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You May Want to Use the Indirect Plan to Communicate

question 89

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You may want to use the indirect plan to communicate bad news when writing to this audience:


Definitions:

Cost

The total expense incurred in producing a product or providing a service, including materials, labor, and overhead charges.

Manufacturing Inventories

Materials, work-in-progress, and finished goods that a company holds for the purpose of future production or sale.

Current Assets

Assets that a company expects to convert to cash or use up within one year.

Balance Sheet

A financial statement that reports the assets, liabilities, and owner’s equity at a specific date.

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