When a Company Develops Its Product,it Must Communicate (I

question 8

Multiple Choice

When a company develops its product,it must communicate (i.e.,promote) the benefit to consumers.Does Doug Reffue's Facebook posting (and free ticket offer) meet that criterion?

• A) No, it is simply an apology.
• B) Yes, sex sells and there is no such thing as bad publicity.
• C) No, only the team benefits and there are always free tickets set aside for promotions.
• D) Yes, because Reffue, even if insincere, is still promoting the team as family entertainment.
• E) No, because only the team's gate receipts benefitted and the public was essentially teased.

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Definitions:

Total Assets

Total assets encompass all the economic resources or properties owned by a business, valued at the end of a reporting period.

P/E Ratio

Price to Earnings Ratio is a valuation metric for stocks, calculating the market value per share divided by the earnings per share (EPS). It indicates the dollar amount an investor can expect to invest in a company in order to receive one dollar of that company’s earnings.

Market-to-Book Ratio

A financial ratio that compares a company's market value to its book value, indicating how much shareholders are paying for the net assets of a company.

Stock Price

The present rate at which a company's stock is traded on the stock market.