Which of the Following Is NOT a Factor That Managers

question 91

Multiple Choice

Which of the following is NOT a factor that managers should consider in deciding how to allocate resources across customers?

• A)short-run and long-run customer profitability
• B)customer retention likelihood
• C)economic forecasts
• D)customer growth potential
• E)increases in overall demand from having well-known customers

Prepare and understand the significance of petty cash funds in business operations.

Understand and apply the concept of cash equivalents in financial reporting.

Understand the practices in safeguarding company assets and ensuring reliability in the accounting system.

Analyze financial data to determine financial health and uncover discrepancies.

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Definitions:

Credit Sales

Sales of goods or services that are paid for later, rather than at the time of purchase, building a receivable account on the seller's balance sheet.

Receivables

Amounts due from customers to a company for goods delivered or services rendered, awaiting payment.

Inventory Turnover

A ratio showing how many times a company has sold and replaced inventory over a certain period of time, indicating the efficiency of inventory management.

Financing Costs

Expenses associated with raising capital through debt or equity.