Explain the definition of a Key Performance Indicator (KPI). What makes a useful KPI?Explain

Explain the definition of a Key Performance Indicator (KPI). What makes a useful KPI?

List 9 specific key performance indicators that a CFO might use to evaluate the past results or use to evaluate estimated future performances.

A minimum of 4 of the KPIs must not use only financial data but must include some operational data. For example, the numerator and denominator can be the following:

Both financial data (max 5)

One can be non-financial and the other financial

Both can be non-financial

One KPI does not have to have a numerator or denominator (# of lost customers or EBITDA)

Make sure for each KPI you explain briefly what the KPI measures and why you feel as CFO that this can be a key performance indicator.

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