BUS 490 BSG Simulation Quiz 1 with Answers
1. In year 11, footwear companies can expect to sell: an average of 4.84 million branded pairs and an
average of 800,000 private label pairs, although sales at some companies may run higher or lower than the averages due to differing
levels of competitive effort.
2. The interest rate a company pays on loans outstanding depends on: its credit rating
3. The company's present production capability (as of Year 10) is: 6 million pairs without the use
of overtime and 7.2 million pairs with the use of overtime
4. The factors that affect a company's S/Q rating include:: the percentage use of superior materials; a
company's cumulative spending for TQM/Six Sigma quality control programs; the use of best practices training; and expenditures or
new styling/features per model
5. Which one of the following does not affect the reject rates?: The installation of plant upgrade C
6. Which of the following are the 4 geographic regions in which the company sells branded
and private label athletic footwear?: Asia-Pacific, Europe-Africa, Latin America, and North America
7. The market for PRIVATE label athletic footwear is projected to grow: 10% annually in all four
geographic regions during the Year 11-Year 15 period and 8.5% annually in all four regions during the Year 16-Year 20 period
8. Which of the following most accurately describes your company's plant operations?: Standard
and superior materials are sourced from outside suppliers at prices that vary according to global demand-supply conditions; the
company's production workers are compensated on the basis of both base pay and incentive payments per non-defective pair
produced.
9. Which of the following is/are not among the factors that affect worker productivity?:
The percentage of newly-hired workers and the percentage use of superior materials
,10. The company's shipments of newly produced branded and private label footwear
from its plants to its regional distribution centers are subject to: any applicable import tariffs and
exchange rate adjustments
11. The company currently has production facilities to make athletic footwear in: North
America and Asia-Pacific
, 12. Which of the following currencies are involved in affecting the operations of your
company's athletic footwear business?: Singapore dollars, euros, U.S Dollars, and Brazilian reals
13. Which of the following are the 5 measures on which a company's perfor- mance is
judged/scored?: Earnings per share, ROE, Stock price, Credit rating, and image rating
14. Which of the following best describes the materials the company uses to make its
footwear?: Standard and superior materials
15. The market for BRANDED athletic footwear is projected to grow: 5-7% annually in North
America and Europe-Africa during Year 11-Year 15 and 3-5% annually in these regions during the Year 16-Year 20 period.
16. Which of the following are factors in determining a company's credit rat- ing?: Its
debt-asset ratio, default risk ratio, and interest coverage ratio
17. Which of the following are components of the compensation package for
production workers at your company's plants?: Base wages, incentive payments per non defective pair
produced, and overtime pay.
18. A footwear makers price competitiveness in selling branded footwear to retailers in
a particular geographic region is determined by: whether its wholesale price is above or below the
average price of all companies competing in that geographic region
19. The reject rates at the company's footwear plants are a function of: the size of the
incentive payment per non defective pair produced, spending for best practices training, spending for TQM/Six Sigma quality control efforts,
the number of models/styles comprising the company's product line, and the installation of plant upgrade option A
20. Which of the following is not among the factors that affect worker produc- tivity?:
Whether plant upgrade option A has been installed
21. Which of the following currencies are NOT involved in affecting the opera- tions of
your company's business: Swiss francs, south African rand, Chilean pesos, and Turkish lira
1. In year 11, footwear companies can expect to sell: an average of 4.84 million branded pairs and an
average of 800,000 private label pairs, although sales at some companies may run higher or lower than the averages due to differing
levels of competitive effort.
2. The interest rate a company pays on loans outstanding depends on: its credit rating
3. The company's present production capability (as of Year 10) is: 6 million pairs without the use
of overtime and 7.2 million pairs with the use of overtime
4. The factors that affect a company's S/Q rating include:: the percentage use of superior materials; a
company's cumulative spending for TQM/Six Sigma quality control programs; the use of best practices training; and expenditures or
new styling/features per model
5. Which one of the following does not affect the reject rates?: The installation of plant upgrade C
6. Which of the following are the 4 geographic regions in which the company sells branded
and private label athletic footwear?: Asia-Pacific, Europe-Africa, Latin America, and North America
7. The market for PRIVATE label athletic footwear is projected to grow: 10% annually in all four
geographic regions during the Year 11-Year 15 period and 8.5% annually in all four regions during the Year 16-Year 20 period
8. Which of the following most accurately describes your company's plant operations?: Standard
and superior materials are sourced from outside suppliers at prices that vary according to global demand-supply conditions; the
company's production workers are compensated on the basis of both base pay and incentive payments per non-defective pair
produced.
9. Which of the following is/are not among the factors that affect worker productivity?:
The percentage of newly-hired workers and the percentage use of superior materials
,10. The company's shipments of newly produced branded and private label footwear
from its plants to its regional distribution centers are subject to: any applicable import tariffs and
exchange rate adjustments
11. The company currently has production facilities to make athletic footwear in: North
America and Asia-Pacific
, 12. Which of the following currencies are involved in affecting the operations of your
company's athletic footwear business?: Singapore dollars, euros, U.S Dollars, and Brazilian reals
13. Which of the following are the 5 measures on which a company's perfor- mance is
judged/scored?: Earnings per share, ROE, Stock price, Credit rating, and image rating
14. Which of the following best describes the materials the company uses to make its
footwear?: Standard and superior materials
15. The market for BRANDED athletic footwear is projected to grow: 5-7% annually in North
America and Europe-Africa during Year 11-Year 15 and 3-5% annually in these regions during the Year 16-Year 20 period.
16. Which of the following are factors in determining a company's credit rat- ing?: Its
debt-asset ratio, default risk ratio, and interest coverage ratio
17. Which of the following are components of the compensation package for
production workers at your company's plants?: Base wages, incentive payments per non defective pair
produced, and overtime pay.
18. A footwear makers price competitiveness in selling branded footwear to retailers in
a particular geographic region is determined by: whether its wholesale price is above or below the
average price of all companies competing in that geographic region
19. The reject rates at the company's footwear plants are a function of: the size of the
incentive payment per non defective pair produced, spending for best practices training, spending for TQM/Six Sigma quality control efforts,
the number of models/styles comprising the company's product line, and the installation of plant upgrade option A
20. Which of the following is not among the factors that affect worker produc- tivity?:
Whether plant upgrade option A has been installed
21. Which of the following currencies are NOT involved in affecting the opera- tions of
your company's business: Swiss francs, south African rand, Chilean pesos, and Turkish lira
