Reference no: EM133210091
Assignment:
Strategic Management
I. Modified True or False.
On the blank before each number, write TRUE if the statement is correct; if it is FALSE, change the underlined word or group of words to make the statement correct.
1. Corporate governance has both strategic and environmental implication.
2. Corporate governance is commonly expressed in written policies that specifically restrict or direct how people can act to accomplish established goals.
3. Procedures are the specific methods employed to express policies in action in day-to-day operations of the organization.
4. Corporate governance is based on the idea that giving employees skills, resources, authority, opportunity, motivation, as well holding them responsible and accountable for outcomes of their actions, will contribute to their competence and satisfaction.
5. The formulation aspect covers the set of activities needed to keep an update of the level of implementation and execution of the strategy.
6. Strategic audit acts as a diagnostic tool to pinpoint corporate wide problem areas and to highlight organizational strengths and weaknesses.
7. Ratio analysis determines trends and exposes strengths or weaknesses of a firm.
8. The income statement shows the firm's assets, liabilities and net worth on stated date
9. Leverage ratios refer to how well the business manages its routine activities particularly in terms of inventory management, asset turnover and accounts receivables.
10. Activity ratios show monetary returns out of the infusion and use of capital or investments.
II. Modified Multiple Choice.
For Items 1-8:
Identify the categories in which each of the following ratios are used.
a. Liquidity Ratio
b. Profitability Ratio
c. Activity Ratio
d. Leverage Ratio
1. Current Ratio
2. net profit margin
3. Asset turnover
4. Acid Test Ratio
5. return on owners equity
6. Debt to asset ratio
7. Earnings per share
8. Inventory turnover
9. Times interest earned
10. Debt to equity ratio
For Items 11-15:
Identify the area of balance scorecard described below:
a. Financial perspective
b. Internal perspective
c. customer perspective
d. innovation and growth
11. measure corporate image
12. This aspect address the matter of how should the firm appear in the view of shareholders and investors
13. It concerns what business process a firm must excel in.
14. Addresses the challenge of the need to continue to improve and create value.
15. This aspect deals with the concern on how the firm should be viewed by its customers
For Items 16-20:
Identify the strategic management process that is characterized by the following:
a. Strategic formulation
b. Strategic implementation
c. all of the above
d. none of the above
16. requires good intuitive & analytical skills
17. focuses on efficiency
18. primarily an operational process
19. focuses on effectiveness
20. requires special motivational & leadership skills