Bertha's agency regularly employs four people:
two travel agents, one travel specialist, and
Bertha, who functions as a business manager.
Given the configuration of the office, which
information network would be most effective?
(A) Wheel network
(B) Chain network
(C) Circle network
(D) All-channel network
Give this one a try later!
(D) All-channel network
The Mart, a large retail chain, is considering
whether or not to close down a division. The
division's projected income statement for the next
,year follows.
Sales $20,000,000
Cost of goods sold 17,000,000
Gross profit 3,000,000
Operating costs:
Building rents $2,500,000
Store clerk salaries 3,000,000
Store utilities 1,200,000
Allocated home office cost 700,000
Total operating costs 7,400,000
Anticipated loss ($4,400,000)
The building rents arise from long-term leases that
cannot be cancelled. If The Mart closed down this
division, what would be the increase in company
profits?
(A) $700,000
(B) $1,200,000
(C) $3,000,000
(D) $4,400,000
Give this one a try later!
(B) $1,200,000
The company is looking for a replacement for one
of its markets. It has discovered that growth is
expected in the African market. The projected
direct fixed costs for Africa are $2,000, and the
expected sales volume is $67,500, with a
contribution margin of $27,000. Which of the
following should ZAPPY do?
(A) Enter the new African market and exit the
American market.
(B) Enter the new African market and exit the
European market.
(C) Enter the new African market and exit the
, Asian market.
(D) Do not replace any of the existing markets.
Give this one a try later!
(B) Enter the new African market and exit the
European market.
A state government office wants a special order
of furniture. Fjord is not currently operating at
full capacity, but accepting the special order
would require a reduction in production for
regular customers. The state order is 10 percent
less than Fjord normally charges. Fjord should
produce furniture for the state and reduce other
production if
(A) the gross margin on the reduced amount
of routine production is less than the
gross margin on the state order
(B) the profit margin on the reduced amount
of routine production is less than the
profit margin on the state order
(C) the total revenue for the reduced amount
of routine production is less than the total
revenue on the state order
(D) net income for the month would remain
unchanged by accepting the state order
Give this one a try later!
(A) the gross margin on the reduced amount
of routine production is less than the
gross margin on the state order
two travel agents, one travel specialist, and
Bertha, who functions as a business manager.
Given the configuration of the office, which
information network would be most effective?
(A) Wheel network
(B) Chain network
(C) Circle network
(D) All-channel network
Give this one a try later!
(D) All-channel network
The Mart, a large retail chain, is considering
whether or not to close down a division. The
division's projected income statement for the next
,year follows.
Sales $20,000,000
Cost of goods sold 17,000,000
Gross profit 3,000,000
Operating costs:
Building rents $2,500,000
Store clerk salaries 3,000,000
Store utilities 1,200,000
Allocated home office cost 700,000
Total operating costs 7,400,000
Anticipated loss ($4,400,000)
The building rents arise from long-term leases that
cannot be cancelled. If The Mart closed down this
division, what would be the increase in company
profits?
(A) $700,000
(B) $1,200,000
(C) $3,000,000
(D) $4,400,000
Give this one a try later!
(B) $1,200,000
The company is looking for a replacement for one
of its markets. It has discovered that growth is
expected in the African market. The projected
direct fixed costs for Africa are $2,000, and the
expected sales volume is $67,500, with a
contribution margin of $27,000. Which of the
following should ZAPPY do?
(A) Enter the new African market and exit the
American market.
(B) Enter the new African market and exit the
European market.
(C) Enter the new African market and exit the
, Asian market.
(D) Do not replace any of the existing markets.
Give this one a try later!
(B) Enter the new African market and exit the
European market.
A state government office wants a special order
of furniture. Fjord is not currently operating at
full capacity, but accepting the special order
would require a reduction in production for
regular customers. The state order is 10 percent
less than Fjord normally charges. Fjord should
produce furniture for the state and reduce other
production if
(A) the gross margin on the reduced amount
of routine production is less than the
gross margin on the state order
(B) the profit margin on the reduced amount
of routine production is less than the
profit margin on the state order
(C) the total revenue for the reduced amount
of routine production is less than the total
revenue on the state order
(D) net income for the month would remain
unchanged by accepting the state order
Give this one a try later!
(A) the gross margin on the reduced amount
of routine production is less than the
gross margin on the state order
