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WorksheetsFinal Exam
Total questions: 50
Worksheet time: 37mins
Which approach is preferable for ensuring accountability in a cooperative?
Close supervision with clear expectations and regular check-ins.
Complete autonomy without any oversight.
Ignoring the activities of cooperative members.
Micromanaging every aspect of cooperative operations.
The manage and his staff known as
owners
members
hired management
board of directors
The ______ posits that a business will continue its operations into the foreseeable future without liquidation or interruption
Depreciation
Accounting
Going Concern Assumption
Member's Equity
Accounting has been called the
Language of love
Language of Business
Language of Income
Language of Transaction
In law, there is a doctrine called de minimis non curat lex, which means that the court will not consider trivial matters.
Conservatism
Consistency
Materiality
Minimal
Which leadership approach is most conducive to fostering a positive organizational culture in a cooperative?
Transformational leadership that inspires and motivates.
Laissez-faire leadership with minimal involvement.
Transactional leadership based on rewards and punishments
Authoritarian leadership with a focus on hierarchy.
The word "______" is used to mean a general law or rule adopted or professed as a guide to action.
Process
Figure
Accounting
Principle
The _____ asserts that assets should be recorded at their original purchase cost rather than their current market value.
The Dual Aspect Principle
The Business Entity
The Accrual Principle
Value Equals Cost
What role does empathy play in effective leadership of a cooperative?
Empathy is relevant in effective leadership
Empathy fosters understanding and trust among members.
Empathy should be reserved only for certain members.
Effective leadership relies solely on authority and control.
The manager has the following responsibilities
I. Assumes full responsibility for the operation as delegated by the board of directors
II. Recommends specific goals to the board.
III. Capitalize the cooperative.
IV. Maintains channels of communication with the members and the public.
V. Sets up the organizational structure and recruits the staff.
Only Statement I is true
Statement I, II, and IV are true
Statement I, II, and V are true
All Statements are true
The following are the lists of the more important management responsibilities which are normally handled and assumed directly by the board of directors, EXCEPT
Adopt and amend corporate papers
Assumes ultimate and full responsibility for the efficient and effective management of the cooperative
Establishes and develops basic objectives and broad policies
Requires the installation of an adequate accounting system
Some of the most essential management responsibilities which the members must assume are the following, EXCEPT:
Select and remove cooperative directors
Controls the affairs and business of the cooperative
Prepare for management position
Exercise vigilance in the affairs of their cooperative under the concept of "market supervision"
What is the significance of member education and training in sound cooperative management?
Member education and training allow members' access to information.
Member education and training are relevant in sound cooperative management.
Member education and training promote ignorance and incompetence.
Member education and training empower members to participate effectively.
How does sound cooperative management ensure compliance with relevant laws and regulations?
Sound cooperative management integrates legal compliance into operational processes.
Sound cooperative management relies on legal advisors for compliance.
Sound cooperative management disregards legal requirements.
Sound cooperative management actively seeks to circumvent laws and regulations.
What is one potential drawback of excessive supervision in a cooperative?
Increased accountability and productivity.
Decreased collaboration and morale.
Enhanced creativity and innovation.
Improved decision-making.
In the setting up of commodity pools, a given set of factors must be considered, EXCEPT:
Number of Grades
Area to be covered
Length of pooling period
The products are physically commingled
_______are organized primarily along commodity lines.
Pooling
Cash
Products
Expense
The following are main components of pooling, EXCEPT:
Products
sales receipts
income
Expenses
The cooperative is looking to organize its members better. Which primary grouping of pools should it consider?
According to geographic location
Based on individual preferences
By member size
Random selection
To manage risk better, what pooling characteristic should the cooperative emphasize?
Independent member decision-making
Shared risks and rewards
Isolated financial strategies
Independent quality control
Designed to plug any possibility of capitalistic control of a cooperative corporation, cooperatives usually set a maximum on the number of common stock that one can purchase.
apportionment on a prorate basis of the sale of shares of stock
low par value of shares of common stock
liberal payment scheme for shares of common stock
limited shareholdings
Common Kinds and uses of reserves, EXCEPT:
valuation reserves
liquidity reserves
capital reserves
deferment reserves
Definitely the best-known method of raising capital is through ______
sale of bonds and debentures
trade credit
borrowings
deferred payment
____ is the ability of the trading firm, such as cooperatives, to secure goods for sale in exchange for a promise to pay at some specific future time.
Borrowings
Trade Credit
Sales of bonds and Debentures
Deferred payment
______ which refers to the payment of products after they had been sold is a long standing practice among marketing cooperatives
Trade credit
Borrowings
Deferred payment
Sale of bonds and debentures
Fixed asset acquisition also known as
replacement
working capital
Accounts receivable
capital budgeting
Fixed asset acquisition problems generally fall under four areas, EXCEPT:
Expansion
Replacement
borrowing
buy or lease
A______ is a financial strategy used to ensure the sustainability and growth of a revolving fund, which is a self-replenishing fund where the money spent is expected to be returned, allowing it to be used repeatedly for similar purposes.
revolving fund capital plan
deferment plan
borrowings plan
buy or lease plan
The following evidence of ownership or claim against a revolving fund is usually issued by a cooperative to the members concerned
common stock
Members' capital contribution
Authorized deduction and/ or undistributed patronage refund
all of these
____ intended to pay off losses from bad debts as well as to cover depreciation or obsolescence of fixed assets such as land, buildings, equipment, etc.
valuation reserves
liquidity reserves
capital reserves
borrowings
__________designed to provide funds for working capital as well as for fixed investment and to retire various forms of capital contribution such as common and preferred stocks
Liquidity reserves
Capital reserves
Valuation reserves
None of these
Financial reserves are popular alluded to as
shock absorbers
fixed assets
Money
Equity
Retains, which are also called
patronage refund
Deferment retains
capital retains
none of these
The adoption of the revolving fund capital plan helps cooperatives by:
Increasing profit margins
Ensuring a sustainable financial structure
Reducing member control
Encouraging speculative investments
To ensure adequate financing, cooperatives should:
Diversify their capital sources
Rely solely on external debt
Focus on short-term gains
Limit member contributions
The management evaluation instrument includes detailed questions on planning but lacks questions on directing. What is a potential consequence?
Incomplete assessment of managerial capabilities
Overemphasis on long-term strategies
Misalignment with company goals
Increased focus on operational efficiency
What is a primary objective of a management evaluation instrument?
To punish underperforming managers
To assess and improve managerial effectiveness
To reduce the number of managers
None of these
The format of a management evaluation instrument often includes the five basic functions of management. Which of the following is NOT one of these functions?
Planning
Organizing
Innovating
Controlling
Which of the following functions of management involves setting goals and determining the best way to achieve them?
Planning
Organizing
Directing
Controlling
Which function of management involves arranging resources to carry out the organization's plans?
Planning
Organizing
Directing
Controlling
Coordination in management is primarily about:
Ensuring all parts of the organization work together
Developing strategic plans
Recruiting new employees
What does the controlling function in management entail?
Setting organizational goals
Monitoring performance and making adjustments
Directing employees
Planning future activities
Which of the following is a major type of criterion for evaluating management?
Financial performance
Office location
Number of employees
Type of products offered
Evaluating management based on employee satisfaction falls under which type of criterion?
Financial performance
Operational efficiency
Human resource management
Product innovation
Which criterion would be used to assess how well management maintains a positive workplace culture?
Financial performance
Human resource management
Operational efficiency
Marketing strategy
Sustained and periodic evaluations help in:
Avoiding unnecessary changes
Maintaining the status quo
Adapting to changing environments and improving strategies
Reducing management accountability
How often should management evaluations ideally be conducted?
Annually
Every five years
Monthly
Only when issues arise
Which tool can be used for collecting data during a management evaluation?
Financial reports
Surveys and questionnaires
Office memos
Company brochures
Which of the following is a challenge in conducting effective management evaluations?
Defining clear and measurable criteria
Lack of data
Employee resistance
All of the above
The organizing activities include
recruitment and development of personnel
assure that performance conforms to plans
systematic arrangement of the factors that will be required in the successful
none of these
