Why Would a Person Create a Blind Trust

question 10

Short Answer

Why would a person create a blind trust?

Recognize the factors influencing pricing decisions, including cost-plus and variable cost concepts.

Identify the concepts of sunk cost, differential cost, and opportunity cost in decision-making processes.

Understand the importance of contribution margin per scarce resource in profitability analysis.

Assess the impact of discontinuing a segment or product on the company's net income.

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Definitions:

Justification Reports

Documents written to explain the reasoning behind a decision or recommendation, often including evidence and analysis.

External Proposals

proposals submitted from outside an organization, typically by vendors or partners, suggesting a project or service to address the organization’s needs.

Sales Proposals

Documents or presentations that outline an offer for a product or service, including details about benefits, pricing, and terms, intended to persuade potential customers.

Internal Proposals

These are suggestions or plans submitted within an organization aiming to initiate change or improvement.