Which of the following is true of the accept-reject approach?
A) It involves ranking projects on the basis of some predetermined measure, such as the rate of return.
B) It cannot be used when the firm has limited funds.
C) It can be used for making capital budgeting decisions when there is capital rationing.
D) It can be used only for evaluating mutually exclusive projects.
C
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The Sarbanes-Oxley act
A. Requires the SEC to establish a federal oversight board for the accounting industry B. Requires CEOs to certify periodic financial statements C. Subjects auditors, accountants, and employees to imprisonment for destroying financial documents D. Prohibits many types of consulting services by accounting firms E. All of the above are true
Which of the following is an accurate justification for the view that the Internet is the most important disruptive innovation of the twentieth century?
A) The Internet rejigged existing business processes and streamlined them, giving many companies marginal advantages. B) Switching costs have increased after the advent of the Internet as a medium of trade. C) The Internet reduced entry barriers for newcomers and empowered buyers with more information. D) Competition became oligopolistic with only a few companies investing in technology.