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yarga [219]
3 years ago
11

The attractiveness test for evaluating whether diversification into a particular industry is likely to build shareholder value i

nvolves determining whether
conditions in the target industry are sufficiently attractive to permit earning consistently good profits and returns on investment. the potential diversification move will boost the company's competitive advantage in its existing business.
shareholders will view the contemplated diversification move as attractive.
key success factors in the target industry are attractive.
there are attractive strategic fits between the value chains of the company's present businesses and the value chain of the new business it is considering entering.
Business
1 answer:
mart [117]3 years ago
7 0

Answer:

The correct answer is letter "A": conditions in the target industry are sufficiently attractive to permit earning consistently good profits and returns on investment.

Explanation:

Investors are in constant search of companies they can put their money in to obtain profits and increase their wealth. Ratios such as the <em>Debt-to-Equity ratio, Price-Earnings ratio, Return-on-Equity, </em>or <em>Operating profit margin</em> are reviewed to decide in what company to invest and in which one not to.  

Besides, <em>the overall performance of the industry of the target company is analyzed by investors to find out if there are opportunities for growth which may make the firm more attractive.</em>

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Answer:

<u>Transaction - processing systems</u>

<u>Explanation:</u>

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3 years ago
Faulty tools must be recorded first, ________ them and report it to the authorize personnel. 
morpeh [17]

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condemned or thrown I think

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3 years ago
Which of the following is an example of benefit selling? dynamic ticket pricing high-pressure telemarketing tactics using a star
sladkih [1.3K]

Answer:

D. Flex plan ticket books

Explanation:

The selling in which you describe it in such a way that the product is tied in such a way that it improves the customers situation. 

e.g All are servers are manufactured in the city so you can be sure of immediate support if any issue arises.

Selling the benefits instead of a features make it easier to get higher prices, it makes the product differentiation easier and justifies the higher price being charged.

The flex tickets are an example of benefit selling because one can purchase it in any combination possible for the type of package purchased and it can be used in any chosen combination throughout the current season.

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3 years ago
When correcting errors in a trial balance, the ruling method should be used a.when a proper entry has been made but posted to th
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Answer:

d.when an incorrect journal entry has been made, but not yet posted and when a proper entry has been made but posted to the wrong account or for the wrong amount

Explanation:

When correcting errors in a trial balance, the ruling method should be used "when an incorrect journal entry has been made, but not yet posted and when a proper entry has been made but posted to the wrong account or for the wrong amount."

In trial balancing, an error can be fixed or corrected by tracing the trial balance steps. First, make a comparison between the ledger balances and the amount posted to the trial balance then add both debit and credit table if the amount matches, otherwise use the transposition method.

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3 years ago
Popson Inc. incurred a material loss that was unusual in character. This loss should be reported as:
lawyer [7]

Popson Inc. incurred a material loss that was unusual in character. This loss should be reported as: a line item within income from continuing operations.

<h3><u>Explanation:</u></h3>

Any income or loss that was incurred during the continuous operations of any segment of business or in the continuous operations of any segment of business will be either represented as after tax gain or loss on selling the business segment and the after tax effect of the operations of the discontinued business segment.

The areas such as expenses, revenues, loss and gain and those excluding the   operation discontinued and extra ordinary items will included as the income from continuing operations.In the example given, the company has material loss during its operations and hen it should be reported as a line item within income from continuing operations.

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