Explain the three major approaches to resolve financial distress?

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Finance

Explain the three major approaches to resolve financialdistress?

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Financial distress is the situation in which the company or individual cannot generate revenue or income because it cannot pay its financial obligation it can be because of high fixed cost or expenses could be more If a company or individual experiences a period of time when it cannot pay its bills and other obligations by their due date it is likely experiencing financial distress Looking at a companys financial statement can help investors and others determine its financial health The below point help the company or individual to overcome the financial distress Had more financial predictability Could teach your team to understand the finances Could rely on your team to help improve the bottom line Had a common purpose that aligned everyone Could impact the lives of your employees and interns by teaching them financial literacy Best approaches to the financial distress Review business plan or budget and build new budget with innovative idea Cut the cost by reduce employee reduce inventory cost cut down the See Answer

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