Internal failure costs are costs incurred ________
A) to detect poor-quality materials, goods, or services
B) when the company corrects poor-quality goods or services before delivery to customers
C) after the company delivers poor-quality goods or services to customers and then has to make things right with the customer
D) to avoid poor-quality goods or services
B
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The automobile industry has become fiercely competitive on a global basis. The initial success of foreign automakers in the United States was due to all of the following reasons except:
A) reluctance of U.S. manufacturers to design high-quality cars. B) inability of U.S. manufacturers to manufacture high-quality cars. C) reluctance of U.S. manufacturers to make inexpensive small cars. D) bigger cars meant bigger profits for U.S. manufacturers. E) U.S. manufacturers did not realize drivers' preferences.
Select the type of business that is most likely to obtain large amounts of resources by issuing stock
A) Partnership B) Corporation C) Proprietorship D) None are correct.
You are thinking of adding one of two investments to an already well- diversified portfolio
Security A Security B Expected Return = 14% Expected Return = 16% Standard Deviation of Standard Deviation of Returns = 16% Returns = 20% Beta = 1.2 Beta = 1.2 If you are a risk-averse investor, which one is the better choice? A) Security A B) Security B C) Security B, but only if Security B's required return is greater than 12%. D) Either security would be acceptable because they have the same beta.
Identify several factors that influence the decision to issue debt
What will be an ideal response?