Which of the Following Examples Displays a Firm with a Competitive

question 43

Multiple Choice

Which of the following examples displays a firm with a competitive advantage achieved through quality?

• A) An organization that is famous for its durable products
• B) A corporation that reduces its expenses by finding new production processes
• C) A firm that delivers goods and services faster than its competitors
• D) An organization that gains profits by charging less prices
• E) A company that tailors its goods and services to fit consumer needs and preferences

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Definitions:

Reporting Period

The specific time span for which financial activities are recorded and reported in financial statements.

Monetary Items

Financial assets and liabilities that carry a fixed monetary value, such as cash, receivables, and payables.

Foreign Currency

Currency used in a country other than one’s own, requiring exchange rate conversion for transactions and financial reporting.

Closing Rate

The exchange rate used to convert foreign currency transactions and balances into the reporting currency of a company at the end of an accounting period.