When Proctor & Gamble Removed Potentially Dangerous Dyes and Chemicals

question 52

Multiple Choice

When Proctor & Gamble removed potentially dangerous dyes and chemicals from its Tide detergent product and introduced Tide Free,the company was making a(n) :

• A) product line contraction
• B) quality modification
• C) aesthetics modification
• D) obsolescence factor
• E) functional modification

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Definitions:

Cost of Goods Sold

Direct costs attributable to the production of the goods sold by a company.

Accounts Receivable Period

measures the average number of days it takes a company to collect payment after a sale has been made, indicating the efficiency of its credit policies.

Cost of Goods Sold

Represents the total cost directly tied to the production or acquisition of the goods sold by a company during a specific period.