Washington State University - Pullman Campus

Which of the following statements is true of entrepreneurs? a. They produce a ripple effect that enriches everyone around them. b. They are bound to face recurring loses before making a profit. c. They serve the society instead of creating wealth for themselves. d. They do not risk their time and money when managing a business. Ans a. They produce a ripple effect that enriches everyone around them. In the context of a business environment, which of the following is a key...

Cost-Benefit Principle Ans An individual (or a firm or a society) should take an action if, and only if, the extra benefits from taking the action are at least as great as the extra costs. opportunity cost Ans Cost of the next best alternative use of money, time, or resources when one choice is made rather than another Retail Ans A business that sells products directly to consumers. Example: A clothing store like H&M. Services Ans A business that provides services rath...

Marketing Definition Ans the process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return What is essential to successful marketing Ans the idea of value, the exchange of value, and lasting relationships What is hospitality Ans any organization that provides food, shelter, and other services to people away from home What is service Ans what brings people back, what prevents them from leaving, ...

Queue Ans line or sequence of people or vehicles waiting their turn to be attended to or to proceed Cycle Time Ans the time it takes to complete a task (such as filling an order) Throughput Ans the units a system can produce and within a specified period of time (determined by system cycle time; driven by bottleneck task) Capacity Ans the max level of units that a system can produce Utilization (definition) Ans the percentage of capacity that is actually being ...

Which of the following is not a part of the strategic role of Supply Chain Management? a. managing marketing campaigns b. promoting sustainability c. managing risks d. responding to customer needs Ans a. managing marketing campaigns What is a value chain? a. All the elements and processes that add value as raw materials are transformed into the final products made available to the ultimate customer. b. A connected series of metallic links that are typically comprised of...

Finance statements Ans provide information about organizations financial strength What are Financial statements? Ans They are Balance sheets, Income statements, Statements of cash flows What are financial statement sheets used for? Ans Used to spot opportunities and problems, help make business decisions balance sheet Ans a statement of a firms financial position on a particular date, also known as statement of financial position fiscal year Ans any 12 consecutiv...

Return on Sales: Definition Ans how well a company generates profit Return of Equity: Definition Ans income earned on owner's investment Earning per Share: Definition Ans profit earned per share outstanding Current Ratio: Definition Ans whether a company can pay its bills Quick Ratios: Definition Ans whether a company can pay its bills without inventory Inventory Turnover: Definition Ans how well a company manages inventory

SWOT analysis Ans Strengths: What do we do well? (Internal Factors) Weaknesses: What do we lack? (Internal Factors) Opportunities: positive situations (external factors) that represent generating new revenue Threats: negative forces (external factors) that inhibit a firms ability to achieve its objectives KindyBis SWOT Ans S: high quality socks, larger market presence, economically friendly W: decreasing sales, high cost of production, only one made of transp...

assets Ans resources owned by a business that hold intrinsic, quantifiable value. balance sheet Ans provides detail information about assets, liabilities, and owner's equity. assets = liabilities + owners equity cash flow statement Ans offers a detailed narrative of what happened to the business' cash during a period costs of goods sold (COGS) Ans the expenses related to the business' producing a good, such as purchased materials and the labor used in produc...

Owner's Equity Ans Assets - Liabilities A company has the following assets: (1) Fixed assets worth $30,000 and (2) investments worth $6,000. The company's total liabilities amount to $25,000. What is the owners' equity of the company? Ans $11,000 Owners' equity = Assets - Liabilities = $36,000 - $25,000 = $11,000 Which of the following is an example of a current asset? Accounts Receivable Goodwill Land Equipment Intellectual Property Ans Accounts Recei...