Adding additional products to an existing product line in order to compete more broadly in the industry is referred to as:
A. product line extension
B. product modification
C. planned obsolescence
D. repositioning
E. cannibalization
Answer: A
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Unearned revenues are generally:
A. Liabilities created when a customer pays in advance for products or services before the revenue is earned. B. Revenues that have been earned but not yet collected in cash. C. Revenues that have been earned and received in cash. D. Increases to common stock. E. Recorded as an asset in the accounting records.
Raj and Ben are best friends. Raj regularly participates in marathons and is part of the marathon runners club at his university. Ben also wants to be part of the club but is not a very strong runner
Ben decides to start running every day so that he can soon participate in a marathon and become part of the club. Given this information, marathon runners act as which type of reference group for Ben? a. A secondary reference group b. A primary reference group c. An aspirational reference group d. A nonaspirational reference group
Discuss the items included in partnership agreements
What will be an ideal response?
Two firms-Tangerine Inc. and Cyan Inc. analyze the same project for capital budgeting decision. Tangerine Inc. determines that the project's internal rate of return (IRR) is 9 percent. Cyan Inc. uses the net present value (NPV) method and determines that the project is unacceptable. Given this information, which of the following statements is correct??
A. ?The net present value of the project must be positive for both the firms. B. ?Cyan Inc.'s internal rate of return (IRR) from the project is less than 9 percent. C. ?Tangerine's CFO should use the traditional payback period method to evaluate the project. D. ?Tangerine Inc. should use a discount rate of more than 9 percent for capital budgeting analysis by the net present value (NPV) method. E. ?Cyan Inc.'s required rate of return is greater than 9 percent.