Which of the Following Decisions Was NOT Directly the Result

question 177

Multiple Choice

Which of the following decisions was NOT directly the result of a company's strategic planning?

• A) AOL's decision to merge with Time Warner
• B) Pepsi's decision to sell its fast-food restaurants and focus on soda and snack foods
• C) the decision by Amazon.com to expand its product offerings beyond books and music
• D) Jet Blue Airlines' decision to add service to Oakland, California

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Definitions:

Merchandise Inventory

Goods that a retail or wholesale company holds for the purpose of resale to customers.

Selling Expenses

Costs incurred directly by the sales activities of a business, including advertising, sales commissions, and promotional materials.

Administrative Expenses

Expenses that are not directly tied to a specific function such as manufacturing, production, or sales, but necessary for the overall day-to-day operations of a company.

Product Costs

Costs that are directly incurred in the production of goods or services, including direct materials, direct labor, and manufacturing overhead.