A Manager Has the Task of Collecting and Analyzing Data

question 54

Multiple Choice

A manager has the task of collecting and analyzing data that will help the firm decide where to locate its international operations.Which of the following BEST describes how the manager should handle this task?

• A)conduct extensive research, regardless of the expense, in order to avoid costly mistakes
• B)compare the costs of data collection with the probable payoff it will generate for the firm
• C)continue data gathering until all data have been collected, regardless of how long this takes
• D)focus all data collection on governmental resources because they have the highest reliability

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Definitions:

Retained Earnings

Profits that a company keeps or retains rather than distributing to shareholders as dividends, often used for reinvestment.

Taxable Income

The amount of income subject to tax, after deductions and exemptions, as determined by tax laws.

Quarterly Dividends

These are dividends paid by a corporation to its shareholders every three months, or four times a year, representing a portion of the company's earnings.

Book Value

The net value of a company's assets minus its liabilities and intangible assets, often used as a measure of a company's actual worth.