1) A car company revamps its current automated production line so that it can assemble two more models using the same facility. This indicates that the car manufacturer is planning to utilize:

Select one:

a.transaction costs

b.elasticity of supply

c.economies of scope

d.deferred revenues

2) Identify which of the following statements designates how much value is created at the conversion stage.

Select one:

a.The way an organization chooses and obtains the inputs it needs to produce goods and services from its environment.

b.The method used by an organization to sell its products or services to the customers.

c.The way an organization uses human resources and technology to transform inputs into outputs.

d.The feedback received by an organization from its customers about its products or services.

3) Identify which of the followings is true about the "tragedy of the commons".

Select one:

a.the rational pursuit of individual self interest results in a collective disaster.

b.all the available resources should be equally distributed among all the stakeholders.

c.all unethical actions are always illegal.

d.the utilitarian model of ethics is the most effective model of ethics.

4) A company manager chooses to allocate the bonus money equitably among all of the employees, although some had more superior performance than others. Please identify which model of ethics drives this manager in making this decision.

Select one:

a.moral rights

b.utilitarian

c.justice

d.mutual association

5) Operative goals:

Select one:

a.focus only on the long term.

b.can be used to measure how well an organization is managing its environment.

c.focus only on the short term.

d.are meant to legitimize the organization and its activities, to allow it to obtain resources and the support of its stakeholders.

6) To be effective, a firm must:

Select one:

a.consider employees as the most important stakeholder group and give priority to their interests over the interests of all the other stakeholders.

b.at least minimally satisfy the interests of all the stakeholders.

c.satisfy interests of all the stakeholders equally.

d.consider customers as the most important stakeholder group and give priority to their interests over the interests of all the other stakeholders.