Question 1

What is a limitation of using financial budgets?

Accepted Answer

A)  They can be so detailed that they are cumbersome and expensive. 
B)  They can become a substitute for objectives. 
C)  They can hide inefficiencies if done only on precedent. 
D)  They are sometimes used as instruments of tyranny. 
E)  all of the above

Question 2

Which element in the projected income statement cannot be forecasted using the percentage-of-sales method?

Accepted Answer

A)  Cost of goods sold 
B)  Selling expense 
C)  Administrative expense 
D)  Interest expense 
E)  All of these items are forecasted using the percentage-of-sales method

Question 3

In projected financial statements, what account is used as a plug figure?

Accepted Answer

A)  retained earnings 
B)  fixed assets 
C)  cash 
D)  long-term liabilities 
E)  stockholders' equity

Question 4

A reason for concern over the dilution of company stock is a possible hostile takeover.
t; medium; p. 274-275;

Accepted Answer

A) True 
 B)False

Question 5

What best describes how much a company is worth?

Accepted Answer

A)  An exact science 
B)  An educated guess 
C)  Explicit accounting standards 
D)  Known only to the firm's accountants 
E)  Static

Question 6

Which variable would be considered part of the place element of the marketing mix?

Accepted Answer

A)  Product line 
B)  Service level 
C)  Personal selling 
D)  Sales territory 
E)  Discounts and allowances

Question 7

Who has mandated that every publicly held company in the United States must issue an annual cash-flow statement in addition to the usual financial reports?

Accepted Answer

A)  SEC 
B)  Congress 
C)  FCC 
D)  FASB 
E)  OPEC

Question 8

Which two variables are of central importance to strategy implementation?

Accepted Answer

A)  diversification and budgeting. 
B)  marketing penetration and competition. 
C)  competition and collaboration. 
D)  product development and market development. 
E)  market segmentation and product positioning

Question 9

Which of the following is not a major approach to R&D?

Accepted Answer

A)  To be a pioneer 
B)  To be an innovative imitator 
C)  To be a low-cost producer by mass-producing products similar to but less expensive than products recently introduced 
D)  To be a liquidator 
E)  All of the above are major approaches to R&D

Question 10

Discuss guidelines used to determine whether a firm should conduct R&D internally or externally.

Accepted Answer

The answer of Discuss guidelines used to determine whether a...

Question 11

If a firm incurs a loss during a particular year, or if the firm had positive net income but paid out dividends more than the net income, its retained earnings for that year will most likely be

Accepted Answer

A)  a large positive number. 
B)  a low positive number. 
C)  zero. 
D)  a negative number. 
E)  Can not be determined from this information

Question 12

The most common bases for segmenting markets are geographic and demographic.

Accepted Answer

A) True 
 B)False

Question 13

What is a central strategy-implementation technique that allows an organization to examine the expected results of various actions and approaches?

Accepted Answer

A)  EPS/EBIT 
B)  Financial budgeting 
C)  TOWS analysis 
D)  Projected financial statement analysis 
E)  External analysis

Question 14

What is the best definition of goodwill?

Accepted Answer

A)  Premiums paid for acquisition 
B)  Value attached to the firms reputation 
C)  Excess of assets over liabilities 
D)  Value associated with benefits from environmental programs 
E)  Excess of current assets over liabilities

Question 15

Which variable would be considered part of the product element of the marketing mix?

Accepted Answer

A)  Advertising 
B)  Packaging 
C)  Payment terms 
D)  Inventory levels and location 
E)  Publicity

Question 16

A firm can usually serve two or more market segments with the same strategy.

Accepted Answer

A) True 
 B)False

Question 17

Subdividing a market into distinct subsets of customers according to their needs and the way they buy and use a product or service is:

Accepted Answer

A)  market penetration. 
B)  product diversification. 
C)  market segregation. 
D)  market segmentation. 
E)  positioning

Question 18

The next step after segmenting markets so a firm can target particular customer groups is to find out what customer groups want and expect.

Accepted Answer

A) True 
 B)False

Question 19

Which of these obligations generally must be met, regardless of circumstances?

Accepted Answer

A)  Dividends 
B)  Employee 
C)  Fixed debt 
D)  Equity 
E)  all of these

Question 20

With market segmentation, a firm can better operate with limited resources.

Accepted Answer

A) True 
 B)False

Exam 8: Implementing Strategies: Marketing, Financeaccounting, RD, and Mis Issues

What is a limitation of using financial budgets?

Which element in the projected income statement cannot be forecasted using the percentage-of-sales method?

In projected financial statements, what account is used as a plug figure?

A reason for concern over the dilution of company stock is a possible hostile takeover. t; medium; p. 274-275;

What best describes how much a company is worth?

Which variable would be considered part of the place element of the marketing mix?

Who has mandated that every publicly held company in the United States must issue an annual cash-flow statement in addition to the usual financial reports?

Which two variables are of central importance to strategy implementation?

Which of the following is not a major approach to R&D?

Discuss guidelines used to determine whether a firm should conduct R&D internally or externally.

If a firm incurs a loss during a particular year, or if the firm had positive net income but paid out dividends more than the net income, its retained earnings for that year will most likely be

The most common bases for segmenting markets are geographic and demographic.

What is a central strategy-implementation technique that allows an organization to examine the expected results of various actions and approaches?

What is the best definition of goodwill?

Which variable would be considered part of the product element of the marketing mix?

A firm can usually serve two or more market segments with the same strategy.

Subdividing a market into distinct subsets of customers according to their needs and the way they buy and use a product or service is:

The next step after segmenting markets so a firm can target particular customer groups is to find out what customer groups want and expect.

Which of these obligations generally must be met, regardless of circumstances?

With market segmentation, a firm can better operate with limited resources.