Every Time a Newer Version of a Product Is Released,cannibalization

question 85

Multiple Choice

Every time a newer version of a product is released,cannibalization of the previous product is likely to happen.For example,when a new iPhone is released,the older versions become obsolete and no longer supported.This self-cannibalization occurs in ________ structures.

• A)functional
• B)divisional
• C)centralized
• D)bureaucratic
• E)mechanistic

Analyze and calculate the internal growth rate for a firm.

Understand the relationship between profit margin, asset turnover, dividend payout, and growth rate.

Calculate the needed fixed assets for projected sales growth.

Understand the concept of external financing needed for growth and how to calculate it.

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Definitions:

Accumulated Depreciation

The total amount of depreciation expense that has been recorded for a fixed asset since it was put into use.

Statement of Cash Flows Worksheet

A tool used to analyze and summarize the changes in cash and cash equivalents of a business during a specific reporting period through operational, investing, and financing activities.

Debit Balances

An accounting entry that results in either an increase in assets or a decrease in liabilities on a company's balance sheet.

Credit Balances

The total amount of money in accounts that represent a liability or income to a company, opposite of debit balances.