Mama's Hot Dogs Store Is a Leading Fast-Food Restaurant That

question 21

Multiple Choice

Mama's Hot Dogs Store is a leading fast-food restaurant that sells a variety of hot dogs.This restaurant is known for its impeccable customer service.It provides a playground for kids, maintains clean tables and restrooms, and provides free Wi-Fi.John, an entrepreneur, wants to start a fast-food restaurant and compete against Mama's Hot Dogs Store.Which of the following strategies would most probably help John to be more successful than Mama's Hot Dogs Store?

• A)Providing better quality of food and service
• B)Charging higher prices for the food and service
• C)Giving more quantity of food
• D)Giving discounts on unsold food items

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Definitions:

Direct Method

A cash flow statement presentation that lists specific operating cash receipts and payments, straightforwardly showing sources and uses of cash.

Cash Payments

Financial transactions involving the transfer of cash from one party to another, typically as a form of payment for goods, services, or expenses.

Noncash Investing

Investment activities that affect the long-term assets of a company but do not result in cash outlays in the immediate term.

Financing Activities

Transactions that involve raising funds to finance the company's operations and expansions, such as issuing stocks or bonds.