Question 1

Describe joint ventures.What is the latest trend in joint ownerships?

Accepted Answer

A joint venture is simply a formalized p

Question 2

What is the cost incurred in financing,insuring,taxing,or tracking an asset?

Accepted Answer

A) Cost of owning 
B) Whole of life costs 
C) Cost of operating 
D) Cost of disposition 
A) Cost of owning 
B) Whole of life costs 
C) Cost of operating 
D) Cost of disposition

Question 3

Accounts receivable are the largest current asset that most manufacturing,wholesale,and retail firms have.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following is a statistical technique that determines the quantity of inventory that a business must hold to minimize total inventory cost?

Accepted Answer

A) JIT 
B) EOQ 
C) Reorder point 
D) Microinventory 
A) JIT 
B) EOQ 
C) Reorder point 
D) Microinventory

Question 5

For periodic inventory,the time between counts is usually:

Accepted Answer

A) one quarter. 
B) six months. 
C) one business year. 
D) 30 days. 
A) one quarter. 
B) six months. 
C) one business year. 
D) 30 days.

Question 6

There are two basic types of leases: operating leases and capital leases.

Accepted Answer

A) True 
 B)False

Question 7

The practice of purchasing and accepting delivery of inventory only after it has been sold to the final customer is called a(n)_____ inventory system.

Accepted Answer

A) EOQ 
B) periodic 
C) JIT 
D) perpetual 
A) EOQ 
B) periodic 
C) JIT 
D) perpetual

Question 8

Laws,regulations,and the requirements of GAAP require that _____ value be used for financial reporting and income tax purposes.

Accepted Answer

A) book 
B) fair market 
C) replacement 
D) disposal 
A) book 
B) fair market 
C) replacement 
D) disposal

Question 9

_____ comprises both hardware and software to integrate inventory management directly into your accounting system.

Accepted Answer

A) Microinventory 
B) Point-of-sale system 
C) Periodic inventory 
D) Perpetual inventory 
A) Microinventory 
B) Point-of-sale system 
C) Periodic inventory 
D) Perpetual inventory

Question 10

Providing customer credit usually results in increased sales revenues and lowered transaction costs.

Accepted Answer

A) True 
 B)False

Question 11

_____ is one method used to reduce the cost of perpetual inventory system.

Accepted Answer

A) Bar coding 
B) Periodic inventory 
C) Microinventory 
D) JIT 
A) Bar coding 
B) Periodic inventory 
C) Microinventory 
D) JIT

Question 12

All of the following are the disadvantages to rental EXCEPT:

Accepted Answer

A) it requires that you make regular payments. 
B) the number of dollars paid in rent usually exceeds the number of dollars you would spend to own the asset. 
C) by renting capital equipment you incur ongoing costs if business conditions change. 
D) you do not have an ownership position. 
A) it requires that you make regular payments. 
B) the number of dollars paid in rent usually exceeds the number of dollars you would spend to own the asset. 
C) by renting capital equipment you incur ongoing costs if business conditions change. 
D) you do not have an ownership position.

Question 13

The total cost of keeping inventory is the sum of the cost of buying it,the cost of keeping it on hand,and the cost of ordering more.

Accepted Answer

A) True 
 B)False

Question 14

In practice,managers of small businesses tend to use which of these when it comes to inventory?

Accepted Answer

A) Heuristic 
B) EOQ 
C) Statistical analysis 
D) JIT analysis 
A) Heuristic 
B) EOQ 
C) Statistical analysis 
D) JIT analysis

Question 15

A-One Garage Doors
Having worked in the door installation industry for about six years, Harry has started his own company called "A-One Garage Doors". The company assembles, installs, provides services and repairs for both residential and industrial garage doors. Like any other business when it comes to residential accounts Harry's conditions are cash but for industrial accounts he thinks he should offer credit. Furthermore, he is contemplating what level of inventory he should keep to meet the demand.

-If Harry adopts the practice of purchasing and accepting delivery of inventory only after it has been sold to the final customer,it would be referred to as a(n)_____ inventory system.

Accepted Answer

A) point-of-sale 
B) JIT 
C) EOQ 
D) periodic 
A) point-of-sale 
B) JIT 
C) EOQ 
D) periodic

Question 16

The sum of all costs of capital assets including acquisition,ownership,operation,and disposal refers to:

Accepted Answer

A) cost of operation. 
B) cost of owning. 
C) whole of life cost. 
D) replacement cost. 
A) cost of operation. 
B) cost of owning. 
C) whole of life cost. 
D) replacement cost.

Question 17

A general term for real estate,but that can also be applied as a legal term for anything owned or possessed is called:

Accepted Answer

A) property. 
B) plant. 
C) equipment. 
D) inventory. 
A) property. 
B) plant. 
C) equipment. 
D) inventory.

Question 18

Identify the advantages and disadvantages of renting capital assets as opposed to buying.

Accepted Answer

Renting such assets provides several imp

Question 19

The primary disadvantage of the payback period is that:

Accepted Answer

A) it disregards the time value of money. 
B) it is highly complex. 
C) it does not allow the comparisons of alternatives. 
D) it incorporates all cash flows that occur after the payback period. 
A) it disregards the time value of money. 
B) it is highly complex. 
C) it does not allow the comparisons of alternatives. 
D) it incorporates all cash flows that occur after the payback period.

Question 20

Which of the following is not a benefit of leasing?

Accepted Answer

A) You can usually obtain a very low down payment. 
B) The process of negotiating and closing a lease is usually less complicated and expensive than making a purchase and obtaining borrowed funds. 
C) It is usually much easier for you to replace leased assets than it is to replace assets you own. 
D) Leased assets have less number of restrictions on how they may be used,maintained,and disposed of. 
A) You can usually obtain a very low down payment. 
B) The process of negotiating and closing a lease is usually less complicated and expensive than making a purchase and obtaining borrowed funds. 
C) It is usually much easier for you to replace leased assets than it is to replace assets you own. 
D) Leased assets have less number of restrictions on how they may be used,maintained,and disposed of.

Describe joint ventures.What is the latest trend in joint ownerships?

What is the cost incurred in financing,insuring,taxing,or tracking an asset?

Accounts receivable are the largest current asset that most manufacturing,wholesale,and retail firms have.

Which of the following is a statistical technique that determines the quantity of inventory that a business must hold to minimize total inventory cost?

For periodic inventory,the time between counts is usually:

There are two basic types of leases: operating leases and capital leases.

The practice of purchasing and accepting delivery of inventory only after it has been sold to the final customer is called a(n)_____ inventory system.

Laws,regulations,and the requirements of GAAP require that _____ value be used for financial reporting and income tax purposes.

_____ comprises both hardware and software to integrate inventory management directly into your accounting system.

Providing customer credit usually results in increased sales revenues and lowered transaction costs.

_____ is one method used to reduce the cost of perpetual inventory system.

All of the following are the disadvantages to rental EXCEPT:

The total cost of keeping inventory is the sum of the cost of buying it,the cost of keeping it on hand,and the cost of ordering more.

In practice,managers of small businesses tend to use which of these when it comes to inventory?

The sum of all costs of capital assets including acquisition,ownership,operation,and disposal refers to:

A general term for real estate,but that can also be applied as a legal term for anything owned or possessed is called:

Identify the advantages and disadvantages of renting capital assets as opposed to buying.

The primary disadvantage of the payback period is that:

Which of the following is not a benefit of leasing?

Small Business: Its Opportunities and Rewards

Small Business Environment: Managing External Relations

Small Business Entrepreneurs: Characteristics and Competencies

Small Business Ideas: Creativity, opportunity, and Feasibility

Small Business Entry: Paths to Part-Time Entrepreneurship

Small Business Entry: Paths to Full-Time Entrepreneurship

Small Business Strategies: Imitation With a Twist

Business Plans: Seeing Audiences and Your Business Clearly

Small Business Marketing: Product and Pricing Strategies

Small Business Promotion: Capturing the Eyes of Your Market

Small Business Distribution and Location

Marketing Plans: Saying How Youll Get Sales

Small Business Accounting: Projecting and Evaluating Performance

Cash: Lifeblood of the Business

Small Business Finance: Using Equity,debt,and Gifts

Small Business Protection: Risk Management and Insurance

Legal Issues: Recognizing Your Small Business Needs

Human Resource Management: Small Business Considerations

Achieving Success in the Small Business

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Exam 16: Assets: Inventory and Operations Management

Describe joint ventures.What is the latest trend in joint ownerships?

What is the cost incurred in financing,insuring,taxing,or tracking an asset?

Accounts receivable are the largest current asset that most manufacturing,wholesale,and retail firms have.

Which of the following is a statistical technique that determines the quantity of inventory that a business must hold to minimize total inventory cost?

For periodic inventory,the time between counts is usually:

There are two basic types of leases: operating leases and capital leases.

The practice of purchasing and accepting delivery of inventory only after it has been sold to the final customer is called a(n)_____ inventory system.

Laws,regulations,and the requirements of GAAP require that _____ value be used for financial reporting and income tax purposes.

_____ comprises both hardware and software to integrate inventory management directly into your accounting system.

Providing customer credit usually results in increased sales revenues and lowered transaction costs.

_____ is one method used to reduce the cost of perpetual inventory system.

All of the following are the disadvantages to rental EXCEPT:

The total cost of keeping inventory is the sum of the cost of buying it,the cost of keeping it on hand,and the cost of ordering more.

In practice,managers of small businesses tend to use which of these when it comes to inventory?

The sum of all costs of capital assets including acquisition,ownership,operation,and disposal refers to:

A general term for real estate,but that can also be applied as a legal term for anything owned or possessed is called:

Identify the advantages and disadvantages of renting capital assets as opposed to buying.

The primary disadvantage of the payback period is that:

Which of the following is not a benefit of leasing?

Small Business: Its Opportunities and Rewards

Small Business Environment: Managing External Relations

Small Business Entrepreneurs: Characteristics and Competencies

Small Business Ideas: Creativity, opportunity, and Feasibility

Small Business Entry: Paths to Part-Time Entrepreneurship

Small Business Entry: Paths to Full-Time Entrepreneurship

Small Business Strategies: Imitation With a Twist

Business Plans: Seeing Audiences and Your Business Clearly

Small Business Marketing: Product and Pricing Strategies

Small Business Promotion: Capturing the Eyes of Your Market

Small Business Distribution and Location

Marketing Plans: Saying How Youll Get Sales

Small Business Accounting: Projecting and Evaluating Performance

Cash: Lifeblood of the Business

Small Business Finance: Using Equity,debt,and Gifts

Small Business Protection: Risk Management and Insurance

Legal Issues: Recognizing Your Small Business Needs

Human Resource Management: Small Business Considerations

Achieving Success in the Small Business

Filters