Which of the Following Is NOT a Disadvantage of Hiring

question 112

Multiple Choice

Which of the following is NOT a disadvantage of hiring family members?

• A) A dispute among family members can spill from home into the workplace.
• B) It may not be possible to separate family and work
• C) Short-term stability
• D) Communication may break down
• E) There is always the possibility of managerial incompetence

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Definitions:

Dividend Payout

The portion of a company's earnings that is distributed to shareholders in the form of dividends, usually expressed as a percentage of the earnings.

Lower Volatility

Refers to the characteristic of an asset or portfolio to experience less fluctuation in price over time.

Intrinsic Value

The actual value of a company or asset based on underlying perception of its true value including all aspects of the business, in terms of both tangible and intangible factors.

Time Value

The principle that the value of money changes over time due to its potential earning capacity, impacting investment decisions.