Managers Can Use BI to Answer Tough Business Questions

question 302

Multiple Choice

Managers can use BI to answer tough business questions.Which of the following describes the value of knowing where the business has been?

• A) A historical perspective offers important variables for determining trends and patterns.
• B) Looking at the current business situation allows managers to take effective action to solve issues before they grow out of control.
• C) Setting strategic direction is critical for planning and creating solid business strategies.
• D) None of these choices

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Definitions:

Bank Loan

A type of loan provided by banks to individuals or businesses with an agreement to repay the borrowed amount along with interest over a specified period.

Operating Activities

business activities directly related to producing and delivering goods and/or services, which are the primary source of revenue for the company.

Fixed Assets

Long-term tangible assets held for business use and not expected to be converted into cash in the upcoming year.

Borrowing

the act of obtaining funds from another party, often a financial institution, with the promise of repayment plus interest at a future date.