Which of the following is not a recognised type of plan? business succession ad hoc financial

General
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which of the following is not a recognised type of plan? business succession ad hoc financial

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Which of the following is not a recognized type of plan?

Answer:
Business succession, financial, and ad hoc plans each serve different purposes in the business world. Among these options, the term “ad hoc” stands out as a non-traditional and less formally recognized type of plan compared to business succession and financial plans.

  1. Business Succession Plan: This type of plan is crucial for the continuity and smooth transition of a business from one owner to another. It outlines how the transfer of ownership will occur in the case of retirement, death, or other circumstances.

  2. Financial Plan: A financial plan is a comprehensive evaluation of an individual’s current pay and future financial state by using current known variables to predict future income, asset values, and withdrawal plans.

  3. Ad Hoc Plan: The term “ad hoc” refers to something created or done for a particular purpose, rather than planned in advance. Ad hoc planning is usually done on a case-by-case basis when a unique situation arises that does not fit into existing conventional plans. While ad hoc plans can be effective for addressing immediate needs, they are not standard, recognized, or formalized like business succession and financial plans.