Of the Following Items Which One Is Not Obtained from an Individual

question 9

Multiple Choice

Of the following items which one is not obtained from an individual operating budget?

• A) Selling and administrative expenses
• B) Accounts receivable
• C) Cost of goods sold
• D) Sales

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Definitions:

Required Rate of Return

The minimum annual percentage earned by an investment that will induce individuals or companies to put money into a particular security or project.

Operations

The day-to-day activities required for the business to function, including production, sales, and administration.

Residual Income

The amount of income that an entity has after all personal debts and expenses, including the mortgage, have been paid.

Minimum Required Rate

The lowest acceptable rate of return on investment or performance metric that a company or project must achieve.