Back-Office Functions Are Also Called

question 103

Multiple Choice

Back-office functions are also called

• A) business-process offshore banking.
• B) market threshold outsourcing.
• C) command and control centering.
• D) business-process outsourcing.
• E) tax advantage outsourcing.

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Definitions:

Break-even Analysis

A calculation that determines when an investment will reach a financial break-even point.

Margin of Safety

The difference between actual or projected sales and the break-even point, indicating the level of risk in missing sales projections.

Break-even Sales

The amount of revenue needed to cover total costs, both fixed and variable, indicating the point at which a company neither makes a profit nor incurs a loss.

Margin of Safety

The difference between actual or projected sales and the sales level necessary to break even, as a buffer against uncertainty.