According to the Forecasting and Control Function, If a Firm

question 14

Multiple Choice

According to the forecasting and control function, if a firm cannot obtain the funds required to meet the sales forecast, then it should _____.

• A) plan for the acquisition of required funds well in advance
• B) scale back the projected level of operations
• C) expand its production facilities
• D) build up its inventory quickly
• E) reformulate its plans to increase retained earnings

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Definitions:

Leveling Mechanisms

Social practices that ensure equality within a society by diminishing differences in wealth, power, and status.

Conspicuous Consumption

The spending of money on and the acquisition of luxury goods and services to publicly display economic power and social status.

Redistributive Networks

Economic systems in which goods are collected from the community and then distributed back to members by a central authority.

Agricultural Life

A lifestyle or society that is primarily based on farming and the cultivation of land for food production.