CFO of Barrett's Exotic Bird Farm is preparing a budget that is directly related to her firm's short-term sales forecast and the expenses associated with those sales. She is most likely preparing a ________ budget. cash flow capital revenue operating
operating
On the Statement of Cash Flows, the revenues received by a company are considered ________. financing activities operating activities investing activities expense activities
operating activities
Q03 The ________ function of a company is responsible for ensuring that products and services are available where customers want them. accounting leadership finance operations
operations
A ________ shows how customers view brands on particular characteristics relative to each other. positioning diagram targeting board perceptual map segmentation chart
perceptual map
The Marriott Hotel in downtown Chicago decreases its room rate on the weekends, because its busiest times are during the week when business travelers are in the city. This activity highlights the service characteristic of ________. inseparability perishability heterogeneity intangibility
perishability
The Marriott Hotel in downtown Chicago decreases its room rate on the weekends, because its busiest times are during the week when business travelers are in the city. This activity highlights the service characteristic of ________. inseparability perishability intangibility heterogeneity
perishability
Cognitive dissonance occurs during the ________ stage of the consumer decision process. information search evaluation of alternatives problem recognition post-purchase evaluation
post-purchase evaluation
Cognitive dissonance occurs during the ________ stage of the consumer decision process. information search problem recognition post-purchase evaluation evaluation of alternatives
post-purchase evaluation
Cognitive dissonance occurs during the ________ stage of the consumer decision process. post-purchase evaluation information search problem recognition evaluation of alternatives
post-purchase evaluation
In comparison to GAAP, IFRS tends to be more ________. governed and regulated principles-based strict rules-based
principles-based
In manufacturing companies, the focus of the transformation function is on interacting with customers. making customers comfortable during the manufacturing process. producing what customers want. designing a manufacturing facility that is pleasing to customer
producing what customers want.
When operations management focused primarily on managing manufacturing processes, it was known as ________ management. transformation factory production manufacturing
production
When a high end sports car maker like Ferrari or Maserati sets its selling price, it probably has this pricing objective in mind: status quo sales maximization exclusive distribution profit maximization
profit maximization
If lenders require borrowers to pledge assets as collateral as part of a loan agreement, they are offering a ________ loan. unsecured guaranteed secured amortized
secured
Producers, wholesalers, and retailers sometimes join ________ alliances to make distribution channels more efficient. social media supply chain promotional strategic
social media
When financial managers use the term "diversification of risk," they are referring to the idea that: spreading funds across a broad base of investment opportunities can earn higher returns. diversification in an investment portfolio will lead to lower long run returns. the best way to allocate funds is to focus on one type of investment so as not to diversify your risk. allocating funds across a diverse base of investment opportunities will increase overall risk.
spreading funds across a broad base of investment opportunities can earn higher returns.
A ________ is an identified market segment on which a company will focus its marketing efforts. segmented market partial market target market focus group
target market
One of the major factors that differentiates service and manufacturing layouts is that ________ is part of the service process but not manufacturing processes. the customer inventory technology the employee
the customer
If Carl's Cardboard Container, Inc. (CCC) offers trade credit to their customers with the terms "5/10 net 60," that means that: the customer must pay within 60 days, but CCC will give a 10% discount if customer pays within 5 days. the customer must pay within 60 days, but CCC will give a 5% discount if customer pays within 10 days. the customer must pay 10% of the bill within 5 days, with the balance due in 60 days. the customer must pay 5% of the bill within 10 days, with the balance due in 60 days.
the customer must pay within 60 days, but CCC will give a 5% discount if customer pays within 10 days.
The ________ market is composed of customers and potential customers for a product. segmented target total complete
total
Which one of the following targeting strategies is the least likely to be effective in today's competitive environment? concentrated differentiated undifferentiated niche
undifferentiated
Which of the following is a form of equity financing? factoring using retained earnings issuing bonds using trade credit
using retained earnings
