A3+ Has Prepared Its 3rd Quarter Budget and Provided the Following

question 13

Multiple Choice

A3+ has prepared its 3rd quarter budget and provided the following data: $\begin{array}{|l|r|r|r|} \hline& {\text { Jul }} &{\text { Aug }} &{\text { Sep }} \\\hline \text { Cash collections } & \$ 50,000 & \$ 40,000 & \$ 48,000 \\\hline \text { Cash payments: } & & & \\\hline \text { Purchases of inventory } & 31,000 & 22,000 & 18,000 \\\hline \text { Operating expenses } & 12,000 & 9,000 & 11,600 \\\hline \text { Capital expenditures } & 13,000 & 25,000 & 0\\\hline\end{array}$ The cash balance on June 30 is projected to be $4,000. The company has to maintain a minimum cash balance of $5,000 and is authorized to borrow at the end of each month to make up any shortfalls. It may borrow in increments of $5,000 and has to pay interest every month at an annual rate of 5%. All financing transactions are assumed to take place at the end of the month. The loan balance should be repaid in increments of $5,000 whenever there is surplus cash.
- Calculate the amount of principal repayment at the end of September.

• A) $5,000
• B) $10,000
• C) $15,000
• D) $20,000

Understand the role of creativity in the organizational context and factors that encourage it.

Recognize the implications of agency theory for organizational behavior and management.

Identify the goals and effectiveness of goal-setting theory in motivating employees.

Understand the concept of equity, expectancy, and ERG theories and their application in motivation.

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Definitions:

Personality Traits

Enduring characteristics that describe an individual's behavior, such as introversion or extroversion.

Internal Locus of Control

The belief that one is responsible for their own success and failure; an individual's belief that they can control their life.

Social-Cognitive Psychologist

A psychologist who studies how an individual’s understanding and behavior are influenced by the social context and cognitive processes.

Politically Conservative

A political ideology that typically emphasizes tradition, stability, and a degree of skepticism towards radical changes in society.