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Maintenance cost at a hospital was observed to increase as activity level increased. The following data was gathered:

Activity Level -

Maintenance Cost

Month

Patient Days

January

5,600

$7,900

February

7,100

$8,500

March

5,000

$7,400

April

6,500

$8,200

May

7,300

$9,100

June

8,000

$9,800

If the cost of maintenance is expressed in an equation, what is the independent variable for this data?

A.

Fixed cost.

B.

Variable cost.

C.

Total maintenance cost.

D.

Patient days.

Which of the following are the most appropriate measures for evaluating the change in an organization's liquidity position?

A.

Times interest earned, return on assets, and inventory turnover.

B.

Accounts receivable turnover, inventory turnover in days, and the current ratio.

C.

Accounts receivable turnover, return on assets, and the current ratio.

D.

Inventory turnover in days, the current ratio, and return on equity.

Which of the following is an element of effective negotiating?

A.

Ensuring that the other party has a personal stake in the agreement.

B.

Focusing on interests rather than on obtaining a winning position.

C.

Considering a few select choices during the settlement phase.

D.

Basing the agreement on negotiating power and positioning leverage.

Which stage in the industry life cycle is characterized by many different product variations?

A.

Introduction.

B.

Growth.

C.

Maturity.

D.

Decline.

A small furniture-manufacturing firm with 100 employees is located in a two-story building and does not plan to expand. The furniture manufactured is not special-ordered or custom-made. The most likely structure for this organization would be:

A.

Functional departmentalization.

B.

Product departmentalization.

C.

Matrix organization.

D.

Divisional organization.

The economic order quantity for inventory is higher for an organization that has:

A.

Lower annual unit sales.

B.

Higher fixed inventory ordering costs.

C.

Higher annual carrying costs as a percentage of inventory value.

D.

A higher purchase price per unit of inventory.

In mergers and acquisitions, which of the following is an example of a horizontal combination?

A.

Dairy manufacturing company taking over a large dairy farm.

B.

A movie producer acquires movie theaters.

C.

A petroleum processing company acquires an agro-processing firm.

D.

A baker taking over a competitor.

Which of the following application-based controls is an example of a programmed edit check?

A.

Reasonableness check.

B.

Transaction log.

C.

Input error correction.

D.

Authorization for access.

Which of the following describes the free trade zone in an e-commerce environment?

A.

Zone that separates an organization's servers from outside forces.

B.

Area in which messages are scrutinized to determine if they are authorized.

C.

Area where communication and transactions occur between trusted parties.

D.

Zone where data is encrypted, users are authenticated, and user traffic is filtered.

When writing a business memorandum, the writer should choose a writing style that achieves all of the following except:

A.

Draws positive attention to the writing style.

B.

Treats all receivers with respect.

C.

Suits the method of presentation and delivery.

D.

Develops ideas without overstatement.