Which of the Following Can Be Described as an 'Innovation

question 16

Multiple Choice

Which of the following can be described as an 'innovation', according to Joseph Schumpeter?

• A) New good or service
• B) New organizational form
• C) New source of raw material
• D) New market

---

Definitions:

Sales Revenue

A company's total income from product sales or service charges prior to the deduction of any operational expenses.

Gross Profit Rate

A profitability ratio that compares gross profit to net sales, reflecting the efficiency of a company in managing its production and labor costs.

Multiple-Step Income Statement

An income statement that separates operating revenues and expenses from non-operating items to display key components of net income.

Sales Revenue

The gross income from selling products or services, prior to deducting any costs.