All of the Following Actions Can Be Taken If Demand

question 12

Multiple Choice

All of the following actions can be taken if demand falls suddenly except

• A) shifting capacity to growth markets
• B) closing facilities
• C) increasing the variety of products
• D) increasing advertising

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Definitions:

Balance Sheet

A financial statement that displays a company's assets, liabilities, and shareholder's equity at a specific point in time.

Investing Activities

Investing activities involve the purchase and sale of long-term assets and other investments, not considered as cash equivalents by a company.

Quick Ratio

A measure of a company's ability to meet its short-term obligations with its most liquid assets, excluding inventories.

Financing Activities

Transactions and business activities that result in changes in the size and composition of the equity capital and borrowings of an entity.