Scanning Is

question 13

Multiple Choice

Scanning is

• A) Comparing an organization's practices and technologies with those of other companies.
• B) Focused on current activities and technologies.
• C) Focused on what can be done and what is being developed.
• D) Comparing the competitive advantages of two companies.
• E) Clarifying the key technologies on which an organization depends.

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Definitions:

Warrants

Financial instruments that give the holder the right, but not the obligation, to buy shares of a stock at a specified price before the warrant expires.

Convertibles

Securities, such as bonds or preferred shares, that can be converted into a specified number of common shares at the holder's discretion.

Underlying Stock

An underlying stock refers to the equity security upon which derivative securities, such as options and futures, are based.

Ultimate Credit Risk

The risk of loss that occurs when an obligor (such as an issuer of a bond) defaults on its obligations, considering all measures of mitigation.