Sara Lee Industries Spent Considerable Money and Time Developing a Crust

question 12

True/False

Sara Lee Industries spent considerable money and time developing a crust less bread. Prior to the introduction, the company had not conducted market research among its customers, but it was confident that its technology department had produced a successful new product. Based on this example, Sara Lee is a good example of a production-oriented company.

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Definitions:

Foreign Corporation

A company that is incorporated under the laws of a country different from the country of its primary operations.

Inventory

The total amount of goods and materials held by a business for the purpose of sale or production, including raw materials, work-in-process, and finished goods.

Consolidated Income Tax Return

A single income tax return filed by a parent company that includes all incomes, deductions, and credits of all members of a corporate group.

Intra-entity Transfers

Transactions of assets, services, or funds between divisions, departments, or units within the same entity.