Which of the Following Has the Greatest Potential to Transform

question 22

Multiple Choice

Which of the following has the greatest potential to transform an industry's structure?

• A)a change in a competitor's management
• B)a change in a competitor's pricing structure
• C)the expansion of a distribution channel
• D)the exit of a competitor from the industry

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Definitions:

Interest Revenue

Income earned by an entity through investments in interest-bearing financial instruments or accounts.

Debt Investments

Financial assets purchased with the expectation that the loan made to the issuer (such as bonds) will be paid back with interest.

Available-For-Sale Security

A financial asset that is purchased with the intent of selling before its maturity date but not classified as actively traded or held to maturity.

Realized Gain

The profit made from the sale of an asset, which becomes evident upon completion of the transaction.