Which of the Following Is Not True of Creative Boutiques

question 24

Multiple Choice

Which of the following is not true of creative boutiques?

• A) Usually, the founders of a creative boutique are graphic designers and/or copywriters.
• B) They occasionally subcontract to ad agencies.
• C) They tend to be limited to the role of creative suppliers.
• D) They provide the same research, marketing, sales expertise, and deep customer service that full-services agencies offer.
• E) They focus on developing exciting creative concepts.

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Definitions:

Indirect Method

An accounting practice used to prepare the cash flow statement, where net income is adjusted for non-cash transactions and changes in working capital to calculate cash flow from operating activities.

Net Income

The total revenue minus total expenses, representing the company's profit.

Operating Activities

These are the primary day-to-day activities of a business that relate to its production, sales, and deliveries of its products and services.

Prepaid Insurance

An asset account that represents the amount paid for insurance coverage in advance of the service period.