Business Plan Documents May Differ in Their Specifics,but All Effective

question 54

Multiple Choice

Business plan documents may differ in their specifics,but all effective ones share the following characteristics,except:

• A) They demonstrate a clear, compelling vision.
• B) Provide detailed information about potential customers and target market characteristics.
• C) Pay attention to formatting and clear writing.
• D) Are detailed, complex and are typically greater than 50 pages in length.
• E) All of these are characteristics of effective business plans.

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Definitions:

Cost Of Installment Goods Sold

The cost attributed to products sold under an installment sales agreement, recognizing expenses as revenues are realized.

Inventory

Inventory refers to the goods and materials that a business holds for the ultimate purpose of resale or production.

Continuing Franchise Fees

Regular payments made by franchisees to the franchisor for ongoing support and the right to continue operating under the franchisor's brand and system.

Franchise Agreement

A legal, binding contract between a franchisor and franchisee, outlining the terms and conditions for running a franchised business.