PGA PGM 3.0 Level 1 Test Questions And
Answers
The Process for developing a business plan starts before you establish the
goals you would like to achieve for the shops coming year - -True
-Who should provide direction for creating the business plan at a Golf
Operation - -Key Stakeholders
-According to the business planning Model, a business plan should build on
and refine the operation plan - -False
-Long - Range Planning should initially assume an adversarial relationship
between neighboring facilities that directly compete with each other. - -True
-What is the usual business destination for long range planning? - -3-5 years
Achieve its vision
-what is the most significant benefit of strategic business Planning. - -Provide
a long term vision & Destination
-Helping Establish a starting point for goals, Objectives, and related
strategies is an appropriate use of a SWOT analysis. - -True
-You are in the process of completing a business plan for the golf shop. Initial
forecast of sales, expenses, and profit have been made. Past data has been
analyzed and important inside and outside factors have been identified.
What is the next step to be taken towards completing the plan? - -Monitor
Performance
-A Golf Professional is purchasing a golf course. The business plan he
presented to his banker included his history of operating successfully
operating similar facilities, budget projections for the first five years under
his management, and objectives and strategies for reaching his goals. The
banker rejected the loan application because of missing information. What
important element is missing from the business plan? - -Current state of the
business
-The SWOT analysis would treat opportunities are threats as factors that
usually can be controlled by the facility. - -False
-The Result of a SWOT analysis could be sufficient justification for the
abandonment of a core business function - -True
,-Staff evaluation are a relevant data source for a SWOT analysis - -True
-How might revenues be affected at a nearby daily fee course if the local tire
plant has major layoffs - -Go Down (decrease)
-Lack of a mission statement is an example of a weakness that a SWOT
analysis might disclose - -True
-Trends in local consumer spending would be most useful for evaluating a
core business function - -True
-What should govern the decision to pursue an opportunity? - -Finances -
Barriers to entry - recourses - opportunity cost
-Goals, Objectives & strategies - -
-Consider the following the statement as part of the a business plan:
"improve range profits and customer satisfaction." According to the business
planning course, this statement is an example of an objective. - -True
-The new manager of a ten - year - old private course currently doing an
average of 5, 000 tournament rounds per year, proposes to increase
tournament rounds by 50% by the end of the next year. This proposal meets
the criteria for an effective business objective as presented in the business
planning course manual. - -True
-"Develop and promote group lesson programs aimed at a women and
Juniors" is an example of an effective business objectives. - -False
-What Important Characteristic is missing in the business Objectives.
"Increase pro shop sales next year?" - -Measurables; How are you going to
measure
-Which Characteristics of goals and objectives is described as capable of
being observed, recorded, and measure. - -Quantifiable
-What is functionally significant difference between goals and objectives? - -
goal few clearly defined targets objectives of how we get the goal.
-A facilities financial objectives could achieved through operational strategies
alone. - -False
-The Following agenda was part of a golf range business plan."175 dozen
range balls and rotate usage three times a year. Who: Head Professional.
,When: End of First Quarter. Cost: $1500" According to the business plan
component represented by this statement? - -.......
-What is an example of a financial Strategy? - -Borrowing Money: Debt:
Reduce operating expense.
-What would be the most appropriate initial response to a facility income not
meeting projections. - -.......
-Financial, Forecast, and Budgets - -
-Calculating yield involves knowing the relationship between the amount
utilized and the amount available. - -True
-Gross Profit is what remains after calculating the difference between
revenue and cost of goods - -True
-Linear trend analysis and base year analysis are example of vertical analysis
- -False
-The Divisor in the linear trend formula - average percentage is the number
of years of change being measured. - -True
-Conducting a base year analysis is a good choice for a facility that has just
completed a project that added nine new holes to the original 9 - hole course
- -True
-Golf Shop sales of $100,000 yield gross margin of $30,000, What is the
percent of the cost of goods. - -30%
-What is the definition of "cost of goods sold" - -Cost used to by stock
-If the gross target margin for your golf shop were about 40%, what would be
the target % for your cost of goods sold? - -60%
-According to the business planning course manual, what is usually the
largest contributor to the bottom line profit of the facility - -Rounds
-What is the formula for Merchandise Net Operating Income? - -Revenue
Generated - Operating Expense
-What events would cause a change in the forecast for the golf shop
expense? - -
-What metric should be part of every forecast regardless of the type of the
facility - -
, -A Vision defines the short - Term objectives that must be accomplished in
the upcoming year. - -False
-A Facility profile defines the overall culture of the business - -True
-The projected customer base of certain golf facilities located in the United
States could assume members drawn from international Markets. - -True
-A yield Analysis is used to compile a facilities historical data on the number
of rounds played. - -True
-What is the process called when a manager reviews total rounds to
determine who is playing and when? - -Yield Analysis
-Mission Statements should include a definition of the facility's underlying
financial model. - -False
-A sound mission statement defines the long term vision and core values of a
facility - -True
-It is appropriate to address the role of the employee in the mission
statement - -False
-Assessing the current state of business. - -
-The interpretation of the quantitative data is less susceptible to differences
of opinion than qualitive data - -True
-Customer demographics is an internal factor - -False
-What type if information is typically provided by qualitive data. - -Likes;
Dislikes; Experiences
-What examples would be considered internal data sources for planning
purposes - -- Finances - Cogs etc..
-Cost of goods sold is an example of qualitive date - -False
-What information would be most useful to the planning team interested in
measuring the facilities past or current success - -Historical Yield Analysis
-The Utility of your business plan for managing Day to Day operations in a
golf shop depends on your ability to manage internal factors - -True
-Consider the following table:
Answers
The Process for developing a business plan starts before you establish the
goals you would like to achieve for the shops coming year - -True
-Who should provide direction for creating the business plan at a Golf
Operation - -Key Stakeholders
-According to the business planning Model, a business plan should build on
and refine the operation plan - -False
-Long - Range Planning should initially assume an adversarial relationship
between neighboring facilities that directly compete with each other. - -True
-What is the usual business destination for long range planning? - -3-5 years
Achieve its vision
-what is the most significant benefit of strategic business Planning. - -Provide
a long term vision & Destination
-Helping Establish a starting point for goals, Objectives, and related
strategies is an appropriate use of a SWOT analysis. - -True
-You are in the process of completing a business plan for the golf shop. Initial
forecast of sales, expenses, and profit have been made. Past data has been
analyzed and important inside and outside factors have been identified.
What is the next step to be taken towards completing the plan? - -Monitor
Performance
-A Golf Professional is purchasing a golf course. The business plan he
presented to his banker included his history of operating successfully
operating similar facilities, budget projections for the first five years under
his management, and objectives and strategies for reaching his goals. The
banker rejected the loan application because of missing information. What
important element is missing from the business plan? - -Current state of the
business
-The SWOT analysis would treat opportunities are threats as factors that
usually can be controlled by the facility. - -False
-The Result of a SWOT analysis could be sufficient justification for the
abandonment of a core business function - -True
,-Staff evaluation are a relevant data source for a SWOT analysis - -True
-How might revenues be affected at a nearby daily fee course if the local tire
plant has major layoffs - -Go Down (decrease)
-Lack of a mission statement is an example of a weakness that a SWOT
analysis might disclose - -True
-Trends in local consumer spending would be most useful for evaluating a
core business function - -True
-What should govern the decision to pursue an opportunity? - -Finances -
Barriers to entry - recourses - opportunity cost
-Goals, Objectives & strategies - -
-Consider the following the statement as part of the a business plan:
"improve range profits and customer satisfaction." According to the business
planning course, this statement is an example of an objective. - -True
-The new manager of a ten - year - old private course currently doing an
average of 5, 000 tournament rounds per year, proposes to increase
tournament rounds by 50% by the end of the next year. This proposal meets
the criteria for an effective business objective as presented in the business
planning course manual. - -True
-"Develop and promote group lesson programs aimed at a women and
Juniors" is an example of an effective business objectives. - -False
-What Important Characteristic is missing in the business Objectives.
"Increase pro shop sales next year?" - -Measurables; How are you going to
measure
-Which Characteristics of goals and objectives is described as capable of
being observed, recorded, and measure. - -Quantifiable
-What is functionally significant difference between goals and objectives? - -
goal few clearly defined targets objectives of how we get the goal.
-A facilities financial objectives could achieved through operational strategies
alone. - -False
-The Following agenda was part of a golf range business plan."175 dozen
range balls and rotate usage three times a year. Who: Head Professional.
,When: End of First Quarter. Cost: $1500" According to the business plan
component represented by this statement? - -.......
-What is an example of a financial Strategy? - -Borrowing Money: Debt:
Reduce operating expense.
-What would be the most appropriate initial response to a facility income not
meeting projections. - -.......
-Financial, Forecast, and Budgets - -
-Calculating yield involves knowing the relationship between the amount
utilized and the amount available. - -True
-Gross Profit is what remains after calculating the difference between
revenue and cost of goods - -True
-Linear trend analysis and base year analysis are example of vertical analysis
- -False
-The Divisor in the linear trend formula - average percentage is the number
of years of change being measured. - -True
-Conducting a base year analysis is a good choice for a facility that has just
completed a project that added nine new holes to the original 9 - hole course
- -True
-Golf Shop sales of $100,000 yield gross margin of $30,000, What is the
percent of the cost of goods. - -30%
-What is the definition of "cost of goods sold" - -Cost used to by stock
-If the gross target margin for your golf shop were about 40%, what would be
the target % for your cost of goods sold? - -60%
-According to the business planning course manual, what is usually the
largest contributor to the bottom line profit of the facility - -Rounds
-What is the formula for Merchandise Net Operating Income? - -Revenue
Generated - Operating Expense
-What events would cause a change in the forecast for the golf shop
expense? - -
-What metric should be part of every forecast regardless of the type of the
facility - -
, -A Vision defines the short - Term objectives that must be accomplished in
the upcoming year. - -False
-A Facility profile defines the overall culture of the business - -True
-The projected customer base of certain golf facilities located in the United
States could assume members drawn from international Markets. - -True
-A yield Analysis is used to compile a facilities historical data on the number
of rounds played. - -True
-What is the process called when a manager reviews total rounds to
determine who is playing and when? - -Yield Analysis
-Mission Statements should include a definition of the facility's underlying
financial model. - -False
-A sound mission statement defines the long term vision and core values of a
facility - -True
-It is appropriate to address the role of the employee in the mission
statement - -False
-Assessing the current state of business. - -
-The interpretation of the quantitative data is less susceptible to differences
of opinion than qualitive data - -True
-Customer demographics is an internal factor - -False
-What type if information is typically provided by qualitive data. - -Likes;
Dislikes; Experiences
-What examples would be considered internal data sources for planning
purposes - -- Finances - Cogs etc..
-Cost of goods sold is an example of qualitive date - -False
-What information would be most useful to the planning team interested in
measuring the facilities past or current success - -Historical Yield Analysis
-The Utility of your business plan for managing Day to Day operations in a
golf shop depends on your ability to manage internal factors - -True
-Consider the following table:
