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While discussing future business plans a colleague says, If we can't make $100,000 operating profit next year, we should cease business. You agree to run
While discussing future business plans a colleague says, "If we can't make $100,000 operating profit next year, we should cease business." You agree to run the numbers. Based on what we have discussed in class, what types of "numbers" do you need to determine, first, if the company can break-even, and then if they can achieve the profit they want? Discuss conceptually rather than using actual numbers. Use the proper accounting terms in your discussion.
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