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What is the relationship between financial decision making and risk and return?
plz quote me the answer of the above question
Definition of risk return relationship?
the risk that is inherent simply by engaging in business with a third party. Any relationship with a vendor is inherently risky-a supplier, for example, may not deliver its goods per the contract terms, thus leaving your company without the (potentially important) product. Assessing relationship risk is essential in managing your vendors, especially the ones that are key to your company's successful operation.
Is factoring a off balance sheet item or not?
The off balance sheet allows small business to manage cash flow and credit certain risk. Factoring is the practice in which a small business receives a increase cash flow in their accounts receivable from a third party lender. This decreases their profit margins and lowers the amount the can borrow in the future.
Which are the five audit implications of business risk?
Client viabilty Inherent risk: Tone at the top Audit risk of specific assertions Analyticals Information systems
What is the difference between registered company and partnership?
Unlike the shareholders in a limited company, the members of a general partnership have no financial protection if the business runs into trouble - each partner is responsible for the debts of the partnership as a whole. This means that each partner's personal assets may be at risk if the business fails
What is the relationship of business profits and risk assumption?
mostv risk most profit
What is the relationship between risk and profit?
If you don't take risk, u won't gain. So, big risk, big profit.....
What does profit?
Profit means the difference between revenues and expenses. This left over amount is the business owner's reward for the risk they took in undertaking the business.
What meaning profit?
Profit means the difference between revenues and expenses. This left over amount is the business owner's reward for the risk they took in undertaking the business.
What is the business of business?
The profit or the net margin, losses or the risk etc.
What does profitible mean?
Profit means the difference between revenues and expenses. This left over amount is the business owner's reward for the risk they took in undertaking the business.
What do you call a risk taker who starts a business in search of profit?
entrepreneur
Why are business owners entitled to make a profit?
Business owners are entitled to make a profit, primarily because of the risk that these owners assume. On the contrary, employees of said business essentially assume no business risk. They are, therefore, not entitled to the profit (or loss) of the business venture. Anyone who puts capital at stake is (and should be) rewarded based upon the success of the venture.
What risk their savings in a business venture in a free enterprise system?
the potential profit
Why are all capitalists entrepreneurs?
Because they take a risk by investing in a business and hope for a profit. Profit is the end result of Capitalism.
Why is profit important to a business owner?
Profit is an important reward to business owners since in setting up and running the business the owners are taking a risk with their money. They make nothing if the business does not generate a profit. This also applies to shareholders, since they are also the owners.
What are People who risk their money to set up a business in order to make a profit?
capitalist
