Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
39. A __________ graphically displays the scheduling of tasks required to complete a project.
a) business chart
b) Gantt chart
c) Pareto chart
d) project chart
40.__________ is a combination of the critical path method and the program evaluation and
review technique.
a) CPM/PERT
b) A Gantt chart
c) A Pareto chart
d) Project management
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
41. The pathway from project start to conclusion that involves the longest completion time is
called the __________.
a) critical path
b) economic order quantity
c) purchasing control level
d) financial minimum level
42. __________ ensures that an inventory is only big enough to meet immediate needs.
a) Financial planning
b) Management control
c) Inventory control
d) Direct control
43. The __________ places new orders when inventory levels fall to predetermined points.
a) master level method
b) economic order quantity method
c) purchasing control level method
d) financial minimum level method
44. __________ routes materials to workstations just in time for use.
a) On-time scheduling
b) Almost-on-time scheduling
c) Strategic scheduling
d) Just-in–time scheduling
45. The point at which revenues just equal costs is called the __________.
a) profit margin
b) breakeven point
c) maximum cost point
d) marginal revenue point
46. __________ performs what-if calculations under different revenue and cost conditions.
a) Breakeven analysis
b) Profit analysis
c) Loss analysis
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
d) Marginal analysis
47. The two types of cost used to determine the breakeven point are __________ and
__________.
a) minimum cost; maximum cost
b) direct cost; indirect cost
c) fixed cost; variable cost
d) hard cost; soft cost
48. __________ measures ability to meet short-term obligations.
a) Liquidity
b) Leverage
c) Asset management
d) Profitability
49. Which of the following financial ratios is the correct formula for the current ratio?
a) Current Assets – Inventory/Current Liabilities
b) Current Assets/Current Liabilities
c) Sales/Average Inventory
d) Current Assets/Total Liabilities
50. Which of the following financial ratios measures use of debt?
a) Profitability
b) Asset management
c) Liquidity
d) Leverage
True/False
51. Conformance with rules and procedures, efficiency in the use of resources, and work
attendance are examples of input standards.
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
52. Historical comparisons benchmark our performance against that being achieved by other
people, work units, or organizations.
53. The advantage of feedforward controls is the opportunity to intervene immediately when
problems are detected.
54. Managing by objectives is a system that works only to improve organizational improvement
objectives.
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
55. While writing a good performance objective, you should identify a date by which the key
result will be accomplished.
56. Six Sigma is not a common quality standard in our global marketplace because it is often too
difficult to achieve.
57. The reality of “continuous improvement” is that you can never be satisfied, that something
can and always should be done better.
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
58. The function of the economic order quantity method is to hold down both order costs and
inventory costs.
Fill-in
59. The purpose of __________ is to make sure that plans are achieved and that actual
performance meets or surpasses objectives.
60. Control equation: Need for Action = __________ Performance – __________ Performance.
61. __________ use past experience as a basis for evaluating current performance.
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
62. Concurrent controls are also called __________.
63. If you follow-up with clients to see what they thought of the service level that you provided,
you are using a __________ type of control.
64. Bureaucratic control is an example of __________.
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
65. Business firms adjusting products, price, and other practices in response to customer
feedback and competitor moves illustrates __________.
66. __________ document intentions to accomplish personal growth, such as expanded job
knowledge or skills.
67. The common phrase for operations, built upon continuous improvement, that seek to make
quality an everyday performance objective is __________.
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
68. ____________ is responsibility for the overall planning, supervision, and control of projects.
69. To improve workflow and reduce costs, __________ seeks to arrange for materials to arrive
right as they are needed.
70. The point where losses end and profits begin is known as the __________.
71. ___________________ measures profit generation.
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
72. __________ measures asset and inventory efficiency.
73. A __________ measures performance on financial, customer service, internal process, and
innovation and learning goals.
Essay
74. Describe the basic steps in the control process.
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
75. Discuss the managing by objectives technique for integrating planning and controlling.
76. As a manager of a firm, what steps would you take to increase internal control within
employees?
77. Define the three types of time-related controls and their relationship to work inputs, work
throughputs, and work outputs.
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
78. Define and discuss the components of TQM (total quality management).
79. Discuss breakeven analysis. What is its intent? How is it calculated?
Schermerhorn & Bachrach / Exploring Management, 5th Edition Test Bank
80. Discuss just-in-time scheduling (JIT). As a manager of a firm, would you use this approach
to inventory control? Give reasons.