The three steps in establishing a credit policy are establishing credit standards, establishing credit terms, and establishing a collection policy

Which act, if committed by an agent, will cause a principal to be liable to a third party?

A. A negligent act committed by an independent contractor in performance of the contract that results in injury to a third party. B. An intentional tort committed by an employee outside the scope of employment that results in injury to a third party. C. An employee's failure to notify the employer of a dangerous condition that results in injury to a third party. D. A negligent act committed by an employee outside the scope of employment that results in injury to a third party.

Benz & Frendz Corp, a manufacturer of high end consumer durables, experienced sluggish sales growth in most of its product categories during three consecutive quarters of 2009

However, market analysis revealed that its competitors' sales had also slackened during this period. Analysts pointed out that when all firms are losing sales, it is extremely important to adopt strategies that are aimed at retaining customers. This led the firm to reduce operation costs while maintaining product quality. They also revamped their marketing strategy to focus on the values created by their products. Which of the following can be inferred from the strategies adopted by the firm? A) The company was trying to protect its market share and continue to operate as a market leader. B) The company was focusing on geographical expansion. C) The company was aiming to capture a new market segment. D) The company was marketing its products amidst an economic downturn. E) The company was focusing on market penetration.