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A department manager telephoned two managers in other departments to discuss a cost savings idea that would benefit their departments as well as her own. Which of the following most accurately defines the communication channel that the manager was using?(A) Upward(B) Lateral(C) Downward(D) HierarchicalNet income $100,000Depreciation expense $10,000Net increase in accounts receivable $5,000Net increase in accounts payable $3,000On the basis of the information provided in the table above for a corporation, the corporation's net cash flow from operating activities for the current year is(A) $98,000(B) $102,000(C) $108,000(D) $118,000A small number of people with complementary skills who are committed to a common purpose, a set of performance goals, and an approach for which they hold themselves mutually accountable is referred to as a(A) committee(B) task force(C) group(D) teamA firm that would like to know whether it has enough cash to meet its bills would be most likely to use which category of financial ratio?(A) Liquidity(B) Leverage(C) Efficiency(D) ProfitabilitySaint Martin Hospital boasts one of the world's leading medical imaging programs. Its radiology department specializes in the early detection of particularly serious forms of stomach, intestinal, and colon cancer. The hospital plans to invest in a new system of digital medical imaging and image transmission technologies that will enable its radiologists to view and evaluate intestinal scan results from anywhere in the world.With this investment, the hospital is attempting to overcome which of the constraints of services marketing?(A) Inventory(B) Intangibility(C) Inconsistency(D) InseparabilityFamily branding refers to a group of(A) similar brands of products from different makers(B) different brands of products from different makers within the same industry(C) different products marketed under a single brand name(D) similar products sold by small, family-owned firmsWhen a domestic firm permits a foreign company to manufacture and sell its product in exchange for a fee or royalty, the process is termed(A) importing(B) exporting(C) licensing(D) counter tradinga branched molecule of alpha glucose joined by 1-4 and 1-6 glycosidic bondsIn the statement of cash flows, the section for cash flows from operating activities will include which of the following?(A) Dividends paid(B) Issuance of common stock(C) A decrease in accounts payable(D) Purchase of a building financed entirely by a mortgageAn information system that enables all business departments in the same firm to share relevant information and data is called(A) an enterprise resource planning (ERP) system(B) a material requirements planning (MRP) system(C) a decision support system (DSS)(D) a point-of-sale (POS) systemThe Organization of the Petroleum Exporting Countries (OPEC) reduces production by 10 percent, and thegrowth rate of the world economy begins to escalate. How will the simultaneous occurrence of these events affectthe equilibrium price and quantity in the world petroleum market?(A) Price will increase, but quantity will remain unchanged.(B) Price will increase, but quantity is indeterminate.(C) Quantity will increase, but price is indeterminate.(D) Both price and quantity will increase.Which of the following would most likely occur as a result of the United States government's imposing tariffson foreign steel imports?(A) The price of steel produced in the United States would decrease.(B) The price of imported steel in the United States would decrease.(C) Employment in the United States steel industry would increase.(D) Government tax revenue would fall.Which of the following statements about a systems flowchart is true?(A) It is used in systems design to define and describe each piece of data.(B) It is a method of writing programs using only three basic constructs: sequence, selection,and repetition.(C) It documents the sequence of processing steps that take place in an information system.(D) It documents the logical design of an information system.The term "net working capital" refers to(A) inventories, receivables, and current notes and investments(B) assets divided by liabilities(C) current assets less short-term liabilities(D) net assets left over after subtracting cost of goods soldIf the spread between the spot and forward exchange rates of two currencies equals the interest ratedifference between the two countries, this phenomenon is referred to as(A) purchasing-power equality(B) commodity arbitrage(C) currency hedging(D) interest-rate parityIn organizational decision making, managers are able to exercise the greatest degree of discretion in the(A) enforcement of internal policies(B) settlement of legal disputes(C) restructuring of outstanding loans(D) compliance with federal regulationsWhich of the following statements about the tort of negligence is true?(A) It cannot be used as a basis for liability for defective products.(B) It is a strict liability tort with no defenses.(C) It requires proof of some intentional conduct.(D) It requires proof of breach of a statutory or common-law dutyA project consists of 150 jobs. The expected completion time for each job is given in days. The project has threecritical paths with two jobs in common, J and K. In order to finish the project one day early, the completion timeshould be reduced one day for(A) each of the 150 jobs(B) each of the jobs on the three critical paths(C) either Job J or Job K(D) both Job J and Job KWhich of the following is an appropriate Federal Reserve action to stimulate the United States economy?(A) Selling government bonds on the open market(B) Increasing the discount rate(C) Reducing the reserve requirement(D) Cutting taxesDreamland Pillow Company sells the "Old Softy" model for $20 each. One pillow requires two pounds of raw material and one hour of direct labor to manufacture.Raw material costs $3 per pound and direct production labor is paid $4 per hour. Fixed supervisory costs are$2,000 per month and Dreamland rents its factory on a five-year lease for $4,000 per month. All costs are considered costs of production.4. How many pillows must Dreamland produce and sell each month to earn a monthly gross profit of $1,000?(A) 300(B) 350(C) 600(D) 700
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