A Company Is Said to Lack _____ When There Is

question 16

Multiple Choice

A company is said to lack _____ when there is an absence of policies and a lack of periodic reviews.

• A) corporate social responsibility
• B) economies of scale
• C) environmental uncertainty
• D) control
• E) switching costs

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Definitions:

Variable Expenses

Expenses that change in proportion to the activity of a business, such as raw material costs or sales commissions.

Fixed Expenses

Expenses that remain constant regardless of production or sales volume, including rent, insurance, and salaries.

Sales Mix

The composition of different products or services sold by a company, affecting overall sales volume and profitability.

Break-Even Point

is the level of production or sales at which total revenues equal total expenses, resulting in no profit or loss.