Preparing a Business Plan Serves Which of the Following Functions

question 54

Multiple Choice

Preparing a business plan serves which of the following functions?

• A) It assists the owners in preparing publicity releases for the business.
• B) It helps persuade lenders and investors to finance the business.
• C) It identifies sources of potential employees for the business.
• D) It fulfills the requirements set forth by the Small Business Administration.
• E) It meets licensing regulations established by the local government.

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Definitions:

Accounts Payable Balance

The total amount of money owed by a company to its creditors or suppliers at a specific point in time.

Sales for Quarter

The total revenue generated from sales activities within a specific three-month period of the fiscal year, used to analyze the company's performance and growth.

Cash Collections

The process of gathering all receivables or cash owed by customers to a business within a specified period.