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BUS 475 All Assignments (New Syllabus)
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BUS 475 Assignment Week 1 Mission, Vision, and You (New Syllabus)
(Under Armour)
BUS 475 Assignment Week 2 Apply Internal and External
Environmental Analysis (Hoosier Media Inc)
BUS 475 Assignment Week 3 Apply Balanced Scorecard Template
(New Syllabus)
BUS 475 Assignment Week 4 Apply Implementation and
Communication Plan Case Study (Hoosier Media Inc)
BUS 475 Assignment Week 5 Apply Strategic Plan Evaluation (Hoosier
Media Inc)
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BUS 475 Assignment Week 1 Mission, Vision,
and You (New Syllabus) (Under Armour)

Select a company and identify its mission, vision, and values.
Address the following in 525 to 700 words:
 Evaluate whether the company's actions seem to align with their
vision and mission statements.
 Examine how the mission and vision of the organization might
affect or guide employees in the company.
 Describe the company's culture based on your analysis.
Click the Assignment Files tab to submit your assignment.
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BUS 475 Assignment Week 1 Mission, Vision,
and You (New Syllabus) (Walmart)
Select a company and identify its mission, vision, and values.
Address the following in 525 to 700 words:
 Evaluate whether the company's actions seem to align with their
vision and mission statements.

 Examine how the mission and vision of the organization might
affect or guide employees in the company.
 Describe the company's culture based on your analysis.
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BUS 475 Assignment Week 2 Apply Internal and
External Environmental Analysis (Hoosier
Media Inc) (2 Papers)
You work for a consulting firm whose primary objective is to help
businesses improve their strategic operations. Your firm recently was
hired by a newspaper company named Hoosier Media Inc. The client's
print newspaper circulation and subscriptions have declined, resulting in
30% lower revenues over the last five years. Online ad revenues have
increased but currently account for just 5% of the company's revenue.
You have been tasked with providing a comprehensive internal and
external analysis to help the firm improve its business operations.
Create a 700- to 1,050-word analysis that includes the following:
 Identify economic, legal, and regulatory forces and trends.
 Critique how well the organization adapts to change.
 Discuss the primary internal organizational considerations.

 Discuss the primary external organization considerations.
 Identify the major issues and/or opportunities the company faces
based on your analysis.
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BUS 475 Assignment Week 3 Apply Balanced
Scorecard Template (New Syllabus) (2 Papers)
Develop three strategic objectives for each of the four balanced
scorecard areas using the Balanced Scorecard Template.
Balanced Scorecard Template
Background
Strategic objectives are measure of attaining your vision and mission.
They reflect the vision, mission, and values of the business as well as the
outcomes of the internal and external environmental analysis.
Scorecard Areas

Develop at least three strategic objectives for each of the four balanced
scorecard areas.
Financial Objectives Measures Targets
Customers Objectives Measures Targets
Internal Business Process Objectives Measures
Targets
Learning and Growth Objectives Measures Targets
Reflection
Assess, in no more than 350 words, trends, assumptions, and risks of
Hoosier Media, Inc.’s business model after completing the strategic
objectives for each area.
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BUS 475 Assignment Week 4 Apply
Implementation and Communication Plan Case
Study (Hoosier Media Inc) (2 Papers)

Consider the following information relative to your consulting
engagement for Hoosier Media, Inc.
Marketing
Currently Hoosier Media utilizes traditional media vehicles for
marketing. This includes print advertising to solicit new and renewal
newspaper subscriptions. Other marketing tactics currently used include
regional television and radio advertising spots. Management has
expressed interest in expanding its marketing reach through social media
and mobile app technology but is unsure how to move forward in those
areas.
Information technology
Hoosier Media's newsroom is in dire need of technological updates. All
workstations currently have desktop computers; however, many
employees have been requesting the ability to work from home as well
as have access to company networks while on the road for business.
Many of the younger employees would like to have access to iPads and
would like to replace their desktop computer with lightweight laptop
computers.
For the next phase of your consulting engagement, address the
following in a 700- to 1,050-word paper:
 Propose marketing and information technology implementation
tactics for Hoosier Media, Inc.
The paper should also reflect on how the company should communicate
its strategic plan to key stakeholders by:
 Identifying the information that should be communicated.
 Defining the audience that should receive the communication.
 Identifying the channel(s) of communication.
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BUS 475 Assignment Week 5 Apply Strategic
Plan Evaluation (Hoosier Media Inc) (2 PPT)
Refer back to the Week 2 company, Hoosier Media, Inc. Your
consulting firm is now ready to present suggestions regarding the
strategic plan of Hoosier Media, Inc.
In a 10- to 20-slide presentation with speaker notes, address the
following which will be presented to the Director of Marketing:
 The best possible options for evaluating a strategic plan
 Corrective actions that should be taken to ensure company
operations are correctly aligned with the strategic plan
Include the following in your presentation:
 How should the company measure organizational performance?
 How will the company examine what progress is being made
toward the stated objectives?
 What criteria will be used when determining whether company
objectives are measurable and verifiable?
 Based on your knowledge of the company, what changes should be
made to reposition Hoosier Media competitively for the future?
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BUS 475 Capstone Final Exam Part 1 and 2
(New, 2019)
BUS 475 Capstone Final Examination Part 1 (New, 2018)
BUS 475 Capstone Final Examination Part 2 (New, 2018)
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BUS 475 Capstone Final Examination Part 1
(New, 2019)

From the following information calculate the net increase in cash.
• $88,780
• $18,620
• $13,220
• $23,380
Irvin’s Ice Creams a popular chain of ice cream parlors located only in
the United States is looking for opportunities to grow its business.
Which of the following suggestions, if provided by the company’s
marketing manager, would present the least amount of risk to the firm?
• Leveraging the firm’s brand value by selling children’s toys
• Increasing sales by increasing the number of stores in the United States
• Selling Irvin’s branded clothing in a new market
• Selling its current products in an attractive new market
Claudia is a team lead in an organization. One day at work a team
member Marc informs Claudia that he wants to speak to her about the
problems that he faces at work. Marc tells her that he is being treated
unfairly at work and that his colleagues often ridicule him because of his
ethnicity. He goes on to say that his disturbed state of mind has caused a
dip in the productivity and quality of his work. Claudia does not
interrupt him when he is speaking and encourages him to talk openly.
She also lets him know that she understands his situation and that his
feelings are valid. In this scenario, Claudia is primarily engaged in
__________.
• selective listening
• passive listening
• empathic listening
• defensive listening
Calculate the net working capital from the information given below. The
figures are in millions of dollars.

• $(140)
• $520
• $610
• $1,030
TwissData Corp. is an electronics firm based in Damiya that
manufactures motherboards. Because of a rapid growth in the personal
computing industry, TwissData Corp. decides to produce personal
desktops and laptops instead of motherboards. By doing so, which type
of market-product strategy has TwissData Corp. applied?
• Product development
• Diversification
• Market penetration
• Market development
Zuckain Corp. has issued a 10-year coupon bond. The bond is issued at
an annual coupon rate of 14%. The face value of the bond is $1,500, and
the bond is currently trading at $1,232.56. Calculate the bond’s yield to
maturity.
• 64%
• 32%
• 25%
• 95%
The current price of Latera Corporation’s common stock is $45 per
share. The company expects to pay a dividend of $3.30 per share during
the next year. The expected growth rate of the stock is 12%. Calculate
the cost of equity using the constant-growth model.
• 33%
• 60%
• 64%
• 33%
General Pharmacy’s stock has a beta of 1.8 and an expected return of
14%, and Sicoras Corp.’s stock has a beta of 1.5 and an expected return
of 16.2%. Assuming capital-asset pricing model holds, calculate the
return on the market portfolio.
• 3%

• 2%
• 6%
• 9%
In 2006, Dexel Electronics Inc. introduced audio systems in the market
for electronic gadgets. Because of an increase in sales volume as well as
a growing proportion of repeat purchasers, the company has now
upgraded the old version of audio systems by introducing new features.
Given this information, in which stage of the product life cycle does
Dexel Electronics lie?
• Growth
• Decline
• Introduction
• Maturity
FarmFresh Inc. partners with multiple retailers to sell its organic
products. If stocks fall below a product’s threshold, the retail managers
raise purchase orders to FarmFresh. It takes two days for FarmFresh to
process the orders and dispatch the products. The process proves to be
ineffective when the retail stores do not have the stock to meet a sudden
increase in demand. How can supply chain management (SCM) systems
solve this problem and make the process more efficient?
• The retail stores can track the status of a shipment.
• Managers from the retail stores can raise purchase orders over
telephone.
• FarmFresh can have real-time access to sales information.
• Customers can track the status of a product delivery.
LaBelle, a famous cosmetic brand, introduces a new skin cleanser.
Initially, the product does extremely well and reaps huge profits for the
company. After using the product for few months, consumers having
acne complain of rashes and allergies. An external chemical agency
accuses that the company used a harsh chemical that causes allergies to
people with acne, and it did not include it on the ingredients list
displayed on the product’s label. These harsh chemicals did not cause
allergies to people with normal skin. When enquired, the company’s
CEO confesses that the products would have not done so well if they had
listed the chemical. The company can be charged with __________.

• battery
• fraud
• defamation
• Assault
Ricalta Inc. earns a total of $500,000 before interest and taxes. Its total
debt is $1,110,000 (costing 5%). It has 150,000 shares of common stock
at $5 per share. The firm is considering reducing its debt by $450,000 by
issuing an additional 90,000 shares of common stock. The firm is in the
35 percent tax bracket. Its earnings before interest and taxes will remain
the same as the new capital structure will not impact the firm’s
operations. Which of the following will be a consequence of the change
in Ricalta’s capital structure?
• The firm’s earnings before taxes (EBT) will remain unchanged.
• The firm’s net income will decrease by $14,625.
• The firm’s earnings per share (EPS) will be reduced by $0.66.
• The firm’s net income will increase by $10,625.
The capital structure of Wilken Corporation is given below.
Calculate the weighted average cost of capital (WACC).
Additional details are as follows:
• 35%
• 65%
• 75%
• 45%
Mirabel Inc. has recently ventured into the home cleaning supplies
market with its very own floor cleaner, Flofix, which does not contain
any harmful chemicals such as phenol. The company has used
aggressive marketing strategies and innovative advertising campaigns to
promote the product. The company’s revenue analysis shows that the
sales for the product are increasing steadily. However, when the market
survey team of the company surveyed a large number of consumers in

the target market, the consumers mentioned that they had not switched
over to the new brand of floor cleaner. Which of the following, if true,
best explains how the sales for the company went up in spite of
consumers not purchasing the product?
• People prefer to use products that they are familiar with rather than
trying out new products.
• Organizational buyers purchase new products before consumers do.
• Consumers sometimes wait to see how well a product performs in the
market before purchasing it.
• Mirabel Inc. did not invest equal amounts of money on its different
advertising campaigns.
A popular hypermarket chain came under criticism for failing to protect
the e-mail addresses and credit card details of 50,000 customers.
CloudCom Inc., a web services company, identified that the lapse was
because of a worm that had breached the hypermarket’s internal servers
through an unauthorized e-mail, and that the anti-malware system failed
to catch the worm. Which of the following actions should CloudCom
take to restrict such malwares from entering the hypermarket’s internal
network?
• Install a firewall
• Use a virtual private network to connect its users
• Whitelist the malware
• Update the anti-malware system’s database
Robert, an ardent blogger, is approached by the marketing manager of
LaBelle, a famous cosmetic brand, to write positive reviews about the
company’s products. Robert knows that the company’s products cause
allergic reactions and to write positive reviews about the products would
be unethical. Which of the following decisions will be considered an
ethical lapse?
• To write positive reviews about the product
• To turn down the company’s offer
• To write a review after testing the product
• To inform people about the products’ allergic reactions

After a series of thefts in an organization, the management is
considering whether or not to install cameras inside the office. The
management is torn between violating the privacy of employees and
preventing future thefts from taking place. This scenario illustrates an
__________.
• ethical dilemma
• ethical lapse
• absence of codes of professionalism
• absence of codes of ethics
Kwalkon Computing released a new software update for their calendar
app. The update synchronizes both personal and business calendars
seamlessly. The update has all the relevant bug fixes and promises to
make the app work faster. Since there have been no recent complaints
about the software, the update must have solved all the customers’
issues. Which of the following questions would be most relevant in
evaluating the argument?
• Has enough time passed after the release of the update?
• What is the memory required in order to install the update?
• What is the pace at which the updated app will perform its functions?
• Has Kwalkon released any updates for their other software
applications?
Hailey’s Food Inc. sells fish sticks at $3.00 a box. The government
passes a law requiring sellers of food products to pay $0.50 as tax for
each product they sell. Hailey’s has to pay the government $0.50 for
every box of fish sticks it sells. The company decides to trade down to
compensate for the tax. Which of the following is a likely outcome of
the company’s decision?
• The company will increase the price of one box of fish sticks to $3.50
while also increasing the package size.
• The company will sell fish sticks worth $2.50 at $3.00 per box.
• The company will increase the price and quantity of fish sticks.

• The company will continue to sell the same quantity of fish sticks at
the same price.
Michael deposits $35,000 today in his bank account. Calculate the
approximate amount he will have at the end of six years if interest is
10% per year and is compounded semiannually.
$115,560
$70,060
$50,180
$62,860
Irvin’s Ice Creams, a popular chain of ice cream parlors present only in
the United States, is looking for opportunities to grow its business. If the
firm conducts a SWOT analysis of its performance, which of the
following would be categorized as a threat?
• The growing demand for ice creams in international markets
• The entry of international ice cream brands in the U.S. market
• The firm’s inability to scale up in terms of revenue
• The firm’s positive brand value among customers
The intensive 45-day training program for new employees at Zed Inc.
requires trainees to take several tests that trainers at Zed Inc. have to
grade. Recently, there has been a 30% increase in hiring. With the
present number of trainers, it is not possible to finish grading all the tests
in time.
HR manager: The training team should transfer all the tests for the
trainees to software that will grade them automatically. Our hiring
budget will not allow the hiring of additional people to manage the
increased number of trainees. Using auto-grading software will not
require any funds from our hiring budget.
Which of the following is assumed by the HR manager?
• Using auto-grading software will allow Zed Inc. to support all of its
potential training needs in the future.

• Trainees will need a shorter duration of time to answer the tests after
the auto-grading software is implemented.
• Zed Inc. will not need to hire additional people to operate the auto-
grading software.
• The duration of the training cannot be reduced without negatively
affecting the quality of the training.
Hush Sports Inc., sellers of sportswear, transitioned from being just a
brick-and-mortar store to an online marketplace for sports goods. Hush
Sports still relied on customers to call the store for feedbacks or
complaints. To speed up the process, the company updated its Web site
with options for the customers to review the products they purchased.
Positive reviews attracted more customers, and negative reviews helped
the company improve its products. Which of the following strategies has
Hush Sports included in its business process?
• Crowdsourcing
• Cooperative advertising
• Blogging
• Conversational marketing
A shift in the demand curve for pretzels increases the price of pretzels
from $1.25 to $1.75 and its quantity demanded from 30 million to 35
million. The price elasticity of demand for pretzels is _____.
5 million pretzels per dollar
2.32
$1.50 per pretzel
0.46
Dupon Inc. is a leading manufacturer of handheld game consoles. Each
console manufactured by the firm has a different game. Although the
video game industry faced a sharp decline in demand with the
introduction of mobile games, Dupon still holds a significant market
share for handheld games compared to its competitors. To hold the
market share, Dupon provides discounts to customers purchasing more
than one console. Which of the following stages of the product life cycle
is Dupon’s products going through?

• The decline stage
• The growth stage
• The maturity stage
• The introduction stage
LaBelle, a famous cosmetic brand, introduces a new skin cleanser. The
company pays bloggers to write positive reviews about the product. The
consumers who follow these blogs assume that the bloggers are sharing
their personal experiences and decide to try the product. They are
unaware that the blogs are part of a marketing campaign. After a few
days of using the product, they complain of rashes and allergies. The
bloggers can be charged with __________.
• assault
• negligence
• battery
• Defamation
Mark is expected to receive $950 at the end of two years. Calculate the
present value of this amount if the discount rate is 6%.
• $1690.99
• $896.23
• $845.50
• $1792.45
Marketers at Cream & Fresh Ice Creams update the company’s web site
and online journals regularly with information about new ice creams.
Readers who are interested in the articles updated on the company’s web
site and online journals share the links with their friends who further
share it with more people. Some readers try the ice creams and add their
own comments to the web site and online journals. Which of the
following strategies is the company using to promote its products?
• Telemarketing
• Wholesaling
• Stealth marketing
• Blogging

Managers at Hush Sports Inc., leading manufacturers of sports apparel,
are contemplating manufacturing high-end maple baseball bats. To
understand the existing demand for the product, the marketing managers
decide to set an online campaign, promoting the product through blogs,
videos, and interactive forums. Which of the following approaches
should the company adapt in its campaign?
• Posting messages that the company would not prefer to convey to an
audience face-to-face
• Replying to the consumer queries about the advantages of using high-
end maple baseball bats
• Restricting the consumers from posting comments on the company’s
Web site
• Withholding information that would cause potential concern over the
product’s quality
Sophie owns SugarCream bakery that produces 20 pastries in a day. The
price of one pastry is $12. If she hires another worker, she will be able to
produce 24 pastries in a day. Assuming that she operates in a
competitive market and aims to maximize her profits, she decides not to
hire the additional worker. Which of the following explains why Sophie
did not hire the additional worker?
• The cost of hiring the additional worker was greater than the value of
producing additional pastries.
• The cost of hiring the additional worker was less than the average
product of the additional worker.
• The cost of hiring the additional worker was less than the marginal
product of the additional worker.
• The opportunity cost of hiring the additional worker was zero.
Rikan Inc.’s credit sales for the year 2016 are $5,000,000,and its gross
profit is $1,500,000. The company’s average inventories are $595,000.
Its average accounts receivable is $750,000 and average accounts
payable is $640,000. From this information, calculate the company’s
cash cycle. (Round the answer to one decimal.)

50.1 days
199.5 days
36.8 days
183.5 days
Sam’s stores, a popular retail store, uses barcode scanners to scan each
product that it sells. The data generated from the scanners are saved in a
database. The database is updated every time a product is scanned and
sold. This computer-based information system helps managers access
and analyze sales data. Which of the following systems is the store using
for its business?
Transaction processing system
Supply chain management system
Expert system
Electronic commerce system
Colneith Corp. is a pharmaceutical firm that mainly produces drugs for
Alzheimer’s disease. The Medical Association of Zachary Islands
conducted a study on the effectiveness of the firm’s drugs and found that
multiple dosages of drugs were fatal. This discovery would most likely
lead to:
• short-run profits for the firm.
• a decline in the production of the drug.
• an increase the production of the drug.
• the exit of the firm from the market.
Dupon Inc., a leading manufacturer of handheld game consoles, decides
to enter the global marketplace. It decides to sell its products directly in
a foreign country. The foreign government denies permission to the
company on the grounds of protecting domestic manufacturers.
However, the government is willing to change its decision if the
company contributes to local employment. Which of the following
strategies of entering the foreign market will present the least risk to the
company while also meeting the government’s condition?
• Direct exporting
• Joint venture
• Direct investment

• Contract assembly
Which of the following alternatives will give the lowest present value?
• Receiving $650 at the end of three years at an interest rate of 10%
compounded annually
• Receiving $500 at the end of three years at an interest rate of 11%
compounded annually
• Receiving $450 at the end of two years at an interest rate of 9%
compounded annually
• Receiving $550 at the end of two years at an interest rate of 8%
compounded annually
Tony holds 350 shares of a company’s stock. At the end of 2015, the
market price of each share was $32. During the year 2016, the company
pays $2.25 in dividends per share. At the end of 2016, the company’s
stock is priced at $39.50. Calculate the percentage return for holding the
company’s stock during the year 2016. (Round the answer to one
decimal place.)
• 8%
• 5%
• 6%
• 4%
Rodriquez works as a scriptwriter in an advertising agency. He has been
assigned the task of developing a script for a television commercial. He
prepares a rough draft of the script and submits it to his manager, Carl.
Carl reads the script but derives a different meaning from it than what
Rodriquez intended. According to the basic communication model,
which of the following will be the next step?
• Carl will refuse to provide feedback to Rodriquez.
• Carl will respond with his interpretation of the script.
• Rodriquez will be asked to narrate his script to an audience.
• Rodriquez will choose a communication channel to transmit his
message.

The owners of Brizzels’ Food Truck send live notifications to their
customers when their truck is close to the customers’ locations. Their
strategy was in response to a customer’s blog post about having to wait
for long hours till the truck arrives. Which of the following strategies
does this scenario illustrate?
• Social commerce
• Social intelligence
• Social publishing
• Social analytics
Managing Director: Our business has expanded over the past couple of
years. The profit margin and revenue earned have both gone up. On
careful analysis of our client base, we have found that all of our clients
belong to the same culture as us. They also hold ethical values that are
similar to ours. Based on this finding, it would be best if our company
stops training our employees on cultural sensitivity and instead gives our
employees specialized training in market research analysis.
The Managing Director’s argument is flawed because it:
• disregards the influence that a training on cultural sensitivity could
have on the company’s profit margin.
• fails to consider that the suppliers for the company might belong to a
different culture than the clients.
• takes for granted the continued increase in revenue that the company
will experience.
• assumes that training in market research analysis is less expensive than
training in cultural sensitivity.
Calculate the cost of preferred stock from the information given below:
• 73%
• 27%
• 45%
• 98%

When Ronike Ltd. decided to change its logo, it encouraged its
employees to get involved in the decision-making process. Employees
were asked to engage in brainstorming sessions by forming groups and
working together in teams. Which of the following is a likely outcome of
their teamwork?
• Increased diversity of views among team members will help improve
decision making.
• The dangers of groupthink will be reduced.
• Team members are less likely to support the final decision regarding
the change in logo.
• Team members who have hidden agendas will be automatically filtered
and removed.
Harry is receiving a loan of $3,000 from his friend to pay off some
outstanding bills. The loan is structured in such a manner that the
interest rate is 6% for the first year, after which the interest rate
increases by 2% per year until the loan is paid. Calculate the amount that
Harry will have to pay his friend if he waits for a period of four years to
pay off the loan. (Round the answer to one decimal place.)
• $4,231.20
• $4,005.50
• $3,777.80
• $2,127.10
Five years ago, Rigatani Corp. introduced its new energy drink,
Energize. According to recent market surveys, the product is in its
decline stage. At the same time Energize was introduced, Panne Inc.
introduced White Unicorn, another new energy drink. Therefore, White
Unicorn must also be in its decline stage now.
Which of the following is an assumption on which the conclusion is
based?
• Market surveys are not a reliable method to determine the stages in a
product’s life cycle.

• Consumers have realized that the presence of caffeine in energy drinks
is detrimental to their health.
• Both products were not well received in the market.
• White Unicorn did not spend more time in the maturity stage than
Energize did.
Rosa Maria attends an interview for a sales manager position at Pixxels
Inc. As part of the interview process, she is asked to reveal personal
information. The company gets Rosa’s consent to share the information
with a security company for background verification. Which of the
following actions, if taken by the security company, will be unethical?
• Contacting Rosa’s previous employer for verification
• Selling Rosa’s personal information to a third party
• Requesting for additional information
• Providing Pixxels Inc. reports on Rosa’s online behavior
The government of Seronia is deeply concerned about the rate of obesity
in the country. It has framed a policy that requires food and beverage
manufacturers to be taxed according to the sugar and fat content in their
products. This will make high-sugar and high-fat products more
expensive for consumers. The government believes that this policy will
surely benefit the health of Seronian citizens.
Which of the following statements, if true, would undermine the
government’s argument?
• The policy is not applicable to food products that are not manufactured
within Seronia.
• Recent campaigns done by nutritionists have increased consumer
awareness about the adverse effects of a high-calorie diet.
• The Seronian government’s expenditure on providing health care to its
citizens has steadily increased over the last ten years.
• Consumers tend to decrease the consumption of some healthy food
products to afford the prices of high-sugar and high-fat products, which
are tastier.

Marketing head of Tosel Inc.: Our company has been using an advanced
CRM platform, Inito, which is popular among businesses for its
sophisticated functionality. Inito allows us to store customers’
psychographic data as well as their recent shopping behavior. However,
since we began using Inito, we have not been able to generate a
significant greater number of leads. Clearly then, using CRM software
does not help in generating any business.
Which of the following statements, if true, would weaken the argument
above?
• It is difficult to create a successful marketing strategy for a customer
base that greatly varies in demographic and psychographic factors.
• Inito is the most commonly used CRM platform.
• Tosel has integrated Inito into the other information systems used by
the company.
• Tosel has not invested the resources required to maintain its database
of customers’ psychographic data and shopping behavior.
Cream & Fresh Ice Creams pays bloggers to write positive reviews
about its ice creams. Readers who are interested in the product read
these reviews and share the link with their friends who further share the
reviews with more people. Some readers try the ice creams and add their
own comments to the blog. Which of the following strategies is the
company using to promote its products?
• Stealth marketing
• Wholesaling
• Online word-of-mouth marketing
• Telemarketing
In 2005, Susana purchased a 7-year zero coupon bond for $967.23. The
face value of the bond was $1,200. Calculate the capital gain on this
bond in 2006.
• $42.56
• $30.75
• $78.56

• $23.56
Truno Corp. plans to purchase new project management software. There
are three available choices in the market: Telpro, Morse, and Verla.
Systems manager: I have compared the three available choices. All three
choices are similar in quality, features, and usability. However, Morse is
the most commonly used software, and it also has the lowest purchase
price. Therefore, the best choice of project management software for us
would be Morse.
Which of the following statements, if true, would strengthen the systems
manager’s argument?
• Morse is easily customized to fit individual customer needs.
• Employees at Truno Corp. do not support the idea of using project
management software.
• The project management requirements of other users of Morse are not
similar to those of Truno Corp.
• The prices of Verla and Telpro have fluctuated considerably over the
past 5 years.
MaxSale, a popular supermarket, is approached by Hartane’s, an organic
food producer, to sell its products through the supermarket’s stores.
MaxSale demands a substantial amount of money to display these
products for a minimum duration. MaxSale uses this strategy to charge
premium amounts to a select few producers as a means to reduce
competition. By doing so, which of the following consumer rights is
MaxSale violating?
• The right to be informed
• The right to be heard
• The right to choose
• The right to safety
*****************************************

(New, 2019)
A company declared a cash dividend of $8560 on December 5 2015. The
company made a cash dividend payment on January 8, 2016. What is the
cumulative effect of the declaration and payment of the cash dividend on
the company’s financial statements?
Total liabilities will remain the same, and total assets will increase by
$8,560.
Stockholders’ equity and total assets will decrease by $8,560.
Stockholders’ equity will increase by $8,560, and total assets will
remain the same.
Total assets and liabilities will increase by $8,560.
Rilm Corporation has been recording investment income as revenue for
the past year with the aim of making the financial condition of the
company appear better than it actually is. Jon, one of the company’s

employees, becomes aware of this fraudulent activity and immediately
reports it to the appropriate authorities. After conducting several
investigations, the authorities book the company under the Sarbanes-
Oxley Act. Which of the following statements best explains why Jon did
not hesitate to alert the authorities about the company’s fraudulent
activity?
Under the Sarbanes-Oxley Act, whistleblowers who suffer retaliation are
allowed to recover criminal damages but not civil damages.
The Sarbanes-Oxley Act requires accounting firms to separate their
auditing and consulting functions.
There are no limitations to the protections offered by the Sarbanes-
Oxley Act to whistleblowers.
The Sarbanes-Oxley Act provides for the reinstatement of
whistleblowers in cases of improper termination.
LaBelle a famous cosmetic brand introduces a new skin cleanser. The
product does extremely well and reaps huge profits for the company.
After using the product for a few months, consumers complain of rashes
and allergies. An external chemical agency accuses the company of
using banned substances in its products. When investigated, the
company’s CEO confesses that he knew about the substance but did not
act because of the product’s initial success. Which of the following
could be the cause for the CEO’s unethical behavior?
The slippery slope
Overvaluing outcomes
Indirect blindness
Ill-conceived goals
Elena Corporation owes Volmare Inc. an advertising agency a sum of
$42000 for services rendered. When Elena Corporation goes public it
offers the agency 7000 shares of its common stock in exchange for the
payable service cost. The agency accepts the offer. The stock trades at
$6 per share and the par value of the stock is $1. Which of the following
is the correct journal entry to record this transaction in the books of
Elena Corporation?

CoolWindows Corp. produces 2000 air conditioners per week in three
plants: Plant I, Plant II, and Plant III. Plant I produces 800 air
conditioners per week, Plant II produces 500 air conditioners per week,
and Plant III produces 700 air conditioners per week. The probability of
an air conditioner being defective is 7% for Plant I, 5% for Plant II, and
6% for Plant III, respectively. In a random check, a defective air
conditioner is found. What is the probability that the air conditioner was
produced in Plant II?
25
18
20
75
Calculate the expected return for a stock based on the following
information.
Expected dividend $2.20
Current price $47.82
Expected growth rate 5.67%
6%
27%
87%
46%
As a common practice Rova Inc. mostly collects upfront payments for
goods that will be delivered to customers in the future. Unearned
revenues contribute significantly to the company’s current liabilities.

Commentator A: The advance cash received from customers can be used
to finance the company’s operations, and the corresponding liabilities
that are recorded will appear as sales in future financial statements.
Therefore, this practice is beneficial to Rova Inc. and should be
continued.
Which of the following statements, if true, weakens commentator A’s
argument?
Rova Inc.’s ability to deliver exactly as per its commitments to its
customers is frequently impacted by its unreliable suppliers.
Rova Inc.’s long-term liabilities are not offset by its current assets.
Rova Inc.’s cash flow statement shows that the company does not have
enough cash to scale up its operations in the next year.
A majority of the orders received by Rova Inc. from its customers are
for customized products.
The senior management of Reska Corp. realizes the importance of
encouraging employees to be creative. In the previous year, the company
organized quarterly town hall meetings, where employees were given
the opportunity to share innovative ideas to tackle the issues faced by the
company and to improve the company’s overall performance. However,
this plan did not yield the desired result.
The CEO of Reska Corp.: This plan failed because employees tended to
be apprehensive about expressing their ideas in public as they did not
know how the ideas would be received. We must change our strategy
and give employees the opportunity to express their ideas to their
managers in person. This will make the employees feel comfortable
expressing their creativity.

Which of the following is assumed by the CEO?
Unless the employees of Reska share their creative ideas, the company’s
overall performance is unlikely to improve.
Employees feel less apprehensive about expressing their ideas to their
managers than about expressing them in public.
Reska’s employees want to be creative at their jobs.
Companies with a creative workforce are less resistant to change than
those lacking creativity.
Melanie and Peter are discussing the limitations of internal control
systems in organizations. Melanie believes that the human element is an
insignificant factor in internal control systems. If Peter wants to refute
this view, which of the following points should he put forth?
Small companies have more efficient internal control systems as they do
not need to segregate duties or provide for independent internal
verification.
Collusion between two individuals can eliminate the protection offered
by segregation of duties in an internal control system.
A well-built internal control system has inbuilt controls to reverse the
results of employee indifference and carelessness.
The size of an organization determines the expectations from an internal
control system in the organization.
Cryser Inc. specializes in manufacturing wind turbines. In order to
increase the efficiency of its manufacturing process, the management
decides to restructure its shop floor into several workshops. Each
workshop specializes in a specific function. The engineers working in
the company raise concerns that their jobs will become monotonous if
each employee performs only one of those functions. Which of the

following is a soft tactic that the management can use to influence the
engineers?
Convincing the union leader to persuade other engineers
Explaining the benefits of the new structure
Demanding the engineers to comply with the authority
Promising monetary benefits
Jeremia joins as the new marketing manager in a leading multinational
company. The company usually advertises its products through
newspapers, television, or trade fairs. Jeremia invites different product
managers within the company to discuss and find out new ways of
creating consumer awareness for the company’s products. Several
members of the group are inclined toward Jeremia’s idea of using social
media, while others are content with the present promotional strategies.
Which of the following stages of the group development process are the
managers experiencing?
Performing
Forming
Storming
Norming
Vonik Solvers Inc. receives $40,000 in cash by issuing 15,000 shares of
common stock at the par value of $2 per share.Which of the following is
the correct journal entry to record this transaction?
Cash 80,000
Common Stock 30,000

Additional Paid-in Capital 50,000
Common Stock 40,000
Cash 30,000
Cash 40,000
Common Stock 30,000
Common Stock 80,000
Cash 30,000
Cero Inc. is an oil and gas company that operates in the nation of
Lumnia. Cero has incurred unforeseen expenses this year because of an
environmental lawsuit filed against the company for accidentally
causing an oil spill in a marine area in Lumnia. Therefore, despite
Cero’s earnings being high, the company’s net income is much lower
than what the company anticipated.
CFO of Cero Inc.: Our operations are compliant to the current
environmental laws. Accidents such as the oil spill caused by Cero Inc.
are extremely rare. Therefore, the consequences of the environmental
impacts of our operations should be categorized as nonrecurring costs in
our financial statements.

Cero’s shareholder: Cero Inc.’s earnings steadily increase every year.
Since the oil spill is a onetime incident, there is no need to worry about
its impact on next year’s profits.
Which of the following statements, if true, weakens the CFO’s
argument?
Cero Inc. categorizes any change in accounting principles as a
nonrecurring expense.
A change in the taxes applicable to Cero Inc. cannot be listed as a
nonrecurring expense unless it is unanticipated.
In the future, Lumnia’s environmental laws are likely to undergo
frequent changes because of increasing environmental activism in
Lumnia.
Cero Inc.’s earnings come from many other operations that are based
outside Lumnia.
Telda Corp. is a large accounting firm. It has an office in each of the 27
states of Kavenia.
The chairperson of Telda Corp.: I believe that if employees work in the
same office for a long time, issues like favoritism, complacency, and
misuse of authority are likely to develop. Therefore, I propose a policy
that requires at least the employees in managerial positions and above to
be transferred to a different office every five years. This policy will be
well received by our employees and discourage them from leaving our
company.
Which of the following statements, if true, would most seriously weaken
the chairperson’s policy?

The cost of living in Kavenia varies from state to state.
Employees are more likely to switch jobs within their city than to
relocate to a new city for their current jobs.
The employees of Telda Corp. would have to be paid a relocation
allowance if they are transferred to a different city.
There is a high rate of attrition among Telda Corp.’s employees who are
not in managerial positions.
The HR manager of Delta Corp.: According to our rewards and
recognition program, employee achievements are acknowledged and
employees are given gift vouchers through emails on reaching
milestones and targets. I feel this is not enough to make employees feel
appreciated. In my previous company, work anniversaries and
professional achievements were celebrated in organization-wide
meetings, where the concerned employee would be publicly rewarded.
After all, I would love it if my efforts were recognized like this!
Therefore, such an idea would be a great success in our company.
The HR manager’s argument is flawed because it:
dismisses the possibility of increasing the value of the gift vouchers that
are given to the employees at present.
fails to prove that employees of Delta Corp. feel unappreciated.
fails to recognize the effort put in by his team to implement the existing
rewards and recognition program.
fails to consider that other people might perceive appreciation differently
than him.
The management team at Cryser Inc., manufacturer of wind turbines,
aims to increase the company’s market share by 20% by the end of
2017. The respective functional heads in the company inform their teams

that they will get a substantial bonus if they are able to achieve this
target. Which of the following stages of the goal-setting process is the
company in?
Providing support and feedback
Creating action plans
Promoting goal commitment
Setting goals
calculate the cash flows from investing activities based on the following
information.
Cash received from customers $67,550
Cash paid to suppliers 24,000
Purchase of equipment 230,000
Income tax paid 2,800
Payment of dividends 115,000
Proceeds from sale of machinery 105,000
Interest paid 1,500
Proceeds from issue of long-term debt 84,000
Purchase of stocks 87,500
Receipts from sale of equity instruments 177,300
$(35,200)
$39,250
$(31,000)
$125,000
Raubac Inc. has an earnings before interest and taxes (EBIT) of
$350,000. Raubac Inc.’s capital structure consists of a long-term debt of
$950,000 (costing 4%) and 110,000 issued shares of common stock at a
market price of $6 per share. To bring down Raubac’s dependence on
debt, the company is planning to reduce its debt by $200,000 by selling
additional shares of common stock. Raubac’s EBIT will not change with
the change in capital structure and will remain in the 40 percent tax
bracket. Which of the following is a result of the change in Raubac’s
capital structure?

Raubac’s earnings before taxes (EBT) will remain unchanged.
Raubac’s earnings per share (EPS) will increase by $0.57.
Raubac’s earnings before taxes (EBT) will reduce by $8,000.
Raubac’s net income will increase by $4,800.
The management team at Cryser Electronics Inc., manufacturer of
electrical generators, aims to increase the company’s market share by
20% by the end of 2017. To achieve this target, Marcus, the marketing
manager, assigns specific sales targets to individual salespeople and
retailers. In this scenario, the sales target is a(n) __________.
behavioral goal
project goal
task goal
objective goal
The CEO of Wrenn Corporation is convicted of committing accounting
fraud. After several in-depth investigations, it is found that although the
CEO of the company was not aware of the fraud, he received 1.5 million
dollars in the form of bonuses and stock profits during the company’s
fraudulent period. The Securities and Exchange Commission orders the
company to restate its financial position and furnish the correct financial
statements. As per the Sarbanes-Oxley Act, which of the following is a
likely consequence that will follow?
The CEO will be held personally liable for the company’s misconduct
during the fraudulent period.
The CEO will be asked to return the money that he or she received
during the company’s fraudulent period.
The company will be allowed to grant personal loans to its executives
provided that it can prove the creditworthiness of the executives.

The company will be asked to merge its auditing and consulting
functions.
Calculate the cash flows from financing activities based on the
information given below.
Depreciation $ 770
Purchase of machinery 4,000
Increase in fixed asset 900
Payment of dividend 600
Issuance of short-term debt 1,500
Repayment of long-term debt 5,700
Increase in bank borrowings 6,200
$1,400
$630
$2,000
$4,130
Calculate the net income of Tinekal Corporation from the following
information.
Depreciation expense $ 850
Rent expense 500
Salaries expense 700
Supplies expense 650
Interest expense 400
Revenue from sales 5,000
Profit from sale of assets 1,000
Dividend 700
$2,600
$3,600
$2,900
$1,900

Omega Corp. released the unaudited financial statement prepared by its
accountants. According to the statement, the profit margin of the
company has increased. The sales of its electronic appliances have also
increased. Based on the unaudited financial statement, buying Omega
Corp. shares would be a good investment.
Which of the following, if true, casts the most doubt on the conclusion?
Omega Corp. does not maintain more than a month’s supply of
inventory.
The sales of other products of Omega Corp. have not shown the increase
that the sales of electronic appliances have shown.
The earnings reported in the audited financial statement for Omega
Corp. are lower than that reported in the unaudited financial statement.
The fixed expenses of the company have increased significantly.
BrightLife, a leading insurance company, provides incentives to
salespeople based on the number of prospective customers they meet in
a day. The salespeople, however, often spend time with their friends and
then claim to have met the prospective customers. They are paid
incentives based on their claims. The company’s CEO realizes that the
number of customers the company has is significantly less compared to
the number of prospective customers that the salespeople claim to have
met. To rectify the unethical behavior of the salespeople, the company
now pays incentives based on the number of sales each person makes.
Which of the following could be a cause for the salespeople’s unethical
behavior?

Motivated blindness
Indirect blindness
Ill-conceived goals
Maertge Airlines purchases an aircraft for $84,000,000 on January 1,
2016. The residual value of the aircraft is estimated at $7,500,000, and
its useful life is estimated at 25 years. Applying the double-declining-
balance method of depreciation, the depreciation expense recognized for
the year ended December 31, 2018 will be __________.
$6,182,400
$3,096,576
$5,687,808
$6,720,000
Luisana runs a clothing boutique that sells designer clothes. In order to
expand the clothing collection in the boutique, Luisana wants to buy
some clothes from a fashion designer. After examining Luisana’s
audited financial statements, the fashion designer concludes that she is
assured a collection from Luisana.
Which of the following statements will weaken the argument?
The fashion designer makes her collections within two months of sale.
Luisana’s liquid assets are just enough to meet her current liabilities.
Luisana’s boutique faces increased competition from other designer
boutiques.
Luisana has owned the boutique for only three years and has no prior
experience of running a business.

WarmLiquid Corp., a manufacturer of water heaters, produces 30 water
heaters per week. Past records indicate that 10% of total water heaters
produced in a week are likely to be defective. Suppose a quality check
was conducted on a sample of six water heaters. What is the probability
that four out of six water heaters will be defective?
0.08
0.56
0.46
0.76
In an apparel store, one individual is assigned the task of recording the
cash received from customers. Another individual is responsible for the
creation and handing over of credit memos to customers. These
measures are taken to avoid the risk of fraud. Which of the following
principles of internal control activities does this scenario best illustrate?
Physical controls
Documentation procedures
Segregation of duties
Independent internal verification
Gharial LLC is a company that manufactures and leases cars. To
increase its production capacity, the CEO of Gharial LLC has decided to
build a new manufacturing plant. The company requires a loan from a
bank, and submits its financial statements to the bank. The CEO believes
that the loan will be approved because of the company’s liquidity.

Which of the following strengthens the CEO’s argument?
The cost of building the manufacturing plant will be offset by the profit
Gharial LLC earns.
Gharial LLC’s financial statements show a positive working capital.
The manufacturing plant will be amortized over the next thirty years.
Gharial LLC’s earnings per share are equal to that of other similar
companies.
Telda Corp. is a large accounting firm. It has an office in each of the 27
states of Kavenia.
The chairperson of Telda Corp.: I believe that if employees work in the
same office for a long time, issues like favoritism, complacency, and
misuse of authority are likely to develop. Therefore, I propose a policy
that requires at least the employees in managerial positions and above to
be transferred to a different office every five years. This policy will be
well received by our employees and discourage them from leaving our
company.
Which of the following statements, if true, would strengthen the
chairperson’s argument?
Cultural differences may lead to different working styles in the different
office locations of Telda Corp.
Introducing policy changes without consulting the relevant stakeholders
is against the work culture of Telda Corp.

The technical skills required to work vary from team to team in Telda.
Rotating employees among different office locations leads to greater
employee cohesion in companies.
Secaucuss Co. has been in the business of manufacturing office supplies
for the last five years. Recently, the company issued more shares to the
public to raise capital for its expansion. Expanding its operations into
office maintenance helped it generate additional cash inflows. Since the
company expanded and issued more shares, the stockholders’ equity
should also have increased. However, the stockholders’ equity went
down this year.
Which of the following statements best explains why the stockholders’
equity went down?
The company purchased some new machines to speed up its
manufacturing process.
The company employed a predatory pricing strategy to increase its
market share.
The company collected revenue from services provided on an accrual
basis.
The company declared a 2-for-1 stock split during the current year.
Reinek Company sold a fixed asset for $25,000. The asset was originally
purchased at a cost of $64,000. On the date of sale, the accumulated
depreciation was $53,000. Calculate the gain or loss on the sale of the
asset.
Loss of $39,000
Gain of $14,000
Loss of $36,000
Gain of $25,000

Cardice Services Inc. employs more than 5,000 telephone operators
globally to address customer complaints. To improve the response time
for addressing these complaints, the management decides to automate
the responses to all the frequently asked queries. The management
predicts that at least 60% of the customer queries will be resolved
without the need for human intervention. If the company implements the
process, at least 2,500 telephone operators will lose their jobs. To
oppose the management’s decision all the employees threaten go on an
indefinite strike. Which of the following contingency approaches is
commonly used to overcome resistance in such situations?
Explicit coercion
Facilitation and support
Participation and involvement
Negotiation and agreement
From the information given below, calculate the net cash flows from
operating activities using the indirect method.
Net income $170,000
Depreciation 5,750
Loss on disposal of plant asset 4,000
Increase in inventory 7,500
Increase in prepaid expenses 5,460
Decrease in accounts payable 6,750
$160,040
$152,040
$173,540
$176,460
Elanke, an owner of a restaurant, has the following financial information
for the year ending December 31, 2016.
Revenue earned $410,000

Cash received from customers 300,000
Expenses incurred in the purchase of ingredients 250,000
Depreciation incurred during the year 700
Cash paid for miscellaneous expenses incurred in the year 2015 120,000
Based on the accrual basis of accounting, Elanke’s net income for the
year is __________.
$159,300
$39,300
$339,300
$459,300
A company issues 100,000 shares at $50 per share. It has a debt-equity
ratio of 2:1. If the company announces a 3-for-1 stock split, what will be
the result?
The total stockholder’s equity will increase and the debt-equity ratio will
decrease.
The total stockholder’s equity will decrease and the debt-equity ratio
will remain unchanged.
The total stockholder’s equity and the debt-equity ratio will decrease.
The total stockholders’ equity and the debt-equity ratio will remain
unchanged.
Calculate the operating profit or (loss) from the information given
below.
Sales revenue $320,000
Sales returns 11,000

Cost of goods sold 210,000
Selling expense 23,520
Administrative expense 46,270
Marketing expense 26,880
Research and development 6,300
($3,970)
$3,970
$7,030
($7,030)
Which of the following statements, if true, weakens the HR manager’s
argument?

Employees are not motivated to perform well at their jobs if their work
is not appreciated and rewarded.
The HR manager’s previous company did not offer promotions to its
employees easily.
Delta Corp.’s policy requires the CEO of the company to be present in
every town hall.
Delta Corp. does not have sufficient funds to organize frequent town
halls.
Calculate the cost of goods sold based on the following information.
Inventory at the beginning of 2016 $ 54,000
Purchases 450,000
Purchase returns 12,800
Inventory at the end of 2016 60,000
$443,200
$431,200
$491,200
$444,000
Earnings per share (EPS) is an indicator of a company’s profitability and
how its stocks are valued. EPS of a company is directly proportional to
its net income. The net income of Tolut Inc. for this year has decreased
by 10 percent from last year’s figures. Therefore, the company’s EPS
would be less than what it was last year.
Which of the following statements, if true, strengthens the argument?

Tolut Inc.’s stocks were undervalued in the market last year.
A high EPS indicates that the company has a high potential for growth in
the future.
Tolut Inc. has issued additional common shares in the current year.
Earnings per share do not necessarily fall every time there is a rise in the
taxes paid by the company.
Raetal Inc. acquired 2,000 shares of its own stock of par value $1 for
$20 per share. Which of the following is the correct journal entry to
record this transaction?
Treasury Stock 40,000
Cash 40,000
Common Stock 2,000
Cash 2,000
Cash 40,000
Leadership roles require the display of classic extrovert behavior such as
speaking confidently in public, building large social networks, and
allowing your successes as well as failures to be scrutinized by your
stakeholders. These abilities are so integral to leadership roles that
people who step into such roles learn to master extrovert behavior
regardless of their actual personalities.
Which of the following can be inferred from the given passage?

One can acquire extrovert behavior by becoming a leader.
Having large social networks helps in the development of public-
speaking skills.
Leaders should learn from both their successes and their failures.
People who are extroverted become successful leaders.
Janet works as a senior software developer in a multinational IT firm.
She prefers to work as an individual contributor and volunteers to work
on challenging projects. The firm encourages Janet and other people like
her by assigning them to projects that require a great deal of innovation.
The firm motivates Janet by appealing to her need for __________.
power
security
achievement
affiliation
Calculate the revenue for the year ending December 31, 2016, based on
the information given below.
2016 2017
Retained earnings, January 1 $14,500 $ X
Revenue for the year Y 48,500
Expenses for the year 44,800 42,700
Dividends paid 3,500 5,700
The ending balance of retained earnings on December 31, 2017, is
$18,500.
$15,400
$52,200
$18,400
$33,800

The board of directors of Yudel Corp. is looking for a new managing
director for the company. They find a candidate, Linda, who is
hardworking, passionate, and confident. These are the characteristics
that all the past leaders of Yudel Corp. had in common. Therefore, the
board concludes that hiring Linda as the new managing director will
contribute positively to the company’s success.
The board of directors relies on the assumption that:
Linda has worked in companies similar to Yudel Corp. in the past.
the leaders of other companies have characteristics in common with the
leaders of Yudel Corp.
Linda will not have any other job offer to consider when Yudel Corp.
offers her the position of managing director.
Linda’s goals, as a leader, are compatible with the culture and vision of
Yudel Corp.
Financial analyst: Linksus Tech is a company that manufactures drill
bits and screwdrivers. Over the last year, its sales have not shown a
significant increase. The company has a large quantity of inventory on
hand, its accounts receivable have doubled, and its accounts payable
have increased threefold. Given this, the company should try to realize
its current assets at the earliest to stay afloat.
Which of the following, if true, would strengthen the argument?
Linksus Tech has applied for a short-term loan to meet its working
capital requirements.
The current liabilities are expected to be due within the next three
months.
The demand for the products sold by the company is expected to
increase.

The company will introduce a much-awaited new product into the
market in the following year.
Neha is a communications manager in a reputed software company. She
firmly believes that men do not prefer working with women supervisors
because they think women are inferior to them. Jordon is Neha’s
manager and elder to her by 10 years. Every time Neha interacts with
Jordon, she downplays her dominant nature by acting naive. However,
she is aggressive and dominant with younger employees. Which of the
following approaches to managing diversity should be used to help Neha
overcome her prejudiced attitude?
Educating Neha about stereotyping people of different age and sex
Isolating Neha by putting her in special projects that require minimum
interaction with other employees
Acknowledging Neha’s beliefs but not valuing or accepting them
Hiring more women employees to create an environment that is more
diverse
Aaron has recently been recruited as the managing director of Ikara
Corp., which is a leading accounting firm with a global presence. He
learns that the employees of Ikara felt that the previous managing
director was unapproachable and did not encourage employees to
express their problems or ideas to him. Aaron does not want to be
perceived the same way. To appear friendlier toward his employees, he
decides to use a bit of humor in his electronic communication. This will
surely enable him to build a good rapport with the employees of Ikara
Corp.
Which of the following, if true, most seriously undermines Aaron’s
argument?
Aaron has previously worked in companies where communication
between employees was informal.

Aaron’s electronic communication is mostly directed to the senior
management of the company.
Managers must seem approachable to their teams, especially when their
teams are spread across the globe.
Some employees of Ikara belong to cultures where humor is likely to be
perceived as ridicule.
Gharial LLC is a company that manufactures and leases cars. To
increase its production capacity, the CEO of Gharial LLC has decided to
build a new manufacturing plant. The company requires a loan from a
bank, and submits its financial statements to the bank. The CEO believes
that the loan will be approved because of the company’s liquidity.
Which of the following, if true, weakens the CEO’s argument?
The price of Gharial LLC’s shares has remained constant over the past
year.
Gharial LLC specializes in high-end cars.
The current ratio of Gharial LLC is higher than one.
A majority of Gharial LLC’s current assets are in the form of inventory.
CodeGiant Inc. is a startup company that specializes in software
development. The government levies a sales tax of 7.5% on the sale of
the company’s services. Mathew, the company’s CTO, decides to
introduce a new functional structure that will reduce the time taken to
develop each software. He believes that this will reduce the company’s
costs and compensate for the taxes. When he presents his idea to the
company’s investors, they become apprehensive that such changes may
lead to internal conflicts. The respective department heads are also
apprehensive because they do not know whether they will fit into the
new structure. They question the validity of Mathew’s suggestion.
Which of the following stages of the group development process does
this scenario portray?
Adjourning

Norming
Storming
Forming
*****************************************
BUS 475 Week 1 DQ 1
What is strategic management? What are the roles of mission and vision
statements in strategic management? Can an organization have a
successful strategic plan without effective mission and vision
statements? Why or why not?
*****************************************
BUS 475 Week 1 DQ 2

Select a small business that you may want to start. What is strategic
management and planning? Why would a strategic plan be important to
the success of this business? How are the four functions of management
relative to creating and implementing a strategic plan?
*****************************************
BUS 475 Week 1 knowledge Check
1.
Reaching a valid decision is based on the evaluation of arguments. If we
know that a valid argument has true premises, then a decision based on
the argument______________.
2. Identify the fallacy in the following piano store advertisement:
“Pianos are our only business. You’ll get the best deal at the Piano
Experts.”
Which of the following statements describes creativity correctly?
4.
How would you assess the following statement? Consider both the
nature of the claim and the source. “Lottery director Mark Michalko said
Thursday that allegations that Californians are squandering money they
once used for food to buy lottery tickets ‘are just not correct.’. . .
California Grocers Association president Don Beaver raised the issue
earlier in the week, saying five supermarket chains had complained that

grocery sales dropped about 5 percent after lottery tickets went on sale
October 3.” —Sacramento Bee
5.
The Sarbanes–Oxley Act was created in 2002 to improve and maintain
investor confidence. The act includes which of the following:
6.
Organizational behavior is examined at three main levels.
7.
Employees who have intrinsic work values will be motivated by
8.
Research on the five-stage model of group development shows that
9.
The extent to which a leader actually does help a group or organization
to achieve its goals is best described as
10.
When the business environment is __________,an organization is most
likely to decentralize authority and empower its employees to make
operating decisions.
11.
To make your communication more effective
12.
Which of the following meeting technologies would be most effective
for negotiations, collaborative problem solving, and other complex
discussions?
13.
Most persuasive messages combine
14.
Important design elements to consider when creating slides include
which of the following:
15.
Which of the following would be the best wording to use on a resume?
16.
The __________ approach to ethics maintains that an ethical action is
the one that provides the most good or does the least harm.
17.

Which type of privacy policy restricts an organization from collecting
personal information until the customer specifically authorizes it?
18.
Wireless communication includes which of the following:
19.
Enterprise resource planning applications seeks to integrate a number of
issues, including which of the following:
20.
The request for proposal (RFP) is one of the key tools in acquiring
information systems and applications. Which of the following statements
best characterizes the RFP?
21.
The relationship between jurisdiction and venue of state and federal
courts
22.
Businesses owe customers (business invitees) visiting their stores
23.
A legally enforceable contract always requires
24.
Regulatory (or administrative) law arises from
25.
The purpose of a clear ethical code in a business
is*****************************************
BUS 475 Week 2 DQ 1

What is a SWOTT analysis? What is its purpose in strategic planning?
Must you conduct a SWOTT analysis to have an effective strategic plan?
Why or why not?
*****************************************
BUS 475 Week 2 DQ
What are the key planning factors for competitive success? Provide an
example of an organization that has achieved competitive success
through planning. Provide an example of an organization that has failed
to achieve competitive success as the result of failed planning.
*****************************************
BUS 475 Week 2 Individual Assignment
Business Model and Strategic Plan Part I:
Conceptualizing a New Product or Service
Division of an Existing Business (2 Papers)

This tutorial contains 2 Papers
Business Model and Strategic Planning Outline as a guide to complete
sections of your capstone project each week. A final paper is due in
Week 5. Cite your resources.
Write a 1,400- to 1,750-word paper in which you explain the
importance of innovation in your selected business's vision, mission, and
values, and determine your business model for this new division. Include
the following:
 Propose a new product or service for the new company division.
The division should be customer-focused with an innovative
mission statement. Ensure that you are differentiating your product
or service.
 Describe how the division addresses customer needs and achieves
competitive advantage.
 Create a vision and a business model for this new division that
clearly demonstrates your decision on what you want your
business to become in the future.
 Explain how the vision, mission, and value of the new division
align with the company's mission and vision.
 Summarize how the vision, mission, and values guide the
division's strategic direction.
 Define your guiding principles and values for your division in the
context of culture, social responsibility, and ethics.
Format your paper consistent with APA guidelines.
Click the Assignment Files tab to submit your assignment
*****************************************

BUS 475 Week 2 Knowledge Check
1. Compared with other approaches to business, the marketing concept is
distinct in that it
2. A company provides its advertising agency with a statement about a
new product to use in designing an advertising campaign, and this
statement includes a description of the target market, the product type,
the primary benefits of using the product, and how this product is
different from, and better than, competitive products. What type of
statement is this?
3. The sales analysis of a product revealed that profits were highest
when it was initially introduced into the market with a high selling price.
However, the price was gradually reduced as it started facing
competition as substitutes entered the market. This is an example of a(n)
4. Blending the firm's promotion efforts to convey a complete and
consistent message is the goal of
5. According to the concept of social responsibility, a firm has a duty to
6. The principal participants in the financial markets are
7. You just purchased a parcel of land for $10,000. If you expect a 12%
annual rate of return on your investment, how much will you sell the
land for in 10 years? Note. Due to rounding and method of calculation,
your answer might vary slightly. Choose the closest answer.
8. Bull Gator Industries is considering a new assembly line costing
$6,000,000. The assembly line will be fully depreciated by the

simplified straight line method over its 5-year depreciable life.
Operating costs of the new machine are expected to be $1,100,000 per
year. The existing assembly line has 5 years remaining before it will be
fully depreciated and has a book value of $3,000,000.If sold today the
company would receive $2,400,000 for the existing machine. Annual
operating costs on the existing machine are $2,100,000 per year. Bull
Gator is in the 46 percent marginal tax bracket and has a required rate of
return of 12 percent. Calculate the net present value of replacing the
existing machine. Note. Due to rounding and method of calculation,
your answer might vary slightly. Choose the closest answer.
9. A strong stock market and reasonably good earnings have caused the
price of the firm's common stock to increase by 25%.
10. Buying and selling in more than one market to make a riskless profit
is called
11. The United States imposes substantial taxes on cigarettes but not on
loose tobacco. When the tax on cigarettes went into effect, the demand
for home cigarette rolling machines most likely
12. Keynes believed that an increase in savings would
· raise aggregate demand by reducing investment
13. Which of the following monetary policies reduces aggregate demand
and output?
14. Deficits may be desirable in the short run if they
15. If for a country, the quantity of its currency demanded exceeds the
quantity supplied, then there is a
16. Suppose that college tuition is higher this year than last year and that
more students are enrolled in college this year than last year. Based on
this information, we can best conclude that
17. Economic efficiency is achieved at a particular output level if
18. A perfectly competitive firm will be profitable if price at the profit-
maximizing quantity is above
19. How are goods manufactured in other countries creating jobs in the
United States?
*****************************************

BUS 475 Week 2 Team Assignment Value
Alignment (StarBucks)
Discuss with your Learning Team an existing organization with which
you are familiar that is different than the one you used for the
Conceptualizing a Business paper.
Write a 700- to 1,050-word paper in which you analyze the individual
values and the organization’s values as reflected by the organization’s
plans and actions. Include the following in your paper:
· Analyze the origin(s) and subsequent evolution of your personal
and workplace values.
· Explain how your individual values drive your actions and
behaviors, and analyze the alignment between your values and actions
and behaviors.
· Analyze the degree of alignment between the organization’s stated
values and the organization’s actual plans and actions.
· Explain the differences and analyze the degree of alignment
between your values and the organization’s values as reflected by the
organization’s plans and actions.

Prepare to discuss this assignment with the class.
*****************************************
BUS 475 Week 3 DQ 1
What are strategic objectives? What is the purpose of strategic
objectives? What makes an effective strategic objective? What are
examples of strategic objectives for you organization or one with which
you are familiar?
*****************************************
BUS 475 Week 3 DQ 2

What is the difference among strategic, long-term, and short-term
objectives? What is the relationship between objectives and goals? What
are examples of this relationship?
*****************************************
BUS 475 Week 3 Individual Assignment
Business Model and Strategic Plan Part II:
SWOTT Analysis Paper (2 Papers)
Conduct an internal and external environmental analysis, and a supply
chain analysis for your proposed new division and its business model.
Create a SWOTT table summarizing your findings. Your environmental
analysis should consider, at a minimum, the following factors. For each
factor, identify the one primary strength, weakness, opportunity, threat,
and trend, and include it in your table.
 External forces and trends considerations:
o Legal and regulatory
o Global
o Economic
o Technological
o Innovation
o Social

o Environmental
o Competitive analysis
 Internal forces and trends considerations:
o Strategy
o Structures
o Processes and systems
o Resources
o Goals
o Strategic capabilities
o Culture
o Technologies
o Innovations
o Intellectual property
o Leadership
Write a synopsis of no more than 1,050 words in which you analyze
relevant forces and trends from the list above. Your analysis must
include the following:
 Include economic and legal and regulatory forces and trends.
 Critique how well the organization adapts to change.
 Analyze and explain the supply chain of the new division of the
existing business. Share your plans to develop and leverage core
competencies and resources within the supply chain in an effort to
make a positive impact on the business model and the various
stakeholders.
 Identify issues and/or opportunities:
o Identify the major issues and/or opportunities that the
company faces based on your analysis.
o Generate a hypothesis surrounding each issue and research
questions to use for conducting analysis.
o Identify the circumstances surrounding each issue; classify
the circumstances; attribute the importance of each
classification; and test the accuracy of the importance for
each classification.

*****************************************
BUS 475 Week 3 Team Assignment Functional
Area Interrelationships (Kudler Foods)
Select one organization of the Virtual Organizations from the student
website.
Write a 1,400- to 2,100-word paper in which you complete the
following:
· State the primary reasons for the organization’s existence from an
analysis of the mission, vision, values, and goals.
· Analyze the reason for the type of organizational structure
employed by the organization, and identify the key positions that support
that organizational structure.
· Identify and explain the steps of the collaboration process among
the functional areas that must be employed to achieve organizational
goals, and prepare an action plan to implement the collaboration process.
· Identify and provide an example of the use of lateral collaboration
and vertical collaboration within the organization, and prepare an action
plan to use lateral and vertical collaboration.

Identify the key stakeholders and their roles needed to achieve the
organizational goals, and recommend the collaborative interactions
among the key stakeholders to facilitate the organization’s success.
*****************************************
BUS 475 Week 4 DQ 1
Why is it important to continuously update the implementation and
communication of a strategic plan? Who should be responsible for
updating and communicating a strategic plan? Why?
*****************************************
BUS 475 Week 4 DQ 2

What things should be taken into consideration in the creation of a
roadmap for a strategic plan? What are examples of external and
internal change agents? What role do change agents play in the
execution of a road map for a strategic plan?
*****************************************
BUS 475 Week 4 Individual Business Model and
Strategic Plan Part III Balanced Scorecard and
Communication Plan (2 Papers)
Identify key trends, assumptions, and risks in the context of your final
business model.
Develop the strategic objectives for your new division of the existing
business in a balanced scorecard format in the context of key trends,
assumptions, and risks.The strategic objectives are measures of attaining
your vision and mission. As you develop them, consider the vision,
mission, and values for your business and the outcomes of your SWOTT
analysis and supply chain analysis.
Consider the following four quadrants of the balanced scorecard when
developing your strategic objectives:
 Shareholder Value or Financial Perspective, includes strategic
objectives in areas such as:
o Market share

o Revenues and costs
o Profitability
o Competitive position
 Customer Value Perspective, includes strategic objectives in areas
such as:
o Customer retention or turnover
o Customer satisfaction
o Customer value
 Process or Internal Operations Perspective, includes strategic
o Measure of process performance
o Productivity or productivity improvement
o Operations metrics
o Impact of change on the organization
 Learning and Growth (Employee) Perspective, includes strategic
o Employee satisfaction
o Employee turnover or retention
o Level of organizational capability
o Nature of organizational culture or climate
o Technological innovation
Develop at least three strategic objectives for each of the four balanced
scorecard areas identified (Financial, Customer, Process, Learning and
Growth). Your objectives should be selected, in part, based on an
evaluation of a number of potential alternatives to the issues and/or
opportunities identified in the SWOTT Analysis paper and table you
completed in Week 3.
Base your solutions on a ranking of alternative solutions that includes an
identification of potential risks and mitigation plans, and a stakeholder
analysis that includes mitigation and contingency strategies. You should
also incorporate the ethical implications of your solutions into your
selection.
 For each strategic objective, develop a metric and target using a
balanced scorecard format. (For example, a strategic objective in
the shareholder or Financial Perspective is to increase market

share. A metric to actually measure this strategic objective
of market share increase is, "The percentage of increase in market
share." The target is the specific number to be achieved in a
particular time period. The target for the metric of "Increase
market share" could be "Increase market share by 2% for each of
the next 3 years" of an increase of 2% per year for 3 years.)
Outline a brief communication plan discussing how you will
communicate the company's strategic objectives that includes the
following:
 Define the purpose.
 Define the audience.
 Identify the channel(s) of communication and why you selected
that channel.
Write a 1,050- to 1,400-word strategic objectives summary. Include
your balanced scorecard and its impact on all stakeholders, and the
communication plan.
Format paper consistent with APA guidelines.
*****************************************
BUS 475 Week 4 Knowledge check

1. A fast-food restaurant asks customers to evaluate the drive-thru
service as good, average, or poor. What level of data measurement is this
classification?
2. In order to determine the average amount spent in November on
Amazon.com a random sample of 144 Amazon accounts were selected.
The sample mean amount spent in November was $250 with a standard
deviation of $25. Assuming that the population standard deviation is
unknown, what is a 95% confidence interval for the population mean
amount spent on Amazon.com in November?
3. A shipment of 20 DVDs has arrived at a video rental store. Based on
past experience, the manager knows that 10% of all new DVDs sent to
the store have a visible defect. The manager tells you to begin inspecting
the new DVDs one at a time at random until you find the first DVD that
has a defect. If 10% of the DVDs have a visible defect in the new
shipment, what is the probability that the first DVD that has a defect is
the 3rd one that you inspect? (Round your answer to 3 decimal places.)
4. An insurance agent has selected a sample of drivers that she insures
whose ages are in the range from 16–42 years old. For each driver, she
records the age of the driver and the dollar amount of claims that the
driver filed in the previous 12 months. A scatterplot showing the dollar
amount of claims as the response variable and the age as the predictor
shows a linear regression line with: y^=3710 – 55.4x. If the age of a
driver increases by 1 year, by how much and in what direction would the
dollar amount of claims be predicted to change for the driver?
5. A researcher claims that the proportion of employees who play video
games in the workplace is higher than it was 10 years ago. You might be
willing to reject the null hypothesis of no change with a = 0.10 or larger.
The p-value for this test is 0.15. In this case the researcher should
6. The general plan of major actions through which a firm intends to
achieve is long-term objectives is called its
7. How valuable a low-cost leader's cost advantage is depends on
8. Which of the following represent marketing capabilities at the growth
stage of industry evolution?

9. __________ is an organization structured around the idea of sharing
knowledge, seeking knowledge, and creating opportunities to create new
knowledge.
10. Which of the following types of strategic control has a low degree of
formalization?
11. Investors and creditors are particularly interested in this financial
statement because it tells them what is happening to the company’s most
important resource?
12. The cash basis of accounting is prohibited under GAAP for the
following reason:
13. Use the following data to determine the total dollar amount of assets
to be classified as property, plant, and equipment. Eddy Auto Supplies
Balance Sheet December 31, 2014 Cash $84,000 Accounts payable
$110,000 Accounts receivable $80,000 Salaries and wages payable
$20,000 Inventory $140,000 Mortgage payable $180,000 Prepaid
insurance $60,000 Total liabilities $310,000 Stock investments $170,000
Land $190,000 Buildings $226,000 Common stock $240,000 Less:
Accumulated Retained earnings $500,000 depreciation ($40,000)
$186,000 Total stockholders’ equity $740,000 Trademarks $140,000
Total liabilities and Total assets $1,050,000 Stockholders’ equity
$1,050,000
14. The manager of Weiser is given a bonus based on net income before
taxes. The net income after taxes is $35,700 for FIFO and $29,400 for
LIFO. The tax rate is 30%. The bonus rate is 20%. How much higher is
the manager's bonus if FIFO is adopted instead of LIFO?
15. The Sarbanes–Oxley Act of 2002 requires publicly traded U.S.
companies to take the following actions to defect and prevent fraud:
· Adopt accrual basis of accounting, maintain an adequate system
of internal controls, and create penalties for noncompliance
· Maintain an adequate system of internal controls, provide
additional training to managers and accountants regarding internal
controls, and publish internal controls on the company’s public website
16. On July 1, 2014, Linden Company purchased the copyright to
Norman Computer Tutorials for $140,000.It is estimated that the

copyright will have a useful life of 5 years. The amount of amortization
expense recognized for the year 2014 would be
17.ABC Corp. receives a 7-month interest-bearing promissory note in
the amount of $360,000 on February 1. The interest rate is 15%. What is
the total interest expense ABC Corp will record assuming ABC makes
all of its payments?
18. Logan Corporation issues 50,000 shares of $50 par value preferred
stock for cash at $60 per share. The entry to record the transaction will
consist of a debit to cash for $3,000,000 and a credit or credits to
· preferred stock of $3,000,000
19. Which of the following tools of analysis is used to evaluate financial
statement information by expressing financial statement data as a
percentage over a base amount?
20.The Sarbanes–Oxley Act of 2002 requires publically-traded U.S.
companies to provide great internal controls. The five primary
components of an internal control system include: a control
environment, risk assessment, information and communication,
monitoring, and
*****************************************
BUS 475 Week 4 Team Assignment
Communication Plan Outlin

Develop a generic communications plan and template. This template
will be used to develop a communication plan for your Final Strategic
Plan, due in Week Five.
*****************************************
BUS 475 Week 5 DQ 1
Why is itnecessary to monitor and control strategic plans? Who should
be responsible for monitoring and controlling strategic plans? Why?
What are the pitfalls of failing to monitor and control strategic plans?
*****************************************
BUS 475 Week 5 DQ 2
As an employee of an organization, what role do you play in the
strategic planning process? What role do you play in the implementation

process? What role do you play in the monitoring and controlling
process?
*****************************************
BUS 475 Week 5 Individual Assignment Final
Business Model and Strategic Plan
Business Model and Strategic Planning Outline; Innovation Business
Model, Vision, Mission, Values; Supply and Value Chain; SWOTT
Analysis; Balanced Scorecard; Communication Plan
Write a 700- to 1,050-word section for your business model and
strategic plan in which you add your strategies and tactics to implement
and realize your objectives, measures, and targets.
Include marketing and information technology strategies and tactics.
Develop at least three methods to monitor and control your proposed
strategic plan, being sure to analyze how the measures will advance
organizational goals financially and operationally.
Explain the ethical issues faced by the organization, summarize the
legal and regulatory issues faced by the organization, and then
summarize the organization's corporate social responsibility.
Develop a 350-word page executive summary defining the new division
of existing business. Share your Vision, Mission, final business model,
value proposition and list your key assumptions, risks, and change
management issues. Quantify the growth and profit opportunity and
planned impact on various stakeholders.

Note: Any investor should be eager to meet with you after reading your
executive summary.
Business Model and Strategic Planning Outline as a guide, combine
Parts 1, 2, and 3 of your completed business model strategic plan with
your Final Business Plan Model assignment and Executive Summary.
This includes the Business Model, Vision, Mission, Values, SWOTT
Analysis, Supply Chain Analysis, Balanced Scorecard, and
Communication Plan from prior weeks. Your consolidated final strategic
plan should be 4,200 to 5,250 words in length.
Format paper consistent with APA guidelines.
*****************************************

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