Which of the Following Are the Inherent Factors That Work

question 50

Multiple Choice

Which of the following are the inherent factors that work in favor of small businesses?

• A) Ability to remain flexible and innovative
• B) Management expertise
• C) Emphasis on variety
• D) Emphasis on quantity

---

Definitions:

Executory Costs

Executory costs are expenses associated with fulfilling the terms of a contract, typically not included in the initial acquisition cost of an asset.

Guaranteed Residual Value

The minimum future value of an asset as guaranteed by a third party or agreement upon the asset's lease end.

Initial Direct Costs

Initial Direct Costs are expenses directly associated with negotiating and arranging a lease that are not included in the net investment in the lease.

Sale-leaseback

A transaction where an asset is sold and immediately leased back from the new owner, allowing the seller to continue using the asset while freeing up capital.