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  1. Home
  2. CFA Certification
  3. CFA-Level-I Exam
  4. CFA.CFA-Level-I.v2024-01-19.q367 Dumps
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Question 246

A firm can pursue a differentiation strategy on the basis of
I). its product.
II). method of delivery.
III). economies of scale.
IV). production process.
V. marketing approach.
VI). can charge a higher price while attempting to retain cost parity with its competitors.

Correct Answer: B
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Question 247

An investor wishes to diversify his portfolio and is looking at including non-equity investments. Which of the following offer the greatest potential for diversification benefits?

Correct Answer: B
Commodities generally have negative correlations with equities and offer some of the greatest risk diversification potential.
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Question 248

Which one of the following is a way that a company can increase its intensity of asset utilization?

Correct Answer: B
This will increase asset turnover, and consequently will increase asset utilization.
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Question 249

Comparing with LIFO, FIFO results in ____ when prices are rising.

Correct Answer: B
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Question 250

You are using a supply and demand diagram to study the market for oranges. What impact would a decrease in the price of oil burned to keep oranges from freezing in the winter have on the market?

Correct Answer: C
A decline in the price of an input used in the production of oranges will shift the supply of oranges to the right. This is because the opportunity cost of producing oranges has decreased.
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