Application of Skills Directions: Read the Following Excerpt from a College Textbook and College

question 1

Multiple Choice

Application of Skills
Directions: Read the following excerpt from a college textbook and answer the questions that follow.
¹ Because of its ability to deliver information quickly and directly, the Internet offers many benefits for public relations companies. Public relations people, in fact, often are very much involved in creating and modifying Web sites for their clients-creating a public face. News releases, product announcements and company profiles can be made available online, to be captured on demand by the press, stockholders and anyone else who is interested.
²The Internet also brings hazards. Disgruntled customers, pranksters and competitors can create their own sites to immediately challenge and even undermine a client's site. To counter these negative messages, many businesses and organizations hire public relations firms to continuously monitor the Internet and alert their clients when negative information appears so the client can decide the best way to counter the information.
-adapted from Biagi, Media/Impact: An Introduction to Mass Media ,  pp. 240, 242
What is the purpose of the passage?

• A) To explain the role of public relations in managing the Internet
• B) To convince the reader that the Internet is dangerous
• C) To entertain the reader with anecdotes about disgruntled customers
• D) To reveal the hidden world of Internet pranksters

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Definitions:

Income From Operations

Financial gain accruing from the essential operations of an enterprise, without taking into account interest and tax deductions.

Net Income

The company's net earnings following the deduction of all expenses and taxes from its gross revenue.

Single-Step Form

A simplified income statement format that consolidates all revenues and expenses into single categories to calculate net income.

Income Statement

A report highlighting a company’s income and expenditures within a given timeframe, leading to a final net gain or deficit.