Management exam solution 4-15

Answer

• Which of the following is the term used to describe the utilization of human resources and other resources in a manner that can best achieve the firm’s objectives?
  ANS: management
  2. Which of the following level of management makes decisions regarding the firm’s long-run objectives?
  ANS: a) top (high-level) management
  3. Which of the following level of management is involved in resolving problems and devising new methods to improve performance?
  ANS: e) middle management
  4. Which of the following levels of management is involved with the employees who engage in the day-to-day operations?
  ANS: i) middle management
  5. An example of a supervisory (first-line) manager would be a(n):
  ANS: a) office manager.
  6. The Chief Financial Officer would be classified as a:
  ANS: e) top level manager.
  7. Decisions such as determining how many new employees to hire, increasing advertising, and determining how to obtain financing, would typically be done by:
  ANS: b) first line managers.
  8. All of the following are managerial functions except:
  ANS: h) financing.
  9. The function of management that represents the preparation of the firm for future business conditions is:
  ANS: k) planning.
  10. A firm’s first step in planning is to establish its:
  Ans: b) mission statement.
  Explanation:
  1. Which of the following is the term used to describe the utilization of human resources and other resources in a manner that can best achieve the firm’s objectives?
  ANS: management
  Management refers to the act of getting resources together including people on a common platform, to make them work towards achieving a specific goal. This involves planning, controlling, leading, and organizing.
  2. Which of the following level of management makes decisions regarding the firm’s long-run objectives?
  ANS: a) top (high-level) management
  Long term management decisions belong to the highest level of management, while decisions regarding day-to-day operations are accomplished by the bottom-level management. Top level management is composed of senior-level executives of an organization
  3. Which of the following level of management is involved in resolving problems and devising new methods to improve performance?
  ANS: e) middle management
  Middle management is responsible in facilitating changes needed in an organization, and ensuring the work environment is conducive for all employees to boost their performance and that of the team.
  4. Which of the following levels of management is involved with the employees who engage in the day-to-day operations?
  ANS: i) middle management
  The middle managers are involved in day-to-day workings of a company. These managers provide valuable information to the top-level management, helping in improving performance.
  5. An example of a supervisory (first-line) manager would be a(n):
  ANS: a) office manager.
  First-level managers are also called first-line managers because they are responsible for the daily management of workers. Examples of such managers include office manager, shift supervisor, department manager, etc.
  6. The Chief Financial Officer would be classified as a:
  ANS: e) top level manager.
  The chief financial officer is considered a top-level manager. He/she handles everything related to cash flow and financial planning. He/she is also involved in making long-term decisions for the company.
  7. Decisions such as determining how many new employees to hire, increasing advertising, and determining how to obtain financing, would typically be done by:
  ANS: b) first line managers.
  The frontline management understands the skills and responsibilities of each worker, and hence are more effective in determining who to hire. They are also used to determine effectiveness of advertising because they easily interact with market factors like customers.
  8. All of the following are managerial functions except:
  ANS: h) financing.
  The four managerial functions are leading, organizing, controlling and planning. Financing is not among the managerial functions.
  9. The function of management that represents the preparation of the firm for future business conditions is:
  ANS: k) planning.
  Planning function represents the preparation of a firm for future business conditions. This function establishes the mission statement describing its primary objective.
  10. A firm’s first step in planning is to establish its:
  Ans: b) mission statement.
  The first step in planning is establishment of the mission statement. This describes the core purpose of the business.