Which of the following is a salient feature of direct control methods?
A. They allow top managers to learn firsthand the problems and challenges facing a unit and offer assistance.
B. They involve the use of reports and other written forms of communication to control operations.
C. They are particularly important in international management because of the great expense associated with indirect control methods.
D. They are typically used by multinational companies to monitor performance on a monthly basis, whereas indirect controls are used semiannually or annually.
Answer: A
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Which one of the following equations represents retained earnings activity?
a. Beginning balance + net income + dividends = profits for the year b. Beginning balance + cash inflows – cash outflows = ending balance c. Beginning balance + dividends – net income = ending balance d. Beginning balance + net income – dividends = ending balance
In the competitive-parity method of setting an advertising budget, the budget is set based on ________
A) a percentage of future sales B) the total revenues that a company makes C) the amount spent by similar companies in the same industry D) objectives set by the company and the cost required to accomplish them E) a percentage of current sales
In determining earnings per share, interest expense, net of applicable income taxes, on convertible debt which is dilutive should be
a. ignored for diluted earnings per share. b. added back to net income for diluted earnings per share. c. deducted from net income for diluted earnings per share. d. none of these.
The behaviors and processes required for organizing a group of people to achieve a common purpose or goal are known as _______.
Fill in the blank(s) with the appropriate word(s).