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2 years ago

The typical risks of a cost leadership strategy include:

Business

1 answer:

shepuryov [24]2 years ago

4 0

Answer:

The correct answer is b. production and distribution processes becoming obsolete.

Explanation:

Cost leadership is where the company intends to be the lowest cost producer in its industrial sector. The company has a broad picture and serves many segments of the industrial sector, and can still operate in related industrial sectors. The breadth of the company is often important for its cost advantage. The sources of cost advantages are varied and depend on the structure of the industrial sector. They can include the persecution of economies of scale of own technology, preferential access to raw materials.

A successful cost leadership strategy is disseminated throughout the company, as evidenced by high efficiency, low overhead, limited benefits, waste intolerance, thorough review of budget requests, extensive control elements, the rewards linked to the concentration of costs and the extensive participation of the employees in the attempts to control the costs.

Some risks of following cost leadership is that competitors could mimic the strategy, decreasing the profits of the industry in general; that technological advances in the industry could make the strategy ineffective or that the interest of the buyers could be diverted towards other characteristics of differentiation besides the price.

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If the liabilities of a business increased $75,000 during a period of time and the owner's equity in the business decreased $30,

GrogVix [38]

Answer:

D. Increased $45,00

Explanation:

Assume that the total assets of the business was $100,000 and the liabilities was $50,000 and the equity was also $50,000.These figures can be expressed in terms of the accounting equation as follows:

Total assets=Total liabilities+Total equity

100,000=50,000+50,000

Now consider that the above mentioned liabilities are increased by $75,000 as stated in question and above mentioned equity is decreased by $30,000 as stated in question, then the assets as per accounting equation can be determined as follows:

Total liabilities=50,000+75,000=$125,000

Total equity=50,000-30,000=$20,000

Assets=$125,000+$20,000=145,000

Total increase in assets=$145,000-$100,000=$45,000

So the answer is D. Increased $45,000

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2 years ago

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Shtirlitz [24]

70,000 to 120,000 known species of shells are in the sea

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2 years ago

A corporation issued 100 shares of its $5 par value common stock in payment of a $1,800 charge from its accountant for assistanc

KIM [24]

Answer:

A $1,300 Credit to Paid in Capital in excess of par Common stock.

Explanation:

Common Stock value=Shares* Par value per share

Common Stock=100*$5

Common Stock=$500.

First we will prepare journal Entry:

Account Debit Credit

Organization Expense $1,800

Common Stock $500

Paid in Capital in excess $1,300

of par Common stock.

So Correct option is:

A $1,300 Credit to Paid in Capital in excess of par Common stock.

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Answer:C) Food

Explanation:

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