STRATEGIC MANAGEMENT A
COMPETITIVE ADVANTAGE APPROACH
CONCEPTS AND CASES 18TH EDITION FRED
DAVID FOREST DAVID MEREDITH TEST
BANK CERTIFICATION REVIEW SET 2026
ANSWERS GUARANTEED PASS
⫸ Which of the following correctly describe the information used for
comparing the performance of public companies based on accounting
profitability? (Check all that apply.)
Multiple select question.
The relative performance is evaluated using standardized financial
metrics.
The information must be purchased from private investment banks.
The information is derived from such data as income statements and
balance sheets.
The information is filed in a 10-K report. Answer: The relative
performance is evaluated using standardized financial metrics.
The information is derived from such data as income statements and
balance sheets.
The information is filed in a 10-K report.
⫸ In general, a firm generates ______ when its cost of capital is lower
than its ROIC.
Multiple choice question.
,debt
competition
value
overhead Answer: Value
⫸ Which of the following are considered off-balance sheet items?
(Check all that apply.)
Multiple select question.
owned assets
operating leases
cash
pension obligations Answer: operating leases
pension obligations
⫸ Which of the following is true about shareholders of a public
company?
Multiple choice question.
They must be individuals who are employed by the company.
They are eligible to be elected as owners of the company.
Those qualified as owners must own at least 100 shares.
They can be individuals or organizations. Answer: They can be
individuals or organizations.
, ⫸ Which of the following are standard performance dimensions for a
company? (Check all that apply.)
Multiple select question.
the fixed and variable costs
a firm's accounting profitability
how much shareholder value a firm creates
how much economic value a firm generates
how a firm's mission statement relates to its strategic intent Answer: a
firm's accounting profitability
how much shareholder value a firm creates
how much economic value a firm generates
⫸ From the view of a shareholder, the measure of competitive
advantage that matters most is return on ______.
Multiple choice question.
revenue
assets
invested capital
risk capital Answer: risk capital
⫸ Public companies are required by law to release detailed accounting
data, which enables ______.
Multiple choice question.
economic value creation
COMPETITIVE ADVANTAGE APPROACH
CONCEPTS AND CASES 18TH EDITION FRED
DAVID FOREST DAVID MEREDITH TEST
BANK CERTIFICATION REVIEW SET 2026
ANSWERS GUARANTEED PASS
⫸ Which of the following correctly describe the information used for
comparing the performance of public companies based on accounting
profitability? (Check all that apply.)
Multiple select question.
The relative performance is evaluated using standardized financial
metrics.
The information must be purchased from private investment banks.
The information is derived from such data as income statements and
balance sheets.
The information is filed in a 10-K report. Answer: The relative
performance is evaluated using standardized financial metrics.
The information is derived from such data as income statements and
balance sheets.
The information is filed in a 10-K report.
⫸ In general, a firm generates ______ when its cost of capital is lower
than its ROIC.
Multiple choice question.
,debt
competition
value
overhead Answer: Value
⫸ Which of the following are considered off-balance sheet items?
(Check all that apply.)
Multiple select question.
owned assets
operating leases
cash
pension obligations Answer: operating leases
pension obligations
⫸ Which of the following is true about shareholders of a public
company?
Multiple choice question.
They must be individuals who are employed by the company.
They are eligible to be elected as owners of the company.
Those qualified as owners must own at least 100 shares.
They can be individuals or organizations. Answer: They can be
individuals or organizations.
, ⫸ Which of the following are standard performance dimensions for a
company? (Check all that apply.)
Multiple select question.
the fixed and variable costs
a firm's accounting profitability
how much shareholder value a firm creates
how much economic value a firm generates
how a firm's mission statement relates to its strategic intent Answer: a
firm's accounting profitability
how much shareholder value a firm creates
how much economic value a firm generates
⫸ From the view of a shareholder, the measure of competitive
advantage that matters most is return on ______.
Multiple choice question.
revenue
assets
invested capital
risk capital Answer: risk capital
⫸ Public companies are required by law to release detailed accounting
data, which enables ______.
Multiple choice question.
economic value creation
