Which of the Following Are the Two Most Important Keys

question 73

Multiple Choice

Which of the following are the two most important keys to short- term business decision- making?

• A)Focus on costs which do not change under two alternatives and on historic costs
• B)Focus on sunk costs and quantitative data only
• C)Focus on qualitative data only and ignore future cash flows
• D)Focus on future expected data and use the contribution margin approach

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Definitions:

SWOT Analysis

A tool for strategic planning that helps identify the Strengths, Weaknesses, Opportunities, and Threats associated with competing in business or planning a project.

Situation Analysis

A systematic collection and evaluation of past and present economical, political, social, and technological data, aimed at identifying internal and external forces that may influence the organization's performance.

Strategic Management Planning

The process of defining an organization's strategy, making decisions on allocating resources to pursue this strategy, and ensuring the alignment of company goals with strategic direction.

Environmental Scanning

Involves the process of collecting, analyzing, and using information about trends, events, and relationships in an organization's external environment to assist in planning.