A Technique That Allows the Small Business Owner to Perform

question 38

Multiple Choice

A technique that allows the small business owner to perform financial analysis by understanding the relationship between two accounting elements is called:

• A)creating the pro forma.
• B)budgeting.
• C)break-even analysis.
• D)ratio analysis.

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Definitions:

Planning Objectives

Goals set during the planning phase that outline the desired outcomes of plans and strategies.

Official Objectives

The formal goals set by an organization to guide its operations and strategic direction.

Organizational Culture

The shared values, beliefs, and norms that influence how people within an organization interact with each other and with stakeholders outside the organization.

Value System

A set of consistent values and principles that guide an individual's or organization's behavior, decisions, and actions.