Portfolio Strategy Pertains to the Mix of Business Units and Product

question 86

True/False

Portfolio strategy pertains to the mix of business units and product lines that fit together in a logical way to provide synergy and competitive advantage for the corporation.

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Definitions:

Gain

The financial benefit realized when the amount of revenue gained from a business activity exceeds the expenses, costs, and taxes needed to sustain the activity.

Deducted

Removed or taken away from a total amount or sum, often referring to expenses subtracted from income before taxation.

Net Income

The net profit for the company, arrived at after taking away all forms of expenses and taxes from the generated total revenue.

Net Cash Flow

This measures the amount of cash generated or used by a business in a given period, taking into account cash inflows and outflows.