The Term "Additional Funds Needed (AFN)" Is Generally Defined as Follows

question 26

Multiple Choice

The term "additional funds needed (AFN) " is generally defined as follows:

• A) Funds that a firm must raise externally from non-spontaneous sources, i.e., by borrowing or by selling new stock to support operations.
• B) The amount of assets required per dollar of sales.
• C) The amount of internally generated cash in a given year minus the amount of cash needed to acquire the new assets needed to support growth.
• D) A forecasting approach in which the forecasted percentage of sales for each balance sheet account is held constant.
• E) Funds that are obtained automatically from routine business transactions.

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Definitions:

Drugs

Substances used for medication or in the preparation of medication; alternatively, substances abused for their psychoactive properties.

Public Health Model

A framework that emphasizes the prevention of diseases, the promotion of health, and the prolongation of life through the organized efforts of society.

Disease Prevention

Measures aimed at reducing the risk of developing physical and mental health disorders, promoting early detection, and minimizing disease progression.

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