The decision to pursue diversification requires management to resolve which industries to enter and whether to enter, and includes such decisions as the following, except
A. structuring a strategic alliance with another company to take advantage of the opportunity.
B. acquiring a company already established in the target industry.
C. starting a business from the ground up.
D. forming a joint venture or partnership with another company.
E. selecting the appropriate value chain operating practices to improve the financial outlook.
Answer: E
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On GLOBE dimensions, the U.S. managerial sample scored high on
A. power distance and uncertainty avoidance B. in-group collectivism and future orientation C. assertiveness and performance orientation D. institutional collectivism and uncertainty avoidance E. masculinity and humane orientation
Which sentence is correct?
A) ?As Americans listened to the congressional hearing on terrorism, they considered its impact on U.S. foreign relations. B) ?The finance department requested travel receipts from you and I before processing our expense vouchers. C) I hope that your prepared to participate on the budget planning team and it's many related subcommittees.
If interest expense lowers taxes, why does the WACC not decrease indefinitely with the addition of more debt?
A) The tax shield effect of debt will result in a lower cost of equity. B) Increasing debt too much can result in a greater likelihood of firm failure (financial distress). C) A firm's common stock price will not be affected by the amount of debt a firm uses. D) Too much common equity increases the probability of bankruptcy.
Community property laws dictate that income earned by one spouse is treated as though it were earned equally by both spouses.
Answer the following statement true (T) or false (F)