A company introduces a new product in the market. The company decides that the only way it could attract customers is to keep the price of the product lower than what its competitors offer in the market. Which of the statements would hold true for such a strategy?

a. The company invests heavily in market research.
b. The company makes an effort to offer unique features to the customers.
c. The company emphasizes on efficiency.
d. The company must spend substantial funds on research and development.
e. The company encourages expensive advertising campaigns.

On january 1, vermont corporation had 40,000 shares of $10 par value common stock issued and outstanding. all 40,000 shares has been issued in a prior period at $20.00 per share. on february 1, vermont purchased 3,750 shares of treasury stock for $24 per share and later sold the treasury shares for $21 per share on march 1. the journal entry to record the purchase of the treasury shares on february 1 would include a credit to treasury stock for $90,000 debit to treasury stock for $90,000 credit to a gain account for $112,500 debit to a loss account for $112,500