1. What is equity theory? 2. How do managers use it in order to decide the pay structure of employees? 3. What is expectancy theory and how is it different from goal-setting theory?
> 1. How are current assets distinguished from fixed assets? 2. Why are fixed assets depreciated on a firm’s balance sheet? 3. How do you determine the dollar amount of owners’ equity for a sole proprietorship, or a partnership, or a corporation? 4. If a b
> 1. What purpose do audits and GAAPs serve in today’s business world? 2. How do the major provisions of the Sarbanes–Oxley Act affect a public company’s audit procedures? 3. Based on the information in this section, would you choose accounting as a career
> 1. List the five functions of an MIS. 2. What are the components of a typical business report? 3. What types of information could be illustrated in a visual display? In a tabular display?
> 1. How do the information requirements of managers differ by management area? 2. What happens if a business has a management information system that is too large? 3. What happens if a business has a management information system that is too small?
> 1. In your own words, describe how information reduces risk when you make a personal or work-related decision. 2. What are information rules? How do they simplify the process of making decisions? 3. What is the difference between data and information? Gi
> 1. Experts predict that the Internet will continue to expand along with related technologies. What effect will this expansion have on businesses in the future? 2. Give an example of an unethical use of computer technology by a business. 3. What is the di
> 1. What are the two fundamental e-business models? 2. Assume that you are the owner of a small company that produces outdoor living furniture. Describe how you could use the B2C business model to sell your products to consumers?
> What are the major components of a marketing strategy?
> 1. What are the four major factors contained in the definition of e-business? 2. How do e-businesses generate revenue streams, reduce expenses, and earn a profit?
> 1. What are the steps required to develop a social media plan? 2. What is the difference between quantitative and qualitative measurements? Which type of measurement do you think is the most reliable when measuring the effectiveness of a company’s social
> 1. In your own words, describe how social media can help businesses to connect with other businesses and consumers. 2. For a business, why are crisis and reputation management, listening to stakeholders, and targeting specific types of customers importan
> 1. What is a blog? How can a business use blogs to develop relationships with customers? 2. What types of content can be used on a media sharing site? What factors should be considered when developing content for a media sharing site? 3. Describe two way
> 1. According to material in this section, what are the reasons why people use social media? 2. How has social media changed the environment for business firms?
> 1. What are the common tools of public relations? 2. What is publicity, and why do organizations use it? 3. What are the four common types of publicity?
> 1. Why do marketers use sales promotion? 2. What are the two classifications of sales promotion methods? 3. What factors affect the choice of sales promotion used?
> 1. What are the advantages and disadvantages of using personal selling? 2. Identify the three types of salespersons. 3. Describe the six steps of the personal-selling process.
> 1. Describe the major types of advertising by purpose. 2. Explain the eight major steps in developing an advertising campaign.
> 1. What are the major elements of a promotion mix? 2. How can each element help a firm reach a target market?
> In what ways are team cohesiveness and team conflict related?
> 1. What is the major goal of integrated marketing communications? 2. Why is integrated marketing communications being increasingly accepted?
> 1. How is inventory management a balancing act between stock-out costs and holding costs? 2. Explain the seven major warehousing activities. 3. What is the goal of materials handling? 4. Describe the major characteristics of the primary transportation mo
> 1. Describe the major types of retail stores. Give an example of each. 2. How does nonstore retailing occur? 3. What are the four most common types of shopping centers, and what type of store does each typically contain?
> 1. What services do wholesalers provide to producers and to retailers? 2. Identify and describe the various types of wholesalers.
> 1. How does supply-chain management encourage cooperation between buyers and sellers? 2. How has technology enhanced the implementation of supply-chain management?
> 1. How do the different types of middlemen link a producer to a user within a marketing channel? 2. Describe the six distribution channels. Give an example of each. 3. Explain the three intensities of market coverage. Which types of products are generall
> 1. Describe the three types of pricing associated with business products. 2. Differentiate between FOB origin and FOB destination pricing. 3. Explain the five types of discounts for business products.
> 1. Identify the five categories of pricing strategies. 2. Describe two specific pricing strategies in each category.
> 1. List and explain the three kinds of pricing methods. 2. Give an advantage and a disadvantage for each method.
> 1. Explain the various types of pricing objectives. 2. Which ones usually will result in a firm having lower prices?
> How might adoption of the marketing concept benefit a firm? How might it benefit the firm’s customers?
> 1. What factors must be considered when pricing products? 2. How does change in price affect the demand and supply of a product? 3. Differentiate price competition and non-price competition. 4. Why is it important to consider the buyer’s sensitivity to p
> 1. Describe the major types of brands. 2. How do brands help customers in product selection? How do brands help companies introduce new products? Explain the three levels of brand loyalty. 3. Define brand equity and describe the four major factors that c
> 1. What are the ways to improve a product mix? Describe two approaches to use existing products to strengthen a product mix. 2. Why is it important to delete certain products? The largest number of product ideas are rejected during which stage? 3. What i
> 1. How does a product line differ from a product mix? 2. Can a product line be a product mix?
> 1. Explain the four stages of the product life-cycle. 2. How does knowledge of product life-cycle relate to introduction of new products?
> 1. Identify the general categories of products. 2. Describe the classifications of consumer products. 3. Based on their characteristics, business products can be classified into what categories?
> 1. Why is it important to understand buying behavior? 2. How does a customer’s decision-making time vary with the type of product? 3. What are the five stages of the consumer buying decision process? 4. What are the possible influences on this process? 5
> 1. Data from a marketing information system is collected from which internal and external sources? 2. What are the major reasons for conducting marketing research? 3. Identify and describe the six steps of the marketing research process. 4. How does tech
> 1. Why is sales forecasting important? 2. What methods do businesses use to forecast sales?
> 1. What are the major components of a marketing plan? 2. Why is developing a well-written marketing plan important?
> Explain the major stages of team development.
> 1. Describe the environmental forces that affect a firm’s marketing decisions and activities. 2. How are marketing decisions affected by environmental forces?
> 1. What are the major components of a marketing strategy? 2. Describe the major approaches used in target market selection. 3. Identify the four elements of the marketing mix.
> 1. What is a market? 2. Identify and describe the major types of markets.
> 1. Identify the major components of the marketing concept. 2. How did the customer orientation evolve? 3. What steps are involved when implementing the marketing concept?
> 1. Explain the four kinds of utility. 2. Provide an example of each.
> 1. How can technology help to build long-term customer relationships? 2. What are the benefits of retaining customers?
> 1. What are the major types of teams? 2. Highlight some differences between cross-functional teams and virtual teams. 3. Identify and describe the stages of team development. 4. How can team conflict be reduced? 5. What are some of the benefits and limit
> 1. What are the five steps of most MBO programs? 2. How can companies use job enrichment as a method for motivating employees? 3. What is behavior modification and how is it used in organizations? 4. What benefits does a company receive when using flexti
> 1. What are the major elements of Taylor’s “scientific management”? 2. What were Elton Mayo’s conclusions from the Hawthorne Studies? 3. What are the different levels in Maslow’s hierarchy of needs? 4. What are the major elements of Herzberg’s motivation
> Are employee benefits really necessary? Why?
> 1. Social Media Exercise 1. Do you have a profile? If not, you might want to consider developing one because many companies recruit from LinkedIn and it can be a great tool for professional networking. 2. If you already have a profile, think about how yo
> The Chewy Candy Company would like to determine an aggregate production plan for the next six months. The company makes many different types of candy but feels it can plan its total production in pounds provided that the mix of candy sold does not change
> Management believes there is a seasonal pattern in the above data for the Donut-Hole Shop (see problem 2), with the first two days of a week representing one level; the third and fourth days representing a second level; and the fifth, sixth, and seventh
> The BOM for product A is given below:Part On Hand Weeks of Lead TimeA751B 1502C501D1002Assume the master schedule calls for 200 units of product A in week 5 and 250 units in week 6.a. Develop a materials plan for this product.b. What actions should be ta
> What is the effect on EOQ and total cost of the following types of changes for the data in problem 1?a. A 40 percent increase in demand.b. A 20 percent increase in carrying charge.c. Use a spreadsheet to study the relationship between lot size and carryi
> Each day 500 inventory control records are cycle-counted for errors. These counts have been made over a period of 20 days and have resulted in the following proportion of records found in error each day:.0025 .0075 .0050 .0150 .0125 .0100 .0050 .0025 .01
> The daily demand for chocolate donuts from the Donut-Hole Shop has been recorded for a two-week periodDay Demand DayDemand 18088529599931201011041101190575128066013657501450a. Simulate a forecast of the demand using trend-adjusted exponential smoothing.
> The Old Hickory Furniture Company manufactures chairs on the basis of the BOM shown below. At the present time, the inventories of parts and lead times are as follows:On Hand Weeks of Lead TimeChairs 1001Leg assembly 502Back assembly 251Seat 403Rails 100
> Suppose that for problem 1 in the chapter, the Always Fresh Grocery Store is offered a discount by its supplier if more than 50 cases of tea are ordered at one time. The unit item costs are $80 per case for 0 to 49 cases and $76 per case for 50 cases or
> Beth’s Broasted Chicken shop offers a variety of fast-food items. Beth uses regular and part-time workers to meet demand. The demand for the next 12 months has been forecast in thousands of dollars, as follows:JFMAMJJASONDDemand253340575058504837332832As
> As cereal boxes are filled in a factory, they are weighed for their contents by an automatic scale. The target value is to put 10 ounces of cereal in each box. Twenty samples of three boxes each have been weighed for quality control purposes. The fill w
> A grocery store sells the following number of frozen turkeys during the week prior to Thanksgivingb. Compute the MAD and the tracking signal in each period. Use MAD0 = 0.c. On the basis of the criteria given in the text, are theMAD and tracking signal wi
> The Bango Toy Company produces several types of toys to seasonal demand. The forecast for the next six months in thousands of dollars is given below:JulyAugustSeptemberOctoberNovemberDecemberForecast 100015002000180015001000A regular employee can produce
> For the data given in problem 8:a. Design a P system for this phone with a 92 percent service level.b. Compare the inventory investments required for the P and Q systems (from problem 8) for various values of service level.c. Why does the P system requir
> At the ABC Floral Shop, an argument developed between two of the owners, Bob and Henry, over the accuracy of forecasting methods. Bob argued that exponential smoothing with α = .1 would be the best method. Henry argued that the shop a. Using F1 = 100 and
> An electronics retailer carries a particular cellular telephone with the following characteristics:Average monthly sales ………..120 unitsOrdering cost……………………... $25 per orderCarrying cost………………………35 percent per yearItem cost……………………………. $300 per unitLead
> A lamp consists of a frame assembly and a shade, as shown below in the sketch and the bill of materials. The frame is made from a neck, a socket, and a base, which are assembled together from purchased parts. A shade is added to the frame assembly to mak
> The Cover-up Drapery Company carries four types of fabric with the following characteristics:TypeAnnual Demand(yards)Item Cost per Yard13002022501831001242008Assume that the items are to be ordered together from the same supplier at an ordering cost of $
> In March, T. Carter established Carter Delivery Service. The account headings are presented below. Transactions completed during the month of March follow.a. Carter deposited $25,000 in a bank account in the name of the business.b. Bought a used truck fr
> P. Schwartz, Attorney at Law, opened his office on October 1. The account headings are presented below. Transactions completed during the month follow.a. Schwartz deposited $25,000 in a bank account in the name of the business.b. Bought office equipment
> In March, K. Haas, M.D., established the Haas Sports Injury Clinic. The clinic’s account headings are presented below. Transactions completed during the month of March follow.a. Haas deposited $48,000 in a bank account in the name of th
> In July of this year, M. Wallace established a business called Wallace Realty. The account headings are presented below. Transactions completed during the month follow.a. Wallace deposited $24,000 in a bank account in the name of the business.b. Paid the
> In April, J. Rodriguez established an apartment rental service. The account headings are presented below. Transactions completed during the month of April follow.a. Rodriguez deposited $70,000 in a bank account in the name of the business.b. Paid the ren
> On March 1 of this year, B. Gervais established Gervais Catering Service. The account headings are presented below. Transactions completed during the month follow.a. Gervais deposited $25,000 in a bank account in the name of the business.b. Bought a truc
> S. Davis, a graphic artist, opened a studio for her professional practice on August 1. The account headings are presented below. Transactions completed during the month follow.a. Davis deposited $20,000 in a bank account in the name of the business.b. Bo
> On July 1 of this year, R. Green established the Green Rehab Clinic. The organization’s account headings are presented below. Transactions completed during the month of July follow.a. Green deposited $30,000 in a bank account in the nam
> On July 1, K. Resser opened Resser’s Business Services. Resser’s accountant listed the following chart of accounts:CashSuppliesPrepaid InsuranceEquipmentFurniture and FixturesAccounts PayableK. Resser, CapitalK. Resser, DrawingBusiness Services RevenueWa
> D. Johnston, a physical therapist, opened Johnston’s Clinic. His accountant provided the following chart of accounts:The following transactions occurred during July of this year:a. Johnston deposited $35,000 in a bank account in the nam
> J. Carrie established Carrie’s Photo Tours during June of this year. The accountant prepared the following chart of accounts:The following transactions occurred during the month of June:a. Carrie deposited $30,000 cash in a bank account
> On May 1, B. Bangle opened Self-Wash Laundry. His accountant listed the following chart of accounts:CashSuppliesPrepaid InsuranceEquipmentFurniture and FixturesAccounts PayableB. Bangle, CapitalB. Bangle, DrawingLaundry RevenueWages ExpenseRent ExpenseUt
> S. Myers, a speech therapist, opened a clinic in the name of Myers Clinic. Her accountant prepared the following chart of accounts:The following transactions occurred during June of this year:a. Myers deposited $40,000 in a bank account in the name of th
> B. Kelso established Computer Wizards during November of this year. The accountant prepared the following chart of accounts:The following transactions occurred during the month:a. Kelso deposited $45,000 in a bank account in the name of the business.b. P
> In October, A. Nguyen established an apartment rental service. The account headings are presented below. Transactions completed during the month of October follow.a. Nguyen deposited $25,000 in a bank account in the name of the business.b. Paid the rent
> On June 1 of this year, J. Larkin, Optometrist, established the Larkin Eye Clinic. The clinic’s account names are presented below. Transactions completed during the month follow.a. Larkin deposited $25,000 in a bank account in the name
> Houston Corporation manufactures a wide variety of chemical compounds and liquids for industrial uses. The standard mix for producing a single batch of 1,000 liters of Rust-Off is as follows:There is a 20 percent loss in liquid volume during processing d
> Midwest Entertainment has four operating divisions: Bus Charters, Lodging, Concerts, and Ticket Services. Each division is a separate segment for financial reporting purposes. Revenues and costs related to outside transactions were as follows for the pas
> Oscar Clemente is the manager of Forbes Division of Pitt, Inc., a manufacturer of biotech products. Forbes Division, which has $4 million in assets, manufactures a special testing device. At the beginning of the current year, Forbes invested $5 million i
> Peninsula Candy Company makes three types of candy bars: Chewy, Chunky, and Choco-Lite (Lite). Sales volume for the annual budget is determined by estimating the total market volume for candy bars and then applying the company’s prior y
> Pacific Hotels operates a centralized call center for the reservation needs of its hotels. Costs associated with use of the center are charged to the hotel group (luxury, resort, standard, and budget) based on the length of time of calls made (time usage
> Valencia Products is a decentralized organization that evaluates divisional management based on measures of divisional contribution margin. Consumer Audio (CA) Division and Auto Electronics (AE) Division both sell audio equipment. CA focuses on home and
> The following information is provided concerning the operations of Tolstoy Corporation for the current period:There are no inventories.RequiredPrepare a flexible budget for Tolstoy Corporation.
> Find the values of the missing items (a) through (q). Assume that the actual sales volume equals actual production volume. (There are no inventory level changes.)
> Doug’s Diner is planning to expand operations and is concerned that its reporting system might need improvement. The master budget income statement for the Downtown Doug’s, which contains a delicatessen and restaurant
> A new accounting intern at Gibson Corporation lost the only copy of this period’s masterbudget. The CFO wants to evaluate performance for this period but needs the master budgetto do so. Actual results for the period follow:Sales volume. . . . . . . . .
> Steamco Corporation is reviewing its operations to see what additional energy-saving projects it might adopt. The company’s manufacturing plant generates its own electricity using a process capturing steam from its production processes.
> GB Service Corporation has two service departments, Administration and Accounting, and two operating departments, East and West. Administration costs are allocated on the basis of employees, and Accounting costs are allocated on the basis of number of tr
> Model, Inc., produces model automobiles made from metal. It operates two production departments, Molding and Painting, and has three service departments, Administration, Accounting, and Maintenance. The accumulated costs in the three service departments
> Allcott Computer Services (ACS) provides computer training and repair services for schools and local businesses. Sales for year 1 totaled $1,350,000. Information regarding resources for the year includes the following:In addition, ACS spent $42,000 on 50
> Leidenheimer Corporation manufactures small airplane propellers. Sales for year 2 totaled $1,700,000. Information regarding resources for the month follows:In addition, Leidenheimer spent $50,000 on 50 engineering changes with a cost-driver rate of $1,00
