In Which Stage of the Economic Life Cycle Would a Client

question 22

Multiple Choice

In which stage of the economic life cycle would a client typically have high debt?

• A) Accumulation stage
• B) Consolidation stage
• C) Spending stage
• D) Gifting stage

---

Definitions:

Variable Costs

Expenses that change in proportion to the business activity level.

Financial Advantage

The benefit gained in financial terms, likely leading to improved profitability or reduced expenses.

Contribution Margin

The amount remaining from sales revenue after variable expenses are deducted, indicating how much revenue is contributing to fixed expenses and profit.

Labor Hours

A measure of the amount of work or effort in terms of hours spent by workers in producing goods or providing services.