"founded in the 1990s" "Latin" new school merged girls boys town questions

Questions

QUESTION 15 In 2017, a company employee received an option to purchase the company's stock at...

QUESTION 15

In 2017, a company employee received an option to purchase the company's stock at $45 per share. If the stock is trading at $40 a share in 2019, the employee will most likely

		not bother to exercise the options.
		sell the shares to a third party slightly above the market price.
		exercise the option, receiving a gain of $40.
		exercise the option, receiving a gain of $5.
		buy the stock at $45 per share.

2 points

QUESTION 16

Jeff owns and manages a small electronics repair store. He determines the time required by his employees to complete each task assigned by him. When employees complete the repairs in less time, they receive an amount of pay equal to that time determined by him. In this scenario, Jeff is using a

		differential piecework plan.
		merit pay plan.
		Scanlon plan.
		straight piecework plan.
		standard hour plan.

QUESTION 10

During an organizing campaign, which of the following occurs when union representatives make contact with employees, present their message about the union, and invite them to sign an authorization card?

		The National Labor Relations Board (NLRB) conducts a secret-ballot election if only 30 to 50 percent of employees signed cards.
		The unions determine who is eligible to vote.
		The union is automatically recognized if at least 30 percent of employees agree.
		The National Labor Relations Board (NLRB) certifies the union as the exclusive representative of employees if the employer refuses to sign the card.
		The employees cannot participate in any of the proceedings.

2 points

QUESTION 11

During contract negotiations, the union representing the teachers in District 46 is calling for a strike if the union's demands aren't met by the end of the week. A new school board member is worried about school shutting down and suggests directing the negotiators to accept the union's demands. A more experienced board member says the teachers also have reasons for not wanting to strike. Which of the following would be one of the most likely reasons for teachers not wanting to strike?

		During a strike, the employer excludes workers from the workplace.
		The district will not pay the teachers while they are on strike.
		The school board member will picket the schools during the strike.
		The union will likely be able to make up for some pay during the strike.
		The janitors' union will refuse to cross the teachers' picket lines.

2 points

QUESTION 12

East Bay Hospital was concerned about rising costs for patients who have surgery for joint replacement. It tried rewarding staff in any quarter they met targets for lower use of supplies, but costs continued to rise. An investigation showed that one source of costs was the readmission of patients who experienced infections after surgery. The human resource department proposed setting up a gainsharing program with an effectiveness measure related to reducing infections. Which statement about gainsharing best supports this recommendation?

		Gainsharing creates a competitive environment, so employees will try to outdo one another.
		Gainsharing will narrow employees' focus to the key aspects of their individual jobs and rewards.
		Gainsharing is appropriate because the jobs in this case are simple, and so are the performance standards.
		With gainsharing, employees are freed to collaborate on how to improve performance.
		The success of gainsharing requires management acceptance of employee input.

2 points

QUESTION 13

Gabriela, an HR manager, and her staff devote long hours to planning and running a "benefits fair," where employees can view displays and ask questions about the various parts of the company's benefits package. The following week, the marketing manager asks if the effort was worthwhile. Gabriela says it was. What is the most likely reason for Gabriela's opinion?

		It lowered the cost of providing benefits, because employees know what to sign up for.
		It increased employees' happiness and job commitment, so they are more fun to be around.
		It lowered the cost of communicating with employees, because now the company doesn't need to use printed media.
		It increased employees' commitment and satisfaction, so they contribute more to the company.
		It increased employees' commitment to saving for retirement, so they won't need Social Security. I Need choes the corct answer

In: Operations Management

After watching a movie about a young woman who quit a successful corporate career to start...

After watching a movie about a young woman who quit a successful corporate career to start her own baby food com- pany, Julia Day decided that she wanted to do the same. In the movie, the baby food company was very successful. Julia knew, however, that it is much easier to make a movie about a successful woman starting her own company than to actu- ally do it. The product had to be of the highest quality, and Julia had to get the best people involved to launch the new company. Julia resigned from her job and launched her new company—Starting Right.

Julia decided to target the upper end of the baby food mar- ket by producing baby food that contained no preservatives but had a great taste. Although the price would be slightly higher than for existing baby food, Julia believed that parents would be willing to pay more for a high-quality baby food. Instead of put- ting baby food in jars, which would require preservatives to sta- bilize the food, Julia decided to try a new approach. The baby food would be frozen. This would allow for natural ingredients, no preservatives, and outstanding nutrition.

Getting good people to work for the new company was also important. Julia decided to find people with experience in finance, marketing, and production to get involved with Starting Right. With her enthusiasm and charisma, Julia was able to find such a group. Their first step was to develop prototypes of the new frozen baby food and to perform a small pilot test of the new product. The pilot test received rave reviews.

The final key to getting the young company off to a good start was to raise funds. Three options were considered: corpo- rate bonds, preferred stock, and common stock. Julia decided that each investment should be in blocks of $30,000. Further- more, each investor should have an annual income of at least $40,000 and a net worth of $100,000 to be eligible to invest in Starting Right. Corporate bonds would return 13% per year for he next five years. Julia furthermore guaranteed that investors in the corporate bonds would get at least $20,000 back at the end of five years. Investors in preferred stock should see their initial investment increase by a factor of 4 with a good market or see the investment worth only half of the initial investment with an unfavorable market. The common stock had the great- est potential. The initial investment was expected to increase by a factor of 8 with a good market, but investors would lose every- thing if the market was unfavorable. During the next five years, it was expected that inflation would increase by a factor of 4.5% each year.

Discussion Questions

1. Sue Pansky, a retired elementary school teacher, is con- sidering investing in Starting Right. She is very conserva- tive and is a risk avoider. What do you recommend?

2. Ray Cahn, who is currently a commodities broker, is also considering an investment, although he believes that there is only an 11% chance of success. What do you recommend?

3. Lila Battle has decided to invest in Starting Right. While she believes that Julia has a good chance of being suc- cessful, Lila is a risk avoider and very conservative. What is your advice to Lila?

4. George Yates believes that there is an equally likely chance for success. What is your recommendation?

5. Peter Metarko is extremely optimistic about the market for the new baby food. What is your advice for Pete?

6. Julia Day has been told that developing the legal docu- ments for each fundraising alternative is expensive. Julia would like to offer alternatives for both risk-averse and risk-seeking investors. Can Julia delete one of the finan- cial alternatives and still offer investment choices for risk seekers and risk avoiders?

In: Economics

Choosing a Source of Credit: The Costs of Credit Alternatives Jamie Lee Jackson, age 27, full-time...

Choosing a Source of Credit: The Costs of Credit Alternatives

Jamie Lee Jackson, age 27, full-time student and part-time bakery employee, is busy setting up her new home. Her budget is a little tight now as she made the decision to move in to a place of her own, which gives her privacy and independence, but all of the expenses are now her responsibility.

Jamie Lee applied for three store credit cards when she was shopping for her furnishings. The excitement of making selections and the attractiveness of percentages off her purchases made the credit card offers too good to pass up. It was all too easy to select the new furnishings when the cash was not immediately coming from her pocket. “The payments will not be due for at least 45 days from now, by the time all the accounts are opened and the grace periods are factored in. I am sure I will have enough to cover the balances by then,” Jamie Lee convinced herself.

Jamie Lee’s new furnishings have been delivered, and she is quite happy with her choices. The bungalow is comfortable, and Jamie is now getting into a routine balancing the new move with work and school obligations. Unfortunately, the bills have begun to arrive in Jamie Lee’s mailbox; payments are soon due for all the new furniture and appliances.

The corresponding annual interest rates on the credit card purchases were not something Jamie Lee factored in when she applied for the store credit cards. “Wow, 18.5 percent on one, and the other two have interest rates of 19 percent per year. Those interest fees can really add up quickly. The disclosure said that by making the minimum payments, I could be paid off in 14 years! I am not sure my appliances will still be working at that time, nor will the furniture still be in style 14 years from now.” Jamie Lee was starting to feel the consequences of overspending and knew she must develop a plan to pay off the purchases quickly!

Assets: Checking account: $1,800 Savings account: $7,200 Emergency fund savings account: $2,700 IRA balance: $410 Car: $2,800

Liabilities: Student loan balance: $10,800(Jamie is still a full-time student, so no payments are required on the loan until after graduation) Credit card balance: $4,250(total of the three store credit cards)

Income: Gross Monthly salary from the bakery: $2,750(Net Income: $2,175)

Monthly Expenses: Rent: $350 Utilities: $70 Food: $125 Gas/maintenance: $130 Credit card payment: $0

Questions

1. Jamie Lee received an offer to transfer the balance of all her store credit cards to her bank credit card in the mail. It offered zero percent finance charges/interest for the first three months(90 days), and 18.5 percent interest rate thereafter until the balance is paid in full. Upon reading the fine print, there was a $50 transaction fee and interest accrued from the day the balance transfer was made if the balance is paid in full within the first 90 days. How could Jamie Lee use this balance transfer offer to her advantage? How is this offer a major disadvantage to Jamie Lee?

In: Finance