What are the three phases involved in the management of a large project?
> What are the three main types of business activity? Give examples of each activity.
> Consider each of the following independent situations. (a) The retained earnings statement of Lee Corporation shows dividends of $68,000, while net income for the year was $75,000. (b) The statement of cash flows for Steele Corporation shows that cash pr
> Sylvia Ayala recently accepted a job in the production department at Apple. Before she starts work, she decides to review the company’s annual report to better understand its operations. The content and organization of corporate annual reports have becom
> Eskimo Pie Corporation markets a broad range of frozen treats, including its famous Eskimo Pie ice cream bars. The following items were taken from a recent income statement and balance sheet. In each case, identify whether the item would appear on the ba
> Who are the external users of accounting data? Give examples.
> Presented here is information for Zheng Inc. for 2017. Retained earnings, January 1 ……………………..$130,000 Service revenue……………………..……………………400,000 Total expenses……………………..……………………..175,000 Dividends……………………..…………………………….65,000 Instructions Prepare the 2017
> The June 22, 2011, issue of the Wall Street Journal Online includes an article by Michael Rapoport entitled “Auditors Urged to Tell More.” It provides an interesting discussion of the possible expanding role of CPAs. Instructions Read the article and ans
> Purpose: Identify summary information about companies. This information includes basic descriptions of the company’s location, activities, industry, financial health, and financial performance. Steps 1. Type in a company name, or use the index to find co
> Here is a list of words or phrases discussed in this chapter: 1. Corporation 2. Creditor 3. Accounts receivable 4. Partnership 5. Stockholder 6. Common stock 7. Accounts payable 8. Auditor’s opinion Instructions Match each word or phrase with the best d
> Who are the internal users of accounting data? How does accounting provide relevant data to the internal users?
> Micado Corporation was formed on January 1, 2017. At December 31, 2017, Miko Liu, the president and sole stockholder, decided to prepare a balance sheet, which appeared as follows. Miko willingly admits that she is not an accountant by training. She is
> Suppose the following information was taken from the 2017 financial statements of pharmaceutical giant Merck and Co. (All dollar amounts are in millions.) Retained earnings, January 1, 2017……………………..$43,698.8 Cost of goods sold……………………..………………………..9,018.
> Presented below are a number of transactions. Determine whether each transaction affects common stock (C), dividends (D), revenues (R), expenses (E), or does not affect stockholders’ equity (NSE). Provide titles for the revenues and expenses. (a) Costs i
> “Accounting is ingrained in our society and is vital to our economic system.” Do you agree? Explain.
> Presented below is selected financial information for Rojo Corporation for December 31, 2017. Inventory $ 25,000 Cash paid to purchase equipment ………………$ 12,000 Cash paid to suppliers …………………………………104,000 Equipment 40,000 Buildings ………………………200,000 Servic
> This information relates to Benser Co. for the year 2017. Retained earnings, January 1, 2017……..$67,000 Advertising expense…………………………….1,800 Dividends……………………..…………………….6,000 Rent expense……………………..………………..10,400 Service revenue……………………..…………….58,000 Util
> Xerox was not having a particularly pleasant year. The company’s stock price had already fallen in the previous year from $60 per share to $30. Just when it seemed things couldn’t get worse, Xerox’s s
> Indicate whether each of the following items is most closely associated with the management discussion and analysis (MD&A), the notes to the financial statements, or the auditor’s report. (a) Description of ability to pay near-term obligations. (b) Unqua
> Gray Corporation began operations on January 1, 2017. The following information is available for Gray Corporation on December 31, 2017. Accounts payable…………………$ 5,000 Notes payable………………………$ 7,000 Accounts receivable…………………2,000 Rent expense…………………………1
> Identify each of the following organizational characteristics with the business organizational form or forms with which it is associated. (a) Easier to transfer ownership. (b) Easier to raise funds. (c) More owner control. (d) Tax advantages. (e) No pers
> Indicate in which part of the statement of cash flows each item would appear: Operating activities (O), investing activities (I), or financing activities (F). (a) _____ Cash received from customers. (b) _____ Cash paid to stockholders (dividends). (c) __
> What are the advantages to a business of being formed as a partnership or sole proprietorship? What are the disadvantages?
> On June 1, 2017, Elite Service Co. was started with an initial investment in the company of $22,100 cash. Here are the assets, liabilities, and common stock of the company at June 30, 2017, and the revenues and expenses for the month of June, its first m
> The financial statements of Louis Vuitton are presented in Appendix F. Instructions for accessing and using the company’s complete annual report, including the notes to its financial statements, are also provided in Appendix F. Instructions Visit Louis V
> The Bonita Vista Golf & Country Club details the following accounts in its financial statements. Accounts payable _____ Accounts receivable _____ Equipment _____ Sales revenue
> Amazon.com, Inc.’s fi nancial statements are presented in Appendix D. Financial statements of Wal-Mart Stores, Inc. are presented in Appendix E. Instructions (a) Based on the information contained in these financial statements, determine the following fo
> Match each of the following types of evaluation with one of the listed users of accounting information. 1. Trying to determine whether the company complied with tax laws. 2. Trying to determine whether the company can pay its obligations. 3. Trying to de
> What are the advantages to a business of being formed as a corporation? What are the disadvantages?
> Financial decisions often place heavier emphasis on one type of financial statement over the others. Consider each of the following hypothetical situations independently. (a) The North Face is considering extending credit to a new customer. The terms of
> What is the benefit of a single set of high-quality accounting standards?
> The financial statements of Apple Inc. for 2014 are presented in Appendix A. Instructions Refer to Apple’s financial statements and answer the following questions. (a) What were Apple’s total assets at September 27, 2014? At September 28, 2013? (b) How m
> What are the three time estimates used with PERT?
> What are dummy activities? Why are they used in activity on arrow= (AOA) project networks?
> Define earliest start, earliest finish, latest finish, and latest start times.
> In December, General Motors produced 6,600 customized vans at its plant in Detroit. The labor productivity at this plant is known to have been 0.10 vans per labor-hour during that month. 300 laborers were employed at the plant that month. a) How many hou
> Describe how expected activity times and variances can be computed in a PERT network.
> What is the use of Gantt charts in project management?
> What are some of the questions that can be answered with PERT and CPM?
> How can we determine the probability that a project will be completed by a certain date? What assumptions are made in this computation?
> What is the difference between the waterfall approach and agile project management?
> Name some of the widely used project management software programs.
> How the variance of the total project is computed in PERT?
> Would a project manager ever consider crashing a noncritical activity in a project network? Explain convincingly.
> Students are sometimes confused by the concept of critical path, and want to believe that it is the shortest path through a network. Convincingly explain why this is not so.
> What would a project manager have to do to crash an activity?
> Refer to Problems 1.12 and 1.13. Problem 1.12: Charles Lackey operates a bakery in Idaho Falls, Idaho. Because of its excellent product and excellent location, demand has increased by 25% in the last year. On far too many occasions, customers have not
> What is the significance of the critical path?
> What is the difference between an activity-on-arrow (AOA) network and an activity-on-node (AON) network? Which is primarily used in this chapter?
> Define work breakdown structure. How is it used?
> Explain the purpose of project organization.
> Give an example of a situation in which project management is needed.
> How would you summarize outsourcing trends?
> How must an operations strategy integrate with marketing and accounting?
> Given the discussion of Southwest Airlines in the text, define an operations strategy for that firm now that it has purchased AirTran.
> How does an OM strategy change during a product’s life cycle?
> Refer to Problem 1.12. The pay will be $8 per hour for employees. Charles Lackey can also improve the yield by purchasing a new blender. The new blender will mean an increase in his investment. This added investment has a cost of $100 per month, but he w
> Identify the mission and strategy of your automobile repair garage. What are the manifestations of the 10 strategic OM decisions at the garage? That is, how is each of the 10 decisions accomplished?
> What global operations strategy is most descriptive of McDonald’s?
> What potential cost-saving advantages might firms experience by using outsourcing?
> There are three primary ways to achieve competitive advantage. Provide an example, not included in the text, of each. Support your choices.
> As a library or Internet assignment, identify the mission of a firm and the strategy that supports that mission.
> Describe how an organization’s mission and strategy have different purposes.
> Define strategy.
> Define mission.
> Coca-Cola is called a global product. Does this mean that Coca-Cola is formulated in the same way throughout the world? Discuss.
> List six reasons to internationalize operations.
> Brown’s, a local bakery, is worried about increased costs—particularly energy. Last year’s records can provide a fairly good estimate of the parameters for this year. Wende Brown, the owner, does not
> Based on the descriptions and analyses in this chapter, would Boeing be better described as a global firm or a transnational firm? Discuss.
> What are some of the possible consequences of poor outsourcing?
> How should a company select an outsourcing provider?
> What internal issues must managers address when outsourcing?
> As a library or Internet assignment, find the U.S. productivity rate (increase) last year for the (a) national economy, (b) manufacturing sector, and (c) service sector.
> Describe some of the actions taken by Taco Bell to increase productivity that have resulted in Taco Bell’s ability to serve “twice the volume with half the labor.”
> What are the five reasons productivity is difficult to improve in the service sector?
> Mass customization and rapid product development were identified as challenges to modern manufacturing operations. What is the relationship, if any, between these challenges? Can you cite any examples?
> What are the measurement problems that occur when one attempts to measure productivity?
> The U.S., and indeed much of the rest of the world, has been described as a “knowledge society.” How does this affect productivity measurement and the comparison of productivity between the U.S. and other countries?
> Lillian Fok is president of Lakefront Manufacturing, a producer of bicycle tires. Fok makes 1,000 tires per day with the following resources: a) What is the labor productivity per labor-hour for these tires at Lakefront Manufacturing? b) What is the mu
> Name four areas that are significant to improving labor productivity.
> Identify the 10 strategic operations management decisions.
> What are the three basic functions of a firm?
> Answer Question 4 for some other organization, perhaps an organization where you have worked.
> Figure 1.1 outlines the operations, finance/accounting, and marketing functions of three organizations. Prepare a chart similar to Figure 1.1 outlining the same functions for one of the following: a. a newspaper b. a drugstore c. a college library d. a s
> Kimpel Products makes pizza ovens for commercial use. James Kimpel, CEO, is contemplating producing smaller ovens for use in high school and college kitchens. The activities necessary to build an experimental model and related data are given in the follo
> Development of Version 2.0 of a particular accounting software product is being considered by Jose Noguera’s technology firm in Baton Rouge. The activities necessary for the completion of this project are listed in the following table:
> Three activities are candidates for crashing on a project network for a large computer installation (all are, of course, critical). Activity details are in the following table: a) What action would you take to reduce the critical path by 1 day? b) Assu
> What is the minimum cost of crashing the following project that Roger Solano manages at Slippery Rock University by 4 days? NORMAL CRASH TIME ACTIVITY (DAYS) (DAYS) TIME NORMAL CRASH IMMEDIATE COST COST PREDECESSOR(S) A 6 5 $ 900 $1,000 6 300 400 4
> Assume that the activities in Problem 3.11 have the following costs to shorten: A, $300/week; B, $100/week; C, $200/ week; E, $100/week; and F, $400/week. Assume also that you can crash an activity down to 0 weeks in duration and that every week you can
> George Kyparisis (using data from Problem 1.5) determines his costs to be as follows: Labor: $10 per hour Resin: $5 per pound Capital expense: 1% per month of investment Energy: $0.50 per BTU Show the percent change in productivity for one month last
> Using PERT, Adam Munson was able to determine that the expected project completion time for the construction of a pleasure yacht is 21 months, and the project variance is 4. a) What is the probability that the project will be completed in 17 months? b) W
> Four Squares Productions, a firm hired to coordinate the release of the movie Pirates of the Caribbean: On Stranger Tides (starring Johnny Depp), identified 16 activities to be completed before the release of the film. a) How many weeks in advance of the
> Rich Cole Control Devices, Inc., produces custom built relay devices for auto makers. The most recent project undertaken by Cole requires 14 different activities. Cole’s managers would like to determine the total project completion time
> The estimated times and immediate predecessors for the activities in a project at George Kyparis’s retinal scanning company are given in the following table. Assume that the activity times are independent. a) Calculate the expected ti
> Kelle Carpet and Trim installs carpet in commercial offices. Peter Kelle has been very concerned with the amount of time it took to complete several recent jobs. Some of his workers are very unreliable. A list of activities and their optimistic completio
> A renovation of the gift shop at Orlando Amway Center has six activities (in hours). For the following estimates of a, m, and b, calculates the expected time and the standard deviation for each activity: ACTIVITY m b A 11 15 19 B 27 31 41 18 18 18 D
> Ross Hopkins, president of Hopkins Hospitality, has developed the tasks, durations, and predecessor relationships in the following table for building new motels. Draw the AON network and answer the questions that follow. a) What is the expected (estima
> The Rover 6 is a new custom-designed sports car. An analysis of the task of building the Rover 6 reveals the following list of relevant activities, their immediate predecessors, and their duration: a) Draw a network diagram for the project. b) Mark the
> Dave Fletcher (see Problem 3.12) was able to determine the activity times for constructing his laser scanning machine. Fletcher would like to determine ES, EF, LS, LF, and slack for each activity. The total project completion time and the critical path s
> The following is a table of activities associated with a project at Rafay Ishfaq’s software firm in Chicago, their durations, and what activities each must precede: a) Draw an AON diagram of the project, including activity durations.
> George Kyparisis makes bowling balls in his Miami plant. With recent increases in his costs, he has a newfound interest in efficiency. George is interested in determining the productivity of his organization. He would like to know if his organization is
