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

Question 2

An after-action review is a systematic assessment of lessons learned and results accomplished in an ongoing project.

Accepted Answer

A) True 
 B)False

Question 3

_____ = Net Income/Owner's Equity

Accepted Answer

A)  Return on Equity 
B)  Return on Assets 
C)  Net Margin 
D)  Inventory Turnover 
E)  Acid Test

Question 4

The CFO of a company wanted to analyze the financial strength of his company. He specifically asked for information on the company's assets and liabilities. Which of the following would provide the necessary information?

Accepted Answer

A)  Income statement 
B)  Balance sheet 
C)  Balanced scorecard 
D)  Gantt chart 
E)  Breakeven analysis account

Question 5

Drelex, a jute bag manufacturing company, checks the consistency and quality of all the raw materials before forwarding them to the production department. This is done to ensure that the bags produced are tough and strong. Which of the following types of control is being implemented by the company?

Accepted Answer

A)  Feedback control 
B)  Output control 
C)  Throughput control 
D)  Concurrent control 
E)  Feedforward control

Question 6

Historical comparisons benchmark performance against that being achieved by other people, work units, or organizations.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following best describes controlling?

Accepted Answer

A)  The process of deciding where an individual should go and how to best go about it 
B)  The process of inspiring people to best utilize the resources 
C)  The process of bringing people and material resources together in working combinations 
D)  The process of setting directions and allocating resources 
E)  The process of measuring performance and taking action to ensure desired results

Question 8

____ control takes places after an action is completed.

Accepted Answer

The answer of ____ control takes places after an action...

Question 9

The potential for _____ is enhanced when capable people have a clear sense of organizational mission, know their goals, and have the resources necessary to do their jobs well.

Accepted Answer

A)  bureaucratic control 
B)  normative control 
C)  regulatory control 
D)  clan control 
E)  internal control

Question 10

Which of the following is the formula for measuring asset turnover?

Accepted Answer

A)  Current Assets/Current Liabilities 
B)  Current Assets - Inventories/Current Liabilities 
C)  Sales/Total Assets 
D)  Net Income/Total Assets 
E)  Total Debts/Total Assets

Question 11

Management by ____ focuses attention on substantial differences between actual and desired performance.

Accepted Answer

The answer of Management by ____ focuses attention on substantial...

Question 12

Management by exception is the practice of giving attention to situations that show the greatest need for action.

Accepted Answer

A) True 
 B)False

Question 13

The first step to the control process is to _____.

Accepted Answer

A)  measure actual performance 
B)  compare results with objectives 
C)  establish performance objectives and standards 
D)  take corrective actions 
E)  compare results with standards

Question 14

Which of the following is the formula for calculating breakeven point?

Accepted Answer

A)  Fixed Costs/(Price - Variable Costs) 
B)  Fixed Costs - Variable Cost/Price 
C)  (Fixed Costs/Variable Costs) - Price 
D)  (Fixed Costs/Price) - Variable Costs 
E)  Fixed Cost - (Price + Variable Costs)

Question 15

The bureaucratic control system influences behavior through norms and expectations set by the organizational culture.

Accepted Answer

A) True 
 B)False

Question 16

Shaun, a production manager at Taxener Inc., receives a complaint from the company's employees that raw materials were being used in an unorganized manner leading to production delays. Which of the following techniques will help Shaun to organize the flow of raw materials for production?

Accepted Answer

A)  Breakeven point analysis 
B)  Just-in-time scheduling 
C)  Business process reengineering 
D)  Pareto principle 
E)  External control

Question 17

_____ is essentially the influence of customers and competition on the behavior of organizations and their members.

Accepted Answer

A)  Normative control 
B)  Market control 
C)  Clan control 
D)  Bureaucratic control 
E)  Administrative control

Question 18

Business firms show the influence of market control in the way that they adjust products, pricing, promotions, and other practices in response to customer feedback and what competitors are doing.

Accepted Answer

A) True 
 B)False

Question 19

Calculate net income from the following information: ROA = 35%
Sales = $250,000
Current assets = $30,000
Fixed assets = $70,000

Accepted Answer

A)  $87,500 
B)  $35,000 
C)  $10,500 
D)  $24,500 
E)  $15,000

Question 20

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

Accepted Answer

The answer of What is project management? Explain the two...

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

An after-action review is a systematic assessment of lessons learned and results accomplished in an ongoing project.

_____ = Net Income/Owner's Equity

The CFO of a company wanted to analyze the financial strength of his company. He specifically asked for information on the company's assets and liabilities. Which of the following would provide the necessary information?

Drelex, a jute bag manufacturing company, checks the consistency and quality of all the raw materials before forwarding them to the production department. This is done to ensure that the bags produced are tough and strong. Which of the following types of control is being implemented by the company?

Historical comparisons benchmark performance against that being achieved by other people, work units, or organizations.

Which of the following best describes controlling?

____ control takes places after an action is completed.

The potential for _____ is enhanced when capable people have a clear sense of organizational mission, know their goals, and have the resources necessary to do their jobs well.

Which of the following is the formula for measuring asset turnover?

Management by ____ focuses attention on substantial differences between actual and desired performance.

Management by exception is the practice of giving attention to situations that show the greatest need for action.

The first step to the control process is to _____.

Which of the following is the formula for calculating breakeven point?

The bureaucratic control system influences behavior through norms and expectations set by the organizational culture.

Shaun, a production manager at Taxener Inc., receives a complaint from the company's employees that raw materials were being used in an unorganized manner leading to production delays. Which of the following techniques will help Shaun to organize the flow of raw materials for production?

_____ is essentially the influence of customers and competition on the behavior of organizations and their members.

Business firms show the influence of market control in the way that they adjust products, pricing, promotions, and other practices in response to customer feedback and what competitors are doing.

Calculate net income from the following information: ROA = 35% Sales = $250,000 Current assets = $30,000 Fixed assets = $70,000

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