Alyssa Is Organizing a Written Marketing Research Report for Her

question 57

Multiple Choice

Alyssa is organizing a written marketing research report for her client,Princess Jewelry.Princess is a well-established company that wants to update its image and become more "modern." It has hired a number of younger "hot shots" from Ivy League business schools.One of these "hot shots" asked Alyssa to conduct research to determine whether or not Princess should expand into other countries.Which of the following should she consider as she is constructing the report?

• A)The president of Princess doubts the effectiveness of international firms and is leery of Princess expanding.
• B)The expansion task force will review the report first and then pass it on to the board of directors.
• C)Many members of the board of directors know little to nothing about the costs and benefits of expansion.
• D)A and C
• E)all of the above

---

Definitions:

Present Value

The current value of a future sum of money or stream of cash flows, given a specified rate of return.

Mutual Fund

An investment vehicle comprised of a pool of funds collected from many investors for the purpose of investing in securities such as stocks, bonds, money market instruments, and other assets.

IRA Funds

Investment vehicles that provide individuals with a means to save for retirement with tax advantages.

Discount Rate

The interest rate used to discount future cash flows of investments or projects to their present value, crucial for assessing their profitability.