The Proper Matching of What a Firm Can Do with What

question 24

Multiple Choice

The proper matching of what a firm can do with what it might do:

• A) balances the internal characteristics of the firm with the characteristics of the external environment.
• B) overcomes the rigidity and inertia resulting from a history of success.
• C) yields insights the firm requires to select its strategy.
• D) develops core competencies based on human knowledge.

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Definitions:

Provision

A provision is an amount set aside in the financial statements to cover a future liability or loss.

Dollar Amount

A specific quantity of money expressed in the currency of the United States, represented by the dollar symbol ($).

IFRS

International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) that is becoming the global standard for the preparation of public company financial statements.

U.S. GAAP

United States Generally Accepted Accounting Principles, the standard framework of guidelines for financial accounting used in the U.S.