Choose the Word or Phrase in [ ] Which Will

question 148

Short Answer

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The primary function of financial statements is to provide a picture of your [actual | projected] financial position.

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Definitions:

Operating Assets

Assets used in the day-to-day operations of a business to generate revenue, excluding investments and non-operational assets.

Net Operating Income

The profit a company generates from its core business operations, excluding taxes and interest.

Return on Investment

A measure of the profitability and efficiency of an investment, calculated by dividing the net profit from the investment by the initial cost of the investment.

Operating Assets

Assets used in the daily operations of a business to generate income, including equipment, machinery, and buildings.