Scenario 9.1 Use the Following to Answer the Questions

question 76

Multiple Choice

Scenario 9.1
Use the following to answer the questions.
Harley-Davidson Motors manufactures all of its motorcycles in the U.S.at one of four sites.With a large number of its bikes sold in markets all around the world,it still retains the manufacturing close to the headquarters for several reasons,one being that its management wants to keep close watch on the quality of its products.However,for all the accessories,apparel,and other riding gear,Harley-Davidson contracts out to other manufacturers to produce the items with the Harley name and logo.Some of these items,particularly the apparel,are made in China.Lately,some members of the Harley Owners' Group (HOG) have been complaining to the company about this practice,citing that "everything Harley should be made in America".
-Refer to Scenario 9.1.At what level of involvement in international marketing is Harley-Davidson with regard to its bikes?

• A)Full-scale
• B)Globalization
• C)Joint venture
• D)Direct ownership
• E)Exporting

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Definitions:

Deferral Method

An accounting practice where revenue or expenses are recognized at a later date than when they were initially incurred, aligning income with the periods in which the related cash flow occurs.

Financial Statements

Documents that report the financial activities and conditions of a business or entity, including the balance sheet, income statement, and cash flow statement.

Net Assets

The total assets of a company minus its total liabilities, representing shareholders' equity or owner's equity.

Endowment Contributions

Donations made to an institution, often with the stipulation that the principal remains intact while the income or interest is used for a specific purpose.