This document contains a practice exam for BUSN 278 with multiple choice and short answer questions covering topics like budgeting, forecasting, linear regression, marketing costs, zero-base budgeting, payback period, budgets, forecasting, voter turnout data, food and beverage sales analysis, and capital investment project analysis. Questions assess understanding of key concepts and require calculations of payback period, net present value, and accounting rate of return.

1. BUSN 278 Midterm - SPRING
2016
buy here
http://onlinehelpstudy.com/
exam_text.php?cat=16008
www.onlinehelpstudy.com
Immediate access to
solutions for ENTIRE
COURSES,
FINAL EXAMS and
HOMEWORKS
“RATED A+" - Without
Registration!

2. BUSN 278 Midterm - SPRING 2016
(TCO 1) It is important that budgets be accepted by _____
(TCO 2) The quantitative forecasting method that uses actual sales from recent time
periods to predict future sales assuming that the closest time period is a more
accurate predictor of future sales is the _____.
(TCO 3) Before performing linear regression, it is important to ensure that a linear
relationship exists between the dependent and independent variables by plotting
observed data on a diagram called the _____.
(TCO 4) Marketing costs include _____.
(TCO 5) Which of the following is not true when ranking proposals using zero-base
budgeting?
(TCO 6) The payback period is computed by dividing the cost of the capital investment
by the _____.
(TCO 1) Budgeting can be an important management tool if implemented properly.
Identify several positive results when budgets are used properly. Identify several
negative results if budgets are not properly implemented.
(TCO 2) Budgeting and forecasting are both vital to a company’s success. Compare and
contrast these two elements.
(TCO 2) The Federal Election Commission maintains data showing the voting age
population, the number of registered voters, and the turnout for federal elections.
The following table shows the national voter turnout as a percentage of the voting
age population from 1972 to 1996 (The Wall Street Journal Almanac, 1998).
(TCO 3) Use the table “Food and Beverage Sales for Paul’s Pizzeria” to answer the
questions below.
(TCO 6) Jackson Company is considering two capital investment proposals. Estimates
regarding each project are provided below.
(TCO 6) Top Growth Farms, a farming cooperative, is considering purchasing a tractor
for $468,000. The machine has a 10-year life and an estimated salvage value of
$32,000. Top Growth uses straight-line depreciation. Top Growth estimates that the
annual cash flow will be $78,000. The required rate of return is 9%.
Part (a): Calculate the payback period.
Part (b): Calculate the net present value.
Part (c): Calculate the accounting rate of return.