In Its Focus on Bottom-Line Financial Value, the ________ Approach

question 103

Multiple Choice

In its focus on bottom-line financial value, the ________ approach often overlooks the "option value" of brands and their potential to affect future revenues and costs.

• A) brand equity
• B) brand value chain
• C) customer tracking
• D) customer equity
• E) brand extension

---

Definitions:

Common Stock

Equity without priority for dividends or in bankruptcy.

Call Option

A financial contract giving the buyer the right, but not the obligation, to buy an asset at a predetermined price within a specific time frame.

Exercise Price

The rate at which a call option allows buying or a put option allows selling of the underlying financial instrument or commodity.

Put Option

A contractual agreement allowing the possessor the choice, not the duty, to dispose of a particular volume of an underlying asset at an agreed-upon rate before a certain deadline.