What Are the Four Components Necessary to Account for Investments

question 118

Essay

What are the four components necessary to account for investments in trading securities?

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Definitions:

Short-Term Planning

The process of organizing immediate goals and objectives, usually spanning a period of less than one year.

Intermediate Planning

The process of setting goals and outlining strategies for the medium term, bridging the gap between day-to-day operations and long-term objectives.

SWOT Analysis

The step of strategic planning in which the managers identify the internal strengths and weaknesses of a business and the opportunities and threats that exist outside the business.

Strategic Planning

The process of defining a company's direction and making decisions on allocating its resources to pursue this strategy.