Which of the Following Reasons Is Not a Reason That

question 36

Multiple Choice

Which of the following reasons is not a reason that Atlas Door could lose competitive advantage?

• A) Its technologies are non-proprietary.
• B) A rival easily could hire away its talented employees.
• C) A new rival with a strong resource base could undercut its prices.
• D) It has strong power over its distributors.

---

Definitions:

Kilowatt-hour

A unit of energy measurement equivalent to one kilowatt of power expended for one hour of time, commonly used for billing electricity usage.

Straight-line Depreciation

A method of allocating the cost of a tangible asset over its useful life in equal annual amounts, representing the asset’s decrease in value over time.

Factory Equipment

Fixed assets used in manufacturing processes, such as machinery and tools, necessary for producing goods.

Variable Cost

Outlays that are tied to the level of output or sales, including expenditures on materials and labor.