Test Flash Cards 2

Question 1

What are three standard financial reports?

Answer 1

Income Statement
Balance Sheet
Cash Flow Statement

Question 2

What is return on investment (ROI)?

Answer 2

A performance measure used to evaluate the efficiency of an investment or compare the efficiency of a number of investments

Question 3

What is EBITDA?

Answer 3

Earnings Before Interest, Taxes, Depreciation, and Amortization.
It is a measure of a company’s overall financial performance and is used as an alternative to net income in some circumstances

Question 4

What is Zero-Based Budgeting?

Answer 4

A method of budgeting in which all expenses must be justified and approved for each new period.

Question 5

What is a standard?

Answer 5

A set of criteria, guidelines, and best practices that can be used to enhance the quality and reliability of products, services, or processes.

Question 6

What are three categories of standards?

Answer 6

Voluntary
Statutory or regulatory
Mixed

Question 7

What is the operating principle of many management system standards?

Answer 7

The Plan-Do-Check-Act cycle

Question 8

What is ethics?

Answer 8

A discipline or system of moral principles governing human action and interactions. It deals with the rightness or wrongness of actions and the goodness or badness of motives and ends.

Question 9

What are the five basic functions of management? (taken from program.. they have 7 listed)

Answer 9

Planning
Organizing
Directing
Staffing
Coordinating
Reporting
Budgeting

Question 10

What are five behavioral theories that help managers engage and motivate their staff?

Answer 10

1. Abraham Maslow’s hierarchy of needs
2. Douglas McGregor’s theory X and Y
3. Frederick Herzberg’s hygiene theory
4. Chris Argyris’ theory on mental health
5. Warren Bennis’ organizational theory

Question 11

What are three domains of learning?

Answer 11

1. Cognitive
2. Affective
3. Psychomotor

Question 12

What are six training methodologies?

Answer 12

1. Lectures
2. Case studies
3. Job aids
4. Distance learning
5. On-the-job training
6. Mentoring

Question 13

What is the necessary human being concept?

Answer 13

The concept means that the particular characteristics and reactions required at the security post require human capabilities.

Question 14

What are three broad criteria for choosing a security officer contractor?

Answer 14

1. Consistent performance
2. Prompt, efficient, and positive response to client concerns
3. Competitive pricing

Question 15

What are three types of service environments?

Answer 15

1. Public areas
2. Semi-public areas
3. Private facilities and property

Question 16

Which of the following BEST describes the document that tells how much money an organization generates (revenue), how much it spends (expenses), and the difference between those figures (net income)?
1. Balance sheet
2. Income statement
3. Expense sheet
4. Cash flow statement

Answer 16

2. Income Statement

Question 17

Cash Ration formula =

Answer 17

Cash and Cash Equivalents divided by Liabilities

Question 18

A company has $25,000 of cash and $100,000 of cash equivalents on hand. Their current liabilities include $30,000 of accounts payable and $25,000 in short term debt. Calculate their cash ratio.
1. 0.44
2. 1.63
3. 2.27

Answer 18

3. 2.27
   why?
   cash is 25,000
   cash equivalents is 100,000
   liabilities are 30,000 plus 25,000= 55,000
   Cash and equivalent is $125,000
   Liabilities is $55,000
   125/55-2.27

Question 19

Return on Assets formula =

Answer 19

(Net Income Before Taxes/Total Assets) x 100

Question 20

Return on Investment formula =

Answer 20

(current value of an invetment - cost of the investment) / cost of the investment

Question 21

Current Ratio Formula =

Answer 21

Current Assets / Current Liabilities

Question 22

Debt Ratio Formula =

Answer 22

Total Debt / Total Assets

Question 23

Debt to Equity Ratio Formula =

Answer 23

Total Liabilities / Total Shareholders Equity

Question 24

Return on Equity Formula =

Answer 24

Net Income / Equity

Question 25

EBITDA stands for

Answer 25

Earnings before Interest, Taxes, Depreciation, and Amortization

Question 26

EBITDA is a

Answer 26

measure of a company's overall financial performance

Question 27

EBITDA Formula =

Answer 27

net income (net earnings) + Interest + Taxes + Depreciation + Amortization

Question 28

The management systems approach is characterized by

Answer 28

1. Understanding the context and environment within which the system operates 2. Identifying the core elements of the system, as well as the system boundary 3. Understanding the role or function of each element in the system 4. Understanding the dynamic interaction between elements of the system It ensures that holistic strategies and policies are developed

Question 29

Which statement BEST reflects the purpose of a management system? 1. Provides a framework for structuring and organizing employees, facilitating reporting, and streamlines supervision 2. Provides a framework that the component parts of a system can best be understood when viewed in the context of relationships 3. Provides a framework in which all decisions should be assessed individually and delegated to the front line departments of the organization

Answer 29

2. Provides a framework that the component parts of a system can best be understood when viewed in the context of relationships

Question 30

ORMS (Operational Risk Management System) objectives and target should have which of the following characteristics? Select all that apply 1. Proportionate to the risk 2. Cost effective 3. Unanimous 4. Realistic

Answer 30

1. Proportionate to the risk 2. Cost effective 4. Realistic

Question 31

What is the BEST definition for cost-effectiveness? 1. Security operations are conducted in the least expensive way 2. Producing satisfactory results for the money spent 3. Staying within budgeted expenses

Answer 31

2. Producing satisfactory results for the money spent

Question 32

Which of the following BEST describes a performance metric applicable for evaluating an employee in an organization? 1. The employee shall achieve CPP designation within a year 2. The employee must work better with other workers 3. The worker's supervisor will observe overall behavior improvement 4. The worker's supervisor will provide their thoughts about performance

Answer 32

1. The employee shall achieve CPP designation within the year

Question 33

When designing objectives, goals or performance metrics, they must be SMART. This acronym stands for which of the following 1. Strategic, Memorable, Accountable, Relevant, Time-bound 2. Strategic, Measurable, Accountable, Relevant, Time-bound 3. Specific, Measurable, Accountable, Relevant, Time-bound 4. Specific, Measurable, Attainable, Relevant, Time-bound

Answer 33

4. SMART Specific Measurable Attainable Relevant Time-Bound

Question 34

Personal Attributes of a security officer

Answer 34

1. Character 2. Behavior and communication 3. Coachability 4. Appearance 5. Knowledge of the job 6. Education 7. Ethics

Question 35

"The security officer should also be able to speak clearly and listen attentively" is an example of which personal attribute? 1. Character 2. Behavior and communication 3. Coachability 4. Education

Answer 35

2. Behavior and communication

Question 36

A security officer deployment configuration, where a proprietary supervisors oversee contract front-line officers, is known as which of the following? 1. Proprietary 2. Contract 3. Hybrid

Answer 36

3. Hybrid

Question 37

Documented security instructions or standard operating procedures used as an essential reference for security personnel to know what is expected of them, is also called: 1. Corporate Policy & Procedures 2. Security Department Policy & Procedures 3. Security Post Orders 4. Security Training Manual

Answer 37

3. Security Post Orders

Question 38

Abraham Maslow Theory is

Answer 38

motivational starting with most basic needs Physiological Safety and Security Social or affiliation Ego Self-actualization

Question 39

Douglas McGregor Theory is

Answer 39

Theory X (workers are naturally lazy and avoid responsibility) Theory Y (work is natural and workers can be self-directed, motivated, and creative)

Question 40

Frederick Herzberg Theory is

Answer 40

The hygiene or maintenance factors and satisfiers or motivators

Question 41

Chris Argyris Theory is

Answer 41

Traditional organizational principles, structures, and procedures are incompatible with the mental health of employees. Makes subordinates passive and submissive, allowing them to have little direction of their own work, they become apathetic, engage in self protective defense mechanisms, or just fight the system

Question 42

Warren Bennis Theory is

Answer 42

Organization can be an adaptive, problem-solving, innovative system that copes with rapidly changing envirionments.

Question 43

The following theory asserts that a person's behavior is driven by basic needs at different levels and is still widely recommended to analyze individual employee motivation. It is referred to which of the following? 1. Maslow's Theory 2. McGregor's Theory 3. Hertzberg's Theory 4. Motivation-Hygiene Theory

Answer 43

1. Maslow's Theory

Question 44

"An organization can be adaptive, problem-solving, innovative system operating in and coping with rapidly changing environments. Buyreaucracy and the "organization man" will have no place in future organizations" This is a theory known as which of the following? 1. Warren Bennis' Theory 2. Crime Prevention Through Environmental Design 3. Herzberg's Theory 4. Maslow's Theory

Answer 44

1. Warren Bennis' Theory

Question 45

Education + Training + Guided Experience =

Answer 45

Development

Question 46

"This type of ethics is most relevant to business, is active and applies ethical concepts in specific business situations. This form of ethics makes specific judgements about right and wrong and prescribes types of behavior as ethical in the context of the activity. It makes claims about what should be done and what may not be done" This is BEST described as: 1. Descriptive ethics 2. Analytical ethics 3. Applied ethics 4. Prescribive ethics

Answer 46

3. Applied ethics

Question 47

Ethics Code is

Answer 47

a statement of the organization's shared values - accepted concepts and beliefs related to the organization's responsibilities and ethical ambitions

Question 48

What types of information are typically included in an ethics code? Select all that apply: 1. Statement of the specific nature of the business 2. Commitment to the code 3. Strict rules for personal behavior 4. Consequences of unethical practices

Answer 48

1. Statement of the specific nature of the business 2. Commitment to the code

Question 49

In reference to client responsibilities Which of the following statements are TRUE regarding the scope of work? Select all that apply 1. The contracting company should develop the scope of work 2. The scope of work should state the security tasks, the days and hours of performance, and the total number of hours worked 3. Details should be kept vague so responses are received from as many service contractors as possible 4. The more specific and detailed the information a client provides, the greater the likelihood of getting quality service at a competitive price.

Answer 49

2. The scope of work should state the security tasks, the days and hours of performance, and the total number of hours worked 4. The more specific and detailed the information a client provides, the greater the likelihood of getting quality service at a competitive price.

Question 50

What activities should occur during a bidders' conference? Select all that apply. 1. Discussion of the statement of work 2. Walking tour of the facility 3. Question and answer session 4. Final selection of the contractor

Answer 50

1. Discussion of the statement of work 2. Walking tour of the facility 3. Question and answer session

Question 51

What is the primary benefit of a standardized methodology to evaluate bids? 1. Streamline the already difficult process 2. Ensure the contract security agencies are bidding the requested services 3. Allow a fair comparison between contract security agencies

Answer 51

3. Allow a fair comparison between contract service agencies