Kate Is the HR Manager of Gunther Corp

question 75

Multiple Choice

Kate is the HR manager of Gunther Corp., a software company located in Chicago. She wants to establish the validity of a test designed for computer technicians using a predictive validation strategy. Accordingly, Kate must administer the test to

• A) at least half the present computer technicians in Gunther Corp.
• B) people doing similar jobs in other companies.
• C) people applying for computer technician jobs in Gunther Corp.
• D) only those computer technicians in Gunther Corp. who are performing at acceptable levels.
• E) a random selection of computer technicians currently employed at Gunther Corp.

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Definitions:

Joint Cost Function

A cost function that describes the total cost of producing multiple products together, where the costs cannot be separated for each product.

Economies of Scope

Cost advantages that enterprises obtain due to a broad scope of operations or the variety of products and services offered.

Cost Function

A mathematical relation that describes how the total cost of producing a good or service varies with the level of output.

Diseconomies of Scope

The phenomenon where a company’s costs increase as it produces more varied types of products or services, due to inefficiencies.