In a BCG Growth-Share Matrix,a Relative Market Share of 10

question 226

Multiple Choice

In a BCG growth-share matrix,a relative market share of 10 × at the left end of the scale on its horizontal axis means that the SBU has 10 times the share of its largest competitor,whereas a relative market share of 0.1 × at the right end of the scale on its horizontal axis means that

• A)the SBU has only 10 percent of the share of its average competitor.
• B)the SBU has 100 percent of the share of its largest competitor.
• C)the growth rate between the SBU and the next largest competitor is actually identical.
• D)the SBU has only 10 percent of the share of its largest competitor.
• E)the industry growth rate is declining.

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Definitions:

Bonds at Discount

Bonds issued below their face value, where the difference between the issue price and the face value represents the interest.

Journal Entry

A record in the accounting journal that represents a single transaction and shows the debits and credits to the various accounts affected by the transaction.

Quoted Price

The existing rate at which an asset or service can be sold or purchased.

Selling Price

The amount of money for which a product or service is sold to customers.