Which of the following practices can help businesses gain a cost competitive advantage?
a. Innovating simplified production techniques
b. Using expensive raw materials
c. Customizing products with extra frills
d. Manufacturing products in smaller quantities
ANSWER: a
Production innovations such as new technology and simplified production techniques help lower the average cost of production.
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All of the following will improve a firm's liquidity position EXCEPT
A) increase inventory turnover. B) increase the average collection period. C) increase long-term debt and invest the money in marketable securities. D) increase accounts receivable turnover.
Which of the following allows for financial sanctions against businesses or business officials who engage in bribery?
A) Sarbanes-Oxley Act B) SEC Act C) U.S. Foreign Corrupt Practices Act D) NRA E) Political Action Committees