Resources that a firm owns are called:
A) revenues.
B) liabilities.
C) owner's equities.
D) assets.
E) expenses.
Question 2 - A high-volume manufacturing firm concentrates decisions at the top of the organization. What is the likely effect on the organization?
A) Higher efficiency, lower employee empowerment
B) Higher efficiency, higher employee empowerment
C) Higher responsiveness, lower employee empowerment
D) Lower efficiency, higher employee empowerment
E) Lower responsiveness, lower efficiency
Question 3 - An airplane that FedEx owns and uses to deliver packages is a(n) _____ of FedEx.
A) liability
B) asset
C) fixed cost
D) expense
E) revenue
Question 4 - A biotechnology company is constantly faced with important decisions that are likely to have severe consequences for the future of the company. They need to make efficient, fast decisions that set the direction of the company. The top managers should:
A) decentralize decision-making authority.
B) appoint lawyers to make business decisions.
C) train first-line managers to make these decisions.
D) exercise centralized decision-making authority.
E) consult investors when making daily decisions.
Question 5 - 3,500Shivam Patel's brand new company, NexxtGen, has about 800,000, but Shivam is nervous because all of that money is either from investors or bank loans. The company hasn't actually made any money from operations yet. The _____________ displays this information.
A) expense statement
B) revenue report
C) balance sheet
D) income statement
E) statement of cash flows
Quick Reply
