When a Retail Firm Invests in and Owns a Division

question 13

Multiple Choice

When a retail firm invests in and owns a division which builds and operates stores in a foreign country,it is called:

• A)Turn-key operation
• B)Franchising
• C)Joint venture
• D)Strategic alliance
• E)Direct investment

---

Definitions:

Raw Materials Used

Refers to the basic materials and substances utilized in the initial stages of production.

Production Supervisor

An individual responsible for overseeing the daily operations of a manufacturing facility or a part of it, ensuring production targets and quality standards are met.

Finished Goods Inventory

The stock of completed products that are ready to be sold but haven't been yet.

Direct Cost

A cost that can be easily and conveniently traced to a specified cost object.