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Baggins Incorporated Identifies New Product Development and Product Improvement as the Top

question 33

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Baggins Incorporated identifies new product development and product improvement as the top corporate goals.An employee developed an innovation that will correct a shortcoming in one of the company's products.Although Baggins current Return on Investment (ROI) is 15%,the product innovation is expected to generate ROI of only 12%.As a result,the employee fails to follow up.As a result,awarding bonuses to employees based on ROI resulted in


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Net Assets

The difference between a company's total assets and its total liabilities, indicating the equity value in the company.

Contributed Services

Services provided by volunteers or donated resources that are typically not paid for but are recorded in the financial statements if they create or enhance a nonfinancial asset or require specialized skills.

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