BEC Essentials

Question 1

Capital Structure is comprised of

Answer 1

Long-term financing (long-term debt and equity)

Question 2

Financial Structure is comprised of

Answer 2

both short-term and long-term sources of financing (includes capital structure)

Question 3

Cyclically unemployed

Answer 3

Unemployed because of a recession or downturn in the business cycle

Question 4

Systems Documentation

Answer 4

Provides an overview of the program and data files, processing logic, and interactions with each of the other programs and systems

Question 5

Packet sniffing

Answer 5

Capture packets of data as they move across a computer network

Question 6

Banker’s Acceptance

Answer 6

a draft (or order to pay) drawn on a specific bank by a firm which has an account with the bank.

Use: financing foreign transactions

Higher risk and less marketability than treasury or federal agency obligations and therefore a higher yield

Question 7

PERT/CPM

Answer 7

Program Evaluation and Review Technique / Critical Path Method - network diagram techniques developed in the 1950s

Question 8

Weighted Moving Average

Answer 8

uses an average of a specific numer of the most recent values with each past value receiving a different emphasis or weight which are assigned subjectively

Question 9

Exponential Smoothing

Answer 9

a weighted average procedure with weights declining exponentially as data becomes older.

Only the weight given to the most recent period is assigned subjectively, it is called the “smoothing factor”

Question 10

Naive

Answer 10

uses the immediate prior period’s actual value as a forecast for the next period

Question 11

Delphi Method

Answer 11

a QUALITATIVE forecasting method where a consensus is developed by a group of experts using a multi-stage process to converge on a forecast