The Characteristic Profile of an Industry Life Cycle Has an 'S

question 25

Multiple Choice

The characteristic profile of an industry life cycle has an 'S' shaped curve because:

• A)It is modeled on the Product Life Cycle,which is also 'S' shaped
• B)It is generated by a quadratic function
• C)It reflects the changing pace at which technology is diffused
• D)It is the result of changes in rates of growth of market demand.

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Definitions:

Par Value

The nominal or face value of a security or currency, as stated by the issuer.

Market Rate

The current price or rate at which goods, services, or securities are traded in the open market.

Discount on Bonds Payable

The difference between a bond's face value and its selling price when it is sold for less than its face value.

Contra Liability

An account that offsets a liability account on a company's balance sheet, such as discounts on bonds payable, which reduce the total amount of bonds payable.