Which of the Following Factors Should Be Evaluated During the Internal

question 67

Multiple Choice

Which of the following factors should be evaluated during the internal analysis phase of strategic formulation?

• A)Manufacturing capacity
• B)New government regulations pending
• C)Customer demand
• D)Strength of the competition

---

Definitions:

Working Capital

Current assets minus current liabilities; a measure of a company's liquidity, operational efficiency, and short-term financial health.

Accounts Receivable

Money owed to a company by its customers for goods or services that have been delivered but not yet paid for.

Inventory

The total amount of goods and materials held by a company intended for sale in the ordinary course of business.

Incremental Cash Flows

The additional cash inflows or outflows expected from a new project or investment, crucial for determining its net present value.