An Operating Unit of an Organization Is Called a Profit

question 155

Multiple Choice

An operating unit of an organization is called a profit center if it is responsible:

• A) only for costs.
• B) only for revenues.
• C) for costs and revenues.
• D) for investments in assets.

Gain the ability to forecast stock betas over time using specific models.

Understand the calculation and significance of alpha in the single-index model.

Learn about the implications of not following a single-index structure in portfolio construction.

Understand the impact of market structure assumptions on the estimation of portfolio risk.

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Definitions:

Layoff

The temporary or permanent termination of employees due to economic downturns, restructuring, or other organizational changes.

Restructuring

The act of reorganizing the legal, ownership, operational, or other structures of a company for the purpose of making it more profitable or better organized for its present needs.

Organizational Change

The process through which companies undergo transformations in their structures, strategies, operational methods, technologies, or cultures to adapt to internal and external pressures.

Systematic Change

A change that impacts an entire system, often involving significant restructuring or transformation of processes, policies, or practices.