Which of the Following Is the Most Accurate Description of a Value

question 51

Multiple Choice

Which of the following is the most accurate description of a value network?

• A) A system of partnerships and alliances that a firm creates to source, augment, and deliver its offerings.
• B) A system of organizations and resources involved in moving a product from supplier to customer.
• C) An arrangement whereby an organization transforms inputs into finished goods.
• D) A network that allows an organization take the finished products to the end-users.
• E) A communication network that allows an organization to transfer information to end-customers.

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Definitions:

Net Income

The amount of revenue left over after deducting all expenses, taxes, and costs from total revenue.

Cost of Goods Sold

The direct costs attributable to the production of goods sold by a company, including materials and labor.

Contra-Asset

An account on a company's balance sheet that reduces the value of an asset, often used for accumulated depreciation.

Current Asset

Any asset that is expected to be converted into cash within one year or within the normal operating cycle of a business.