Vincent Owns a Bakery and Is Creating a SWOT Analysis

question 53

Multiple Choice

Vincent owns a bakery and is creating a SWOT analysis to see where he can make improvements and increase sales.All of the following are threats to the success of his company EXCEPT

• A)economies of scale.
• B)a downturn in the economy.
• C)regulatory changes.
• D)an enhanced market competition.

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Definitions:

Traceable Fixed Expense

A fixed cost that can be directly linked to a specific business segment, product, or operation without any ambiguity.

Net Operating Income

The total profit of a business after operating expenses are deducted but before interest and taxes are subtracted.

Price Hike

An increase in the price of goods or services, often due to factors such as inflation, increased demand, or rising input costs.

Target Costing

A pricing strategy in which a product's selling price is determined by market conditions, and the production cost is managed to ensure profitability.