What five specific feasibility phases will a new venture go through?
What will be an ideal response?
ANSWER: The first phase is finding out technical feasibility. The feasibility measured is whether the product or service will meet all technical criteria and tests for serviceability that are measurable. The second phase concerns marketability. Different tests are used to assure the success of the product or service rendered. The product must be salable and marketable to the public with a plan for promoting, pricing, and distributing the product to consumers or customers. The third phase is financial feasibility. Required finances are compared to available financial resources. The fourth phase deals with organizational capabilities concerning personnel needs and requirements. The final phase is the competitive analysis of existing, as well as potential, competitors.
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In its accrual basis income statement for the year ended December 31 . 2014, Braxton Company reported revenue of $3,500,000 . Additional information is as follows: Accounts receivable--December 31 . 2013 ............... $ 650,000 Net income for 2011 .................................. 140,000 Accounts receivable--December 31 . 2014 ............... 1,010,000 Nelson should report cash collected from
customers in its 2014 statement of cash flows (direct method) in the amount of a. $3,760,000. b. $3,380,000. c. $3,100,000. d. $3,140,000.
The Miranda rights refer to the ________ provision of the Fifth Amendment of the U.S. Constitution
A) double jeopardy B) unreasonable searches and seizures C) privilege against self-incrimination D) parole eligibility
The cost of perpetual preferred stock is found as the preferred's annual dividend divided by the market price of the preferred stock. No adjustment is needed for taxes because preferred dividends, unlike interest on debt, is not deductible by the issuing firm.
Answer the following statement true (T) or false (F)
Debt is a less expensive source of capital than stock
Indicate whether the statement is true or false