Question 1

In Scenario 13-1 above,quality is a major advantage that Molli would like to work into her manufacturing design.The likelihood of building the desks with dents or scratches increases each time they are moved from one location to another.Which type of layout would minimize the number of times the desk pieces would be moved?

Accepted Answer

The answer of In Scenario 13-1 above,quality is a major...

Question 2

A long-term agreement to rent a building,equipment,or other assets is known as

Accepted Answer

A long-term agreement to rent a building, equipment, or other assets is known as a lease.

Question 3

Barbara works at a business location where she has a great deal of independence,enjoys very low overhead expenses,and has no commute time.Barbara's business is located at

Accepted Answer

Barbara's business is located at a home office, which allows her independence, low overhead costs, and no commute time.

Question 4

In Scenario 13-1 above,which type of layout is usually more expensive due to the specialized equipment that is needed,which also increases the likelihood of the whole line shutting down if there is a breakdown anywhere along the line?

Accepted Answer

A product layout is typically more expensive due to the specialized equipment required for the production line, and a breakdown in any part of the line can halt the entire process.

Question 5

In Scenario 13-2 above,based upon the above information,which location type would work best for Kathy's business?

Accepted Answer

The answer of In Scenario 13-2 above,based upon the above...

Question 6

A lease that varies according to the amount of inflation in the economy is referred to as a/an

Accepted Answer

An escalation lease includes clauses that allow for rent adjustments based on changes in inflation or other economic indicators.

Question 7

In Scenario 13-1 above,Molli realizes that the market for furniture is constantly changing.One of the features she wants to ensure in her layout is flexibility so that the product can be changed to meet consumer demand.Which type of layout would enable her to do this?

Accepted Answer

A process layout is designed to handle varied processing requirements, allowing for flexibility in changing products to meet consumer demand.

Question 8

In Scenario 13-2 above,Kathy realizes much of her store traffic may need to come from anchor stores and that a visit to her shop may be secondary on her customers' lists.This would be which of the following location types?

Accepted Answer

A shopping center typically includes anchor stores that draw in customers, which can benefit smaller stores like Kathy's by increasing foot traffic.

Question 9

Auto assembly lines and textile mills where raw materials enter one end of the line and finished products exit the other are examples of which layout?

Accepted Answer

Product layout is a type of layout in which raw materials enter one end of the line and finished products exit the other. This type of layout is often used in auto assembly lines and textile mills.

Question 10

If you sign a triple net lease,you are agreeing to pay a base monthly rent plus

Accepted Answer

In a triple net lease, the tenant agrees to pay the base rent plus the real estate taxes, insurance, and operating expenses of the building.

Question 11

Chuck pays a lease for his centrally located software shop.He pays the same amount to lease the building each month,but his landlord covers the operating expenses such as taxes,insurance,and repairs.Chuck's lease can best be described as a

Accepted Answer

A gross lease is where the tenant pays a fixed rent amount, and the landlord covers all operating expenses, which matches Chuck's situation.

Question 12

In Scenario 13-2 above,Kathy is considering a ____ as a location.However,here parking would be difficult to find and very expensive along with a possible high crime rate.

Accepted Answer

A central business district typically has high foot traffic and is a prime location for businesses, but it often comes with challenges such as expensive and limited parking, as well as potential crime issues.

Question 13

A lease in which the tenant pays a base monthly rent plus real estate taxes and insurance on the building is referred to as a

Accepted Answer

The answer of A lease in which the tenant pays...

Question 14

In Scenario 13-1 above,as with any small business owner,Molli needs to keep costs as low as possible.Which layout would enable her to decrease material handling costs?

Accepted Answer

A product layout is designed for the efficient production of a single product or a small range of similar products, which minimizes material handling costs by arranging equipment and workstations in a sequence that aligns with the production process.

Question 15

In Scenario 13-2 above,Kathy would like to open her store during hours that are convenient for her.Owing to her personal life,having the store open in the evenings would be difficult.This would make which of the following locations difficult to use?

Accepted Answer

Shopping centers typically have set hours of operation that may not align with Kathy's desired evening hours.

Question 16

Changes that make a property more valuable,such as painting,adding shelves,or new lighting are known as

Accepted Answer

The answer of Changes that make a property more valuable,such...

Question 17

A disadvantage of the ____ layout is that when equipment is grouped together,increased handling is needed to move the product from one station to another when more than one task is performed.

Accepted Answer

In a process layout, equipment is grouped by function, leading to increased handling as products move between different stations for various tasks.

Question 18

In Scenario 13-2 above,Kathy feels that her competitive advantage will be very clear to her customers in a short time period.Her unique merchandise will soon draw in a loyal customer base.If this is true,which of the following locations may work for her?

Accepted Answer

A stand-alone location would work for Kathy because her unique merchandise will attract a loyal customer base, making her less reliant on foot traffic from other businesses.

Question 19

The biggest advantage of leasing is the ____ that is made available for other purposes.

Accepted Answer

Leasing allows businesses to preserve cash flow by not tying up large amounts of capital in purchasing assets, thus making cash available for other purposes.

Question 20

In Scenario 13-1 above,based on the above criteria,which of the following would be the best choice for the layout of Molli's manufacturing business?

Accepted Answer

The answer of In Scenario 13-1 above,based on the above...

Quiz 13: Small Business Marketing Place