GLO-BUS QUIZ 2 QUESTIONS WITH
CORRECT
DETAILED ANSWERS || ALREADY
GRADED A+ < LATEST VERSION >
1.) Which one of the following is NOT a way to improve the P/Q rating
of a company's brand of multi-featured cameras - ANSWER 🗸
Increasing the number of models in the company's line of multi-
featured cameras.
2.) Assume a company's Income Statement for a given quarter is as
follows: Sales Revenues (50,000), Production Costs (26,500),
Delivery Costs (1,600), Marketing Costs (8,500), Administrative
Expenses (2,000), Operating Profit (14,400), Net Interest (750),
Income Before Taxes (13,650), Taxes (4,095), Net Income (9,555).
Based on the above data, which of the following statements is false? -
ANSWER 🗸 Delivery costs are 2.8% of revenues and represent the
company's smallest cost component.
3.) One of the benefits of pursuing a strategy of social responsibility and
corporate citizenship is - ANSWER 🗸 An enhanced image rating,
provided company spending for socially responsible activities is
meaningful and is sustained over a multi-year period.
,4.) Which of the following is NOT an action company co-managers can
take to boost a subpar ROE? - ANSWER 🗸 Issue additional shares of
stock and use the proceeds to pay down the debt outstanding on the
company's line of credit.
5.) Which one of the following actions is usually a dependable and
appealing way for managers to try to boost their company's EPS? -
ANSWER 🗸 Achieve a differentiation-based competitive advantage
over rivals in both the entry-level and multi-featured camera
segments that company managers are savvy enough to sustain; as the
market demand for digital cameras grows worldwide and the
company exploits its competitive advantage to win additional sales,
the profit margins from a growing sales volume of entry-level and
multi-featured digital cameras typically results in increase in EPS.
6.) According to explanations provided on the Help screens for the
Production Cost Report, if a company pays a PAT member a base
wage of $18,000, a $60 quarterly bonus for perfect attendance, and
annual fringe benefits of $2,500, if a PAT is paid a $1 incentive
bonus per camera assembled, and if a PAT assembles 12,000 cameras
per year (or 3000 cameras per quarter), than the annual compensation
cost of a single PAT member and a fully-staffed PAT would be -
ANSWER 🗸 $23,740 and $94,960.
7.) If a company earns net income of $40 million in Year 8, has 10
million shares of stock, pays a dividend of $1,50 per share, and has
annual interest costs of $15 million, then - ANSWER 🗸 The
company's EPS for Year 8 would be $4.00 and its retaining earnings
for Year 8 would be $25 million (net income of $40 million less
dividend payments of $15 million).
8.) Which one of the following is an attractive and effective way to
reduce the production costs of multi-featured cameras and help put
the company in better position to achieve a low-cost competitive
, advantage over rival companies based on lower production and
marketing costs per multi-featured camera sold? - ANSWER 🗸
Striving to keep the labor costs per camera assembled in-house to
amounts that are well below the industry-average benchmark (as
reported on p. 5 of each issue of the Glo-BUS Statistical Review).
9.) If a company is being outcompeted by various rival companies in the
Europe-Africa market for mulit-featured cameras and consequently
has an unappealing low sales volume and market share in Europe-
Africa, then company managers should - ANSWER 🗸 Explore
correcting most or all of the company's competitive weaknesses
(shown at the bottom of the latest Competitive Intelligence Report for
the Europe-Africa region); in addition, managers should initiate
actions that they believe will result in the company having at least
two important competitive strengths vis-a-vis its Europe-Africa rivals
in the upcoming decision round.
10.) The most important/essential results from the latest decision round
that company managers need to review/study in order to guide their
strategic moves and decisions to improve their company's
competitiveness and rank among the top-performing companies in
the upcoming decision round are - ANSWER 🗸 The Quarterly
Snapshot data in the top sections of the Competitive Intelligence
Report that shows each company's competitive efforts (advertising,
tech support, prices, P/Q ratings, promotions, models available, and
so on) in each geographic region.
11.) A company's managers should give serious consideration to
changing from a low-cost/low price strategy for multi-featured
cameras to a different strategy in the multi-featured camera market
when - ANSWER 🗸 So many other rival companies are marketing
low-priced multi-featured cameras that intensive competition in the
low-end multi-featured camera segment makes it quite difficult for
every company competing for buyers of low-priced multi-featured
CORRECT
DETAILED ANSWERS || ALREADY
GRADED A+ < LATEST VERSION >
1.) Which one of the following is NOT a way to improve the P/Q rating
of a company's brand of multi-featured cameras - ANSWER 🗸
Increasing the number of models in the company's line of multi-
featured cameras.
2.) Assume a company's Income Statement for a given quarter is as
follows: Sales Revenues (50,000), Production Costs (26,500),
Delivery Costs (1,600), Marketing Costs (8,500), Administrative
Expenses (2,000), Operating Profit (14,400), Net Interest (750),
Income Before Taxes (13,650), Taxes (4,095), Net Income (9,555).
Based on the above data, which of the following statements is false? -
ANSWER 🗸 Delivery costs are 2.8% of revenues and represent the
company's smallest cost component.
3.) One of the benefits of pursuing a strategy of social responsibility and
corporate citizenship is - ANSWER 🗸 An enhanced image rating,
provided company spending for socially responsible activities is
meaningful and is sustained over a multi-year period.
,4.) Which of the following is NOT an action company co-managers can
take to boost a subpar ROE? - ANSWER 🗸 Issue additional shares of
stock and use the proceeds to pay down the debt outstanding on the
company's line of credit.
5.) Which one of the following actions is usually a dependable and
appealing way for managers to try to boost their company's EPS? -
ANSWER 🗸 Achieve a differentiation-based competitive advantage
over rivals in both the entry-level and multi-featured camera
segments that company managers are savvy enough to sustain; as the
market demand for digital cameras grows worldwide and the
company exploits its competitive advantage to win additional sales,
the profit margins from a growing sales volume of entry-level and
multi-featured digital cameras typically results in increase in EPS.
6.) According to explanations provided on the Help screens for the
Production Cost Report, if a company pays a PAT member a base
wage of $18,000, a $60 quarterly bonus for perfect attendance, and
annual fringe benefits of $2,500, if a PAT is paid a $1 incentive
bonus per camera assembled, and if a PAT assembles 12,000 cameras
per year (or 3000 cameras per quarter), than the annual compensation
cost of a single PAT member and a fully-staffed PAT would be -
ANSWER 🗸 $23,740 and $94,960.
7.) If a company earns net income of $40 million in Year 8, has 10
million shares of stock, pays a dividend of $1,50 per share, and has
annual interest costs of $15 million, then - ANSWER 🗸 The
company's EPS for Year 8 would be $4.00 and its retaining earnings
for Year 8 would be $25 million (net income of $40 million less
dividend payments of $15 million).
8.) Which one of the following is an attractive and effective way to
reduce the production costs of multi-featured cameras and help put
the company in better position to achieve a low-cost competitive
, advantage over rival companies based on lower production and
marketing costs per multi-featured camera sold? - ANSWER 🗸
Striving to keep the labor costs per camera assembled in-house to
amounts that are well below the industry-average benchmark (as
reported on p. 5 of each issue of the Glo-BUS Statistical Review).
9.) If a company is being outcompeted by various rival companies in the
Europe-Africa market for mulit-featured cameras and consequently
has an unappealing low sales volume and market share in Europe-
Africa, then company managers should - ANSWER 🗸 Explore
correcting most or all of the company's competitive weaknesses
(shown at the bottom of the latest Competitive Intelligence Report for
the Europe-Africa region); in addition, managers should initiate
actions that they believe will result in the company having at least
two important competitive strengths vis-a-vis its Europe-Africa rivals
in the upcoming decision round.
10.) The most important/essential results from the latest decision round
that company managers need to review/study in order to guide their
strategic moves and decisions to improve their company's
competitiveness and rank among the top-performing companies in
the upcoming decision round are - ANSWER 🗸 The Quarterly
Snapshot data in the top sections of the Competitive Intelligence
Report that shows each company's competitive efforts (advertising,
tech support, prices, P/Q ratings, promotions, models available, and
so on) in each geographic region.
11.) A company's managers should give serious consideration to
changing from a low-cost/low price strategy for multi-featured
cameras to a different strategy in the multi-featured camera market
when - ANSWER 🗸 So many other rival companies are marketing
low-priced multi-featured cameras that intensive competition in the
low-end multi-featured camera segment makes it quite difficult for
every company competing for buyers of low-priced multi-featured
