Exam 3

Which is NOT a characteristic of policies?

allow coordination across organizational units ????

Corrective action should do all of the following EXCEPT

avoid external opportunities.

The first step in performing projected financial analysis is to

calculate the projected net income.

Aspects of an existing culture that are antagonistic to a proposed strategy should be

changed.

Corrective actions are expected to

strengthen an organization's competitive position in its industry.

A benefit of using projected balance sheets and income statements is that

the impact of various implementation decisions can be forecasted.

The Fortune 50 includes all of the following EXCEPT

the largest hospitals.

All of the following statements regarding the recent trend in Japan of switching from seniority-based pay to performance-based approaches are true EXCEPT

the switch is boosting employee morale

What term is defined as "a systematic process of objectively obtaining and evaluating evidence regarding assertions about economic actions and events to ascertain the degree of correspondence between these assertions and established criteria, and communicating the results to interested users"?

Auditing

Which approach for managing and resolving conflict involves ignoring the problem in hopes that the conflict will resolve itself?

Avoidance

________ are quantitative criteria commonly used to evaluate strategies.

Financial ratios

What change strategy involves giving orders and enforcing those orders?

Force

A revised ________ should focus on changes in the organization's management, marketing, finance and accounting, production and operations, research and development (R&D), and management information systems (MIS) strengths and weaknesses.

IFE Matrix

Which one of the following statements regarding stock issuances is true?

They are not always better than debt for raising capital. ??

Which of the following is NOT given as an example of a decision that may require finance/accounting policies?

To be a price leader or a price follower

What tends to become a more attractive financing technique when interest rates are high?

Stock issuance

According to the information in the text, how many Fortune 500 have women CEOs?

Twenty-six

International financial reporting standards (IFRS) comprise approximately ________ pages.

5,000

Which of the following is a management issue central to strategy implementation?

All of the above

Which of these is a basic activity of strategy evaluation?

All of the above

Why do changes in company strategy often require changes in the way an organization is structured?

All of the above

What makes market segmentation an important variable in strategy implementation?

All of the above It allows a small firm to compete successfully with a large firm. Market segmentation decisions directly affect marketing mix variables. It allows a firm to operate with limited resources. New or improved market-segmentation approaches are required for the successful execution of market development & market penetration.

A revised ________ should indicate how effective a firm's strategies have been in response to key opportunities and threats.

EFE Matrix

In preparing projected statements, to project cost of goods sold in the income statement, which of these methods is recommended?

Percentage-of-Sales Method

In low-earning periods, too much ________ in the capital structure of an organization can endanger stockholders' return and jeopardize company survival.

debt

Just-in-time describes

delivering materials just as they are needed.

All of these are Richard Rumelt's criteria to evaluate a strategy EXCEPT

distinctiveness.

Changing a strategy to fit an existing culture

is usually less effective than changing a firm's culture to fit a new strategy

What portion of the firms going public in 2014 were unprofitable?

nearly three quarters

The amount by which retained earnings changes is obtained by subtracting

net income from EBIT. ?????