In the New-Product Process, the Stage That Involves Exposing Actual

question 53

Multiple Choice

In the new-product process, the stage that involves exposing actual products to prospective customers under realistic purchase conditions to see if they will buy is called:

• A)development.
• B)commercialization.
• C)market testing.
• D)screening and evaluation.

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Definitions:

Acid-Test Ratio

A stringent test that measures a company's ability to pay off its short-term liabilities with quick assets, excluding inventory.

Accounts Receivable Turnover

A financial ratio that measures how efficiently a company collects revenue from its credit sales by comparing net credit sales with the average accounts receivable.

Acid-Test Ratio

A financial metric that measures a company's ability to pay off its current liabilities with its most liquid assets, excluding inventory.

Current Liabilities

Short-term financial obligations that are due within one year or within a company's operating cycle, whichever is longer.