Business 1 - Finance and strategy : Mastery test 1) Brianna plans to make some changes in business operations to fight market and to achieve targeted profits . She cannot increase the price of her product because she might lose her existing customers . So she decides to buy cheaper raw materials to manufacture the current product . Which strategy of surviving marketing competition does Brianna demonstrate here ? (cost leadership)

2) Ashley is a finance executive . She has gathered all the data from different departments regarding the finances expended as well as earned in the process of selling a product . She needs to prepare an income statement . How should she start preparing the income statement . (show the sales revenue first)

3) Amanda is short of funds to buy machinery for her new business . She approaches her friend, who works in a bank, for help . Amanda gets the required funds after accepting the bank's terms and conditions . One of the conditions states that she needs to repay the amount in two years . Which source of capital has Amanda received here ? (loan)

4) Which situation can lead to greater market competition among companies, according to the Five Forces Model ? (availability of fewer suppliers in a market)

5) During the annual review meeting, Todd is trying to assess his products based on the BCG Matrix . He notes that the cameras the company manufactures are not only losing market share but have consistently shown poor market growth in the last three years . under which category in the BCG Matrix do the cameras fall ? (dogs)

6) What are the strategies that businesses use according to the Ansoff Growth Matrix ?
(diversification, conglomerate diversification)

7) How does the BCG matrix classify products ? (cashcow, dog)

8) Which form of assets are long-term assets that have monetary value, but no physical presence ?
(intangible assets are long-term assets that have monetary value, but no physical presence)

9) Which sentences correctly describe the entitlements of an equity shareholder ?
(Amy attends the meeting to elect a new member in the board of directors)

10) Match the components of an income statement with their description .
expenses that carry out its daily operations (operating expenses)

expenses incurred for manufacturing or obtaining the products and materials sold during a given period (COGS)

money spent on advertising, traveling, and promotions (selling expenses)

balance arrived at after deducting the expenses incurred on the goods sold from the revenue earned by selling the goods (gross profit)