How Does Planning Assist the Firm

question 35

Multiple Choice

How does planning assist the firm?

• A) Effective planning helps businesses avoid mistakes and seize opportunities.
• B) Planning blends human and material resources through a formal structure.
• C) Planning guides employees to accomplish objectives.
• D) Planning evaluates a firm's performance to determine whether it has met its objectives.

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Definitions:

Agreement

A mutual arrangement, contract, or understanding between parties outlining their rights and responsibilities.

Death

The cessation of all biological functions that sustain a living organism; not relevant in a financial context.

Liquidation Purposes

The process of converting assets into cash or cash equivalents by selling them in the event that a business is closing or reorganizing

Sale of Assets

The process of disposing of business assets, either tangible or intangible, in exchange for cash or other compensation.