Which of the Following Is an Example of a Product

question 52

Multiple Choice

Which of the following is an example of a product modification?

• A)lowering the price of textbooks
• B)dropping a product from the product line
• C)changing the colour of a laundry detergent
• D)changing the amount of management time spent overseeing production

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Definitions:

Balance Sheet

A financial statement that presents a company's assets, liabilities, and shareholders' equity at a specific point in time, offering a snapshot of its financial condition.

Operating Cycle

A measure of the time span between the purchase of inventory and the collection of cash from accounts receivable, highlighting the time taken for a business to turn its inventory into cash.

Current Liabilities

Short-term financial obligations a company must pay within a year, such as accounts payable, short-term loans, and accrued expenses.

Liquidation

The process of bringing a business to an end and distributing its assets to claimants, often occurring when a company is insolvent and unable to meet its financial obligations.