Explain the difference between tangible and intangible resources. Provide an example of each.
What will be an ideal response?
Firm resources are all assets, capabilities, organizational processes, information, knowledge, and so forth, controlled by a firm that enable it to develop and implement value-creating strategies. Tangible resources are assets that are relatively easy to identify. They include the physical and financial assets that an organization uses to create value for its customers. Among them are financial resource (e.g., a firm's cash, accounts receivable, and its ability to borrow funds); physical resources (e.g., the company plant, equiprment, and machinery as well as its proximity to customers and suppliers); organizational resources (e.g., the company strategic planning process and its employee development, evaluation, and reward systems); and technological resources (e.g., trade secrets, patents, and copyrights).Intangible resources are typically embedded in unique routines and practices that have evolved and accumulated over time. These include human resources (e.g., experience and capability of employees, trust, effectiveness of work teams, managerial skills), innovation resources (e.g., technical and scientific expertise, ideas), and reputation resources (e.g., brand name, reputation with suppliers for fairness and with customers for reliability and product quality). The culture of a firm may also be a resource that provides competitive advantage.
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Equity capital to total assets for a bank is a measure of leverage
Indicate whether the statement is true or false
Shoe Sunshine, Inc filed for bankruptcy protection under Chapter 11 and submitted a plan of reorganization within 120 days after filing for relief. Two of the classes of creditors voted against the plan. However, the bankruptcy judge considered the plan to be reasonable, achievable, and fair, and approved it in spite of these creditors' objections. This action by the judge is called a "cramdown."
a. True b. False Indicate whether the statement is true or false
A verification is a(n)
A. a sworn question-answer statement. B. a sworn statement by which signer acknowledges he signed the document. C. a sworn confirmation of the truth of the statements contained in the document. D. an authenticated copy of a recorded document.