Plans Are Documents That Outline How Goals Are Going to Be

question 113

Multiple Choice

Plans are documents that outline how goals are going to be met and___________ _ .

• A) identify how much capital is required to complete the goals
• B) define which department has what responsibilities needed to accomplish the goals
• C) tell what materials and processes are necessary to fulfill the goals
• D) describe resource allocations, schedules, and other necessary actions to accomplish the goals

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Definitions:

Board of Directors

A group of individuals elected by shareholders to oversee the management and make major decisions for a corporation.

Legal Dividend

A dividend that a company is legally allowed to distribute as determined by its net income or retained earnings.

Noncumulative Preferred Stock

A type of preferred stock that does not accumulate unpaid dividends; if a dividend is skipped, it is not required to be paid later.

Retained Earnings

The portion of net earnings not distributed as dividends to shareholders but reinvested in the business or kept as a reserve.