Low-Cost Defender SBUs Perform Better on ROI and Cash Flow

question 39

Multiple Choice

Low-cost defender SBUs perform better on ROI and cash flow by:

• A)using relatively little synergy and few shared programs.
• B)giving their managers relatively little autonomy.
• C)focusing on democratic decision making.
• D)stressing participation more than productivity improvements.

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Definitions:

Open-Market Purchase

The buying of government securities by the central bank from the market to increase the money supply and decrease the interest rate.

Store Of Value

An asset that can be saved, retrieved, and exchanged in the future without significantly losing value.

Currency

The system of money in common use in a country, which facilitates the exchange of goods and services.

Liquid Asset

An asset that can easily be converted into cash in a short period without losing value.