If There Are No Statistical Discrepancies, NDP (Net Domestic Product)

question 141

Multiple Choice

If there are no statistical discrepancies, NDP (net domestic product) is

• A) NI minus net foreign factor income.
• B) NI plus corporate income taxes.
• C) GDP deflated for increases in the price level.
• D) GDP minus taxes on production and imports.

Understand the four generic business strategies: Cost Leadership, Differentiation, Cost Focus, and Differentiation Focus.

Know the historical application of these strategies by examining case studies such as Henry Ford’s Model T production.

Identify characteristics of cost-leadership and differentiation strategies and how they target broad market segments.

Recognize cost focus and differentiation focus strategies and their targeting of specific market segments.

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Definitions:

Pre-Acquisition Profits

Earnings of a subsidiary before control was taken by the parent company; these are not included in the consolidated profit and loss of the parent company.

Dividend Paid

Refers to the portion of a company's earnings that is distributed to its shareholders as a return on their investment.

Subsidiary

A company that is completely or majority-owned by another company.