Advantages of the Diversified Corporation Do NOT Include the Claim

question 18

Multiple Choice

Advantages of the diversified corporation do NOT include the claim that:

• A)good diversified corporations have good control systems
• B)diversification spreads risk
• C)diversification trains general managers
• D)diversification encourages efficient capital accumulation

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Definitions:

Payable Account

An accounting record that shows the total amount of money owed to creditors for goods, services, or loans provided.

Employee Health Insurance

An insurance coverage that provides benefit payments for healthcare services to employees, often paid for wholly or in part by employers.

Retirement Program

A financial plan that provides income to individuals after they have ceased working, often involving contributions from both the employer and employee.

Gross Salary

The total earnings of an employee before any deductions like taxes and retirement contributions.