Porsche Received a Lot of Negative Feedback When It Announced

question 169

True/False

Porsche received a lot of negative feedback when it announced plans to release an SUV, but it went ahead anyway, and the Porsche Cayenne was a great success. This is an example of a peril of making decisions based on crowdsourcing.

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Definitions:

Net Income

Profit remaining after all operating expenses, interest, taxes, and dividends have been deducted from total revenue.

Acid-test

A financial ratio that measures a company's ability to pay off its current liabilities with its quick assets.

Inventory Turnover

A metric that indicates the frequency at which a firm's stock is sold and restocked within a given timeframe, highlighting the effectiveness of its inventory control.

Accounts Receivable Turnover

A financial ratio that measures how efficiently a company collects revenue from its credit sales, calculated as sales divided by average accounts receivable.