Question 1

Calculate return on equity from the following information: Sales = $400,000
Expenses = $100,000
Debts incurred = $120,000
Owner's equity = $180,000.

Accepted Answer

A)  2:3 
B)  3:2 
C)  5:3 
D)  4:5 
E)  5:1 
A)  2:3 
B)  3:2 
C)  5:3 
D)  4:5 
E)  5:1

Question 2

Liquidity ratios use information about current assets and current liabilities.

Accepted Answer

A) True 
 B)False

Question 3

There are no laws that govern the behaviour of top executives.

Accepted Answer

A) True 
 B)False

Question 4

Dilma, a finance manager at FinTel Inc., needs to understand the current financial position of the company in terms of meeting its short-term financial obligations. Dilma must calculate the ___ to accomplish this task.

Accepted Answer

A)  debt ratio 
B)  asset turnover 
C)  return on assets 
D)  inventory turnover 
E)  acid test ratio 
A)  debt ratio 
B)  asset turnover 
C)  return on assets 
D)  inventory turnover 
E)  acid test ratio

Question 5

Under Sarbanes-Oxley, chief executives and chief financial officers must sign off on financial reports and certify their accuracy under penalty of jail and/or personal fines.

Accepted Answer

A) True 
 B)False

Question 6

The second step in the control process is to set the performance objectives and standards.

Accepted Answer

A) True 
 B)False

Question 7

Briefly explain the four-step control process.

Accepted Answer

The control process involves four steps.

Question 8

The beginning and end points, known as nodes, in a series of sub-activities on a CPM/PERT often have arrows between them to indicate what order tasks must be completed.

Accepted Answer

A) True 
 B)False

Question 9

Feedforward, concurrent, and feedback controls are relevant to different phases of the organization's input-throughput-output cycle.

Accepted Answer

A) True 
 B)False

Question 10

Internal control occurs when ___.

Accepted Answer

A)  motivated individuals and groups are supervised directly 
B)  computers are used to monitor performance inside the organization 
C)  motivated individuals and groups exercise self-discipline in fulfilling job requirements 
D)  managers take responsibility for the activities in their own departments 
E)  motivated managers defend the organization against outside competitive attacks 
A)  motivated individuals and groups are supervised directly 
B)  computers are used to monitor performance inside the organization 
C)  motivated individuals and groups exercise self-discipline in fulfilling job requirements 
D)  managers take responsibility for the activities in their own departments 
E)  motivated managers defend the organization against outside competitive attacks

Question 11

Feedforward control differs from feedback control, in that feedforward control

Accepted Answer

A)  corrects mistakes already made. 
B)  focuses on the quality of end results rather than inputs. 
C)  solves problems as they occur. 
D)  focuses on what happens during the work process. 
E)  takes place before a work activity begins. 
A)  corrects mistakes already made. 
B)  focuses on the quality of end results rather than inputs. 
C)  solves problems as they occur. 
D)  focuses on what happens during the work process. 
E)  takes place before a work activity begins.

Question 12

"Keeping up with the competition" is another way of expressing the dynamics of market controls in operation.

Accepted Answer

A) True 
 B)False

Question 13

In the control process, ___ must be accurate enough to identify significant difference between what is really taking place and what was originally planned.

Accepted Answer

A)  goals 
B)  exceptions 
C)  output standards 
D)  input standards 
E)  measurement 
A)  goals 
B)  exceptions 
C)  output standards 
D)  input standards 
E)  measurement

Question 14

What is project management? Explain the two techniques of project management.

Accepted Answer

Project management makes sure that activ

Question 15

What is a balanced scorecard?

Accepted Answer

A)  It shows profits or losses at a point in time, which is displayed in a Sales - Expenses = Net Income format. 
B)  It shows assets and liabilities at a point in time. 
C)  It tallies organizational performance in financial, customer service, internal process, and innovation and Learning areas. 
D)  It occurs when revenues are equal to costs. 
E)  It reduces costs and improves workflow by scheduling materials to arrive at a workstation or facility just in time for use. 
A)  It shows profits or losses at a point in time, which is displayed in a Sales - Expenses = Net Income format. 
B)  It shows assets and liabilities at a point in time. 
C)  It tallies organizational performance in financial, customer service, internal process, and innovation and Learning areas. 
D)  It occurs when revenues are equal to costs. 
E)  It reduces costs and improves workflow by scheduling materials to arrive at a workstation or facility just in time for use.

Question 16

In utilizing a historical approach for comparing desired and actual performance, a manager will ___.

Accepted Answer

A)  use the organization's objectives as a benchmark 
B)  use standards set scientifically through such methods as time and motion studie 
C)  use present performance as a benchmark 
D)  use performance achievements of other organizations as a benchmark 
E)  use previous performance as a benchmark 
A)  use the organization's objectives as a benchmark 
B)  use standards set scientifically through such methods as time and motion studie 
C)  use present performance as a benchmark 
D)  use performance achievements of other organizations as a benchmark 
E)  use previous performance as a benchmark

Question 17

Bureaucratic control emphasizes hierarchy and authority while clan control emphasizes

Accepted Answer

A)  daily meetings. 
B)  budgets and expense accounts. 
C)  behaviour and personality as set by society. 
D)  norms and expectations set by the organizational culture. 
E)  participation in company social activities. 
A)  daily meetings. 
B)  budgets and expense accounts. 
C)  behaviour and personality as set by society. 
D)  norms and expectations set by the organizational culture. 
E)  participation in company social activities.

Question 18

In order to determine how efficiently and effectively management is using its assets to generate profits, the ___ ratios need to be calculated.

Accepted Answer

A)  leverage 
B)  activity 
C)  profitability 
D)  liquidity 
E)  asset management 
A)  leverage 
B)  activity 
C)  profitability 
D)  liquidity 
E)  asset management

Question 19

Concurrent control focuses on what happens during the work process.

Accepted Answer

A) True 
 B)False

Question 20

Profitability ratios measure a company's ability to earn costs greater than revenues.

Accepted Answer

A) True 
 B)False

Calculate return on equity from the following information: Sales = $400,000 Expenses = $100,000 Debts incurred = $120,000 Owner's equity = $180,000.

Liquidity ratios use information about current assets and current liabilities.

There are no laws that govern the behaviour of top executives.

Dilma, a finance manager at FinTel Inc., needs to understand the current financial position of the company in terms of meeting its short-term financial obligations. Dilma must calculate the ___ to accomplish this task.

Under Sarbanes-Oxley, chief executives and chief financial officers must sign off on financial reports and certify their accuracy under penalty of jail and/or personal fines.

The second step in the control process is to set the performance objectives and standards.

Briefly explain the four-step control process.

The beginning and end points, known as nodes, in a series of sub-activities on a CPM/PERT often have arrows between them to indicate what order tasks must be completed.

Feedforward, concurrent, and feedback controls are relevant to different phases of the organization's input-throughput-output cycle.

Internal control occurs when ___.

Feedforward control differs from feedback control, in that feedforward control

"Keeping up with the competition" is another way of expressing the dynamics of market controls in operation.

In the control process, ___ must be accurate enough to identify significant difference between what is really taking place and what was originally planned.

What is project management? Explain the two techniques of project management.

What is a balanced scorecard?

In utilizing a historical approach for comparing desired and actual performance, a manager will ___.

Bureaucratic control emphasizes hierarchy and authority while clan control emphasizes

In order to determine how efficiently and effectively management is using its assets to generate profits, the ___ ratios need to be calculated.

Concurrent control focuses on what happens during the work process.

Profitability ratios measure a company's ability to earn costs greater than revenues.

Introducing Management

Management Learning Past to Present

Ethics and Social Responsibility

Environment, Innovation, and Sustainability

Global Management and Cultural Diversity

Entrepreneurship and New Ventures

Information and Decision Making

Planning Processes and Techniques

Strategy and Strategic Management

Organization Structures and Design

Organization Culture and Change

Strategic Human Resource Management

Leading and Leadership Development

Individual Behavior

Motivation Theory and Practice

Teams and Teamwork

Communication and Collaboration

Operations and Services Management

Filters

Exam 9: Control Processes and Systems

Calculate return on equity from the following information: Sales = $400,000 Expenses = $100,000 Debts incurred = $120,000 Owner's equity = $180,000.

Liquidity ratios use information about current assets and current liabilities.

There are no laws that govern the behaviour of top executives.

Dilma, a finance manager at FinTel Inc., needs to understand the current financial position of the company in terms of meeting its short-term financial obligations. Dilma must calculate the ___ to accomplish this task.

Under Sarbanes-Oxley, chief executives and chief financial officers must sign off on financial reports and certify their accuracy under penalty of jail and/or personal fines.

The second step in the control process is to set the performance objectives and standards.

Briefly explain the four-step control process.

The beginning and end points, known as nodes, in a series of sub-activities on a CPM/PERT often have arrows between them to indicate what order tasks must be completed.

Feedforward, concurrent, and feedback controls are relevant to different phases of the organization's input-throughput-output cycle.

Internal control occurs when ___.

Feedforward control differs from feedback control, in that feedforward control

"Keeping up with the competition" is another way of expressing the dynamics of market controls in operation.

In the control process, ___ must be accurate enough to identify significant difference between what is really taking place and what was originally planned.

What is project management? Explain the two techniques of project management.

What is a balanced scorecard?

In utilizing a historical approach for comparing desired and actual performance, a manager will ___.

Bureaucratic control emphasizes hierarchy and authority while clan control emphasizes

In order to determine how efficiently and effectively management is using its assets to generate profits, the ___ ratios need to be calculated.

Concurrent control focuses on what happens during the work process.

Profitability ratios measure a company's ability to earn costs greater than revenues.

Introducing Management

Management Learning Past to Present

Ethics and Social Responsibility

Environment, Innovation, and Sustainability

Global Management and Cultural Diversity

Entrepreneurship and New Ventures

Information and Decision Making

Planning Processes and Techniques

Strategy and Strategic Management

Organization Structures and Design

Organization Culture and Change

Strategic Human Resource Management

Leading and Leadership Development

Individual Behavior

Motivation Theory and Practice

Teams and Teamwork

Communication and Collaboration

Operations and Services Management

Filters