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Charlene Company, which desires to enter the market with a new product, will perform the following tasks: 1-Design and engineer the product. 2-Determin 3-Determine the
Charlene Company, which desires to enter the market with a new product, will perform the following tasks: 1-Design and engineer the product. 2-Determin 3-Determine the desired profit margin. 4-Determine the suggested selling price. e the product's cost. If Charlene uses target costing, which task would the company perform last? Select one: B. 4 O C. 1 O E. None of the above answers is correct. Which of the following statements is true? Select one: O A. Information must be exactly accurate to be relevant to decision making. B. Opportunity costs are always relevant to decision making. O C. Fixed oosts are always relevant for decision making O D. A cost that is relevant in one decision context is relevant in other decision contexts. Consider the following statements about depreciation tax shields: I. A depreciation tax shield provides distinct benefits to a business. Il. A depreciation tax shield should not be ignored when doing a net-present-value analysis. III. A depreciation tax shield cannot occur in more than one year. Which of the above statements is (are) correct? Select one: OA. I only 0 B. 1, 11 and ill. O C. Il ony. O D. I and II. O E. I and III Which of the following statements about return on investment (ROI) is false? Select one: O A. Seeking to maximize ROl can result in congruence between the interest of a particular manager and the interest of the business as a whole O B. Companies may minimize motivational problems by using original cost instead of book value of assets in the denominator of the ROl formula. O C. ROI equals margin times asset turnover. D. ROI is used to measure the performance of investment centers
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