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grin007 [14]
4 years ago
9

Amazon expanded its single-product business by leveraging spare capacity into cloud computing and by offering its Kindle line of

tablet computers. This is an example of____________.
A. unrelated diversification.
B. related-linked diversification.
C. taper integration.
D. backward vertical integration.
Business
1 answer:
RoseWind [281]4 years ago
6 0

Answer:

B) related-linked diversification.

Explanation:

A related linked diversification strategy refers to expanding a company's product lines with products or services that are similar to the ones that it currently offers.

In this case, Amazon first sold books and selling a e-book reader follows a similar path. Since Amazon had spare cloud computing capacity, it decided to "lease it" to other businesses and is currently Amazon's star service that generates most of its cash.

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jeka94
<h3><u>Answer -</u></h3>

If one has been running a successful art and framing shop for three years and has decided to allow others to use his/her business name materials and methods in operating their own business for a fee. It may be called as a franchise agreement.

<h3><u>Explanation -</u></h3>

A franchise agreement allows the business owner to use the licensor's brand and method of doing business. The franchisor is the original or existing business owner who allows the other one to use his/her business name materials and methods in operating their own business.

A certain amount of fees is to be paid by the franchisee that may be called in the layman’s language as the licensee, who is supposed to pay the fee to the licensor (franchisor) are exchanged for the rights to use the franchisor's name is for a specific number of years.

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Xyz company makes one product and has calculated the following amounts for direct labor: ah x ar = $84,000; ah x sr = $83,000; s
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Answer:

1,000 Unfavorable

Explanation:

AH x AR = $84,000;

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SH x SR = $85,000.

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To learn more about labor cost variance, refer

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