Of the Following Statements About Vivendi, Which Is NOT True

question 17

Multiple Choice

Of the following statements about Vivendi, which is NOT true?

• A) It is a Swiss-based corporation.
• B) Between October 2000 and April 2002, the company cooked its books to make its financial performance appear better than it was.
• C) Vivendi agreed to pay a fine of $50 million.
• D) Company CEO Jean Merrier was required to pay a fine of $1 million.
• E) Company CEO Jean Merrier was required to forfeit his $25 million severance package.

---

Definitions:

Margin Of Safety

The difference between actual sales and sales at the break-even point. It measures the extent to which sales can decline before a business incurs a loss.

Variable Costs

Expenditures that adjust in relation to the business's output or operational intensity.

Fixed Expenses

Costs that do not fluctuate with the volume of sales or production levels, remaining constant even as business activities change.

Unit Selling Price

The price for which a single unit of a product is sold, excluding any discounts or allowances.