The shape of the total-cost curve is unrelated to the shape of the production function.

A high accounts receivable turnover in comparison with competitors suggests that the firm should tighten its credit policy.

Higher ranks dominate lower ranks is an example of "authority ranking" as a fundamental relationship form.Under what other form would you find the concept of "tit-for-tat" revenge?

A) communal sharing
B) authority ranking
C) equality matching
D) market pricing
E) none of the above

Budget performance reports prepared for the vice president of production would generally contain less detail than reports prepared for the various plant managers.

Peter Drucker indicates that managers should ask five questions in the process of formulating an organisation's strategy. Which of the following is NOT one of these questions?

A) Who are our competitors?
B) Who are our customers?
C) What do our customers consider value?
D) What is our business mission?
E) What have been our results?

__________ best explains a ratio of sales/average net fixed assets that exceeds the industry average.

A) The firm expanded plant and equipment in the past few years
B) The firm makes less efficient use of assets than competing firms
C) The firm has a substantial amount of old plant and equipment
D) The firm uses straight-line depreciation