BADM 3000 Finance: Multiple Choice Practice Questions
Chapters 1 and 2
1. Which of the following would be considered an advantage of the sole proprietorship form of organization?
A. Wide access to capital markets
B. Unlimited liability
C. A pool of expert
C) Individualism/Protestant Reformation (How Christianity became secular,) NAVDEEP
Religion is now being more of a private matter and that society has formed interpretations
and beliefs rather than following practices. People are now following what they b
Biography Navdeep sahota
Navdeep Sahota is one of our specialist consultants. It has been nearly 6 years she has
been with Santec Consulting firm. She is a graduate from University of Waterloo and has
knowledge from completion of specialized courses in ac
CHAPTER 13: MANAGING DEMAND AND CAPACITY
Overuse or underuse of a service can directly contribute to gap 3: failure to
deliver what was designed and specified.
THE UNDERLYING ISSUE: LACK OF INVENTORY CAPABILITY
Unlike manufacturing firms, service firm
The Gaps Model of Service Quality
THE CUSTOMER GAP
The difference between customer expectations and perceptions
Customer expectations: standards of reference points that customers bring into the service
o consist of what a c
CHAPTER 9: CUSTOMER-DEFINED SERVICE STANDARDS
We must use the knowledge from customer expectations to set service quality standards and goals for
the organization. It is hard because it requires the marketing and operations depts. To work together
Introduction to Services
What are services?
Services include all economic activities whose output is not a physical product or construction,
is generally consumed at the time it is produced, and provides added value in forms (such as
marketed by: Infinity Advertising
About the Brand of GUESS jeans
IMC Objectives & Budget
The Big Idea
Illustration of Concep
Listening to Customers through Research
Research Objectives for Service
1) The first step in designing services research is the most critical: defining the problem and
o Service marketer poses questions to be answered with
Chapter 10 macroecnomics
The meaning of money
barter: the exchange of one good or service for another
an economy that barters will have trouble allocating their scarce resources efficiently
double coincidence of wants: the unlikely occurrence that two peo
Professor Thomas Foard
Email: [email protected]
Chapter 3, Part A
Descriptive Statistics: Numerical Measures
Measures of Location
Measures of V
One of the hardest tasks an entrepreneur faces with a start-up business is coming up with a
realistic estimate of revenues. The main problems concern the uncertainties about:
The size of the available market how much do customers alrea
Introduction to Business Costs
A business has many different costs, from paying for raw materials through to paying the rent or
the heating bill. By careful classification of these costs a business can analyse its performance
and make better-
Why Businesses Need Finance
Finance is the money available to spend on business needs.
Right from the moment someone thinks of a business idea, there needs to be cash. As the
business grows there are inevitably greater calls for more money to finance expa
Demand is defined as:
The amount (quantity) that customers are prepared to buy at a given price
As customers, in an ideal world we would be able to buy whatever we wanted. However, we are
restricted by a simple problem we dont have un
The Balance Sheet
Balance sheets provide a snap shot of the assets and liabilities of a business at a point of time.
It shows what the business owns, is owed and owes:
Owns assets such as buildings, stock and cash.
Is owed money from debtors.
Owes money t
The Cash Flow Forecast
The cash flow forecast predicts the net cash flows of the business over a future period.
The forecast estimates what the cash inflows into the bank account and outflows out of the bank
account will be. The result of the cash flow fo
Understanding Business Revenues
A business exists to provide goods and services. Those products are sold to customers. When
a customer buys a product, that transaction becomes a sale for the business. Thats what
businesses do they makesales.
The value of
Share capital is the money invested in a company by the shareholders. Share capital is
a long-term source of finance. In return for their investment, shareholders gain a share of the
ownership of the company. An illustration of an example co
Things for a start-up to consider when raising finance
Often the hardest part of starting a business is raising the money to get going. An entrepreneur
might have a great business idea and clear plan for how to exploit a market opportunity.
Other Sources of External Finance
Leasing is like renting a piece of equipment or machinery. The business pays a regular amount
for a period of time, but the item belongs to the leasing company.
Most company cars are leased to businesses. The busi
Breakeven - Contribution
Contribution looks at the profit made on individual products. It is used in calculating how many
items need to be sold to cover all the business' costs (variable and fixed).
Let's start with a really important definition & formula
Breakeven - Introduction
A business can work out how what volume of sales it needs to achieve to cover its costs. This is
known as the breakeven point.
The key to break even is to work out the contribution made from the sale of each unit.
Introduction to Financial Accounting
Financial accounts are the records of the financial dealings of the business, their everyday
The main role of financial accounting is to:
Record financial transactions; e.g. collecting money
Choosing the Right Source of Finance
A business needs to assess the different types of finance based on the following criteria:
Amount of money required a large amount of money is not available through some sources
and the other sources of finance may not
Profit and Loss Account
The purpose of the profit and loss account is to:
Show whether a business has made a PROFIT or LOSS over a financial year.
Describe how the profit or loss arose e.g. categorising costs between cost of
sales andoperating costs.