Exam 9: Implementing Strategies: Marketing, financeaccounting, rd, and Mis Issues

If an initial stock issuance is at or under $1 million,what is the average total cost paid to lawyers,accountants and underwriters?

Describe the considerations for EPS/EBIT analysis.

In general,the Internet makes market segmentation easier.

After completing an EPS/EBIT analysis,what conclusions would you make if the debt line is above the stock line throughout the range of EBIT on the graph?

When additional debt is issued to finance implementation of strategy,both ownership and control of the enterprise are diluted.

Which of the following is/are not included in net worth?

Which variable would be considered part of the product element of the marketing mix?

Although cash budgets can be a useful financial tool,publicly held companies are not required to complete them.

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

Generally,market segmentation is followed by a market diversification strategy.

Which variable would be considered part of the place element of the marketing mix?

A projected financial analysis can be used to forecast the impact of various implementation decisions.

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

Which of these is the most common type of budgeting time frame?

Which element in the projected income statement cannot be forecasted using the percentage- of- sales method?

The cash account is used as a plug figure in pro forma balance sheets.

A conservative rule of thumb for estimating a business' worth is that it is 10 times the firm's most current annual profit.

A major effort in R&D may be very risky if technology is changing rapidly and the market is growing slowly.

Identify and describe three approaches for determining a business' worth.

All the methods for determining a business' worth can be grouped into three basic approaches: what a firm owns,what a firm earns,and what a firm spends.