Bestsolutions1
PGA-PGM 3.0
LEVEL 1 TEST
QUESTIONS
AND ANSWERS
2025
,Bestsolutions1
1. The Process For Developing A Business Plan Starts Before You Establish The Goals You
Would Like To Achieve For The Shops Coming Year: True
2. Who Should Provide Direction For Creating The Business Plan At A Golf Operation:
Key Stakeholders
3. According To The Business Planning Model, A Business Plan Should Build On And Refine The
Operation Plan: False
4. Long - Range Planning Should Initially Assume An Adversarial Relationship Between
Neighboring Facilities That Directly Compete With Each Other.: True
5. What Is The Usual Business Destination For Long Range Planning?: 3-5 Years Achieve Its
Vision
6. What Is The Most Significant Benefit Of Strategic Business Planning.: Provide A Long Term
Vision & Destination
7. Helping Establish A Starting Point For Goals, Objectives, And Related Strate- Gies Is An
Appropriate Use Of A SWOT Analysis.: True
8. 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
9. A Golf Professional Is Purchasing A Golf Course. The Business Plan He Presented To His
Banker Included His History Of Operating Successfully Op- Erating 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
10. The SWOT Analysis Would Treat Opportunities Are Threats As Factors That Usually Can
Be Controlled By The Facility.: False
11. The Result Of A SWOT Analysis Could Be Sufficient Justification For The
Abandonment Of A Core Business Function: True
12. Staff Evaluation Are A Relevant Data Source For A SWOT Analysis: True
13. How Might Revenues Be Affected At A Nearby Daily Fee Course If The Local Tire Plant Has
Major Layoffs: Go Down (Decrease)
14. Lack Of A Mission Statement Is An Example Of A Weakness That A SWOT Analysis
Might Disclose: True
15. Trends In Local Consumer Spending Would Be Most Useful For Evaluating A Core Business
Function: True
16. What Should Govern The Decision To Pursue An Opportunity?: Finances - Barriers To
Entry - Recourses - Opportunity Cost
17. Goals, Objectives & Strategies:
,Bestsolutions1
18. 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
19. The New Manager Of A Ten - Year - Old Private Course Currently Doing An Av- Erage 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
20. "Develop And Promote Group Lesson Programs Aimed At A Women And Juniors" Is
An Example Of An Effective Business Objectives.: False
21. What Important Characteristic Is Missing In The Business Objectives. "In- Crease Pro Shop
Sales Next Year?": Measurables; How Are You Going To Measure
22. Which Characteristics Of Goals And Objectives Is Described As Capable Of Being
Observed, Recorded, And Measure.: Quantifiable
23. What Is Functionally Significant Difference Between Goals And Objectives?-
: Goal Few Clearly Defined Targets Objectives Of How We Get The Goal.
24. A Facilities Financial Objectives Could Achieved Through Operational Strate- Gies Alone.:
False
25. 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?:
.......
26. What Is An Example Of A Financial Strategy?: Borrowing Money: Debt: Reduce Operating
Expense.
27. What Would Be The Most Appropriate Initial Response To A Facility Income Not Meeting
Projections.: .......
28. Financial, Forecast, And Budgets:
29. Calculating Yield Involves Knowing The Relationship Between The Amount Utilized And
The Amount Available.: True
30. Gross Profit Is What Remains After Calculating The Difference Between Rev- Enue And
Cost Of Goods: True
31. Linear Trend Analysis And Base Year Analysis Are Example Of Vertical Analy- Sis: False
32. The Divisor In The Linear Trend Formula - Average Percentage Is The Number Of Years Of
Change Being Measured.: True
33. 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
,Bestsolutions1
34. Golf Shop Sales Of $100,000 Yield Gross Margin Of $30,000, What Is The Percent Of
The Cost Of Goods.: 30%
35. What Is The Definition Of "Cost Of Goods Sold": Cost Used To By Stock
36. If The Gross Target Margin For Your Golf Shop Were About 40%, What Would Be The
Target % For Your Cost Of Goods Sold?: 60%
37. According To The Business Planning Course Manual, What Is Usually The Largest
Contributor To The Bottom Line Profit Of The Facility: Rounds
38. What Is The Formula For Merchandise Net Operating Income?: Revenue Generated -
Operating Expense
39. What Events Would Cause A Change In The Forecast For The Golf Shop Expense?:
40. What Metric Should Be Part Of Every Forecast Regardless Of The Type Of The Facility:
41. A Vision Defines The Short - Term Objectives That Must Be Accomplished In The Upcoming
Year.: False
42. A Facility Profile Defines The Overall Culture Of The Business: True
43. The Projected Customer Base Of Certain Golf Facilities Located In The United States Could
Assume Members Drawn From International Markets.: True
44. A Yield Analysis Is Used To Compile A Facilities Historical Data On The Number Of
Rounds Played.: True
45. What Is The Process Called When A Manager Reviews Total Rounds To Deter- Mine Who Is
Playing And When?: Yield Analysis
46. Mission Statements Should Include A Definition Of The Facility's Underlying Financial
Model.: False
47. A Sound Mission Statement Defines The Long Term Vision And Core Values Of A Facility:
True
48. It Is Appropriate To Address The Role Of The Employee In The Mission State- Ment:
False
49. Assessing The Current State Of Business.:
50. The Interpretation Of The Quantitative Data Is Less Susceptible To Differences Of Opinion
Than Qualitive Data: True
51. Customer Demographics Is An Internal Factor: False
52. What Type If Information Is Typically Provided By Qualitive Data.: Likes; Dislikes;
Experiences
53. What Examples Would Be Considered Internal Data Sources For Planning Purposes: -
Finances - Cogs Etc..
54. Cost Of Goods Sold Is An Example Of Qualitive Date: False
55. What Information Would Be Most Useful To The Planning Team Interested In Measuring
The Facilities Past Or Current Success: Historical Yield Analysis
PGA-PGM 3.0
LEVEL 1 TEST
QUESTIONS
AND ANSWERS
2025
,Bestsolutions1
1. The Process For Developing A Business Plan Starts Before You Establish The Goals You
Would Like To Achieve For The Shops Coming Year: True
2. Who Should Provide Direction For Creating The Business Plan At A Golf Operation:
Key Stakeholders
3. According To The Business Planning Model, A Business Plan Should Build On And Refine The
Operation Plan: False
4. Long - Range Planning Should Initially Assume An Adversarial Relationship Between
Neighboring Facilities That Directly Compete With Each Other.: True
5. What Is The Usual Business Destination For Long Range Planning?: 3-5 Years Achieve Its
Vision
6. What Is The Most Significant Benefit Of Strategic Business Planning.: Provide A Long Term
Vision & Destination
7. Helping Establish A Starting Point For Goals, Objectives, And Related Strate- Gies Is An
Appropriate Use Of A SWOT Analysis.: True
8. 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
9. A Golf Professional Is Purchasing A Golf Course. The Business Plan He Presented To His
Banker Included His History Of Operating Successfully Op- Erating 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
10. The SWOT Analysis Would Treat Opportunities Are Threats As Factors That Usually Can
Be Controlled By The Facility.: False
11. The Result Of A SWOT Analysis Could Be Sufficient Justification For The
Abandonment Of A Core Business Function: True
12. Staff Evaluation Are A Relevant Data Source For A SWOT Analysis: True
13. How Might Revenues Be Affected At A Nearby Daily Fee Course If The Local Tire Plant Has
Major Layoffs: Go Down (Decrease)
14. Lack Of A Mission Statement Is An Example Of A Weakness That A SWOT Analysis
Might Disclose: True
15. Trends In Local Consumer Spending Would Be Most Useful For Evaluating A Core Business
Function: True
16. What Should Govern The Decision To Pursue An Opportunity?: Finances - Barriers To
Entry - Recourses - Opportunity Cost
17. Goals, Objectives & Strategies:
,Bestsolutions1
18. 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
19. The New Manager Of A Ten - Year - Old Private Course Currently Doing An Av- Erage 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
20. "Develop And Promote Group Lesson Programs Aimed At A Women And Juniors" Is
An Example Of An Effective Business Objectives.: False
21. What Important Characteristic Is Missing In The Business Objectives. "In- Crease Pro Shop
Sales Next Year?": Measurables; How Are You Going To Measure
22. Which Characteristics Of Goals And Objectives Is Described As Capable Of Being
Observed, Recorded, And Measure.: Quantifiable
23. What Is Functionally Significant Difference Between Goals And Objectives?-
: Goal Few Clearly Defined Targets Objectives Of How We Get The Goal.
24. A Facilities Financial Objectives Could Achieved Through Operational Strate- Gies Alone.:
False
25. 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?:
.......
26. What Is An Example Of A Financial Strategy?: Borrowing Money: Debt: Reduce Operating
Expense.
27. What Would Be The Most Appropriate Initial Response To A Facility Income Not Meeting
Projections.: .......
28. Financial, Forecast, And Budgets:
29. Calculating Yield Involves Knowing The Relationship Between The Amount Utilized And
The Amount Available.: True
30. Gross Profit Is What Remains After Calculating The Difference Between Rev- Enue And
Cost Of Goods: True
31. Linear Trend Analysis And Base Year Analysis Are Example Of Vertical Analy- Sis: False
32. The Divisor In The Linear Trend Formula - Average Percentage Is The Number Of Years Of
Change Being Measured.: True
33. 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
,Bestsolutions1
34. Golf Shop Sales Of $100,000 Yield Gross Margin Of $30,000, What Is The Percent Of
The Cost Of Goods.: 30%
35. What Is The Definition Of "Cost Of Goods Sold": Cost Used To By Stock
36. If The Gross Target Margin For Your Golf Shop Were About 40%, What Would Be The
Target % For Your Cost Of Goods Sold?: 60%
37. According To The Business Planning Course Manual, What Is Usually The Largest
Contributor To The Bottom Line Profit Of The Facility: Rounds
38. What Is The Formula For Merchandise Net Operating Income?: Revenue Generated -
Operating Expense
39. What Events Would Cause A Change In The Forecast For The Golf Shop Expense?:
40. What Metric Should Be Part Of Every Forecast Regardless Of The Type Of The Facility:
41. A Vision Defines The Short - Term Objectives That Must Be Accomplished In The Upcoming
Year.: False
42. A Facility Profile Defines The Overall Culture Of The Business: True
43. The Projected Customer Base Of Certain Golf Facilities Located In The United States Could
Assume Members Drawn From International Markets.: True
44. A Yield Analysis Is Used To Compile A Facilities Historical Data On The Number Of
Rounds Played.: True
45. What Is The Process Called When A Manager Reviews Total Rounds To Deter- Mine Who Is
Playing And When?: Yield Analysis
46. Mission Statements Should Include A Definition Of The Facility's Underlying Financial
Model.: False
47. A Sound Mission Statement Defines The Long Term Vision And Core Values Of A Facility:
True
48. It Is Appropriate To Address The Role Of The Employee In The Mission State- Ment:
False
49. Assessing The Current State Of Business.:
50. The Interpretation Of The Quantitative Data Is Less Susceptible To Differences Of Opinion
Than Qualitive Data: True
51. Customer Demographics Is An Internal Factor: False
52. What Type If Information Is Typically Provided By Qualitive Data.: Likes; Dislikes;
Experiences
53. What Examples Would Be Considered Internal Data Sources For Planning Purposes: -
Finances - Cogs Etc..
54. Cost Of Goods Sold Is An Example Of Qualitive Date: False
55. What Information Would Be Most Useful To The Planning Team Interested In Measuring
The Facilities Past Or Current Success: Historical Yield Analysis
