CAPSIM Quiz Questions with All
Correct Answers
What to review before making marketing decisions - Answer-Market segment pages in
the report (5-6)
Every dollar above price range will result in: - Answer-10% loss of demand
Scheduling based on 1st shift capacity - Answer-You can schedule up to 2x the 1st shift
capacity - 2nd shift workers are paid time and a half
Contribution margin needed for profitability - Answer-30% or higher for a nice profit,
20% or higher to make sure you are not losing money
When to add capacity/automation - Answer-When your 2nd shift percentage is very
high, you will need more capacity/automation to keep up with demand - they are added
after a year
Products are invented and revised by which department?
- Marketing
- Production
- Research and Development
- Finance - Answer-Research and Development
What is the industry newsletter called?
- Foundation FastTrack
- Foundation Quarterly
- Foundation Formula - Answer-Foundation FastTrack
Which of these investments is not a function of the Production department?
- Increasing Automation
- Wage Increases
- Creating new production lines - Answer-Wage Increases
What are your company's options for raising money?
- Borrowing Long-term debt
- Borrowing Short-term debt
- Issuing Stock
- A and C only
- A, B and C - Answer-A, B and C
Correct Answers
What to review before making marketing decisions - Answer-Market segment pages in
the report (5-6)
Every dollar above price range will result in: - Answer-10% loss of demand
Scheduling based on 1st shift capacity - Answer-You can schedule up to 2x the 1st shift
capacity - 2nd shift workers are paid time and a half
Contribution margin needed for profitability - Answer-30% or higher for a nice profit,
20% or higher to make sure you are not losing money
When to add capacity/automation - Answer-When your 2nd shift percentage is very
high, you will need more capacity/automation to keep up with demand - they are added
after a year
Products are invented and revised by which department?
- Marketing
- Production
- Research and Development
- Finance - Answer-Research and Development
What is the industry newsletter called?
- Foundation FastTrack
- Foundation Quarterly
- Foundation Formula - Answer-Foundation FastTrack
Which of these investments is not a function of the Production department?
- Increasing Automation
- Wage Increases
- Creating new production lines - Answer-Wage Increases
What are your company's options for raising money?
- Borrowing Long-term debt
- Borrowing Short-term debt
- Issuing Stock
- A and C only
- A, B and C - Answer-A, B and C
