PGA PGM 3.0 Level 1 Test | 100%
Correct Answers | Graded A+
• Who should provide direction for creating the business plan at a Golf
Operation -✓✓Key Stakeholders
• According to the business planning Model, a business plan should
build on and refine the operation plan -✓✓False
• Long - Range Planning should initially assume an adversarial
relationship between neighboring facilities that directly compete with
each other. -✓✓True
• What is the usual business destination for long range planning? -✓✓3-
5 years Achieve its vision
• what is the most significant benefit of strategic business Planning. -
✓✓Provide a long term vision & Destination
• Helping Establish a starting point for goals, Objectives, and related
strategies is an appropriate use of a SWOT analysis. -✓✓True
• You are in the process of completing a business plan for the golf shop.
Initial forecast of sales, expenses, and profit have been made. Past data
has been analyzed and important inside and outside factors have been
identified. What is the next step to be taken towards completing the
plan? -✓✓Monitor Performance
• A Golf Professional is purchasing a golf course. The business plan he
presented to his banker included his history of operating successfully
operating similar facilities, budget projections for the first five years
under his management, and objectives and strategies for reaching his
goals. The banker rejected the loan application because of missing
,information. What important element is missing from the business plan?
-✓✓Current state of the business
• The SWOT analysis would treat opportunities are threats as factors that
usually can be controlled by the facility. -✓✓False
• The Result of a SWOT analysis could be sufficient justification for the
abandonment of a core business function -✓✓True
• Staff evaluation are a relevant data source for a SWOT analysis -
✓✓True
• How might revenues be affected at a nearby daily fee course if the
local tire plant has major layoffs -✓✓Go Down (decrease)
• Lack of a mission statement is an example of a weakness that a SWOT
analysis might disclose -✓✓True
• Trends in local consumer spending would be most useful for
evaluating a core business function -✓✓True
• What should govern the decision to pursue an opportunity? -
✓✓Finances - Barriers to entry - recourses - opportunity cost
• Goals, Objectives & strategies -✓✓
• Consider the following the statement as part of the a business plan:
"improve range profits and customer satisfaction." According to the
business planning course, this statement is an example of an objective. -
✓✓True
• The new manager of a ten - year - old private course currently doing an
average of 5, 000 tournament rounds per year, proposes to increase
,tournament rounds by 50% by the end of the next year. This proposal
meets the criteria for an effective business objective as presented in the
business planning course manual. -✓✓True
• "Develop and promote group lesson programs aimed at a women and
Juniors" is an example of an effective business objectives. -✓✓False
• What Important Characteristic is missing in the business Objectives.
"Increase pro shop sales next year?" -✓✓Measurables; How are you
going to measure
• Which Characteristics of goals and objectives is described as capable
of being observed, recorded, and measure. -✓✓Quantifiable
• What is functionally significant difference between goals and
objectives? -✓✓goal few clearly defined targets objectives of how we
get the goal.
• A facilities financial objectives could achieved through operational
strategies alone. -✓✓False
• The Following agenda was part of a golf range business plan."175
dozen range balls and rotate usage three times a year. Who: Head
Professional. When: End of First Quarter. Cost: $1500" According to the
business plan component represented by this statement? -✓✓.......
• What is an example of a financial Strategy? -✓✓Borrowing Money:
Debt: Reduce operating expense.
• What would be the most appropriate initial response to a facility
income not meeting projections. -✓✓.......
• Financial, Forecast, and Budgets -✓✓
, • Calculating yield involves knowing the relationship between the
amount utilized and the amount available. -✓✓True
• Gross Profit is what remains after calculating the difference between
revenue and cost of goods -✓✓True
• Linear trend analysis and base year analysis are example of vertical
analysis -✓✓False
• The Divisor in the linear trend formula - average percentage is the
number of years of change being measured. -✓✓True
• Conducting a base year analysis is a good choice for a facility that has
just completed a project that added nine new holes to the original 9 -
hole course -✓✓True
• Golf Shop sales of $100,000 yield gross margin of $30,000, What is
the percent of the cost of goods. -✓✓30%
• What is the definition of "cost of goods sold" -✓✓Cost used to by
stock
• If the gross target margin for your golf shop were about 40%, what
would be the target % for your cost of goods sold? -✓✓60%
• According to the business planning course manual, what is usually the
largest contributor to the bottom line profit of the facility -✓✓Rounds
• What is the formula for Merchandise Net Operating Income? -
✓✓Revenue Generated - Operating Expense
Correct Answers | Graded A+
• Who should provide direction for creating the business plan at a Golf
Operation -✓✓Key Stakeholders
• According to the business planning Model, a business plan should
build on and refine the operation plan -✓✓False
• Long - Range Planning should initially assume an adversarial
relationship between neighboring facilities that directly compete with
each other. -✓✓True
• What is the usual business destination for long range planning? -✓✓3-
5 years Achieve its vision
• what is the most significant benefit of strategic business Planning. -
✓✓Provide a long term vision & Destination
• Helping Establish a starting point for goals, Objectives, and related
strategies is an appropriate use of a SWOT analysis. -✓✓True
• You are in the process of completing a business plan for the golf shop.
Initial forecast of sales, expenses, and profit have been made. Past data
has been analyzed and important inside and outside factors have been
identified. What is the next step to be taken towards completing the
plan? -✓✓Monitor Performance
• A Golf Professional is purchasing a golf course. The business plan he
presented to his banker included his history of operating successfully
operating similar facilities, budget projections for the first five years
under his management, and objectives and strategies for reaching his
goals. The banker rejected the loan application because of missing
,information. What important element is missing from the business plan?
-✓✓Current state of the business
• The SWOT analysis would treat opportunities are threats as factors that
usually can be controlled by the facility. -✓✓False
• The Result of a SWOT analysis could be sufficient justification for the
abandonment of a core business function -✓✓True
• Staff evaluation are a relevant data source for a SWOT analysis -
✓✓True
• How might revenues be affected at a nearby daily fee course if the
local tire plant has major layoffs -✓✓Go Down (decrease)
• Lack of a mission statement is an example of a weakness that a SWOT
analysis might disclose -✓✓True
• Trends in local consumer spending would be most useful for
evaluating a core business function -✓✓True
• What should govern the decision to pursue an opportunity? -
✓✓Finances - Barriers to entry - recourses - opportunity cost
• Goals, Objectives & strategies -✓✓
• Consider the following the statement as part of the a business plan:
"improve range profits and customer satisfaction." According to the
business planning course, this statement is an example of an objective. -
✓✓True
• The new manager of a ten - year - old private course currently doing an
average of 5, 000 tournament rounds per year, proposes to increase
,tournament rounds by 50% by the end of the next year. This proposal
meets the criteria for an effective business objective as presented in the
business planning course manual. -✓✓True
• "Develop and promote group lesson programs aimed at a women and
Juniors" is an example of an effective business objectives. -✓✓False
• What Important Characteristic is missing in the business Objectives.
"Increase pro shop sales next year?" -✓✓Measurables; How are you
going to measure
• Which Characteristics of goals and objectives is described as capable
of being observed, recorded, and measure. -✓✓Quantifiable
• What is functionally significant difference between goals and
objectives? -✓✓goal few clearly defined targets objectives of how we
get the goal.
• A facilities financial objectives could achieved through operational
strategies alone. -✓✓False
• The Following agenda was part of a golf range business plan."175
dozen range balls and rotate usage three times a year. Who: Head
Professional. When: End of First Quarter. Cost: $1500" According to the
business plan component represented by this statement? -✓✓.......
• What is an example of a financial Strategy? -✓✓Borrowing Money:
Debt: Reduce operating expense.
• What would be the most appropriate initial response to a facility
income not meeting projections. -✓✓.......
• Financial, Forecast, and Budgets -✓✓
, • Calculating yield involves knowing the relationship between the
amount utilized and the amount available. -✓✓True
• Gross Profit is what remains after calculating the difference between
revenue and cost of goods -✓✓True
• Linear trend analysis and base year analysis are example of vertical
analysis -✓✓False
• The Divisor in the linear trend formula - average percentage is the
number of years of change being measured. -✓✓True
• Conducting a base year analysis is a good choice for a facility that has
just completed a project that added nine new holes to the original 9 -
hole course -✓✓True
• Golf Shop sales of $100,000 yield gross margin of $30,000, What is
the percent of the cost of goods. -✓✓30%
• What is the definition of "cost of goods sold" -✓✓Cost used to by
stock
• If the gross target margin for your golf shop were about 40%, what
would be the target % for your cost of goods sold? -✓✓60%
• According to the business planning course manual, what is usually the
largest contributor to the bottom line profit of the facility -✓✓Rounds
• What is the formula for Merchandise Net Operating Income? -
✓✓Revenue Generated - Operating Expense
