An Optimize Position Strategy Differs from a Harvest Strategy in That

question 17

Multiple Choice

An optimize position strategy differs from a harvest strategy in that an optimize position strategy ________.

• A)involves a conscious effort to reduce the customer base in order to reach a more profitable level of business
• B)is used to protect an attractive market position in which the business dominates with respect to competitive position
• C)is an offensive strategic market plan that seeks to improve a business's competitive position in an attractive segment of the market
• D)is used to maximize profits and cash flow as a business slowly exits a product-market
• E)is used for exiting a market by selling or closing down the business or eliminating the product

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Definitions:

Conversion Costs

Costs incurred by a company in the process of converting raw materials into finished goods, typically including labor and overhead.

Transferred Units

Refers to items or inventory that have been moved from one location, department, or stage of processing to another within a company.

Equivalent Units

A concept used in process costing that converts partially completed units into a number of equivalent fully completed units.

Ending Work

The inventory or work-in-process at the end of an accounting period that has not yet been completed.