Which of the Following Is a Characteristic Which Distinguishes Profit-Oriented

question 55

Multiple Choice

Which of the following is a characteristic which distinguishes profit-oriented firms from non-profit organizations?

• A)​Profit-oriented businesses tend to focus their marketing activities on one public - their customers
• B)​Not-for-profit organizations seek to generate revenues above and beyond their costs to make money for all stakeholders involved
• C)​Not-for-profit organizations do not market tangible goods
• D)​Profit-oriented businesses often operate as a monopoly in their industry

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Definitions:

Cash Inflows

Money or funds received by a business during a period of time from various sources including sales, investments, and financing.

Average Accounting Return

A measure of the profitability of an investment, calculated as the average net income generated by an investment divided by its initial cost.

Marginal Tax Rate

The rate at which your last dollar of income is taxed, essentially the tax rate that applies to each additional dollar of income.