XYZ, Inc, Makes Consumer Products Such as Shampoo, Conditioner, Deodorant, and and Toothpaste

question 16

Multiple Choice

XYZ, Inc., makes consumer products such as shampoo, conditioner, deodorant, and toothpaste. Recently, market research conducted at an university revealed that consumer tastes have changed, and consumers now want their products to come in pastel colors. Currently, XYZ's products all follow a black packaging scheme. What source of change is this?

• A) Human resource problem
• B) Managerial decisions
• C) Demographic characteristics
• D) Manufacturing
• E) Changing customer preferences

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Definitions:

Minimum Required Return

The minimum required return is the lowest acceptable profit or gain on an investment, factoring in the risk and opportunity cost.

Operating Income

Income generated from regular business operations, excluding costs of goods sold and other operating expenses.

Stockholders' Equity

The residual interest in the assets of a corporation that remains after deducting its liabilities, representing ownership interest.

Interest Expense

The cost incurred by an entity for borrowed funds, reflecting the interest payments due on any form of debt.