Industry Convergence Happens When Previously Unrelated Industries Begin to Serve

question 14

True/False

Industry convergence happens when previously unrelated industries begin to serve the same customer.

Understand the significance of active listening in effective communication.

Understand the components and calculation of return on investment.

Identify the advantages and judgmental factors involved with financial ratios.

Differentiate between static and flexible budgets and their implications for managerial control.

---

Definitions:

Compounded Semiannually

Interest calculated twice per year, with the first period's interest being added to the principal before the second period's interest is calculated.

Strip Bond

A financial instrument obtained by separating the coupons from the principal of a bond, which then sells each part as a zero-coupon bond.

Semi-Annually Compounded

Pertaining to the interest calculation method where the interest is compounded and added to the principal amount twice a year.

Compounded Annually

The process of earning interest on both the initial principal and the accumulated interest from previous periods on an annual basis.