Which of the Following Is Typically NOT an Element of the Feasibility

question 94

Multiple Choice

Which of the following is typically NOT an element of the feasibility study?

• A)determining if it will be attractive to investors
• B)Determining the existence of a long-term market
• C)determining if it is doable-can one continue doing it for a long time
• D)understanding the problem being addressed by the product or service

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Definitions:

Fixed Expense

Costs that do not vary with the level of production or sales, such as rent, salaries, and insurance premiums.

Margin of Safety

The difference between actual sales and the break-even point, indicating the risk level of not covering fixed costs.

Break-even Sales

The amount of revenue required to cover all fixed and variable costs, resulting in neither profit nor loss.

Sales Percentage

A metric that shows what portion of a company's total sales is made up of a particular product or service.