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3 years ago

The two biggest drawbacks or disadvantages of unrelated diversification are:___________.

Business

1 answer:

lapo4ka [179]3 years ago

3 0

Answer:

c. demanding managerial requirements and limited competitive advantage potential that cross-business strategic fit provides.

Explanation:

An unrelated diversification can be defined as a situation in which an existing business or company enters or invest in an entirely new business or industry that do not have any similarity whatsoever with its original business or product line. For example, an automobile manufacturing company that decides to acquire or invest in a clothing or shoe business.

Hence, the two biggest drawbacks or disadvantages of unrelated diversification are demanding managerial requirements and limited competitive advantage potential that cross-business strategic fit provides.

Also, the difficulties in successfully managing a collection of unrelated different business and having minimal competitive advantage potential over its rivals in the industry that cross-business strategic fit provides is another disadvantage of unrelated diversification

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Answer:

The answer is "Option b".

Explanation:

In this scenario, the second option, which would be the percentage within each transaction that's also interest instead of the full amount, would've been lower if the rate of interest were lower because interest-related transactions would have been higher at lower rates and conversely, as opposed to the main refunds.

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3 years ago

List six elements that should be addressed in a company’s marketing strategy

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4 years ago

You possess a SECRET personnel security clearance and have been assigned to work on Project X. Carlos is your superior and has a

Mice21 [21]

Answer:

No. The classified document should not be shared with Carlos

Explanation:

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3 years ago

Which of the following assumptions is embodied in the AFN equation?

aleksandr82 [10.1K]

Answer:

d. Accounts payable and accruals are tied directly to sales.

Explanation:

Additional funds needed method determines the amount that the company needs to finance the increase in total sales.

In response to the increase in sales, the company has to increase its assets to achieve that goal. The increase in total assets is partly offset by an increase in liabilities and the other part is offset by an increase in retained earnings.

The only true statement of the AFN equation is the option d), and the other options are not right.

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3 years ago

Ale Corporation had net income of $240,000 and paid dividends to common stockholders of $40,000 in 2017. The weighted average nu

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Answer:

The price earnings ratio is 19:1

Explanation:

The price earnings ratio tells us that how much price the investors are willing to pay for $1 of earnings provided by the company. The price earnings ratio is calculate by dividing the price per share by the earnings per share.

Price earnings ratio = Price per share / Earnings per share

The price per share is the market price of the stock.

The earnings per share is calculated using the following formula:

Earnings per share = Net Income / Weighted average shares outstanding

Earnings per share = 240000 / 60000 = $4 per share

The price earnings ratio = 76 / 4 = 19 / 1 or 19:1

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3 years ago

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