Using Either the Accounting Profitability or Shareholder Value Creation Approach

question 69

Multiple Choice

Using either the accounting profitability or shareholder value creation approach to determine whether Microsoft or Google have competitive advantage(s) is complicated by the fact that:

• A) The key to their performance is based on intangible assets.
• B) The technology sector is difficult to evaluate.
• C) One-dimensional approaches reveal the best information.
• D) They have no tangible assets.