Scenario A

question 9

Multiple Choice

Scenario A. The board of Integrated Circuitry Company (ICC) has contacted you to assist them in assessing the senior management of ICC. The board seems to believe that the senior management of ICC is spending their planning time unwisely. When asked about the kinds of decisions senior management works on, the board provides you with the following list:
1. How many new employees to hire for the cafeteria this month.
2. Whether or not to expand their company into a new region in the next 10 years.
3. How to increase visibility of their marketing campaign.
4. How to deliver the products to their customers.
5. What should ICC's strategic goals be?

-Which of the scenario issues are related to operational planning?

• A)How many new employees to hire for the cafeteria
• B)Company expansion
• C)Increasing visibility of the marketing campaign
• D)Strategic goals
• E)All of the above are related to operational planning.

---

Definitions:

Fair Value Method

An accounting approach that assesses the price of an asset or liability based on current market conditions, rather than historical cost.

Goodwill

An intangible asset that arises when a company acquires another company for a price greater than the fair value of its net identifiable assets.

Measuring NCI

Stands for the process of valuing a Non-Controlling Interest, which represents ownership in a subsidiary not held by the parent company.

Ordinary Shares

Equity securities representing ownership in a company, which entitle holders to vote at shareholder meetings and receive dividends.