The Primary Purpose for Developing a Business Plan Is

question 35

Multiple Choice

The primary purpose for developing a business plan is:

• A) to obtain financing for the business.
• B) to document the founding history of the business.
• C) to outline the qualifications of the new business owner(s).
• D) to charter the new business with the province in which it is located.

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Definitions:

Ledger

A comprehensive collection of all accounts used by an organization, summarizing all transactions occurring within an accounting period.

Account Balances

The amount of money in a financial repository at any given moment, reflecting the net of debits and credits over time.

Documentation

Written or digital materials that provide official information or evidence regarding processes, transactions, or systems.

Journalizing

The process of recording transactions in a journal so that their effects are reflected in the accounting records.