Which of the Following Statements Is True of Universal Standards

question 4

Multiple Choice

Which of the following statements is true of universal standards in the sale of international products?

• A) The idea of universal standards has been resisted in developing countries.
• B) Firms that adhere to universal standards find the costs to be greater than the benefits.
• C) The international market for industrial goods uses the metric system as a universal standard.
• D) Most governments mandate universal standards.
• E) The lack of universal standards limits the expansion of an industry.

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Definitions:

Inventory Acquisition

The process of obtaining and adding goods or materials to a company's stock for further sale or use.

Cash Increase

An uptick in the amount of liquid assets (cash and cash equivalents) that a company or individual has on hand.

Current Ratio

Current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations or those due within one year, by comparing current assets to current liabilities.

Net Working Capital

Net working capital is the difference between a company's current assets and current liabilities, indicating short-term financial health and the ability to cover its short-term obligations.