Question 1

Identify and describe the four corporate valuation methods (approaches for determining a business' monetary value).

Accepted Answer

1) Net Worth Method: Total Shareholders' Equity (SE) minus (Goodwill + Intangibles) After calculating total Shareholders' Equity (or Owners Equity, if applicable), subtract any amounts for goodwill and intangibles that appear as assets on the firm's balance sheet; 2) Net Income Method: Net Income times Five. A conservative rule of thumb is to establish a business's worth as five times the firm's current annual profit. A 5-year average profit level could also be used; 3) Price-Earnings Ratio Method: Stock Price divided by EPS) times NI. To use this method, divide the market price of the firm's common stock by the annual earnings per share (EPS) and multiply this number by the firm's average net income for the past five years; 4) Outstanding Shares Method: Number of Shares Outstanding times Stock Price To use this method, simply multiply the number of shares outstanding by the market price per share. The value obtained by the Outstanding Shares Method may also be called the market value or market capitalization.

Question 2

Which of the following is NOT an accepted approach for determining a business's worth?

Accepted Answer

A)  The Net Worth Method 
B)  The Net Income Method 
C)  The Return on Investment Method 
D)  The Price-Earnings Ratio Method 
E)  The Outstanding Shares Method 
A)  The Net Worth Method 
B)  The Net Income Method 
C)  The Return on Investment Method 
D)  The Price-Earnings Ratio Method 
E)  The Outstanding Shares Method C

Question 3

To be a price leader or a price follower is a decision that may require finance/accounting policies.

Accepted Answer

A) True 
 B)False  False

Question 4

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

Accepted Answer

A)  Advertising 
B)  Packaging 
C)  Payment terms 
D)  Inventory levels and location 
E)  Publicity 
A)  Advertising 
B)  Packaging 
C)  Payment terms 
D)  Inventory levels and location 
E)  Publicity

Question 5

Too much debt in the capital structure of an organization can endanger stockholders' returns and jeopardize company survival, particularly in periods of high earnings.

Accepted Answer

A) True 
 B)False

Question 6

What entails developing schematic representations that reflect how your products or services compare to competitors' on dimensions most important to success in the industry?

Accepted Answer

A)  Perceptual mapping 
B)  Market segmentation 
C)  Market penetration 
D)  Unrelated diversification 
E)  Capital budgeting 
A)  Perceptual mapping 
B)  Market segmentation 
C)  Market penetration 
D)  Unrelated diversification 
E)  Capital budgeting

Question 7

Which method of determining a firm's net worth divides the market price of the firm's stock by the annual earnings per share, and multiplies this number by the firm's average net income for the past five years?

Accepted Answer

A)  Debt/Equity Method 
B)  Current Ratio Method 
C)  Price-Earnings Ratio Method 
D)  Long-term Asset Method 
E)  Outstanding Shares Method 
A)  Debt/Equity Method 
B)  Current Ratio Method 
C)  Price-Earnings Ratio Method 
D)  Long-term Asset Method 
E)  Outstanding Shares Method

Question 8

The most common bases for segmenting markets are geographic and product.

Accepted Answer

A) True 
 B)False

Question 9

The online community of customers is more expensive to reach than traditional focus groups and surveys.

Accepted Answer

A) True 
 B)False

Question 10

Four common corporate Valuation methods are the Net Worth Method, the Net Income Method, the Gross Income Method, and the Outstanding Shares Method.

Accepted Answer

A) True 
 B)False

Question 11

Projected financial analysis is an important strategy-implementation technique because

Accepted Answer

A)  it is an exact measurement of financial costs in the future. 
B)  it is an exact measurement of future company profits. 
C)  it allows an organization to examine the expected results of strategies being implemented. 
D)  insurance needs can be computed. 
E)  none of the above 
A)  it is an exact measurement of financial costs in the future. 
B)  it is an exact measurement of future company profits. 
C)  it allows an organization to examine the expected results of strategies being implemented. 
D)  insurance needs can be computed. 
E)  none of the above

Question 12

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

Accepted Answer

A) True 
 B)False

Question 13

Which of these is NOT a rule for using product positioning as a strategy-implementation tool?

Accepted Answer

A)  Look for the hole or vacant niche, a segment of the market currently not being served. 
B)  Do not serve two segments with the same strategy. 
C)  Position yourself in the middle of the map, if you are one of only two competitors. 
D)  Position yourself in the middle of the map, if there are more than two competitors. 
E)  All of these are rules for using product positioning as a strategy-implementation tool. 
A)  Look for the hole or vacant niche, a segment of the market currently not being served. 
B)  Do not serve two segments with the same strategy. 
C)  Position yourself in the middle of the map, if you are one of only two competitors. 
D)  Position yourself in the middle of the map, if there are more than two competitors. 
E)  All of these are rules for using product positioning as a strategy-implementation tool.

Question 14

Increased costs are a disadvantage of a good information system.

Accepted Answer

A) True 
 B)False

Question 15

All of the following are true EXCEPT

Accepted Answer

A)  marketing has evolved to be more about building a two-way relationship with consumers. 
B)  in 2015 the number of LinkedIn users was closer to the number of Facebook users than to the number of Twitter users. 
C)  the online community of customers is much quicker, cheaper, and effective to reach than traditional focus groups and surveys. 
D)  successful strategy implementation requires a firm to know what people are saying about it and its products. 
E)  company websites should enable customers to interact with the firm on a variety of social media networks. 
A)  marketing has evolved to be more about building a two-way relationship with consumers. 
B)  in 2015 the number of LinkedIn users was closer to the number of Facebook users than to the number of Twitter users. 
C)  the online community of customers is much quicker, cheaper, and effective to reach than traditional focus groups and surveys. 
D)  successful strategy implementation requires a firm to know what people are saying about it and its products. 
E)  company websites should enable customers to interact with the firm on a variety of social media networks.

Question 16

An area on a perceptual map without ideal points indicates a

Accepted Answer

A)  market segment. 
B)  demand void. 
C)  vacant niche. 
D)  multidimensional scale. 
E)  product reposition. 
A)  market segment. 
B)  demand void. 
C)  vacant niche. 
D)  multidimensional scale. 
E)  product reposition.

Question 17

Decisions about an initial public offering are better described as being finance and accounting matters than as marketing matters.

Accepted Answer

A) True 
 B)False

Question 18

Four common corporate Valuation methods are the Net Worth Method, the Net Income Method, the Price-Earnings Ratio Method, and the Outstanding Shares Method.

Accepted Answer

A) True 
 B)False

Question 19

Discuss some ways in which management information systems can benefit a company.

Accepted Answer

Having an effective management informati

Question 20

The primary sources of capital are known as debt and EPS.

Accepted Answer

A) True 
 B)False

Identify and describe the four corporate valuation methods (approaches for determining a business' monetary value).

Which of the following is NOT an accepted approach for determining a business's worth?

To be a price leader or a price follower is a decision that may require finance/accounting policies.

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

Too much debt in the capital structure of an organization can endanger stockholders' returns and jeopardize company survival, particularly in periods of high earnings.

What entails developing schematic representations that reflect how your products or services compare to competitors' on dimensions most important to success in the industry?

Which method of determining a firm's net worth divides the market price of the firm's stock by the annual earnings per share, and multiplies this number by the firm's average net income for the past five years?

The most common bases for segmenting markets are geographic and product.

The online community of customers is more expensive to reach than traditional focus groups and surveys.

Four common corporate Valuation methods are the Net Worth Method, the Net Income Method, the Gross Income Method, and the Outstanding Shares Method.

Projected financial analysis is an important strategy-implementation technique because

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

Which of these is NOT a rule for using product positioning as a strategy-implementation tool?

Increased costs are a disadvantage of a good information system.

All of the following are true EXCEPT

An area on a perceptual map without ideal points indicates a

Decisions about an initial public offering are better described as being finance and accounting matters than as marketing matters.

Four common corporate Valuation methods are the Net Worth Method, the Net Income Method, the Price-Earnings Ratio Method, and the Outstanding Shares Method.

Discuss some ways in which management information systems can benefit a company.

The primary sources of capital are known as debt and EPS.

The Nature of Strategic Management

The Business Vision and Mission

The External Assessment

The Internal Assessment

Strategies in Action

Strategy Analysis and Choice

Implementing Strategies: Management, Operations, and Human Resource Issues

Strategy Review, Evaluation, and Control

Business Ethics, Social Responsibility, and Environmental Sustainability

Global and International Issues

Filters

Exam 8: Implementing Strategies: Marketing, Financeaccounting, Rd, and Mis Issues

Identify and describe the four corporate valuation methods (approaches for determining a business' monetary value).

Which of the following is NOT an accepted approach for determining a business's worth?

To be a price leader or a price follower is a decision that may require finance/accounting policies.

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

Too much debt in the capital structure of an organization can endanger stockholders' returns and jeopardize company survival, particularly in periods of high earnings.

What entails developing schematic representations that reflect how your products or services compare to competitors' on dimensions most important to success in the industry?

Which method of determining a firm's net worth divides the market price of the firm's stock by the annual earnings per share, and multiplies this number by the firm's average net income for the past five years?

The most common bases for segmenting markets are geographic and product.

The online community of customers is more expensive to reach than traditional focus groups and surveys.

Four common corporate Valuation methods are the Net Worth Method, the Net Income Method, the Gross Income Method, and the Outstanding Shares Method.

Projected financial analysis is an important strategy-implementation technique because

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

Which of these is NOT a rule for using product positioning as a strategy-implementation tool?

Increased costs are a disadvantage of a good information system.

All of the following are true EXCEPT

An area on a perceptual map without ideal points indicates a

Decisions about an initial public offering are better described as being finance and accounting matters than as marketing matters.

Four common corporate Valuation methods are the Net Worth Method, the Net Income Method, the Price-Earnings Ratio Method, and the Outstanding Shares Method.

Discuss some ways in which management information systems can benefit a company.

The primary sources of capital are known as debt and EPS.

The Nature of Strategic Management

The Business Vision and Mission

The External Assessment

The Internal Assessment

Strategies in Action

Strategy Analysis and Choice

Implementing Strategies: Management, Operations, and Human Resource Issues

Strategy Review, Evaluation, and Control

Business Ethics, Social Responsibility, and Environmental Sustainability

Global and International Issues

Filters