Dee's Performance Appraisal Allowed the Director to Evaluate Her Performance

question 254

Multiple Choice

Dee's performance appraisal allowed the director to evaluate her performance, but also allowed peers and subordinates to provide feedback as well. This type of appraisal is called a(n)

• A) vertical appraisal.
• B) horizontal appraisal.
• C) global review.
• D) 360-degree review.

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Definitions:

Superior Returns

Returns that exceed the performance of a benchmark index or the average returns of a particular investment category.

Neglected-firm Effect

A theory suggesting that lesser-known, smaller companies can provide higher returns than their larger counterparts due to lack of analyst coverage.

Excess Returns

Returns on an investment that exceed a benchmark or average return, indicating higher-than-expected performance.

Abnormal Returns

Returns on a security or portfolio that exceed what is predicted by market models, such as the CAPM, indicating outperformance.