Contingency Plans Should Include ________

question 25

Multiple Choice

Contingency plans should include ________.

• A)Best-case scenarios
• B)Worst-case scenarios
• C)Expected-case scenarios
• D)Best-case scenarios and Worst-case scenarios only
• E)Best-case scenarios, Worst-case scenarios, and Expected-case scenarios

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Definitions:

Principal Balance

The original sum of money borrowed in a loan or the remaining balance of a loan excluding interest.

Times Interest Earned

A ratio that measures a company's ability to meet its debt obligations based on its earnings before interest and taxes.

Net Income

The amount of money a company ultimately earns once it subtracts expenses and taxes from its gross revenue.

Interest Expense

Interest expense is the cost incurred by an entity for borrowed funds.