CapSim Quiz Sample Questions

Multiple Choice
Identify the letter of the choice that best completes the statement or answers the question.
1.

Stock price is a direct function of dividends, EPS, and ______ along with emergency loans?
a. debt rating
c. book value
b. cash on hand
d. yield ratio

2.

Which criterion is most important in the High-End segment?

a. age
c. price
b. position
d. quality

3.

On the perceptional map, where is the sweet/ideal spot in the High End segment?
a. in the center of the circle
c. there is no sweet spot in High End
b. on the trailing edge of the circle
d. on the leading edge of the circle

4.

What is one way to lower material costs?

a. decrease MTBF
b. increase capacity

c.
d.

increase automation
none of the above

5.

Higher automation leads to lower production costs and has what effect on repositioning a product
on the perceptual map?
a. makes it more difficult and expensive
c.
no effect
b. makes it easier and cheaper
d.
eliminates repositioning

6.

What is the approximate overall average growth rate for all five segments industry?
a. 14%
c.
4%
b. 19%
d.
9%

7.

When you sell capacity what percentage of your original investment do you receive?
a. 65%
c. 50%
b. 25%
d. 10%

8.

One way to finance expansion is through the issuing of bonds. When this happens, your company is
charged a _____% brokerage fee for issuing the bonds.
a. 2%
c.
No fee is charged
b. 5%
d.
7.5%

9.

For each point of change in automation, your company is charged ______ per unit of capacity.
a. $6.00
c.
$4.00
b. $5.00
d.
$7.00

10.

Which of the following reports can be used to diagnose problems on a product-by-product basis?
a. stock market summary
c.
cash flow statement
b. income statement
d.
balance sheet

CapSim Quiz Sample Questions

1. C; 2. B; 3. D; 4. A; 5. A; 6. A; 7. A; 8. B; 9. C; 10. B