QUESTION 1 If in the Playeconomics simulation the purchasing specialist has made the decision to place a new raw-material order for 10 pieces for the following business period. Which one of the following amounts show the correct expense for the period in question? A. 10 MU B. 20 MU C. 5 MU D. 0 MU E. 15 MU QUESTION 2 Which one of the following does not constitute as Cash Expenditure in the Playeconomics simulation? A. Raw Material Fees B. Trade Receivable Receipts C. Machine Purchases D. Advertising Fees E. Interest QUESTION 3 In the Playeconomics simulation the profit for the company after deducting the production related costs from its revenue is called? A. EBITDA B. EBIT C. Gross Profit D. Net Income E. Profit Margin QUESTION 4 In the Playeconomics simulation the calculation showing how much earning your company generates for each marketing effort is called: A. Marketing power B. Marketing efficiency C. Market share D. Advertising effort E. Communication effort QUESTION 5 When calculating the gross-margin of your company, what type of costs are deducted from your total revenue in the Playeconomics simulation? A. Fixed costs B. Raw material costs C. Direct costs D. Machinery costs E. Cost of goods sold QUESTION 6 In the Playeconomics simulation your companys Borrowed Capital Ratio refers to: A. The total limit of bank loans your company is allowed to take out B. The total limit of shareholder loans your company is allowed to receive C. The total amount of Bank loans + Shareholder loans your company is allowed to receive D. The ratio of total financial capital your company has obtained from outside sources to the total equity E. The ratio of total long-term capital your company has obtained from outside sources to the total equity QUESTION 7 In the Playeconomics simulation your companys market share is determined by: A. Total units youve sold in a year B. The ranking your company has obtained in the marketing round C. Your accumulated sales relative to the accumulated sales of all other companies in terms of quantity of units sold D. The share of your net sales in the total market volume (in terms of monetary units) E. Your accumulated sales in money terms in proportion to the marketing spending of all companies. QUESTION 8 In the Playeconomics simulation which one of the following provides a good indication of your companys operational efficiency? A. EBIT B. Accumulated EBIT C. NET Sales Growth D. EBIT Margin E. Gross Margin QUESTION 9 Which one of the following is a direct cost in the Playeconomics simulation? A. Advertising B. Wages for the assembly workers C. Interest payments D. Sales Expenses E. R&D Expenses QUESTION 10 According to the Playeconomics simulation which one of the following is correct? A. Advertising expenses are variable costs. B. Workers wages are fixed costs. C. All liabilities bear interest expenses. D. Sales Expenses are a part of fixed cost structure of a company. E. R&D Expenses are generally more expansive than other expenses. QUESTION 11 When calculating the budget in the Playeconomics simulation which one of the following is false ? A. Net sales - COGS = Gross Profit B. EBIT - Taxes = Net Income C. Gross profit - Fixed expenses = EBIT. D. COGS = Materials + Wages + Operating expenses for the Assembly lines + Inbound logistics + Storage costs E. EBT + Interest = EBIT QUESTION 12 True or False? The higher the interest payments the lower the EBIT. A. True B. False QUESTION 13 True or False? The higher the gross-margin the more the company has a chance to make a profit. A. True B. False QUESTION 14 True or False? EBIT is earnings before taxes. A. True B. False QUESTION 15 True or False? Marketing costs in % of Sales increases over time. A. True B. False QUESTION 16 True or False? In Playeconomics a company with 5 sales employees must only pay 10 MU Sales expenses. A. True B. False QUESTION 17 True or False? In Playeconomics property, plant and equipment position in the balance sheet increases only when you hire new workers. A. True B. False