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crimeas [40]
2 years ago
5

Cherries on Top, a national ice cream shop, is struggling financially to keep up with the bigger chains. The top executives have

decided to close all the stores in the Northeast and Texas, as that will give them an additional one million dollars to put into marketing. This executive is practicing the
Multiple Choice

individual approach.

utilitarian approach.

moral-rights approach.

justice approach.

value system approach.
Business
1 answer:
shepuryov [24]2 years ago
3 0

Answer:

utilitarian approach.

Explanation:

The utilitarian approach guages the consequences or benefits of taking a particular action. It considers the benefits to all stakeholders and tires to achieve the greatest good for the greatest number of people.

Cherries on Top have asses that closing the stores in the North-east and Texas will give the business $1 million that can be used for advertising.

So cost of running the stores has gone down and there is $1 million for promotions that will boost the business.

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umka21 [38]

Answer:

High

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When a company borrows funds it has opportunity to avail tax shield on the interest amount of the borrowing fund. If the company borrows more fund then the discounted value of tax shield will increase while the financial distress cost will decrease.

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Answer:

Payback period = 3 years

Explanation:

<em>The payback period is the average length of time it takes the cash inflow from a project to recoup the cash outflow.</em>

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Payback period = 3 years

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