Select the Goal That Is Most Likely to Stimulate Performance

question 38

Multiple Choice

Select the goal that is most likely to stimulate performance, according to the guidelines of goal-setting theory.

• A) Increase quality levels.
• B) Obtain sales levels that are 15 percent higher than last year.
• C) Sell defective items overseas.
• D) Develop a cure for AIDS.
• E) Employees should attend prayer sessions every day.

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Definitions:

Amount of Profit

The financial gain made in a transaction or operation, calculated as total revenues minus total costs.

Vertical Axis

The y-axis in a graph or chart, which typically represents the dependent variable in a data set.

Total Cost Curve

A graph that depicts how the total costs of production vary with the level of output.

Economic Profit

A measure of performance that captures the surplus generated from business activities after accounting for both explicit and implicit costs.