Which of the Following Is NOT a Typical Part of a Business

question 51

Multiple Choice

Which of the following is NOT a typical part of a business plan?

• A) general description of the business concept
• B) a sales forecast
• C) a financial plan
• D) terms for credit purchases

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Definitions:

Machine-hours

An indicator of the duration for which equipment is utilized in the manufacturing process, commonly employed for distributing manufacturing overhead costs.

Contribution Margin

The amount remaining from sales revenue after variable expenses are deducted, indicating the potential profitability of products.

Net Operating Income

A measure of a company's profitability from its core business operations, excluding non-operating income and expenses.

Variable Expense Ratio

A measurement that indicates the proportion of variable expenses to sales, showing how costs change with sales volume.