When Composing the Financial Plans and Projections Section of a Business

question 19

Multiple Choice

When composing the financial plans and projections section of a business plan, all of the following should be included except:

• A) income statements and balance sheets
• B) statement of cash flows
• C) past and present dividend per share information
• D) breakeven analysis
• E) funding needs and sources

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Definitions:

Postponement

A strategy that involves delaying production or shipment processes to closer match demand, enhancing flexibility and reducing inventory costs.

Profits Increase

The rise in net earnings resulting from operations and business activities.

Unpredictable Demand

Variability in customer demand patterns that cannot be accurately forecasted, posing challenges for inventory management and planning.

Not Positively Correlated

Refers to a statistical relationship between two variables where one variable does not necessarily increase as the other increases or decreases as the other decreases.