Which of the Following Is an Example of a Horizontal

question 6

Multiple Choice

Which of the following is an example of a horizontal diversification?

• A)A new company selling a new product in the market
• B)An old company increasing its supply of existing products
• C)A company acquiring its raw materials from many parts of the world
• D)A new company trying to reintroduce an old product with improved advertising tactics

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Definitions:

Capital Budgeting

The process by which a business evaluates and selects long-term investments that are worth more than their cost, considering potential risks and rewards.

Ultimate Responsibility

The highest level of accountability and duty that an individual or organization holds, particularly in the context of fulfilling job roles or task outcomes.

Board of Directors

A group of individuals elected to represent shareholders and oversee the activities and management of a company.

Working Capital Management

involves the oversight and administration of a company's current assets and liabilities to ensure efficient operation and financial stability, including managing cash, inventories, and short-term debts.