Baldwin's Elite product Best has an awareness of 72%. Baldwin's Best product manager for the Elite segment is determined to have more awareness for Best than Andrews' Elite product Attic. She knows that the first $1M in promotion generates 22% new awareness, the second million adds 23% more and the third million adds another 5%. She also knows one-third of Best's existing awareness is lost every year. Assuming that Attic's awareness stays the same next year (77%), out of the promotion budgets below, what is the minimum Baldwin's Elite product manager should spend in promotion to earn more awareness than Andrews' Attic product?

Select: 1

3M

1M

Nothing

2M

Demand is created through meeting customer buying criteria, credit terms, awareness (promotion) and accessibility (distribution). According to the Thrift segment's customers, which of these products was the most competitive at the end of last year?

Select: 1

Axe

Drum

Cone

Creak

Baldwin's Elite product Best has an awareness of 72%. Baldwin's Best product manager for the Elite segment is determined to have more awareness for Best than Andrews' Elite product Attic. She knows that the first $1M in promotion generates 22% new awareness, the second million adds 23% more and the third million adds another 5%. She also knows one-third of Best's existing awareness is lost every year. Assuming that Attic's awareness stays the same next year (77%), out of the promotion budgets below, what is the minimum Baldwin's Elite product manager should spend in promotion to earn more awareness than Andrews' Attic product?

Select: 1

3M

1M

Nothing

2M

Investing $2,000,000 in TQM's Channel Support Systems initiative will at a minimum increase demand for your products 1.7% in this and in all future rounds. (Refer to the TQM Initiative worksheet in the CompXM.xls Decisions menu.) Looking at the Round 0 Inquirer for Andrews, last year's sales were $163,189,230. Assuming similar sales next year, the 1.7% increase in demand will provide $2,774,217 of additional revenue. With the overall contribution margin of 34.1%, after direct costs this revenue will add $946,008 to the bottom line. For simplicity, assume that the demand increase and margins will remain at last year's levels. How long will it take to achieve payback on the initial $2,000,000 TQM investment, rounded to the nearest month?

Select: 1

17 months

9 months

25 months

TQM investment will not have a significant financial impact

Looking forward to next year, if Baldwins current cash balance is $20,201 (000) and cash flows from operations next period are unchanged from this period and Baldwin takes ONLY the following actions relating to cash flows from investing and financing activities: Issues 100 (000) shares of stock at the current stock price Issues $200 (000) of long-term debt Pays $40 (000) in dividends Which of the following activities will expose Baldwin to the most risk of needing an emergency loan?

Select: 1

Liquidates the entire inventory

Purchases assets at a cost of $15,000 (000)

Sells $5,000 (000) of their Long-term assets

Retires $20,000 (000) in long-term debt

A productivity index of 110% means that a companys labor costs would have been 10% higher if it had not made production improvements. Now refer to the Income Statement in Chester's Annual Report. The direct labor costs for Chester were $32,486. These labor costs could have been $20,000 higher if investments in training that increased productivity had not been made. What was the productivity index for Chester that led to such savings?

Select: 1

	44.6%
	161.6%
	155.4%
	38.4%