When debt is used to finance the purchase of assets, the term or time span of the debt should always be shorter than the life span of the assets.
Answer the following statement true (T) or false (F)
False
Effective financial management principles dictate that asset purchases should be financed over a time span about equal to the expected lives of the assets. Long-lived assets should be financed with long-term liabilities.
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Which of the following is an example of an organization's brand-related objective?
A) developing market share in new market Y from 0% to 10% within one year B) improving perceived quality, as evidenced by third party analyst rating increasing from ranking #5 to ranking #2 in analyst report X C) increasing the portion of the market controlled in new market Y from 0% to 12% within one year D) adding a new luxury product line to target high-end customer
Thompson Company borrowed $100,000 on a one-year, 10% note on September 1, 2012, with interest and principal to be paid at maturity. How much interest payable will be reported on Thompson's balance sheet as of November 30, 2012?
A) $ 2,500 B) $ 7,500 C) $10,000 D) $ 3,333
The streamlining of business processes to reduce costs is key to competitive strategy.
Answer the following statement true (T) or false (F)
The marketing concept
A. is a definition of marketing to attract customers. B. focuses on selling and advertising to achieve organizational goals. C. focuses on production and selling to achieve organizational goals. D. is a strategy for achieving organizational goals by following management intuition. E. is a management philosophy that affects all organizational activities.