Which of the Following Is One of the Primary Reasons

question 79

Multiple Choice

Which of the following is one of the primary reasons that quality efforts have not led to gains in bottom-line results?

• A) companies price high quality items too low
• B) low cost items are not profitable
• C) quality and profitability are negatively correlated
• D) quality is the only variable that affects profitability
• E) many companies implement quality incorrectly

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Definitions:

Foreign Exchange Currency Risk

The potential for financial losses due to changes in the exchange rate between currencies.

Canadian Dollar

The official currency of Canada, represented by the symbol CAD or C$.

Political Risk Factors

The risk of loss resulting from political instability or changes in government policies affecting an investment.

Cash Flows

The total amount of money being transferred into and out of a business, especially affecting liquidity. It's a key indicator of financial health for any business.