Which would be a liability on a balance sheet of a commercial bank?
a. An outstanding commercial loan
b. A U.S. Treasury bond
c. A certificate of deposit issued by the bank
d. Vault cash
e. None of the above
Question 2
Profit-maximizing industrialists are concerned with both revenues and costs. Transportation and production costs are an important part of total costs. Both are impacted by
(a) location and power sources.
(b) the cost of managing large quantities of productive resources found anywhere along the production chain.
(c) the ability to concentrate or group resources in the same place.
(d) all of the above.
Question 3
The American Revolution and Constitution resulted in
(a) a dramatic change in laws and the ownership of property.
(b) greatly expanded rights for wage workers and indentured servants.
(c) the elimination of a land-owning aristocracy.
(d) very little major change with respect to laws and ownership of property, though there was
a strengthening of property rights.
Question 4
Heavy business taxes
(a) vary according to firm size.
(b) benefit small firms but cost large ones.
(c) stifle entrepreneurial activity.
(d) can be described by all of the above.
Question 5
The federal funds interest rate
a. can be raised or lowered by the Federal Reserve to regulate the volume of loans to banks.
b. is administered by the Open Market Committee.
c. increases when the fed conducts open market purchases.
d. is set by Congress.
e. none of the above.
Question 6
Internal economies in the U.S. during its period of industrialization involved the
(a) production of goods in factories.
(b) production in small, isolated towns spread throughout the U.S.
(c) production of goods in factories grouped together in the same geographical region.
(d) production of goods in isolated factories spread throughout the U.S.
Question 7
Chief Justice John Marshall had a strong conviction that
(a) slavery would only work in the South.
(b) a country needs a central government with enough power to place in check state and local interests when the development and growth of the country is concerned.
(c) strong state banking systems would help the nation's commerce.
(d) the Constitution should be interpreted literally.
Question 8
If the Fed follows a policy of fixed exchange rates, an undervalued dollar will force the Fed to
a. conduct open market purchases.
b. raise the discount rate.
c. raise the required reserve ratio.
d. cut taxes or raise government spending.
Question 9
Special interest groups (such as doctors, teachers, lawyers, health insurance companies, the automobile industry and others) can best be characterized by which of the following statements?
(a) They are constantly working the government to seek rents from policy decisions.
(b) They are resistant to change in governmental policies that benefit them at the expense of others.
(c) They help push through federal policies that result in technological backwardness, low productivity and less overall economic growth.
(d) They can be characterized by all of the above.
Question 10
Legal reserve requirements specify that banks must hold a certain percentage of their deposit liabilities
a. in currency only.
b. as deposits at regional Federal Reserve Banks only.
c. either in currency or as deposits at regional Federal Reserve Banks.
d. None of the above
|
|
Sedona Inc. is an American firm that manufactures high-quality handbags, duffel bags, and leather belts at its facility in Arizona. Sedona's products have been featured in various fashion magazines and as a result, consumer demand has increased significantly. Currently, Sedona is organized as a domestic structure plus export department. Executives at Sedona believe the firm is ready to internationalize its operations, and they are considering various organizational structures. Which of the following best supports the argument that Sedona should give its subsidiary managers significant autonomy?
A) Praxis Inc., one of Sedona's domestic competitors, has a flat organizational structure.
B) Sedona is a family-owned business that began as a subsidiary to Aloha enterprises.
C) Sedona has recently reorganized into a domestic structure plus foreign subsidiary.
D) Sedona conducts a large percentage of domestic sales through the company's web site.
|
|
Which of the following is dedicated to monitoring issues of data privacy in Europe?
A) the Telecommunications Data Protection directive
B) the EU Data Retention Directive
C) the EU Directive of Data Protection
D) the Privacy and Electronic Communications EC Directive
|
|
Which type of country is most likely to use its investment laws to acquire appropriate technology?
A) post-industrial country
B) newly industrializing country
C) less-developed country
D) highly developed country
|
|
Primo is a multinational enterprise based in California that manufactures and sells affordably priced athletic shoes in retail stores around the world. A Primo manufacturing subsidiary in China employs over 20,000 locals. Primo executives recently learned of human rights violations at the firm's China subsidiary. Workers had been forced to work more than 60 hours each week, and minimum wage laws were regularly ignored. As a result, Primo executives need to decide whether to continue operations in China. Which of the following is MOST relevant to the decision by Primo to remain in China?
A) the extent of effect that bribery has on decisions made by Primo's global managers in China
B) the methods of dealing with the hazardous waste created by Primo's China manufacturing facility
C) the benefits that the local Chinese community might have
D) the changes that need to be made by Primo managers to show more respect for the Chinese culture
|
|
Which of the following statements best define a product differentiation strategy?
A) It describes how an organization can increase customer base by differentiating its' product prices from its competitors.
B) It is an organization's ability to achieve lower costs relative to competitors through productivity and efficiency improvements, elimination of waste, and tight cost control.
C) It describes how an organization can decrease product prices by differentiating its' raw materials from its competitors.
D) It is an organization's ability to offer products or services its customers perceive to be superior and unique relative to the products or services of its competitors.
|
|
Although there are many marketing activities that impact the success or failure of strategy-implementation efforts, three activities are indicated in the text as being especially important. What are these three activities? Discuss why they are so important.
|
|
|
|
|
The ability of a group of firms to work together to reduce competition in their market or industry is called ________.
A) collaboration
B) fragmentation
C) collusion
D) differentiation
|
|
Explicit collusion exists when firms in an industry directly negotiate agreements about how to reduce competition.
[True or False?]
|
|
