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Mademuasel [1]
3 years ago
7

All of these are pitfalls an organization should avoid in strategic planning except:_____________.1. using plans as a standard f

or measuring performance.
2. using strategic planning to gain control over decisions and resources.
3. failing to involve key employees in all phases of planning.
4. too hastily moving from mission development to strategy formulation.5. being so formal in planning that flexibility and creativity are stifled.
Business
1 answer:
Tamiku [17]3 years ago
3 0

Answer:

1. using plans as a standard for measuring performance.

Explanation:

Strategic planning is an important process that enables a business or an organization to have a sense of direction, goal orientation, and also enables them to evaluate and measure progress.

It is important when carrying out the strategic planning process to first focus on clarifying and developing the vision, mission and objectives of the business before moving on to strategy formulation, this helps to give a sense of direction.

In the process of strategic planning, involving key employees cannot be overemphasized. Giving key employees the chance to be involved in the planning process will enable them to connect to the business and set them up for success.

Apart from the fact that strategic planning provides a sense of direction, it also enables a business to outline goals that can be measured, hence providing a standard for measuring performance.

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At the current level of operating leverage, the small manufacturing business needs to sell <u>18,182 units</u> of widgets to break even.

<h3>What is the break-even point?</h3>

The break-even point is the level of production and sales required so that the entity does not incur any losses or earn any profits.

At the break-even point, the total costs (fixed and variable) equal the sales revenue.

<h3>Data and Calculations:</h3>

Fixed assets = $400,000

Production cost of each widget = $3

Selling price per unit = $25

Variable cost per unit = $3 ($25 x 12%)

Contribution margin per unit = $22 ($25 - $3)

Break-even point in units = Fixed Costs/Contribution margin per unit

= 18,182 units ($400,000/$22)

Thus, at the current level of operating leverage, the small manufacturing business needs to sell <u>18,182 units</u> of widgets to break even.

Learn more about break-even analysis at brainly.com/question/21137380

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At the beginning of the year, Sigma Company's balance sheet reported Total Assets of $195,000 and Total Liabilities of $75,000.
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Answer:

The answer is: Equity at the end of the year will be $123,000

Explanation:

At the beginning of the year the balance sheet was as following:

assets $195,000                   liabilities $75,000

                                              equity $ 120,000

Then during the year the income statement is:

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If the owners withdrew $48,000, then cash and equity will decrease.

The ending balance for the year:

assets $195,000 + $51,000          liabilities $75,000

           -$48,000 =                         equity $120,000 + $51,000 - $48,000 =

           $198,000                                       $123,000

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Major benefits of business in the local economy include a boost in employment and discretionary income in the community, tax income increases for local governments and a loyal customer base for businesses.

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