If a firm has excess capacity, this is an example of what reason for producing in-house?

a. No competent supplier
b. Better quality control
c. Use of idle capacity
d. Protect proprietary technologies


c. Use of idle capacity

Business

You might also like to view...

The goal of communication is the transmission of a message

Indicate whether the statement is true or false.

Business

A company that handles online chat poorly may be doing more harm than good

Indicate whether the statement is true or false

Business

What distinguishes an inclusive workplace from an organization that merely implements diversity initiatives?

A. a comprehensive approach to diversity that is part of an overall organizational strategy b. the composition of its workforce c. the number of managers that represent diverse populations d. regular training for managers on diversity management

Business

Which of the following statements is NOT CORRECT?

A. Accruals are "free" in the sense that no explicit interest is paid on these funds. B. A conservative approach to working capital management will result in most, if not all, permanent current operating assets being financed with long-term capital. C. The risk to a firm that borrows with short-term credit is usually greater than if it borrowed using long-term debt. This added risk stems from the greater variability of interest costs on short-term debt and possible difficulties with rolling over short-term debt. D. Bank loans generally carry a higher interest rate than commercial paper. E. Commercial paper can be issued by virtually any firm so long as it is willing to pay the going interest rate.

Business