Personal selling likely to be

MOST

important when:

- the distribution network is well established (as opposed to poorly established).

- prices are negotiable (instead of fixed list prices) because of industry competition.

- the product is simple (as opposed to complex), requiring no demonstration.

- the target market is composed of thousands of small customers (as opposed to 50 large customers).

Kay was widely recognized in her firm and the industry as a superb leader and sales manager. The reps who

worked for her talked about her ability to motivate the sales force based on:

- the industry standards, which she had helped create

- the firm’s policies and procedures

- what was most important to each individual

- the sales contests she created which were always fair and always had a vacation at an exotic resort as a

prize

Which of the following best describes a salesperson who would be categorized as a value spendthrift?

- concedes on price in order to quickly close sales deals

- regularly gains more business at the same price

- believes management pursues a value-driven strategy

- documents claims to customers about superior monetary value

Which is

NOT

an advantage of a territorial sales force structure?

- Accountability is clearly defined for each salesperson.

- Each salesperson’s job is clearly defined.

- Salespeople have the opportunity and incentive to build strong relationships with customers.

- Salespeople develop in-depth knowledge of a product line.

Which explains why many firms have adopted the team selling approach to service large, complex accounts?

- Products have become too complicated for one salesperson to support.

- Customers prefer dealing with many salespeople rather than one salesperson.

- Salespeople prefer working in groups because of the opportunity for flex hours and job sharing.

- A group of salespeople assigned to one account is cost effective for corporations.

A potential drawback of using the latest sales technologies to make sales presentations and service accounts?

- Salespeople are more likely to use a “one-size-fits-all” selling approach.

- The cost of the technology outweighs any savings gained in eliminating the need for travel.

- The systems can intimidate some clients and salespeople, making them uncomfortable with the process.

- The technologies limit the degree of creativity a salesperson can use in making sales presentations.

Management uses the workload approach to ________.

- set the size of the sales force

- determine product availability

- identify desirable characteristics of the sales force

- establish sales quotas

Which activity is

NOT

typical for a sales assistant?

- call ahead and confirm appointments

- determine price points

- complete administrative tasks

- follow up on deliveries

An advantage of the straight commission compensation plan is that it:

- minimizes fluctuations in salesperson’ earnings.

- stimulates missionary selling, i.e., seeking out new customers.

- reduces the cost of selling as a percentage of net sales.

- encourages the salesperson to sell aggressively.

Briefly describe three methodologies that might be used to approximate the value of a company.  Be sure to include a general description of how one should perform the calculations and what relevant data should be assembled and used

What are some of the uses of ratio analysis?  Select 5 ratios, show how they are computed, and explain what might cause the ratios financially and/or operationally to both decrease and decrease.

Discuss how cash, accounting, and financial breakeven are calculated.  Be sure to include the advantages/disadvantages of each. Also, discuss how NPV and IRR are calculated in Excel.  What are the required inputs to each?

Solar Co. is evaluating a proposal to build a new solar plant. The new plant costs $225 million today (at t = 0), and the expected salvage value of the plant in eight years is $43 million (at t = 8). Based on these assumptions, the NPV of this project is $20 million. Now suppose the project team made an error, and the expected salvage value of the plant is zero in eight years (at t = 8). By how much would the NPV of the project change, assuming the salvage value is zero? The CCA rate for the solar plant is 40%. Solar Co. has a corporate tax rate of 37% and a required rate of return of 15%.

A homeowner can obtain a $250,000, 30-year fixed-rate mortgage at a rate of 6.0 percent with zero points or at a rate of 5.5 percent with 2.25 points. If you will keep the mortgage for 30 years, what is the net present value of paying the points (to the nearest dollar)?

A. $9,475
B. $8,360
C. $7,564
D. $7,222

using BAII Plus
E. $6,578

How does one common size the income statement and the balance sheet?  What is the purpose(s) of doing so and what types of financial/operational information can be gleaned?

What role did financial institutions play in the financial crisis of 2007/2008?

6.

What type of stock has a limitation on voting rights?

7.

What is a contract that results in receiving payments forever (does not have an end date)?

GreenBike considering expanding its bike share factory expansion. The expansion will require new equipment costing $800,000 that would be depreciated on a straight-line basis to a zero balance over the 5-year life of the project. The estimated salvage value of the equipment is $150,000. The project requires $60,000 initially for net working capital, all of which will be recouped at the end of the project. The projected operating cash flow is $250,000 a year. What is the net present value of this project if the relevant discount rate is 16% and the tax rate is 28%?

acme corporation is considering a project to make gizmos. the cash flow would be 425000 per year. the project cost is 2.6 million and no matter when the project is started, gizmos would become obsolete in 10 years. hoever, the rechnology to produce gizmos is becoming cheaper by the year and the project costs are likely to decline by 230000 per year until it reaches 1.45 million, after which there would be no more reduction in prject cost acme's required return is 12% should the project be undertaken and if so, when

You have recently assumed the role of CFO at your company. The company's CEO is looking to expand its operations by investing in new property, plant, and equipment. You are asked to do some capital budgeting analysis that will determine whether the company should invest in these new plant assets.

-The firm is looking to expand its operations by 10% of the firm's net property, plant, and equipment= 2018 = $61,797 million, increase 10% = $6,179.7 million to total $67,976.7 million

-The estimated life of this new property, plant, and equipment will be 12 years. The salvage value of the equipment will be 5% of the cost.

-EBIT = 18% of the project's cost

-The hurdle rate for this project will be the WACC = 8.5%

Calculate the discounted payback period.

A firm is considering replacing the existing industrial air conditioning unit. They will pick one of two units. The first, the AC360, costs $26,161.00 to install, $5,148.00 to operate per year for 7 years at which time it will be sold for $6,874.00. The second, RayCool 8, costs $41,347.00 to install, $2,073.00 to operate per year for 5 years at which time it will be sold for $9,004.00. The firm’s cost of capital is 6.50%. What is the equivalent annual cost of the AC360? Assume that there are no taxes.

Answer format: Currency: Round to: 2 decimal places.

A firm is considering replacing the existing industrial air conditioning unit. They will pick one of two units. The first, the AC360, costs $26,409.00 to install, $5,143.00 to operate per year for 7 years at which time it will be sold for $6,929.00. The second, RayCool 8, costs $41,079.00 to install, $2,125.00 to operate per year for 5 years at which time it will be sold for $9,006.00. The firm’s cost of capital is 6.50%. What is the equivalent annual cost of the RayCool8? Assume that there are no taxes.

Answer format: Currency: Round to: 2 decimal places.

Could really use the help!!! Please show all steps (not excel) for better understanding!! :D Thank You.

1. The X-L Corporation is preparing to target the largest market segment in its industry for entry. The firm is MOST likely to be successful if?

1. In 2018, the Utah Legislature approved the issuance of $9 million in bonds to cover rebuilding of the state-owned liquor store on Foothill Drive. The bonds will be paid with the income made by store by selling alcoholic beverages. The type of bonds that are financing the renovation project are called:

a. Revertible

b. Deferred

c. Infrastructural

d. General obligation

e. Revenue

2. Imagine that you have a rich aunt who died in September of 2017. She never married, had no children, and wants to leave all her $6 million estate to you because of those fabulous neck massages that you used to give her. In light of the federal estate tax rules, how much will you pay in estate taxes?

a. $0

b. $20,000

c. $204,000

d.$480,000

e. $2.4 million

3. The Tax Cuts and Jobs Act passed in December of 2017 dramatically increased the amount of money that is exempted or excluded when calculating any estate tax. The new law did not change, however, the rule that any exemption not used by one spouse at the time of his or her death can be used at the time of the other spouse's death. This rule is called:

a. Equity adjustment

b. Probate balancing

c. Recalibration

d. Portability

e. Generational skipping