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Question
________ is a measure of an organization's ability to meet its current debt obligations.A) Leverage
B) Activity
C) Liquidity
D) Profitability
Answer
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Related questions
Q:
Production data for the number of hours required per unit for making the Droid and iPhone versions of cell phone components by Bizzer, a high-tech manufacturing firm, is given below. What is the maximum number of Droid units that the factory can make?
Monthly Product Droid
iPhone
Capacity (Hours) Design
5
8
5000 Manufacture
2.5
2.5
2500 Profit per unit
$4
$6 A) 625
B) 1000
C) 5000
D) 800
Q:
Which of the following would cause a well-run company to become highly leveraged?
A) when the money that the company can earn investing the money that it borrows is equal to the cost of borrowing
B) when the money that the company can earn investing the money that it borrows is significantly less than the cost of borrowing
C) when the money that the company can earn investing the money that it borrows is significantly greater than the cost of borrowing
D) when the money that the company can earn investing the money that it borrows is equal to more than half of the cost of borrowing
Q:
When is the acid test an especially important test for a company's liquidity?
A) when the economy is slow and inventory is not selling
B) when the economy is robust and inventory is selling fast
C) with companies that exclusively sell services and therefore do not have any inventory
D) with companies that exclusively sell services to the wealthy and therefore are not subject to economic downturns
Q:
Decision trees show the profit outcomes for the plans for two doughnut stores in two different locations in a strong and a weak economy for the future. If the investor interested in building a store is optimistic, in which location should she build? A) She should build Store 1, because it has a lower minimum profit.
B) She should build Store 2, because it has a greater maximum profit.
C) She should build Store 1, because it has a greater maximum profit.
D) She should build Store 2, because it has a greater minimum profit.
Q:
The decision tree shows the profit outcomes for a toy store in a strong and a weak economy for next year. If the economy turns out to be weak, how much profit is the store likely to lose out? A) $14,000
B) $16,000
C) $30,000
D) $15,000
Q:
The decision tree shows the profit outcomes for a coffee shop in a strong and a weak economy for next year. What is the probability that the economy will be weak in the coming year? A) 0.73
B) 27 percent
C) 50 percent
D) 7.3
Q:
Which psychological orientation would be typical of a manager who is pessimistic about her business environment?
A) a maximin orientation
B) a minimin orientation
C) a maximax orientation
D) a minimax orientation
Q:
In a short essay, explain how managers can use current value for making organizational decisions.
Q:
In a short essay, explain how the break-even point (BE) changes with variables TFC (total fixed costs), P (unit price), and VC (variable cost per unit).
Q:
In a short essay, explain the type of strategy that a pessimistic manager would take for his company.
Q:
In the economic order quantity (EOQ) model, increasing the order size will decrease ordering costs.
Q:
Production data for Streaks is shown. Using linear programming, if running shoes are represented by R and soccer shoes by S, 5R + 3S < 750 is the correct constraint equation for design.
Monthly Product Running
Soccer
Capacity (Hours) Design
5
3
750 Manufacture
1.5
1.5
400 Profit per unit
$20
$16
Q:
A company is worried about meeting its interest expenses, so it should pay close attention to its times interest earned.
Q:
A current ratio of 1.5 to 1 for an organization suggests that the organization will not be able to meet its short-term debt obligations.
Q:
Liquidity is a measure of an organization's ability to access cash to meet its debt obligations.
Q:
Reducing the value of VC in a break-even analysis means that the business needs to sell fewer units to turn a profit.
Q:
This regret matrix gives values for strategies S1, S2, and S3 for the Bigg Company and competitive strategies CA1, CA2, and CA3 for the Large Company. The maximum regrets for this table are S1 = 5, S2 = 9, S3 = 12. CA1
CA2
CA3 S1
5
5
3 S2
9
6
1 S3
10
2
5
Q:
This regret matrix gives values for strategies S1, S2, and S3 for the Bigg Company and competitive strategies CA1, CA2, and CA3 for the Large Company. A minimax Bigg manager would choose S2 because it has the smallest maximum regret of 1. CA1
CA2
CA3 S1
5
5
3 S2
9
6
1 S3
10
2
5
Q:
With choice S1, a manager sees gains of $10 million and $6 million. With choice S2, a manager sees gains of $12 million and $8 million. Only a pessimistic manager would choose S1.
Q:
An optimistic manager will typically follow a maximax choice.
Q:
Value is created during the process of ________.
A) inputs being converted into outputs
B) inputs being stored
C) outputs being measured
D) operations being controlled
Q:
In a short essay, discuss technology's role in manufacturing.
Q:
This kind of performance measurement method is fast and is a good platform for feedback, yet it can be private and scheduled for a single employee ahead of time.
A) written report
B) MBWA
C) oral report
D) statistical report
Q:
MBWA stands for management by ________.
A) work area
B) work action
C) written action
D) walking around
Q:
A manager measuring actual performance is like a teacher ________.
A) composing a test
B) grading a test
C) helping a student study for a test
D) making an assignment
Q:
Managers always use these for performance standards during the control process.
A) goals created during the planning process
B) employee opinions
C) generic performance standards for the industry
D) standards developed by performance experts
Q:
Controlling is the ________ in the management process.
A) first step
B) final step
C) most important step
D) least important step
Q:
The value of the controlling function is seen in three specific areas: planning, ________.
A) organizing, and leading
B) protecting employees, and empowering the workplace
C) protecting employees, and protecting the workplace
D) empowering employees, and protecting the workplace
Q:
A well-run company that has well-thought-out plans, motivated and productive workers, and an efficient organizational structure ________.
A) always attains its goals
B) may not always attain its goals
C) rarely attains its goals
D) has no reason to monitor its performance
Q:
The more a control system helps an organization ________, the more successful it is judged to be.
A) meet government guidelines
B) help employees achieve job satisfaction
C) meet its goals
D) increase sales