Taco Bell Does Not Chop the Lettuce and Tomatoes or Grate

question 11

Multiple Choice

Taco Bell does not chop the lettuce and tomatoes or grate the cheese used to make its menu items, but hires a company outside the restaurant to perform these tasks. Taco Bell can keep its overhead low and concentrate its resources on taking customer orders and assembling food by doing which of the following?

• A) outsourcing
• B) demarketing
• C) remarketing
• D) unbundling

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Definitions:

Speculative Reasons

Motivations based on speculation where actions are taken with the expectation of future financial gains or losses.

Equity Method Investments

Investments in which the investor has significant influence over, but not full control or ownership of, another company, requiring recognition of its share of the investee's profits or losses.

Marketable Stock Securities

Financial instruments that represent ownership in companies or rights to ownership, easily bought and sold in public markets.

Short-Term Investment

A short-term investment is an asset that is expected to be converted into cash or sold within a short period, typically one year, to generate income.