Simon Has Been in the Landscaping Business for Over 40

question 40

Multiple Choice

Simon has been in the landscaping business for over 40 years. When Jorge, his business partner, suggested adding snow removal as an extra service, Simon responded with "My gut feeling is to say yes because of my experience in the past and what I have seen other companies do over the years, both successfully and not." Simon is acting on ________ in his response to Jorge.

• A) a knowledge dilemma
• B) a business reaction
• C) a knee-jerk reaction
• D) unbounded rationality
• E) intuition

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Definitions:

Journal Entry

A record in accounting that represents a transaction, consisting of debits and credits, in the financial books.

Raw Materials Used

The initial ingredients or components that are consumed in the manufacturing process to create a finished product.

Journal Entry

A record of financial transactions in the accounting system, ensuring that all changes in financial statements are documented and explained.

Production

The process of creating, growing, manufacturing, or improving goods and services.