Some weaknesses in financial planning models include:

Question

Quizplus · Accepted Answer

All of the choices listed are weaknesses in financial planning models. Interest expense is a significant item in financial planning, but it is often not taken into account in many financial planning models. Working capital accounts, such as cash and inventory, do not always vary directly with sales, which can cause problems in financial planning. Fixed assets, such as property, plant, and equipment, also need to be adjusted for changes in sales, but this is often not done accurately in financial planning models.

Some Weaknesses in Financial Planning Models Include