Which of the following factors is a positive as it pertains to the financial feasibility of a business venture?
A) Inconsistent and slow growth in sales during the first five to seven years in a clearly defined market niche
B) High percentage of recurring revenue
C) Inability to forecast income and expenses with a reasonable degree of accuracy
D) Reliance on externally generated funds to finance and sustain growth
E) Absence of an existing opportunity for investors to convert equity into cash

Question

Quizplus · Accepted Answer

High percentage of recurring revenue is a positive factor as it provides stability to the business and reduces the risk of unexpected fluctuations in cash flow. This also enhances the predictability of future financial performance.

Which of the Following Factors Is a Positive as It