The Smaller the Cost of a Benefit Category,the Greater the Opportunity

question 19

True/False

The smaller the cost of a benefit category,the greater the opportunity for savings.

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Definitions:

Reportable Segments

These are components of a business where separate financial information is available and is reviewed regularly by the operating decision maker for the purpose of resource allocation and performance assessment.

Operating Profit

Earnings before interest and taxes (EBIT), an indicator of a company's profitability from its core operations excluding financing costs and taxes.

Segment Assets

These are the specific assets that are attributed to a company's business segment, helping to analyze performance by division.

Cash Balances

The total amount of cash or cash equivalents that a company has accessible at any given time.