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What Are Functional Requisites? List and Discuss the Five Functional

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Essay

What are functional requisites? List and discuss the five functional requisites each society must fulfill to survive.


Definitions:

Return On Total Assets

A financial metric that measures the profitability of a company relative to its total assets, indicating how efficiently a company uses its assets to generate profit.

Net Income

The amount of money that remains after all operating expenses, taxes, and costs have been subtracted from total revenues.

Net Sales

Revenue from sales reduced by customer discounts, returns, and allowances.

Held-to-Maturity Debt Securities

Financial instruments that a firm intends and is able to hold until they mature, usually recorded at cost adjusted for amortization.

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