Which Environmental Factor Is Connie Concerned with When She Decides

question 33

Multiple Choice

Which environmental factor is Connie concerned with when she decides to create a fixed cost by establishing a long-term contract with the company that provides her jewelry company with fasteners?

• A) competitor
• B) supplier
• C) customer
• D) distributor

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Definitions:

Cash Inflow

The total amount of money being transferred into a business, from operations, investments, or financing activities.

Existing Structure

The current organization or arrangement of a company's capital, operations, or physical layout.

Initial Outlay

The initial investment amount or initial cost incurred in starting a project, purchasing an asset, or initiating an investment.

Incremental Cash Flows

The additional cash flow generated by a company from undertaking a particular project or investment.