Which of the Following Defines the Term "Additional Funds Needed

question 2

Multiple Choice

Which of the following defines the term "additional funds needed (AFN) "?

• A) funds that are obtained automatically from routine business transactions.
• B) funds that a firm must raise externally from non-spontaneous sources, i.e., by borrowing or by selling new stock, to support operations.
• 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.

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Definitions:

Optimal Solutions

The best possible answers obtained from solving an optimization problem, satisfying all constraints.

Optimization Control

The process of finding the most effective or efficient solution to a problem, typically involving the adjustment of parameters to maximize or minimize some function.

OptQuest

A proprietary optimization software that uses various algorithms to find the best solutions to complex decision-making problems.

Permutation

An arrangement of items in a particular order, often used in mathematics to describe all the possible orders a set of objects can be arranged.