Is exploiting a distinctive competence or improving efficiency for competitive advantage. (a) cooptation (b) coalition (c) competitive intelligence (d) competitive aggression (e) smoothing

Competitive aggression ( D )

Explanation:

competitive aggression is a direct and intensive challenge imposed on a competitor by a fellow competition producing/selling or offering the same product or service in the open market.

such competitive aggression practices are cutting prices on goods ( exploiting a distinctive competence) beyond its approved market price in other to directly challenge the price been offered in the market by the competition. or increasing/overspending on marketing or production quantity or quality ( improving efficiency ) to have a better competitive edge in the market over your competition.

Blue Company

Consolidation of Parent & Subsidiary Companies :

1. c. $86,000

2. b. $47,000

3. d. $39,000

Explanation:

In preparing a consolidated income statement, Blue Company with controlling interest of 60% will eliminate intercompany transactions, sales, purchases, inventory, and profits.  This is because such transactions are assumed to be within the same consolidated entity.

Only such transactions involving outsiders are taken into consideration for the purpose of determining profits and arriving at the financial position of the consolidated group.