Capital Resources Can Be a Major Factor in ________

question 26

Multiple Choice

Capital resources can be a major factor in ________.

• A)the net profits the organization generates at the end of the financial year
• B)the ingredients used directly in the manufacturing of products
• C)maintaining desired production levels
• D)all the financial assets that the organization possesses
• E)the amounts of money that managers use to purchase goods and services for the organization

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Definitions:

Net Operating Income

The total profit of a business after operating expenses have been deducted, but before interest and taxes.

Gross Margin

The difference between revenue and cost of goods sold (COGS), which reflects the profitability of a company's core activities excluding overhead costs.

Net Operating Income

The profit a company makes from its regular business operations, excluding deductions of interest and taxes.

Sales

The total income generated from goods or services sold by a company before any costs or expenses are deducted.