Linda Has Spent the Day in a Session Where the Future

question 47

Multiple Choice

Linda has spent the day in a session where the future of her company was discussed. The people involved were trying to determine what the role of their company was as the 21st century approaches. Goals were then developed based upon their vision of the company's mission. Linda spent her day on the____________ process.

• A)controlling
• B)planning
• C)leading
• D)organizing

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Definitions:

Generally Accepted Accounting Principles

The framework of guidelines for financial accounting that includes details on how accounting transactions should be reported.

Horizontal Analysis

A technique in financial analysis that compares line items in financial statements over a series of periods.

Vertical Analysis

A method of financial statement analysis in which each entry for each of the three major categories of accounts (assets, liabilities, and equity) in a balance sheet is represented as a proportion of the total account.

Inventory Turnover

A measure of the liquidity of inventory; computed by dividing cost of goods sold by average inventory.