Which of the following statements is NOT true about the financial benefits of effective planning?
A) Planning benefits have a direct impact on profit margin and return on assets
B) All plans have a direct impact of net income though net sales
C) Plans related to resources that are used to create value provide a way to improve the reliability of obtaining those resources
D) An advance plan to carry a new item has the potential to reduce cost and increase net sales, yielding a . substantial boost to profit margin.
E) All of the above are true.

Question

Quizplus · Accepted Answer

Not all plans directly impact net income through net sales. Some plans may impact other areas of the business, such as cost reduction, efficiency improvements, or risk management, which indirectly affect net income.

Which of the Following Statements Is NOT True About the Financial