FSU MAN 4720 EXAM 3 STUDY GUIDE
2026/2027 ACCURATE QUESTIONS WITH
CORRECT DETAILED SOLUTIONS ||
100% GUARANTEED PASS
<NEWEST VERSION>
1. During the recent financial crisis, M&A activity ______, whereas in 2011,
M&A activity ______. - ANSWER ✔ declined; increased
2. Researchers have found that shareholders of acquired firms often: -
ANSWER ✔ earn above-average returns.
3. All of the following statements are correct EXCEPT: - ANSWER ✔ the
majority of acquisitions increase long-term value for the acquiring firm.
4. Claude holds a large number of shares of Bayou Beauty, a regional brewing
company that is considered a likely takeover target by a major international
brewer. It would probably be in Claude's financial interest if Bayou Beauty's
owners: - ANSWER ✔ sold the company to the larger brewer.
5. In a merger: - ANSWER ✔ two firms agree to integrate their operations on
a relatively coequal basis.
6. There are few true mergers because: - ANSWER ✔ one firm usually
dominates in terms of market share, size, or value of assets.
7. A(n) ____ occurs when one firm buys a controlling, or 100 percent interest,
in another firm. - ANSWER ✔ acquisition
8. When the target firm does not solicit the acquiring firm's bid, it is referred to
as a(n): - ANSWER ✔ takeover or unfriendly acquisition.
,9. Currently, the rationale for making an acquisition includes each of the
following EXCEPT: - ANSWER ✔ to decrease taxes paid by shareholders.
10.Market power is derived primarily from the: - ANSWER ✔ size of a firm
and its resources and capabilities.
11.The announcement that P&G was acquiring premium dog and cat food
manufacturer Iams was a _________ acquisition and is intended to
________. - ANSWER ✔ related; increase speed to market
12.The fact that the prices consumers pay for branded breakfast cereals are
above the prices that would exist if there were true competition suggests that
the cereal manufacturers are engaging in: - ANSWER ✔ tacit collusion.
13.In the United States, cooperative strategies to reduce competition may result
in ____ if they are explicit. - ANSWER ✔ litigation
14.In free-market economies, ____ must decide how rivals can collaborate with
their competitors without violating established regulations. - ANSWER ✔
the government
15.The risks of being accused of collusion are MOST likely under what type of
alliance? - ANSWER ✔ Nonequity-based horizontal complementary
alliance
16.Epic's 10 Commandments - ANSWER ✔ 1. Do not go public.
2. Do not be acquired.
3. Software must work.
4. Expectations = reality.
5. Keep commitments.
6. Focus on competency. Do not tolerate mediocrity.
7. Have standards. Be fair to all.
8. Have courage. What you put up with is what you stand for.
9. Teach philosophy and culture.
10.Be frugal. Do not take on debt for operations.
17.Epic's Principles - ANSWER ✔ 1. Make our products a joy to use.
2. Have fun with customers.
,3. Design in collaboration with users.
4. Make it easy for users to do the right thing.
5. Improve the patient's health and healthcare experience.
6. Generalize to benefit more.
7. Follow processes. Find root causes. Fix processes.
8. Dissent when you disagree; once decided, support.
9. Do what is difficult for us if it makes things easier for our users.
10.Escalate problems at the start, not when all hell breaks loose.
18.Features of a corporate culture - ANSWER ✔ -Values, principles, and
ethical standards in actual use
-Management practices and organizational policies
-Atmosphere and spirit embodied in the firm's work climate
-How managers and employees interact and relate to one another
-Strength of peer pressure to conform and observe norms
-Actions and behaviors encouraged and rewarded
-Traditions and stories and "how we do things around here"
-How the firm treats its stakeholders
19.Embedding Behavioral Norms in the Organization & perpetuating the
Culture Techniques - ANSWER ✔ - Screen applicants and hire those who
will mesh well with the culture.• Incorporate discussions of the firm's culture
and its behavioral norms into orientation programs for new employees and
training courses for managers and employees.
- Have senior executives frequently reiterate the importance and role of
the firm's values and ethical principles at the firm's events and in
internal communications to employees.
- Expect managers at all levels to be cultural role models and exhibit
advocated cultural norms in their own behavior.
20.-Make the display of cultural norms a factor in evaluating each person's job
performance, granting compensation increases, and offering promotions.
- Stress that line managers all the way down to first-level supervisors
give ongoing attention to explaining the desired cultural traits and
behaviors in their areas and clarifying why they are important.
- Encourage company personnel to exert strong peer pressure on co-
workers to conform to expected cultural norms.
- Hold periodic ceremonies to honor people who excel in displaying the
company values and ethical principles.
, 21.What is a simple structure?
a. A structure that consists of a chief executive officer and a
limited corporate staff, with functional line managers in
dominant organizational areas
b. A structure in which the owner-manager makes all major
decisions and monitors all activities while the staff serves as
an extension of the manager's supervisory authority
c. A non-complex structure that has a small probability of being
successful
d. A structure in which manufacturing efficiency is the focu -
ANSWER ✔ b.
22.Calming Industries, a hospitality company, has experienced growth. The
leadership attributes its early success to its structure and strategy being
aligned. Recently, it seems that the previous structure isn't working as
efficiently as it once did. What could be a cause for this performance trend?
a. The growth in sales has caused issues that the previous
structure can no longer handle
b. The declining hospitality industry as a whole
c. The typical life cycle of hospitality companies
d. Poor marketing and commercialization strategies - ANSWER
✔ a.
23.What is the definition of a functional structure?
a. A group of industry experts and experts of other industries
b. A chief executive officer and a limited corporate staff, with
functional line managers in dominant organizational areas
c. A structure that has the owner as a manager who also handles
all day-to-day activities
d. An organizational structure that has proven to be successful
and works correctly for all businesses - ANSWER ✔ b.
24.A company consists of a corporate office and operating divisions. Each
operating division represents a separate business or profit center in which the
top corporate officer delegates responsibilities for day-to-day operations and
business-unit strategy to division managers. What type of structure does this
company have?
a. Functional structure
b. Simple structure
2026/2027 ACCURATE QUESTIONS WITH
CORRECT DETAILED SOLUTIONS ||
100% GUARANTEED PASS
<NEWEST VERSION>
1. During the recent financial crisis, M&A activity ______, whereas in 2011,
M&A activity ______. - ANSWER ✔ declined; increased
2. Researchers have found that shareholders of acquired firms often: -
ANSWER ✔ earn above-average returns.
3. All of the following statements are correct EXCEPT: - ANSWER ✔ the
majority of acquisitions increase long-term value for the acquiring firm.
4. Claude holds a large number of shares of Bayou Beauty, a regional brewing
company that is considered a likely takeover target by a major international
brewer. It would probably be in Claude's financial interest if Bayou Beauty's
owners: - ANSWER ✔ sold the company to the larger brewer.
5. In a merger: - ANSWER ✔ two firms agree to integrate their operations on
a relatively coequal basis.
6. There are few true mergers because: - ANSWER ✔ one firm usually
dominates in terms of market share, size, or value of assets.
7. A(n) ____ occurs when one firm buys a controlling, or 100 percent interest,
in another firm. - ANSWER ✔ acquisition
8. When the target firm does not solicit the acquiring firm's bid, it is referred to
as a(n): - ANSWER ✔ takeover or unfriendly acquisition.
,9. Currently, the rationale for making an acquisition includes each of the
following EXCEPT: - ANSWER ✔ to decrease taxes paid by shareholders.
10.Market power is derived primarily from the: - ANSWER ✔ size of a firm
and its resources and capabilities.
11.The announcement that P&G was acquiring premium dog and cat food
manufacturer Iams was a _________ acquisition and is intended to
________. - ANSWER ✔ related; increase speed to market
12.The fact that the prices consumers pay for branded breakfast cereals are
above the prices that would exist if there were true competition suggests that
the cereal manufacturers are engaging in: - ANSWER ✔ tacit collusion.
13.In the United States, cooperative strategies to reduce competition may result
in ____ if they are explicit. - ANSWER ✔ litigation
14.In free-market economies, ____ must decide how rivals can collaborate with
their competitors without violating established regulations. - ANSWER ✔
the government
15.The risks of being accused of collusion are MOST likely under what type of
alliance? - ANSWER ✔ Nonequity-based horizontal complementary
alliance
16.Epic's 10 Commandments - ANSWER ✔ 1. Do not go public.
2. Do not be acquired.
3. Software must work.
4. Expectations = reality.
5. Keep commitments.
6. Focus on competency. Do not tolerate mediocrity.
7. Have standards. Be fair to all.
8. Have courage. What you put up with is what you stand for.
9. Teach philosophy and culture.
10.Be frugal. Do not take on debt for operations.
17.Epic's Principles - ANSWER ✔ 1. Make our products a joy to use.
2. Have fun with customers.
,3. Design in collaboration with users.
4. Make it easy for users to do the right thing.
5. Improve the patient's health and healthcare experience.
6. Generalize to benefit more.
7. Follow processes. Find root causes. Fix processes.
8. Dissent when you disagree; once decided, support.
9. Do what is difficult for us if it makes things easier for our users.
10.Escalate problems at the start, not when all hell breaks loose.
18.Features of a corporate culture - ANSWER ✔ -Values, principles, and
ethical standards in actual use
-Management practices and organizational policies
-Atmosphere and spirit embodied in the firm's work climate
-How managers and employees interact and relate to one another
-Strength of peer pressure to conform and observe norms
-Actions and behaviors encouraged and rewarded
-Traditions and stories and "how we do things around here"
-How the firm treats its stakeholders
19.Embedding Behavioral Norms in the Organization & perpetuating the
Culture Techniques - ANSWER ✔ - Screen applicants and hire those who
will mesh well with the culture.• Incorporate discussions of the firm's culture
and its behavioral norms into orientation programs for new employees and
training courses for managers and employees.
- Have senior executives frequently reiterate the importance and role of
the firm's values and ethical principles at the firm's events and in
internal communications to employees.
- Expect managers at all levels to be cultural role models and exhibit
advocated cultural norms in their own behavior.
20.-Make the display of cultural norms a factor in evaluating each person's job
performance, granting compensation increases, and offering promotions.
- Stress that line managers all the way down to first-level supervisors
give ongoing attention to explaining the desired cultural traits and
behaviors in their areas and clarifying why they are important.
- Encourage company personnel to exert strong peer pressure on co-
workers to conform to expected cultural norms.
- Hold periodic ceremonies to honor people who excel in displaying the
company values and ethical principles.
, 21.What is a simple structure?
a. A structure that consists of a chief executive officer and a
limited corporate staff, with functional line managers in
dominant organizational areas
b. A structure in which the owner-manager makes all major
decisions and monitors all activities while the staff serves as
an extension of the manager's supervisory authority
c. A non-complex structure that has a small probability of being
successful
d. A structure in which manufacturing efficiency is the focu -
ANSWER ✔ b.
22.Calming Industries, a hospitality company, has experienced growth. The
leadership attributes its early success to its structure and strategy being
aligned. Recently, it seems that the previous structure isn't working as
efficiently as it once did. What could be a cause for this performance trend?
a. The growth in sales has caused issues that the previous
structure can no longer handle
b. The declining hospitality industry as a whole
c. The typical life cycle of hospitality companies
d. Poor marketing and commercialization strategies - ANSWER
✔ a.
23.What is the definition of a functional structure?
a. A group of industry experts and experts of other industries
b. A chief executive officer and a limited corporate staff, with
functional line managers in dominant organizational areas
c. A structure that has the owner as a manager who also handles
all day-to-day activities
d. An organizational structure that has proven to be successful
and works correctly for all businesses - ANSWER ✔ b.
24.A company consists of a corporate office and operating divisions. Each
operating division represents a separate business or profit center in which the
top corporate officer delegates responsibilities for day-to-day operations and
business-unit strategy to division managers. What type of structure does this
company have?
a. Functional structure
b. Simple structure
