Unless adding a supplier with a unique and valuable capability clearly adds to total cost, the firm's supply base may be too small
Indicate whether the statement is true or false.
Answer: TRUE
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Which one of the following statements is false regarding the gross profit ratio?
a. The gross profit ratio is a measure of profitability. b. The gross profit ratio is calculated by dividing net sales by gross profit. c. The gross profit ratio can help investors decide whether or not to buy a company's stock. d. The gross profit ratio should be compared with both a company's prior years' ratios and also competitor ratios.
On July 1, 2018, Mason & Beech Services issued $33,000 of 10% bonds that mature in five years. They were issued at par. The bonds pay semiannual interest payments on June 30 and December 31 of each year. On December 31, 2018, what is the total amount paid to bondholders?
A) $1650 B) $3300 C) $825 D) $1100
A company is planning to replace an old machine with a new one. Which of the following is a sunk cost?
A) cost of the new machine B) sales price of the old machine C) future maintenance costs of the old machine D) original cost of the old machine
An employer's bargaining power may rest on its ability to continue its operations despite a strike by its workers.
Answer the following statement true (T) or false (F)