ch8 - ch8 1. The process by which managers monitor and...

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ch8 1. The process by which managers monitor and regulate the organization in order to determine if the organization is operating efficiently and effectively is known as planning. True False 2. Using the controlling function, managers monitor and evaluate the organization's strategy to see if it is working. True False 3. The control function is limited to reacting to events in a business after the events have already occurred. True False 4. Organizational control procedures can give managers feedback about the quantity, but not the quality, of products produced by the organization. True False 5. Formal monitoring and evaluation systems that provide managers with information in order to determine if the organization's strategy is working efficiently and effectively are known as control systems. True False 6. Managers use feedforward control to anticipate problems. True False 7. During the input stage, the most common type of control procedure is concurrent control, which gives managers immediate feedback. True False 8. At the output stage, managers typically use feedback control more than any other type of control procedure. Feedback control gives managers regains about customers' reactions. True False 9. The first step in the control process is to evaluate results in terms of performance standards. True False 10. A standard of performance that measures efficiency at the functional level is the operating cost. True False 11. The first type of performance measure that managers typically use measures outputs. True False 12. Standard operating procedures are mechanisms for clan control. True False 13. All managers develop a system of output control. True False 14. Profit ratios measure the efficiency of the use of the organization's resources in generating profits. True False 15. The most commonly used financial performance measure in organizations is the debt-to-equity ratio. True False 16. The difference between revenues from a product and the costs that are directly associated with producing or purchasing that product is known as the operating profit of that product. True False
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17. The "objectivity" of financial measures of performance is a main reason why managers use these ratios to measure the efficiency and effectiveness of their organizations. True False 18. When you divide the organization's current assets by its current liabilities, the result is known as the times-covered ratio of the organization. True False 19. The current ratio is an example of a leverage ratio of the organization. True False 20. The inventory turnover ratio is an example of the activity ratio of an organization. True False 21. Information on how efficiently managers are collecting revenue from customers to pay expenses is given by the quick ratio. True False
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ch8 - ch8 1. The process by which managers monitor and...

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