In the context of cash flow statements and budgets, what is a sensitivity analysis? Why is it important when developing a new business idea?
What will be an ideal response?
A sensitivity analysis is examination of the best-case and the worst-case cash flow scenarios. It is quite prudent to look at a worst-case and a best-case scenario to examine the sensitivity of the potential cash flow to dramatic changes in the revenue or cost stream when conducting due diligence on a business idea.
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Barker, Inc. had reported the following details for the year ended December 31, 2019:
The company's beginning total assets and liabilities were $14,300,000 and $9,100,000, respectively. Calculate the asset turnover ratio for 2019. (Round your answer to two decimal places.)
A) 2.06 times
B) 1.21 times
C) 1.55 times
D) 1.60 times
Wages payable is a type of expense
Indicate whether the statement is true or false
Which of the following has become a primary mode for communicating within an organization?
A. faxes B. e-mail C. video chat D. text messages
For successful Marketing (Big M), firms need to align all internal organizational processes and systems around the customer.
Answer the following statement true (T) or false (F)