Exam 7: Understanding the Business

Which of the following summarizes a company's financial position at a specific point in time (e.g., a specific quarter or year)?

What is Starbucks' core competency?

Which of the following forecasts the sales, expenses, and net income for the company in some future time period?

Pro forma statements are idealized financial statements that show the company's average financial performance over the past 10 years.

What are the five stages of industry evolution according to the industry life cycle model?

Which of the following measures a company's ability to pay debts as they come due?

"Make the best product, cause no unnecessary harm, and use business to inspire and implement solutions to the environmental crisis." This statement by Yvon Chouinard, founder of Patagonia, can be best described as which of the following?

Employees often work with managers to develop which of the following that outlines the fundamental purposes of their organization?

The three most critical and obvious stakeholder groups are the owners of the business (or shareholders in the case of a corporation), the employees of the business (and their union if represented by one), and the customers.

What is a discipline that involves the management of people, process, and technology around the care of information?

Which topics about an organization should a meaningful mission statement address? 

One critical success factor for any business is how environmentally friendly the company is.

What is Starbucks' distinctive competence?

In a company in which an effective vision has been provided, which of the following is the most likely result?

A sustainable competitive advantage is a competitive advantage that a company can continue to exploit over time as it is not easily duplicated.

SWOT is the acronym for which of the following?

The main purpose of liquidity ratios is to determine whether a company will be able to repay its debts as they come due.

Which of the following projects the types and amounts of assets a company will require to carry out its future plans and forecasts the amount of additional funds that will be needed to acquire those assets?

Dayna is working for MNP Company. This is her first job out of college. She has been there for three years and despite doing outstanding work she has yet to get a promotion. There is a relatively new software company that is doing extremely well and is hiring. She has gathered information from databases and asked people in the industry about it. What should she specifically look at?

Companies have more goodwill with the overall general public when they are perceived to be which of the following?