Tag: Financial Accounting

Alex works for Lucy plc.

His personal stature and credibility and his relationship with owners, employees and customers bring strong support from these quarters for his application to a senior management post.

He generates strong feelings of loyalty and commitment among the people that currently work for him, and they know that he has great capabilities and should go far in the company.

Alex appears to exhibit which kind of power?

Select ONE answer:

1. Legitimate power
2. Referent power
3. Coercive power
4. Expert power

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 2

1. Notcorrect
2. Correct  –>  Referent power is based on identification with, admiration of or respect for the individual. This can be summed up as power based on force of personality.
3. Not correct
4. Not correct

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The ability to meet the needs of the present without compromising the ability of future generations to meet their own needs is known as?

Select ONE answer:

1. Corporate responsibility
2. Sustainability
3. Business ethics
4. Reversability

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 2

1. Notcorrect
2. Correct  –>  This is the definition of sustainability as set out in the Brundtland report
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Alex plc is a large group which processes waste for local authorities.

It has stated that it seeks to provide:

“our shareholders with increased value, our customers with value for money, our employees with secure and interesting jobs and the public with safe and environmentally sustainable waste disposal.’

This is analysed below into four statements.

Identify which is Alex plc’s primary business objective.

Select ONE answer:

1. To provide our shareholders with increased value
2. To provide our customers with value for money
3. To provide our employees with secure and interesting jobs
4. To provide the public with safe and environmentally sustainable waste disposal

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 1

1. Correct – the other statements are secondary objectives
2. Not correct
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

CCBM is a charity providing medical services in remote rural areas of South Africa.

The chief executive, Alex,  is currently involved in preparing a brochure outlining the services provided by the charity.

In that document, Alex hopes to stress that the charity sees itself being the largest global provider of charitable medical services by 2025.

In highlighting this, Alex is stressing the charity’s?

Select ONE answer:

1. Vision
2. Mission
3. Primary objective
4. Secondary objective

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 1

1. Correct
2. Not correct
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Two of Alex plc’s stakeholder groups are putting the company under pressure to improve its return on investment.

These are most likely to comprise which TWO of the following groups?

A Shareholders

B Bankers

C Customers

D Suppliers

E Employees

Select ONE answer:

1. A & B
2. A & C
3. A & D
4. A & E

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 1

1. Correct –> The two groups most likely to put the company under pressure to improve its return on investment are the shareholders and the bankers. Customers want products of a certain quality at a reasonable price; suppliers are interested in regular orders in return for reliable delivery and good service; and employees’ objectives include job security, good conditions of work and job satisfaction.
2. Not correct
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.