Merchandise of All Kinds Is a Profitable Spin-Off of Its

question 11

Multiple Choice

Merchandise of all kinds is a profitable spin-off of its movies,but Disney has no interest or ability in operating a thousand factories to turn out these products.What is the perfect solution for Disney?

• A)Manufacturing merchandise
• B)foreign distribution agreements
• C)licensing
• D)contracts of sale

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Definitions:

Liability

Financial obligations or debts owed by a company to creditors, typically due in the near or distant future.

Declaration Date

The date on which the board of directors officially approves a dividend.

Earnings Per Share

A profitability measurement that calculates the amount of net income earned per share of stock outstanding.

Net Income

The net income of a company following the subtraction of all expenditures and taxes from its total revenue.