A Comprehensive Nonfinancial Size-Up Is a Useful Tool For

question 72

Multiple Choice

A comprehensive nonfinancial size-up is a useful tool for:

• A)financial managers.
• B)lenders.
• C)investors.
• D)All of the above.

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Definitions:

Excess Capacity

The amount by which current production capabilities exceed the current demand for a company's products or services.

Performance Evaluation

The process of assessing and reviewing an employee's or an organization's performance against predetermined objectives or criteria.

Bottom-line Profit

The net income or the final profit figure after all expenses, taxes, and costs have been subtracted from total revenues.

Net Realisable Value Method

An accounting technique used to value inventory or assets, determining the estimated selling price in the ordinary course of business minus any costs necessary to make the sale.