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What alternative restructuring strategies do you believe may have been
considered for GM? Of these,do you believe that the 363 sale in bankruptcy
represented the best course of action? Explain your answers.
Fixed Costs
Expenses that do not change in proportion to the activity of a business, such as rent, salaries, and insurance premiums.
Flexible Budget
A budget that adjusts or varies with changes in the volume of activity, providing a more useful tool for performance evaluation.
Variable Costs
Costs that change in proportion to the level of activity or production volume, such as raw materials and direct labor.
Direct Materials
Raw materials that are directly traceable to the manufacturing of a product and are a significant part of its composition.
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