Porter’s attractiveness test for evaluation whether diversification into a particular industry or country is likely to build shareholder value involves: A. Determining whether it is likely that the firm’s earnings per share will rise after the acquisition has been made
B. Determining whether the corporation can bring some competitive advantage to the new business it enters or whether the new business offers added competitive advantage potential to the corporation’s other businesses
C. Guessing whether the company’s stock price will go up or down when the diversification move is announced
D. Determining whether conditions in the target industry are sufficiently attractive to permit earning consistently good profits and returns on investment
E. Evaluation the value of strategic fits between the value chains of the company’s present businesses and the value chain of the target industry.

D.

Explanation:

This test mainly involves determining whether conditions in the target industry are sufficiently attractive to permit earning consistently good profits and returns on investment, most notably that the profits and ROI are equal to or better than that of the company's present businesses. Therefore evaluating if diversifying into such an industry is even worth the risk for the investor's portfolio.

both are integral parts of a corporate balance sheet. the cash flow statement, or statement of cash flows, measures the sources of a company's cash and its uses of cash over a specific time period. the income statement measures a company's financial performance, such as revenues, expenses, profits or losses over a specific time period (in fact, it's sometimes called a statement of financial performance).

a cash flow statement shows exactly how much money a company has received and how much it has spent, traditionally over a period of one month. it captures the current operating results and changes on the balance sheet, such as increases or decreases in accounts receivable or accounts payable, and does not include noncash accounting items such as depreciation and amortization. the cash flow generally comes from revenue received as a result of business activity, but it may be augmented by funds available as a result of credit. a cash flow statement is used to determine the short-term viability and liquidity of a company, specifically how well it is positioned to pay its bills and vendors.

answer; ///i believe the correct answer is (350); (c) is your answer