Question 1

Potential buyers and investors are most interested in _____ value of your assets.

Accepted Answer

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

Question 2

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 a perpetual inventory system,_____ is one method that can be used to reduce the cost.

Accepted Answer

A) periodic inventory 
B) JIT 
C) microinventory 
D) bar coding 
A) periodic inventory 
B) JIT 
C) microinventory 
D) bar coding

Question 3

A system of recording the receipt and sale of each item as it occurs is called:

Accepted Answer

A) microinventory. 
B) periodic inventory. 
C) point-of-sale system. 
D) perpetual inventory. 
A) microinventory. 
B) periodic inventory. 
C) point-of-sale system. 
D) perpetual inventory.

Question 4

Which of these is NOT a recommended policy for managing accounts receivable?

Accepted Answer

A) Maintaining constant "aging" of customers to quickly identify the ones who may become delinquent. 
B) Using your bank as a lock box for the receipt of payments. 
C) Enforcing significant late fees and interest on past due accounts. 
D) Discontinuing credit sales to customers who become significantly late in paying. 
A) Maintaining constant "aging" of customers to quickly identify the ones who may become delinquent. 
B) Using your bank as a lock box for the receipt of payments. 
C) Enforcing significant late fees and interest on past due accounts. 
D) Discontinuing credit sales to customers who become significantly late in paying.

Question 5

_____ is an accounting term that describes the difference between the original acquisition cost of capital assets and the amount of depreciation expense that has been recognized for them.

Accepted Answer

A) Book value 
B) Disposal value 
C) Fair market value 
D) Replacement value 
A) Book value 
B) Disposal value 
C) Fair market value 
D) Replacement value

Question 6

JIT inventory system attempts to reduce inventory levels to the absolute minimum by all of the following EXCEPT:

Accepted Answer

A) accepting inventory only as it is sold. 
B) assembling product in the absolute minimum time possible. 
C) keeping safety stock in case sales might be greater than forecast. 
D) shipping product to the customer immediately upon completion. 
A) accepting inventory only as it is sold. 
B) assembling product in the absolute minimum time possible. 
C) keeping safety stock in case sales might be greater than forecast. 
D) shipping product to the customer immediately upon completion.

Question 7

All of these are primary inventories of manufacturing EXCEPT

Accepted Answer

A) raw material. 
B) work in process. 
C) finished goods. 
D) presold goods. 
A) raw material. 
B) work in process. 
C) finished goods. 
D) presold goods.

Question 8

What are the three types of feedback?

Accepted Answer

Operations control depends upon three ty

Question 9

In the POS systems,every sale is immediately recorded in the accounting system.

Accepted Answer

A) True 
 B)False

Question 10

EOQ is also known as the reorder point.

Accepted Answer

A) True 
 B)False

Question 11

Which of these is the largest current asset that most manufacturing,wholesale,and retail firms have?

Accepted Answer

A) Cash 
B) Property,plant,and equipment 
C) Accounts receivable 
D) Inventory 
A) Cash 
B) Property,plant,and equipment 
C) Accounts receivable 
D) Inventory

Question 12

Briefly explain the two most commonly used financial ratios for comparing investment alternatives including their advantages and disadvantages.

Accepted Answer

The two most commonly used financial rat

Question 13

The process of physically counting business assets on a set schedule is called:

Accepted Answer

A) microinventory. 
B) periodic inventory. 
C) point-of-sale system. 
D) perpetual inventory. 
A) microinventory. 
B) periodic inventory. 
C) point-of-sale system. 
D) perpetual inventory.

Question 14

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 were to use EOQ,it would help him in terms of:

Accepted Answer

A) borrowing cost and buying cost. 
B) lost sales cost and shelf-life cost. 
C) ordering cost and carrying cost. 
D) buying and selling. 
A) borrowing cost and buying cost. 
B) lost sales cost and shelf-life cost. 
C) ordering cost and carrying cost. 
D) buying and selling.

Question 15

When you factor receivables,you get about 50 percent of the amount due,where as,when you pledge receivables,you immediately get 75 to 80 percent of the amount due.

Accepted Answer

A) True 
 B)False

Question 16

The ultimate extension of pull-through processing is just-in-time inventory management.

Accepted Answer

A) True 
 B)False

Question 17

Discuss the four accounting methods to value capital assets.

Accepted Answer

The four accounting methods to value cap

Question 18

The main drawback of using periodic inventory systems is the high cost in time needed for constant record keeping.

Accepted Answer

A) True 
 B)False

Question 19

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.

-Harry should be made aware that all of these are negative effects of extending credit to his customers EXCEPT:

Accepted Answer

A) he may end up borrowing money to fill the gap. 
B) sometimes customers who use credit will not pay. 
C) it delays the receipt of cash. 
D) it increases the cost of selling. 
A) he may end up borrowing money to fill the gap. 
B) sometimes customers who use credit will not pay. 
C) it delays the receipt of cash. 
D) it increases the cost of selling.

Question 20

Pledging receivables will get you about _____ of the amount that can be collected,where as,factoring can get you _____ percent of the amount due.

Accepted Answer

A) one-fourth;90-95 
B) one-fifth;40-45 
C) one-half;75-80 
D) three-fourth;20-25 
A) one-fourth;90-95 
B) one-fifth;40-45 
C) one-half;75-80 
D) three-fourth;20-25

Potential buyers and investors are most interested in _____ value of your assets.

A system of recording the receipt and sale of each item as it occurs is called:

Which of these is NOT a recommended policy for managing accounts receivable?

_____ is an accounting term that describes the difference between the original acquisition cost of capital assets and the amount of depreciation expense that has been recognized for them.

JIT inventory system attempts to reduce inventory levels to the absolute minimum by all of the following EXCEPT:

All of these are primary inventories of manufacturing EXCEPT

What are the three types of feedback?

In the POS systems,every sale is immediately recorded in the accounting system.

EOQ is also known as the reorder point.

Which of these is the largest current asset that most manufacturing,wholesale,and retail firms have?

Briefly explain the two most commonly used financial ratios for comparing investment alternatives including their advantages and disadvantages.

The process of physically counting business assets on a set schedule is called:

When you factor receivables,you get about 50 percent of the amount due,where as,when you pledge receivables,you immediately get 75 to 80 percent of the amount due.

The ultimate extension of pull-through processing is just-in-time inventory management.

Discuss the four accounting methods to value capital assets.

The main drawback of using periodic inventory systems is the high cost in time needed for constant record keeping.

Pledging receivables will get you about _ of the amount that can be collected,where as,factoring can get you _ percent of the amount due.

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

Exam 16: Assets: Inventory and Operations Management

Potential buyers and investors are most interested in _____ value of your assets.

A system of recording the receipt and sale of each item as it occurs is called:

Which of these is NOT a recommended policy for managing accounts receivable?

_____ is an accounting term that describes the difference between the original acquisition cost of capital assets and the amount of depreciation expense that has been recognized for them.

JIT inventory system attempts to reduce inventory levels to the absolute minimum by all of the following EXCEPT:

All of these are primary inventories of manufacturing EXCEPT

What are the three types of feedback?

In the POS systems,every sale is immediately recorded in the accounting system.

EOQ is also known as the reorder point.

Which of these is the largest current asset that most manufacturing,wholesale,and retail firms have?

Briefly explain the two most commonly used financial ratios for comparing investment alternatives including their advantages and disadvantages.

The process of physically counting business assets on a set schedule is called:

When you factor receivables,you get about 50 percent of the amount due,where as,when you pledge receivables,you immediately get 75 to 80 percent of the amount due.

The ultimate extension of pull-through processing is just-in-time inventory management.

Discuss the four accounting methods to value capital assets.

The main drawback of using periodic inventory systems is the high cost in time needed for constant record keeping.

Pledging receivables will get you about _____ of the amount that can be collected,where as,factoring can get you _____ percent of the amount due.

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

Pledging receivables will get you about _ of the amount that can be collected,where as,factoring can get you _ percent of the amount due.