MidTermExamFall2002AnswerKey

MidTermExamFall2002AnswerKey - Name _ Instructor _ Managing...

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Name ________________________________ Instructor ____________________________ Managing IT Resources –ITEC 4310 Mid Term Exam – October 15, 2002 1. From the FedEx Case, discuss four important “Information Technology” issues associated with FedEx’s “Global Logistics” and “Supply Chain Management” services. Identify the issue (1 point for each correct technology issue) and discuss in complete sentences (1 ½ points for each correct discussion). Supply Chain Management enabled by the Internet/Extranets Inventory Management and Visibility Global Inventory Visibility System, Warehouse Management System Global Supply Chain, management of Customs, Currency, Legal, Regulatory (Customs Clearance System) Currency Exchange Systems reliability, redundant networks, parallel processors, hand held computers, 1
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Name ________________________________ Instructor ____________________________ 2. What are two “Information Technology” ethical issues associated with your Team’s Term Project? Explain in complete sentences the issue and your team’s solution to the ethical issue. (1 point each for the identification of the two issues and 2 points each for the discussion of the issue and 2 points each for your solution to the issue). Privacy and Security Impact of Project on Loss of Jobs Must have ethical issues, discussion, and solution 2
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Instructor ____________________________ Use the Data in the Table below for questions 3 and 4. Information Technology Companies’ Income Statements Financial Line Item IT Company X Year 1997 $(millions) IT Company X Year 2001 $(millions) IT Company Z Year 1997 $(millions) IT Company Z Year 2001 $(millions) Revenue 25,000 26,500 15,300 28,400 Labor 4,000 5,100 1,000 2,000 Load 5,000 6,600 1,200 2,600 Material 900 1,300 300 600 Cost of Revenue 9,900 13,000 2,500 5,200 Gross Profit 15,100 13,500 12,800 23,200 Gross Prof Margin (%) 60.0% 50.9% 83.7% 81.7% Expenses Research and Develop. 2,300 5,000 2,500 4,500 Marketing and Sales 2,100 4,600 2,600 6,000 General and Admin 800 1,700 600 1,200 Total Expenses 5,200 11,300 5,700 11,700 Taxes 3,000 900 2,600 3,700 Net Income 6,900 1,300 4,500 7,800 Net Profit Margin (%) 27.6% 4.9% 29.4% 27.5% Information Technology Companies’ Selected Assets Selected Assets IT Company X Year 1997 $(millions) IT Company X Year 2001 $(millions) IT Company Z Year 1998 $(millions) IT Company Z Year 2001 $(millions) Property, Plant, & Equipment, Net Total 10,700 18,100 1,500 2,300 Inventory 1,700 2,300 10 700 Accounts Receivable 3,400 2,700 1,500 5,100 Sum of Selected Assets 15,800 23,100 3,010 8,100 Information Technology Companies’ Return on Selected Assets Return on Assets IT Company X Year 1997 (%) IT Company X Year 2001 (%) IT Company Z Year 1998 (%) IT Company Z Year 2001 (%) Return on Assets
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MidTermExamFall2002AnswerKey - Name _ Instructor _ Managing...

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