An Organization Installs an Exercise Room and Hires a Dietician

question 58

Multiple Choice

An organization installs an exercise room and hires a dietician.What is most likely the cause of these actions?

• A) a reduction in company profits and high employee turnover
• B) a realization that human assets require maintenance just like machines
• C) an acknowledgement that coaching is an investment in top-level managers
• D) a need to modify job structure and reporting mechanisms

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Definitions:

Net Present Value

A financial metric that calculates the difference between the present value of cash inflows and the present value of cash outflows over a period of time.

Discount Rate

The interest rate used to determine the present value of future cash flows in discounted cash flow analysis.

Time Value

The idea that possessing money today has greater value than having an identical amount in the future, thanks to its ability to earn more over time.

Tax Deductions

Expenses that can be subtracted from gross income to reduce the total amount of income subject to taxation, effectively lowering the overall tax liability.