ENTREPRENEURSHIP

Detailed explanation-1: -What is short-term planning? Short-term planning is usually considered to take 12 months or less. Your daily, weekly, monthly, even quarterly and yearly goals – all can be filed under “short-term goals.” They are stepping stones that will help you to reach your big goal(s).

Detailed explanation-2: -Long-range planning (LRP) builds on budgeting, planning, and forecasting processes by focusing on longer-term financial goals and key initiatives that are 5-10 [JO1] years or more in the future.

Detailed explanation-3: -What is short-term planning? Short-term planning is defined by the characteristics of an organization, such as skills. In the workplace, managers devise strategies on how to improve these characteristics in the short-term to meet long-term goals.

Detailed explanation-4: -CVP analysis is a short-term profit-planning model that captures the relationship between profit and factors that combine to determine short-term profits: selling price per unit, variable cost per unit, total (short-term) fixed costs, sales volume (quantity), and sales mix.