Tangible Differentiation Includes the Performance of the Product - for Instance

question 12

True/False

Tangible differentiation includes the performance of the product - for instance its reliability, durability and taste (for foods) - as well as its shape, color, size etc.

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Definitions:

Residual Value

The estimated amount that an asset will be worth at the end of its useful life.

Gross Margins

A company's revenue minus its cost of goods sold, expressed as a percentage, indicating the percentage of sales revenue that turns into profit.

Opening Inventory

The value of a company's inventory at the beginning of its accounting period, which includes raw materials, work-in-progress, and finished goods ready for sale.

Net Book Value

The value of an asset as recorded on the balance sheet, subtracting accumulated depreciation or amortization from its original cost.