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IrinaK [193]
3 years ago
5

Clemens Inc. is considering a $100 million investment in a new line of soft drinks. However, $100 million is a huge investment f

or Clemens; if things turn bad, it could wipe out the company. A few senior managers have suggested a smaller investment of $20 million to see if the market is as strong as they hope it is. If demand is strong and the opportunity is still available, Clemens will increase its investment at a later date. This example describes a real option to
Business
1 answer:
BARSIC [14]3 years ago
6 0

Answer:

Expand

Explanation:

Since future market demand is not ceratin so company use to invest portion of fund to determine demand of product and opportunity in market. if they find that there is demand and opportunity in market then they invest large amount.

This process is called real option to Expand the business.

Hence, option (expand) is correct answer.

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b. Liabilities are understated by $4,167 accrued interest payable

Explanation:

7 0
2 years ago
The geometric average return answers the question What was your return in an average year over a particular period?
Andreyy89

Answer: A. What was your average compounded return per year over a particular period?

Explanation:

Geometric return is calculated by the formula;

= [(1 + r1) * (1 + r2) * (1 + r3) *.... (1 + rn)] ^1/n

This allows for one to calculate the compounding effect over a period of time by showing the compounded annual growth rate which means that it tells what the average compounded return was per year in a particular period.

6 0
3 years ago
Bailee works approximately 60 hours each week as an account executive with an advertising agency and rarely has time to shop. Sh
Papessa [141]

Answer:

Correct option is (a)

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Convenience is one the most important benefit offered by online shopping websites. Not every fashion store offers services round the clock. The biggest advantage of online shopping is that it is one stop destination to purchase all types of products. It offers anytime anywhere shopping experience with no extra efforts in terms of time and waiting in queues. Products are delivered to the customer's doorsteps.

Bailee works 60 hours a week and has no time for going out for shopping. She loves the convenience of shopping online as she can shop sitting at home even at midnight and the product is delivered to her within 24 hours.

6 0
3 years ago
In one of the case studies in the textbook, Cy Chesterly was the vice president in charge of sales for one of the largest machin
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A new president was hired and he found Chesterly out while reviewing the accounting records.

8 0
2 years ago
I need help????please
serg [7]

Answer:

D

Explanation:

Well, this marketing cluster is made up of 7 components, if you need further support, be sure to contact me.

5 0
3 years ago
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