Question 1

The financial management framework focuses on which three areas of decision-making?

Accepted Answer

A) Operating,investing,and profitability. 
B) Profitability,financing,and investing. 
C) Investing,financing,and operating. 
D) Operating,financing,and profitability. 
A) Operating,investing,and profitability. 
B) Profitability,financing,and investing. 
C) Investing,financing,and operating. 
D) Operating,financing,and profitability.

Question 2

The two major components for sizing up a business are:

Accepted Answer

A) risk analysis and cash flow analysis. 
B) cash flow analysis and risk management. 
C) analyzing external environment and factors within the enterprise. 
D) growth projections and risk analysis. 
A) risk analysis and cash flow analysis. 
B) cash flow analysis and risk management. 
C) analyzing external environment and factors within the enterprise. 
D) growth projections and risk analysis.

Question 3

A comprehensive nonfinancial size-up is:

Accepted Answer

A) a critical component in analyzing the firm's strengths and weaknesses. 
B) critical in understanding the firm's historical position. 
C) critical in anticipating future financing needs. 
D) All of the above. 
A) a critical component in analyzing the firm's strengths and weaknesses. 
B) critical in understanding the firm's historical position. 
C) critical in anticipating future financing needs. 
D) All of the above.

Question 4

Marketing analysis involves all of the following EXCEPT:

Accepted Answer

A) distinguishing between who buys the product and who consumes it. 
B) determining the channel through which the product or service is purchased. 
C) assessing the firm's plant capacities. 
D) determining the unique features of the target market. 
A) distinguishing between who buys the product and who consumes it. 
B) determining the channel through which the product or service is purchased. 
C) assessing the firm's plant capacities. 
D) determining the unique features of the target market.

Question 5

Which of the following is NOT a question related to an industry analysis?

Accepted Answer

A) How close is the firm to full capacity? 
B) In what industry life cycle is the firm? 
C) How profitable is the industry? 
D) What are the overall prospects for revenue frowth and increased profitability in the industry? 
A) How close is the firm to full capacity? 
B) In what industry life cycle is the firm? 
C) How profitable is the industry? 
D) What are the overall prospects for revenue frowth and increased profitability in the industry?

Question 6

The firms' supply risk can best be analyzed by examining the components of the firm's operations management compared with the key industry success factors.

Accepted Answer

A) True 
 B)False

Question 7

A study of Porter's Five Forces for a retail consumer products firm such as Home Depot might include each of the following EXCEPT:

Accepted Answer

A) an analysis of existing competition with the industry. 
B) an analysis of the threat of substitutes. 
C) an analysis of customer bargaining power. 
D) Each of the above would be included in a study of Porter's Five Forces. 
A) an analysis of existing competition with the industry. 
B) an analysis of the threat of substitutes. 
C) an analysis of customer bargaining power. 
D) Each of the above would be included in a study of Porter's Five Forces.

Question 8

Other factors to consider in the management analysis include:

Accepted Answer

A) the size and current growth stage of the firm. 
B) the leadership skills of the management team. 
C) the commitment and loyalty of the management team. 
D) All of the above. 
A) the size and current growth stage of the firm. 
B) the leadership skills of the management team. 
C) the commitment and loyalty of the management team. 
D) All of the above.

Question 9

Demand risk refers to:

Accepted Answer

A) the probability that actual supply for the products or services will exceed anticipated supply. 
B) the probability that actual supply for the products or services will fall short of anticipated supply. 
C) the probability that actual demand for the products or services will exceed anticipated demand. 
D) the probability that actual demand for the products or services will fall short of anticipated demand. 
A) the probability that actual supply for the products or services will exceed anticipated supply. 
B) the probability that actual supply for the products or services will fall short of anticipated supply. 
C) the probability that actual demand for the products or services will exceed anticipated demand. 
D) the probability that actual demand for the products or services will fall short of anticipated demand.

Question 10

When a country imports more than it exports,it will:

Accepted Answer

A) be known as a net importing country and this portion of the GDP will have positive value. 
B) be known as a net importing country and this portion of its GDP will have a negative value. 
C) be known as a net exporting country and this portion of its GDP will have a positive value. 
D) be known as a net exporting country and this portion of its GDP will have a negative value. 
A) be known as a net importing country and this portion of the GDP will have positive value. 
B) be known as a net importing country and this portion of its GDP will have a negative value. 
C) be known as a net exporting country and this portion of its GDP will have a positive value. 
D) be known as a net exporting country and this portion of its GDP will have a negative value.

Question 11

The overall goal in sizing up each external and internal factor is to increase the value of the firm.

Accepted Answer

A) True 
 B)False

Question 12

Some of the factors to consider in the analysis of management are:

Accepted Answer

A) the experience,skills,and chronological age of the management team. 
B) the skills,technical knowledge,and reputations of the management team. 
C) the skills,actual track record,and experience of the management team. 
D) the capabilities and potential of the management team. 
A) the experience,skills,and chronological age of the management team. 
B) the skills,technical knowledge,and reputations of the management team. 
C) the skills,actual track record,and experience of the management team. 
D) the capabilities and potential of the management team.

Question 13

What are Michael Porter's Five Forces that govern the competition within an industry? How do these forces impact overall growth opportunities within an industry?

Accepted Answer

Porter Five Forces are: 1.The threat of

The financial management framework focuses on which three areas of decision-making?

The two major components for sizing up a business are:

A comprehensive nonfinancial size-up is:

Marketing analysis involves all of the following EXCEPT:

Which of the following is NOT a question related to an industry analysis?

The firms' supply risk can best be analyzed by examining the components of the firm's operations management compared with the key industry success factors.

A study of Porter's Five Forces for a retail consumer products firm such as Home Depot might include each of the following EXCEPT:

Other factors to consider in the management analysis include:

Demand risk refers to:

When a country imports more than it exports,it will:

The overall goal in sizing up each external and internal factor is to increase the value of the firm.

Some of the factors to consider in the analysis of management are:

What are Michael Porter's Five Forces that govern the competition within an industry? How do these forces impact overall growth opportunities within an industry?

Overview of Financial Management

Understanding Financial Statements

Measuring Financial Performance

Managing Day-To-Day Cash Flow

Projecting Financial Requirements and Managing Growth

Time Value of Money Basics and Applications

Making Investment Decisions

Overview of Capital Markets: Long-Term Financing Instruments

Assessing the Cost of Capital: What Return Investors Require

Understanding Financing and Payout Decisions

Designing an Optimal Capital Structure

Measuring and Creating Value

Comprehensive Case Study: Wal-Mart Stores,inc

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Exam 2: Sizing up a Business: a Non-Financial Perspective

The financial management framework focuses on which three areas of decision-making?

The two major components for sizing up a business are:

A comprehensive nonfinancial size-up is:

Marketing analysis involves all of the following EXCEPT:

Which of the following is NOT a question related to an industry analysis?

The firms' supply risk can best be analyzed by examining the components of the firm's operations management compared with the key industry success factors.

A study of Porter's Five Forces for a retail consumer products firm such as Home Depot might include each of the following EXCEPT:

Other factors to consider in the management analysis include:

Demand risk refers to:

When a country imports more than it exports,it will:

The overall goal in sizing up each external and internal factor is to increase the value of the firm.

Some of the factors to consider in the analysis of management are:

What are Michael Porter's Five Forces that govern the competition within an industry? How do these forces impact overall growth opportunities within an industry?

Overview of Financial Management

Understanding Financial Statements

Measuring Financial Performance

Managing Day-To-Day Cash Flow

Projecting Financial Requirements and Managing Growth

Time Value of Money Basics and Applications

Making Investment Decisions

Overview of Capital Markets: Long-Term Financing Instruments

Assessing the Cost of Capital: What Return Investors Require

Understanding Financing and Payout Decisions

Designing an Optimal Capital Structure

Measuring and Creating Value

Comprehensive Case Study: Wal-Mart Stores,inc

Filters