The outcomes from R&D expenditures by firms are
A) always profitable for the firms, if they have the funds available.
B) the most costly use of funds by the firm.
C) subject to economies of scale.
D) expected, but not guaranteed.

Question

Quizplus · Accepted Answer

R&D expenditures are an important way for firms to develop new products, improve existing products, and maintain their competitiveness. However, the outcomes from R&D expenditures are not always guaranteed. Some R&D projects may fail, while others may produce unexpected results. Therefore, while R&D expenditures are essential for many firms, they are not always profitable, and outcomes are uncertain.

The Outcomes from R&D Expenditures by Firms Are