Sequences of Actions That Add Value to Products and Services

question 34

Multiple Choice

Sequences of actions that add value to products and services are called business:

• A) communications.
• B) logics.
• C) processes.
• D) patterns.

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Definitions:

Total Cost Approach

The total cost approach is an assessment method that considers all possible costs related to a product or project, including direct, indirect, fixed, and variable costs.

Discount Rate

The discount rate is the interest rate used in discounted cash flow analysis to determine the present value of future cash flows.

Salvage Value

The predicted remaining value of an asset at the termination of its functional life.

Working Capital

The amount by which current assets exceed current liabilities, indicating the liquidity level available to a business for day-to-day operations.