Which of the Following Statements Concerning Business Environment Conditions for a New

question 62

Multiple Choice

Which of the following statements concerning business environment conditions for a new business is true?

• A) State governments will help new business by levying taxes.
• B) Determining the zoning is important because it may limit a company's operations.
• C) Many states offer location incentives to attract jobs to very stable areas.
• D) Finding an area that has a low cost of living means a low standard of living for employees.

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Definitions:

Bad Debts

Money owed to a company that is unlikely to be paid by the debtor, often resulting in a write-off for the company.

Just-In-Time

An inventory strategy companies employ to increase efficiency and decrease waste by receiving goods only as they are needed in the production process, thereby reducing inventory costs.

Inventory Systems

are methodologies and procedures used by businesses to track, manage, and plan for current and future inventory and stock levels.

Working Capital Accounts

Accounts related to the short-term financial operations of a business, such as cash, inventory, and accounts payable and receivable.