Why Have Organizations Become Increasingly Sensitive to the Natural Environment

question 37

Multiple Choice

Why have organizations become increasingly sensitive to the natural environment?

• A)The natural environment provides organizational necessities such as raw materials,minerals,water,and air.
• B)The natural environment allows corporations to dispose of their waste in expedient manners.
• C)The natural environment provides many recreational opportunities for board members and key managers.
• D)The natural environment permits organizations to write off numerous tax obligations.

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Definitions:

Interest Payments

The cash outflows that a borrower makes to a lender as a compensation for the use of borrowed funds.

Premium Bond

A bond that is trading above its par value in the financial markets.

Default Risk Premium

The additional yield that an investor demands for holding a bond with default risk over a similar risk-free security.

Nominal Interest Rate

The rate of interest before adjustments for inflation.