The Least Important Factor That Is Considered in Screening and Preliminary

question 34

Multiple Choice

The least important factor that is considered in screening and preliminary investigation is:

• A) Market potential
• B) Consistency with corporate objectives
• C) The ability to serve customers' needs
• D) The ability to manufacture and service the product
• E) The competitive advantage gained with the product

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Definitions:

Management Team

A group of individuals at the top level of an organization who are responsible for its overall direction and strategy.

Investors

Individuals or institutions that allocate capital with the expectation of receiving financial returns, typically through investments in securities, real estate, or other assets.

Going Public

The process by which a privately held company offers shares to the public in a new stock issuance, making it a publicly traded and owned entity.

Private Placements

A method of raising capital through the sale of securities to a relatively small number of select investors as opposed to a public offering.