If the Managers of a Business Decide to Use Cause-Related

question 28

Multiple Choice

If the managers of a business decide to use cause-related marketing, they should keep in mind that a recent Roper Starch Worldwide study showed that 58 percent of consumers

• A) cannot associate even one company with a cause it supports.
• B) typically are against any cause that a big business is in favor of.
• C) believe that the only reason a company supports a cause is to enhance the company's image.
• D) say that they are not concerned with social causes.

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Definitions:

Direct Method

A method for creating a cash flow statement that itemizes the principal categories of gross cash inflows and outflows.

Cash Dividends

A portion of a company's earnings that is paid out to shareholders, typically in the form of cash.

Indirect Method

A approach used in cash flow statements to adjust net income for changes in non-cash accounts to determine net cash from operating activities.

Operating Activities

Operating activities include the primary revenue-generating activities of an organization as reflected in its cash flow.