A Research Company Is Preparing a Visual for a Marketing

question 23

Multiple Choice

A research company is preparing a visual for a marketing research report for a current client that is looking at expanding their product line by means of acquiring another company. A visual has been constructed to show the steps that will be taken to accomplish the merger planned between two companies. Which of the following visuals would best show the different steps and how they are related?

• A) pie chart
• B) picture
• C) histogram
• D) flow diagram
• E) table

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Definitions:

Net Profit Margin Percentage

A financial ratio that shows the percentage of net income derived from total revenue, emphasizing the profitability of a company after all expenses have been deducted.

Financing Activities

These activities generate cash inflows and outflows related to borrowing from and repaying principal to creditors and completing transactions with the company’s owners, such as selling or repurchasing shares of common stock and paying dividends.

Cash Inflow

Cash inflow is the movement of money into a business from various sources, including sales, investment income, and financing activities.

Cash Flows

The total amount of money being transferred into and out of a business, especially affecting liquidity.