Causally Ambiguous Means That

question 49

Multiple Choice

Causally ambiguous means that:

• A)the connection between cause and effect of capital is unclear in a firm
• B)rivals find it difficult to understand the link between a firm's competencies and its competitive advantage
• C)the connection between industry and firm performance is unclear
• D)the effect of a firm's resources are unclear to the firm itself

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Definitions:

Break-Even Sales

The amount of revenue that is exactly sufficient to cover both fixed and variable costs, resulting in neither profit nor loss.

Break-Even

The point at which total revenues equal total costs, resulting in no net loss or gain.

Total Dollar Sales

The aggregate revenue a company generates from the sale of its goods or services before any expenses are subtracted.

Net Operating Income

A company's income from operations, calculated as gross profit minus operating expenses, excluding taxes and interest.