To Exploit Its Tangible Assets More Effectively Requires That a Firm

question 26

Multiple Choice

To exploit its tangible assets more effectively requires that a firm:

• A)Economizes on these assets by changing its depreciation policy
• B)Economizes on underutilized assets and redeploys assets into more profitable uses
• C)Expands sales in order to ensure they are fully deployed
• D)Leases assets rather than owning them in order to boost return on capital employed

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Definitions:

Entores Ltd.

A landmark case in contract law that established the principle that an acceptance of an offer becomes effective when communicated.

Telex

A communication network system used to send text messages through a network of teleprinters, historically significant before the advent of modern digital communications.

Postbox Rule

A legal principle that deems an offer accepted once the acceptance is posted, not when it is received by the offeror.

Counter-Offer

A response to an initial offer, proposing different terms in an attempt to reach a mutual agreement.