The amount of money a firm earns from its continuous, regular business operations is known as cash flow from operating activities.
The amount of money a business makes from its continuous, regular business operations, such as producing and selling products or offering clients a service, is known as cash flow from operating activities. On a firm's cash flow statement, it is always shown as the first part.
When utilising this method, the direct method and the indirect method will both produce the same net cash flows from operational activities. Cash is used for purchasing materials needed to produce things for resale and to provide services. Employees are paid in cash for their services. Cash payments are regarded as grantor operating operations. Monetary payments for operating transactions with semi external parties.
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During 2024 , its first year of operations, Pave Construction provides services on account of $160,000. By the end of 2024 , cash collections on these accounts total $110,000. Pave estimates that25%of the uncollected accounts will be uncollectible. In 2025 , the company writes off uncollectible accounts of $10,000. Required: 1. Determine bad debt expense for the year ended December 31, 2024. 2. Determine the financial statement effects of the write-offs in 2025.
The bad debt expense for year ended December 31, 2024, is $12,500.
What is bad debt expense?Bad debt expense refers to the amount of money that a company expects to lose due to customers who are unable or unwilling to pay their debts. When a company extends credit to customers, there is always a risk that some of those customers will not be able to repay their debts. In order to account for this risk, companies will set aside a certain amount of money as bad debt expense, which is essentially an estimate of how much money they expect to lose from customers who default on their debts. Bad debt expense is typically recorded as an expense on a company's income statement, and it can have a significant impact on a company's financial performance and overall profitability.
Total services provided on account = $160,000
Cash collections on accounts = $110,000
Accounts receivable balance = $160,000 - $110,000 = $50,000
Estimate for uncollectible accounts = 25% of $50,000 = $12,500
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financial statements are typically prepared before completing the adjusted trial balance.
true/false
Normally, financial statements are generated prior to the completion of the adjusted trial balance. This is true.
What is the purpose of financial?Helping people manage, raise, and save money is the goal of finance. The goal of finance must be stated and acknowledged. It should be covered in the business education of finance students. Perhaps even from the elementary education level, the purpose should be taught.
What is the most important financial?The income statement, which shows a company's potential to make a profit, is likely to be the most crucial financial statement again for majority of users. Additionally, the data on the financial statements is largely expressed in current dollars, indicating a respectable level of accuracy.
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If intermediate goods and services were included in GDP:
A. the GDP would be overstated.
B. the GDP would then have to be deflated for changes in the price level.
C. nominal GDP would exceed real GDP.
D. the GDP would be understated.
If intermediate goods and services were included in GDP the GDP would be overstated. Option (A) is correct.
What is GDP?Gross domestic product (GDP) measures the monetary value of final goods and services. The goods should be produced and sold within a specific time period by respective countries.
When calculating the gross domestic product, economists do not include intermediate products (GDP). The market worth of all finished goods and services produced in the economy is gauged by GDP. These items would be tallied twice, thus they are not included in the calculation.
Therefore, Option (A) is correct.
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Every financial market has the following characteristic:
A) It determines the level of interest rates.
B) It allows common stock to be traded.
C) It allows loans to be made.
D) It channels funds from lenders-savers to borrowers-spenders.
Every financial market has the following characteristic:D) It channels funds from lenders-savers to borrowers-spenders.
What are financial markets?Any location or system that gives buyers and sellers the ability to trade financial assets, such as bonds, shares, the various international currencies, and derivatives, is referred to as a financial market.
The connection between people with capital to invest and those who need capital is facilitated by financial markets. Currency markets, money markets, derivative markets, and capital markets are the four different categories of financial markets. Equities (stocks) and debt securities are sold on capital markets.
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the price of u.s. stamps has gone up once again. which is the new price of a first-class mail forever stamp?
The cost of US stamps has increased once more. The cost of sending letters domestically and internationally has recently increased.
First-class Forever stamps now cost 63 cents instead of 60 cents, a 5 percent price rise brought on by the Postal Service's increasing operational costs and losses.
The modification was initially disclosed in October, and it became effective on Sunday. Additionally, the cost of domestic postcards has increased from 44 cents to 48 cents, and the cost of one-ounce metered mail has increased from 57 cents to 60 cents under the new rates. A one-ounce letter to another country now costs $1.45 instead of $1.40.
These price increases give the Postal Service the money it needs to attain the desired financial stability as operating expenditures keep rising.
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which list of steps reflects the best order for the planning process?
The best order for the planning process may depend on the specific organization and its goals and objectives. As all three steps are essential in the planning process, and each one builds upon the previous step to create a comprehensive and effective plan for the organization. Here option D is the correct answer.
A. Set strategic goals and plans: This step involves defining the overall purpose and direction of the organization and identifying long-term goals and objectives. Strategic planning typically involves a comprehensive analysis of the internal and external environment and may consider factors such as industry trends, competitive landscape, and market opportunities.
B. Set tactical goals and plans: Once the strategic goals and plans have been established, the next step is to develop tactical goals and plans that support the strategic direction. Tactical planning involves breaking down long-term objectives into shorter-term goals and action plans that can be implemented by specific departments or functional areas of the organization.
C. Set operational goals and plans: The final step is to set operational goals and plans that align with the tactical plans and support the achievement of the overall strategic goals. Operational planning involves developing specific action steps, timelines, and performance metrics that will guide day-to-day activities and ensure that the organization is making progress toward its strategic goals.
Complete question:
which list of steps reflects the best order for the planning process?
A - set strategic goals and plans
B - set tactical goals and plans
C - set operational goals and plans
D - all of these
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True or false? goods-producing organizations are not involved in service activities.
The given statement that goods-producing organizations are not involved in service activities is fasle.
Do businesses that produce things also engage in services?Organizations that manufacture goods do not engage in service activities. false The majority of systems combine products and services. . Because consumer demand is unpredictable, service operations need more inventory.
Organizations that manufacture goods do not engage in service activities. Because consumer demand is unpredictable, service operations need more inventory. The prices consumers are prepared to pay for goods or services serve as a gauge of the value of outputs.
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what about when the quantity demanded decreases in response to a change in price
When the quantity demanded decreases in response to a change in price, the demand curve shifts to the left.
The shift in the demand curve occurs because a change in price changes the level of consumer demand. Generally, when the price of a good or service increases, consumers will demand less of it because it becomes relatively more expensive compared to other alternatives. As a result, the quantity demanded decreases and the demand curve shifts to the left.
Conversely, if the price of a good or service decreases, it becomes relatively less expensive compared to other alternatives and consumers will demand more of it. This results in an increase in quantity demanded, causing the demand curve to shift to the right.
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Donna is starting a fashion business. She is putting together a detailed list of her startup costs.
Which are short-term startup costs?
Select all that apply.
Responses
business license and tax ID
business license and tax ID
stationery and shipping boxes
stationery and shipping boxes
conference table and chairs
conference table and chairs
warehouse and store rent
warehouse and store rent
audio and video equipment
audio and video equipment
employee salary and benefits
0.5 of 1 . conference table and chairs, stationery and shipping boxes , business license and tax ID.
What are start up costs?
Start-up costs include all one-time expenses, excluding assets, associated with starting a business. The costs that, regardless of how successful or unsuccessful your firm is, you cannot recover since they have already been "sunk" into the business effort are sometimes referred to as sunk costs.
Licenses and permits, insurance, office supplies, wages, marketing expenditures, research fees, and utilities are a few examples of startup costs.
Other terms for startup costs include pre-opening costs, pre-operating expenditures, and organization costs.
Knowing your costs and how to control them will help you effectively launch your company and maintain a profit while it is operating. You can: Predict future revenues by figuring out your initial costs. Analyze the break-even point.
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Suppose the government increases the size of a tax by 20 percent. The deadweight loss from that tax1) increases by 20 percent.2) increases but by less than 20 percent.3) decreases by 20 percent.4) increases by more than 20 percent
If demand and supply are inelastic, increase in tax will lead to relatively small change in the quantity traded, and deadweight loss will increase by less than 20 percent.
What is deadweight loss?Deadweight loss is a term used in economics to describe the loss of economic efficiency that occurs when the equilibrium for a good or service is not achieved. In other words, it is the cost to society of an inefficient allocation of resources. Deadweight loss occurs when the price of a good or service is not equal to the marginal cost of production or consumption, which can result from market interventions such as taxes or subsidies, or from market failures such as externalities or monopolies. This creates a situation where the quantity demanded or supplied is less than the socially optimal level, leading to a loss in consumer and producer surplus. Deadweight loss represents a reduction in overall welfare and economic efficiency, and can be used as a measure of the inefficiency of a market.
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How do you calculate income elasticity of demand?
The formula for calculating income elasticity of demand is the percent change in quantity demanded divided by the percent change in income.
Income elasticity of demand (YED) is a measure used in economics to describe how the quantity demanded of a good or service changes in response to changes in consumer income.YED can be either positive or negative. A positive YED means that as income increases, the demand for a good or service also increases, while a negative YED means that as income increases, the demand for a good or service decreases.
YED is an important concept in economics as it helps firms and policymakers to understand how changes in consumer income may impact the demand for goods and services. For example, firms may use YED to help forecast changes in demand for their products as consumer income changes, and policymakers may use YED to evaluate the impact of policies such as tax cuts or changes in the minimum wage on consumer behavior.
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Answer question below with 150 words:
How do the income statement and the balance sheet help management make good decisions?
Answer:
The income statement and the balance sheet are two essential financial statements that help management make informed and wise decisions. The income statement shows the performance of a company over a certain period of time by providing information on revenue, expenses, and profits. This provides management with an understanding of how their business is performing, as well as any areas that need improvement. It also helps them to measure their successes and failures, gain insights into future opportunities, and decide on how to allocate their resources.
The balance sheet, on the other hand, provides a snapshot of the company's financial position at a given moment. It shows the total assets, liabilities, and equity owned by the company, allowing management to spot any upcoming cash flow problems and devise strategies to address them. It also helps management to better understand where their assets are invested, as well as their current financial assets and liabilities.
Overall, both the income statement and the balance sheet are important tools for management when making decisions. They offer an in-depth look at the financial position of a business and enable management to effectively manage their resources and plan for the future.
Which two of the following are macroeconomic factors?
a. discretionary income
b. inflation
c. gross income
d. gross domestic product
Two of the following macroeconomic factors are the rate of inflation and the gross domestic product.
Inflation: What is it?
When prices for goods and services increase significantly over time and across the entire economy, it is referred to as inflation and it reduces both consumer and company purchasing power. Thus, your dollar (or whatever currency you use for shopping) will not go as far as it did yesterday.
Take a regularly used item and examine the pricing through a time of that item to gain an understanding of the consequences of inflation. An indication of pricing stability, according to economists, is yearly inflation that is typically in the two percentage point range. Additionally, when inflation is within acceptable limits, there may be beneficial impacts.
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modern economic growth is best measured as an increase in ______. -nominal GDP -output per person -household consumption -investment.
Savings is the simple term for any revenue that is not spent. The most accurate way to gauge current economic growth is an increase in. Actual production for each person.
Why is economics important? What is it?
Economics is a field of study that studies how products and services are produced, distributed, and consumed. It examines the decisions that people, organizations, governments, and entire countries make when allocating resources.
Labor economics: What is it?
Economics of labor, defense, transportation, and theory of production economics of the environment.. (Show more) Economics is a social science that aims to understand and describe how wealth is produced, distributed, and consumed.
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What does the principle of utility require?
The principle of utility, also known as utilitarianism, is a moral and ethical principle that is often associated with the philosopher Jeremy Bentham and later developed by John Stuart Mill.
This principle states that an action is morally right if it leads to the greatest happiness or pleasure for the greatest number of people affected by that action.
The principle of utility requires individuals to act in a way that maximizes overall happiness or well-being, not just their own happiness. This means that individuals must consider the impact of their actions on others and choose the option that produces the greatest net benefit for the largest number of people.
For example, if a business owner has to decide whether to lay off workers or reduce their pay, the principle of utility requires them to choose the option that will result in the least harm and most overall happiness for all affected parties. The principle of utility also emphasizes the importance of considering long-term consequences and making decisions that produce the greatest overall happiness over time.
Overall, the principle of utility requires individuals to consider the well-being of all those affected by their actions and to choose the option that maximizes overall happiness or well-being.
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What is Target company vision and mission?
Target's mission statement reflects its commitment to providing customers with high-quality products at affordable prices. The company strives to exceed customer expectations by constantly innovating and delivering an exceptional shopping experience.
Target Corporation is a multinational retail company that provides a wide range of products and services to its customers. The mission of Target is to make the shopping experience more convenient and affordable for its customers, while also delivering value to its stakeholders. In terms of economics, Target's mission is to maximize its profits by minimizing its costs and increasing its revenues.
To achieve this, Target focuses on offering high-quality products at competitive prices, investing in innovative technologies and marketing strategies, and optimizing its supply chain and logistics operations. Target also aims to create a positive impact on the communities it serves by engaging in social responsibility initiatives and promoting sustainable practices.
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three benefits of ______ are that they can provide a company with direction and momentum, encourage new ideas, and help the company develop a sustainable competitive advantage.
It encourages new ideas, it gives us focus and vigor, and it also helps the company build a sustainable competitive advantage.
What is meant by Business?Business also refers to the actions taken by someone who creates products or offers services with the goal of reselling them for a profit.
The meaning of a business is an entrepreneurial firm or group that performs professional activity. They may be professional, contemporary, or different.
Having a business name does not detach the entity from the owner, who remains responsible for whatever debts the company accrues.
Therefore, three benefits of planning and strategic management are that They can provide a business direction and momentum, inspire fresh thinking, and aid in the creation of a long-lasting competitive edge.
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Which of the following is true about globalization?
(i) Globalization refers to the accelerated interdependence of economic and business activities across national boundaries.
(ii) Globalization influences the availability and pricing of products and services around the world.
(iii) Globalization affects your careers opportunities and the skill you will need to be successful.
(iv) Globalization creates opportunities and poses challenges to individuals businesses and countries.
A) (i)
B) (i) (ii)
C) (i), (ii), (iii)
D) (i), (iii) (iii), (iv)
The process of greater connectedness and interdependence due to trade and technology is referred to as "globalization" so the correct option in the given situation is (D) (i), (ii) (iii), (iv)
What is globalization?The term "globalization" is used to describe how trade and technology have increased connectivity and interdependence around the world.
The resulting economic and societal developments are also included in the scope of globalization.
The increasing interconnection of economic and commercial operations across international borders is referred to as globalization.
Globalization has an impact on the accessibility and cost of goods and services worldwide.
Your employment opportunities and the skills you'll need to succeed are impacted by globalization.
Opportunities and problems are brought about by globalization for people, businesses, and nations.
Economic globalization, cultural globalization, and political globalization are the three main categories into which academic literature frequently subdivides globalization.
Therefore, the process of greater connectedness and interdependence due to trade and technology is referred to as "globalization" so the correct option in the given situation is (D) (i), (ii) (iii), (iv)
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A) the pay rate differential between the arts and entertainment industry and the construction industry is. The relative pay difference between the arts and entertainment industry and the construction industry is
The pay rate differential between the arts and entertainment industry and the construction industry is the difference in the average salary or wage for workers in these two industries.
This difference can be calculated by subtracting the average pay in the construction industry from the average pay in the arts and entertainment industry.
For example, if the average pay in the arts and entertainment industry is $50,000 per year and the average pay in the construction industry is $40,000 per year, the pay rate differential would be $10,000 ($50,000 - $40,000).
It is important to note that the pay rate differential can vary depending on factors such as geographic location, level of education, and experience. Additionally, the pay rate differential may not accurately reflect the overall compensation package, which can include benefits such as health insurance and retirement plans.
Overall, the pay rate differential between the arts and entertainment industry and the construction industry is an important factor to consider when comparing salaries and making career decisions.
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What is the short run phillips curve?
The short-run Phillips curve is a illustration of this dating within the quick-time period, where inflation and unemployment are inversely related.
The Phillips Curve is a concept in economics that shows the inverse relationship between unemployment and inflation. It is named after the economist A.W. Phillips, who first observed the relationship in the 1950s. The curve represents the tradeoff between inflation and unemployment, which suggests that as unemployment decreases, inflation increases, and vice versa.
The Phillips Curve is based on the idea that when unemployment is high, there is less demand for goods and services, which leads to lower prices and lower inflation. Conversely, when unemployment is low, there is more demand for goods and services, which leads to higher prices and higher inflation.The Phillips Curve is an important tool for policymakers to use when setting economic policy. It helps them understand the impact of their decisions on both inflation and unemployment.
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The following graph shows the annual market for Michigan blueberries, which are sold in units of 50-pound boxes.Use the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph.Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly.09018027036045054063072081090050454035302520151050PRICE (Dollars per box)QUANTITY (Millions of boxes)Demand SupplyGraph Input ToolMarket for Michigan BlueberriesPrice(Dollars per box)Quantity Demanded(Millions of boxes)Quantity Supplied(Millions of boxes)In this market, the equilibrium price isper box, and the equilibrium quantity of blueberries ismillion boxes.For each of the prices listed in the following table, determine the quantity of blueberries demanded, the quantity of blueberries supplied, and the direction of pressure exerted on prices in the absence of any price controls.PriceQuantity DemandedQuantity SuppliedPressure on Prices(Dollars per box)(Millions of boxes)(Millions of boxes)35 15 True or False: A price ceiling below $25 per box is not a binding price ceiling in this market.TrueFalseBecause it takes six to eight years before newly planted blueberry plants reach full production, the supply curve in the short run is almost vertical. In the long run, farmers can decide whether to plant blueberries on their land, to plant something else, or to sell their land altogether. Therefore, the long-run supply of blueberries is much more price sensitive than the short-run supply of blueberries.Assuming that the long-run demand for blueberries is the same as the short-run demand, you would expect a binding price ceiling to result in a that is in the long run than in the short run.
A price ceiling below $25 per box is not binding, as the equilibrium price is above this level.
The equilibrium price is $30 per box, and the equilibrium quantity is 45 million boxes.
For a price of $35 per box:
Quantity demanded: 15 million boxes
Quantity supplied: 25 million boxes
Pressure on prices: downward pressure, since quantity supplied exceeds quantity demanded.
For a price of $25 per box:
Quantity demanded: 35 million boxes
Quantity supplied: 35 million boxes
Pressure on prices: no pressure, since the price is already at equilibrium.
For a price of $15 per box:
Quantity demanded: 55 million boxes
Quantity supplied: 15 million boxes
Pressure on prices: upward pressure, since quantity demanded exceeds quantity supplied.
Since the long-run supply of blueberries is more price sensitive than the short-run supply, we would expect a binding price ceiling to result in a shortage that is larger in the long run than in the short run. In the long run, some farmers may decide to switch to other crops or sell their land, reducing the overall supply of blueberries and exacerbating the shortage caused by the price ceiling.
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According to economic theory, there are four main factors of production - land, labour, capital, and entrepreneurship. True/False?
It is true that according to the economic theory, there are four main factors of production land, labor, capital, and the entrepreneurship.
What is entrepreneurship?Entrepreneurship is the process of creating, developing and managing a business venture in order to achieve a specific goal or objective. It involves identifying a business opportunity, developing a plan and executing it to build a successful and profitable enterprise. Entrepreneurs are innovative, risk-takers who are willing to take on new challenges and push the boundaries of traditional thinking. They are responsible for creating jobs, generating economic growth, and contributing to society's development by solving real-world problems. Entrepreneurs are also accountable for managing and navigating their business through various obstacles, including financial, legal, and operational hurdles, to ensure their venture remains successful and sustainable over time.
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Paige, age 17, is a dependent of her parents. Her parents report taxable income of $120,000 on their joint return (no qualified dividends or capital gains). During 2022, paige earned $3,900 pet sitting and $4,300 in interest on a savings account.
Paige's taxable income and tax liability for 2020 is:
Paige's total taxable income is $3,950.Paige's tax liability is $395.Tax is a financial charge that governments impose on individuals, businesses, and other entities in order to raise revenue for public expenditures. Taxes can take many different forms and can be levied at the federal, state, or local level. Some common types of taxes include income taxes, property taxes, sales taxes, and excise taxes.
To clarify, Paige's earned income from pet sitting is $3,900, and her interest income from her savings account is $4,300. Her total income is $8,200. Since she is claimed as a dependent on her parents' tax return, her standard deduction is limited to $1,100 for 2020.
Therefore, her taxable income is
$8,200 - $1,100 = $3,950
Since her taxable income falls within the 10% tax bracket for 2020, her income tax liability is
$3,950 x 10% = $395
The complete question is shown below.
Paige, age 17, is a dependent of her parents. Her parents report a taxable income of $120,000 on their joint return (no qualified dividends or capital gains). During 2020, Paige earned $3,900 pet sitting and $4,300 in interest on a savings account. What are Paige's taxable income and tax liability for 2020?
a. Paige's total taxable income is $ _______.
b. Paige's tax liability is $ _____.
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A closed economy does not engage in international trade, thereforea.a. national saving is less than investment (S < I).b.net exports (NX) are zero.c.Y - C - G > I.d.national saving is zero Answer b
Option B is true. A closed economy does not engage in international trade, therefore net exports (NX) are zero
A closed economy normally alludes to a country that doesn't exchange or take part in other monetary trades with some other country. That implies no imports come into the nation and no commodities leave it. The objective of a shut economy is finished independence, giving homegrown buyers all that they need from inside the nation's own boundaries. In the present interconnected world, shut economies are all the more a hypothetical idea rather than a reality, albeit a few economies are more shut than others. Shut economies are for all intents and purposes nonexistent today, albeit a few nations draw nearer than others to having one.
Indeed, even in nations with generally open economies, states might cut off a particular area or industry from global rivalry using shares, sponsorships, and duties — a training frequently alluded to as protectionism.
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For many years, there have been limits set on the amount of sugar that foreign producers can sell in the U.S. market. This is mandated by anet profit.tariff rate quota system.trade surplus.subsidy agreement.quota share.
For many years, there have been limits set on the amount of sugar that foreign producers can sell in the U.S. market. This is mandated by a tariff rate quota system.
What is quota?A quota is a government-imposed exchange restrict that limits the range or economic cost of items that a country can import or export at some point of a precise period.
Countries use quotas in international alternate to help regulate the quantity of trade between them and different countries.
A voluntary export restraint (VER) is a self-imposed change limit whereby an exporting USA limits the wide variety of goods of a specific nature that it can export to a unique united states of america or region. VERs are imposed via the exporting united states of america at the request of the importing country.
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Complete question:
For many years, there have been limits set on the amount of sugar that foreign producers can sell in the U.S. market. This is mandated by a
net profit.tariff rate quota system.trade surplus.subsidy agreement.quota share.the increase in total benefit that results from carrying out one additional unit of an activity is the
a. Average Cost
b. Average Benefit
c. Marginal Cost
d. Marginal Benefit
Answer:
d. Marginal Benefit
Explanation:
As per the definition of marginal benefit
what is firm-specific demand curve?
The firm-specific demand curve is a graph that shows the relationship between the quantity of a particular product demanded and its price. It takes into account the specific characteristics of a particular firm or industry, such as its location, quality, and other factors that can influence demand.
A firm-specific demand curve is the demand curve for a specific firm's product or service. It shows the relationship between the quantity of a firm's product or service that consumers are willing to purchase at various prices. The firm-specific demand curve is typically downward sloping, meaning that as the price of the product or service increases, the quantity demanded decreases. This is because consumers generally have a limited amount of income and will buy less of a product or service as its price increases.
The firm-specific demand curve is an important tool for firms to use in making pricing and production decisions. It helps firms determine the optimal price to charge for their products or services in order to maximize profits.
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if interest rates increase in financial markets, then___
if interest rates increase in financial markets, then it tend to negatively affect earnings and stock prices.
What is financial markets?
A financial market is a place where consumers may trade derivatives and financial securities for little or no money. Among the securities are stocks, bonds, raw materials, and precious metals, which are referred to as commodities on the financial markets.
Sometimes, what are more properly exchanges, such as a stock exchange or commodities exchange, which allow the transaction in financial securities, are referred to as "markets." It might be a physical place (like the New York Stock Exchange (NYSE), London Stock Exchange (LSE), JSE Limited (JSE), or Bombay Stock Exchange (BSE), or it could be an electronic system (like NASDAQ). Although there is a lot of stock trading on an exchange, corporate activities (such as mergers and spinoffs) take happen between any two businesses or individuals, not between exchanges.
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What is the business model of Square company?
The business model of Square company is to provide a range of financial and payment services to businesses and individuals. This includes point-of-sale (POS) systems, online payment processing, invoicing, and more.
The company makes money by charging fees for these services, such as a percentage of each transaction processed through their system.
Square's goal is to make it easier and more convenient for businesses to accept payments from customers, and for individuals to make purchases and manage their finances.
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Businesses that have a central management that determines policies, promotion, and pricing for all stores
"Chain stores" are companies with centralized administration that sets policies, promotions, and prices for all of their locations.
Explain about the Chain Stores?A retail business with multiple locations is known as a chain store.
In contrast to franchises, at which firm grants a license for the a person to use its business name as well as model based on a franchise agreement, branch stores are normally owned by the corporation. It makes no difference if the chain has two stores or a thousand. A chain store might be found in a single city, state, nation, or all over the world. From big-box retailers to niche shops, through supermarkets to restaurant chains, there are many different types of chains. Wal-Mart, Target, Macy's, Lowes, Bed Bath & Beyond, as Well as the Body Shop are a few examples of well-known chains.Thus, chain stores are companies with centralized administration that sets policies, promotions, and prices for all of their locations.
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The complete question is-
Businesses that have a central management that determines policies, promotion, and pricing for all stores is called _______.