A Line Extension Involves the Addition of New Sizes, Styles

question 30

True/False

A line extension involves the addition of new sizes, styles, flavors, or related products to an existing group of products.

---

Definitions:

Capital Stock

The total amount of a company's shares authorized and issued to shareholders, representing the primary source of equity financing.

Common Stock

Equity ownership in a corporation, representing a claim on a portion of the profits and assets, with voting rights in corporate decisions.

Treasury Stock

Shares that were once a part of outstanding stock but were bought back by the issuing company, reducing the amount of outstanding stock on the open market.

Implied

Suggested or inferred from actions or statements, rather than being explicitly stated.