A Business Plan

question 77

Multiple Choice

A business plan

• A) is useful only before a company is launched.
• B) always contains the same elements.
• C) should not identify risks and problems, since these might discourage potential investors.
• D) is sometimes prepared after a company is up and running.
• E) is just another name for a SWOT analysis.

Understand the behavior and psychological mechanisms behind social and relational aggression.

Understand the conceptual foundation and computation of Gross Domestic Product (GDP) and real GDP.

Recognize the factors and activities that are included or excluded in the calculation of GDP.

Analyze the impact of changes in GDP and the GDP deflator on economic well-being.

---

Definitions:

Mixed Cost

An expense that contains both fixed and variable components, changing with the level of output but also incurred when there is no output.

Variable Costs

Costs that change in proportion to the level of production or sales activity, such as materials and labor directly involved in a company's product.

Fixed Costs

Expenditures that do not vary with the level of activity or production within a short time frame.

Variable Costs

Expenses that change in proportion to the activity of a business, such as raw materials and direct labor costs.