Which of the Following Combinations Can Result in a Best-Case

question 30

Multiple Choice

Which of the following combinations can result in a best-case scenario?

• A) Many competitors,high threat with few entry barriers,and few customers
• B) Many competitors,high threat with few entry barriers,and many customers
• C) Few entry barriers,many substitutes,many customers
• D) High industry growth,low threat with many entry barriers,and customers with low bargaining power
• E) Low industry growth,high threat with few entry barriers,and suppliers with low bargaining power

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Definitions:

Straight-Line Depreciation

Straight-Line Depreciation is a method of allocating the cost of a tangible asset over its useful life in a linear fashion.

Taxable Income

Refers to the amount of an individual's or a corporation's income used to determine how much tax is owed to a government in a given tax year.

Canada Revenue Agency

The federal agency responsible for administering tax laws for the Canadian government and for most provinces and territories.

Accumulated Depreciation

The total amount of depreciation that has been recorded against a fixed asset over its useful life, reducing its book value.