Which of the Following Statements About Benchmarking Is True

question 90

Multiple Choice

Which of the following statements about benchmarking is true?

• A)It represents a strategy used to enter a new market.
• B)It involves the creation of innovative products.
• C)It increases delivery lead times.
• D)It improves customer order-processing activities.

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Definitions:

Loan Payment Schedule

A detailed plan indicating the amounts due and payment dates over the life of a loan.

Effective Rate

The actual interest rate an investment earns or a loan accrues due to compounding over a specified period.

Amortized

Refers to the gradual reduction of a debt over time by paying regular installments that cover both interest and principal.

Amortization Schedule

a table detailing each periodic payment on an amortizing loan, showing the amount of principal and the amount of interest that comprise each payment so that the loan will be paid off by the end of its term.