Managers Can Use BI to Answer Tough Business Questions

question 247

Multiple Choice

Managers can use BI to answer tough business questions. Which of the following describes the value of knowing where the business is now?

• A)A historical perspective offers important variables for determining trends and patterns.
• B)Looking at the current business situation allows managers to take effective action to solve issues before they grow out of control.
• C)Setting strategic direction is critical for planning and creating solid business strategies.
• D)None of the above.

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Definitions:

Adjusting Entries

Accounting entries made to adjust the books of accounts to reflect the true financial position and performance of a company at the end of a financial period.

Salaries Expense

The total amount recorded by a company for the salaries of its employees.

Salaries Payable

An account reflecting the debts to workers for performed but unpaid work.

Closing Entry

Journal entries made at the end of an accounting period to transfer the balances of temporary accounts to permanent accounts, ultimately resetting the balances of temporary accounts to zero.