Refer to the Scenario Below to Answer the Following Questions

question 73

Multiple Choice

Refer to the scenario below to answer the following questions.
TopCup Coffee: A Year Later (Scenario)
Catrina, the manager in TopCup Coffee has been working to change the culture and employee attitudes at the shop for over a year now. In that time she has noticed that the total sales have grown and profits are up. The owner, who does not work in the business directly, commented in a recent meeting that he was still not completely satisfied with the growth he noticed in the business and expected suggestions from Catrina for more changes to improve the situation. He is too busy to be involved in the business and expects Catrina to carry out any new initiatives, but he wants the final say in any changes. Catrina analyzes everything in the shop from the old fashioned cash registers to the temperamental espresso machines. She is also looking into their bean suppliers, who are often late with deliveries and the nearby bakery where they sometimes get day-old pastries they sell in addition to coffee. Catrina is determined to make the shop a success and is now moving into analyzing all operations that should be improved.
-Catrina notices that often towards the end of the day and in evenings when customers drop in for their after-dinner coffee, they run out of the specialty coffees. She realizes that she needs to _____________ in order to make sure the products are available at all times.

• A) tell employees to serve smaller sizes of specialty coffees during the day
• B) let the owner know that it is his responsibility to deal with the suppliers
• C) improve her product demand forecasting skills
• D) train the employees in how to better make the specialty orders
• E) cut down on the hours the shop is open

---

Definitions:

Money Supply

The sum of all financial assets, such as cash, coins, and the amounts in checking and savings accounts, present in an economy at a given time.

Expected Price Level

The anticipated average price of goods and services in an economy over a future period.

Short-Run Aggregate Supply

The total supply of goods and services that firms in an economy plan on selling during a specific time period, under the presumption of some fixed costs.

Aggregate Demand

Entire level of requisition for goods and services in an economy, marked at a certain unified price level over a distinct time phase.