A new supermarket is opening next to an older supermarket. While the older supermarket has been in the community for fifty years, the new supermarket has much more room and can therefore carry far more products than the older one

Which of the following was a major contribution of management guru, Peter Drucker?

A. the discovery that great companies are managed by “level 5 leaders” who often display humility while simultaneously inspiring those in the organization to apply self-discipline B. the focus on the areas of organizational learning and change C. the ability to urge U.S. firms to fight their competition by refocusing their business strategies on several drivers of success like people and customers D. the focus on the “strategic and organizational challenges confronting managers in multinational corporations” E. the need for organizations to set clear objectives and establish the means of evaluating progress toward those objectives

Owen's Furniture manufactures a small table and a large table. The small table sells for $900, has variable costs of $550 per table, and takes 10 direct labor hours to manufacture. The large table sells for $1,600, has variable costs of $970, and takes eight direct labor hours to manufacture. The company has a maximum of 5,000 direct labor hours per month when operating at full capacity. If there are no constraints on sales of either of the products and the company could choose any proportions of product mix that they wanted, the maximum contribution margin that the company could earn will be ________.

A) $1,000,000 B) $606,250 C) $1,606,250 D) $393,750