Which of the Following Statements Is True of New Product

question 11

Multiple Choice

Which of the following statements is true of new product planning and development?

• A)Most new products that are introduced in the market are successful.
• B)New product development and introduction is a relatively cheap process as it does not involve opportunity costs.
• C)Companies have relatively similar patterns of effectiveness of their new product programs.
• D)New product sales grow far more rapidly than sales of current products.

---

Definitions:

Noncash Assets

Assets that cannot be easily converted into cash, including property, plant, equipment, patents, and trademarks.

Gain or Loss

The financial result of transactions that leads to an increase (gain) or decrease (loss) in the capital of an entity, not related to its primary operations.

Capital Balances

The amount of funds that each partner or shareholder has contributed to a company, not including any profits or losses retained in the company.

Partnership Liabilities

Obligations and debts that are shared by partners in a partnership arrangement.