When a Company Outsources Its Noncore Activities to Specialists, It

question 70

True/False

When a company outsources its noncore activities to specialists, it looses its capabilities to differentiate its fmal products.

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Definitions:

Pro-forma Cash Flow

An estimate of future cash inflows and outflows of a company, usually projecting future financial performance.

Income Statement

A financial statement that shows a company’s revenues, expenses, and profits over a specific period, typically a quarter or year.

Credit Application

A form or request made by an individual to a financial institution for extending credit.

Capacity

The maximum amount that something can contain or produce.