Which of the Following Is True of Rumors

question 32

Multiple Choice

Which of the following is true of rumors?

• A) The supervisor is often obligated to participate in spreading rumors.
• B) Rumors rarely tell a complete or unbiased version of the truth.
• C) Rumors are always based on facts.
• D) Much of the formal communication takes the form of rumors.

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Definitions:

Nominal Interest Rate

The stated or face interest rate on a loan or financial product, not accounting for inflation or compounding.

Monthly Compounded

The process whereby interest is calculated on a principal sum and previously accumulated interest on a monthly basis.

Car Loan

A sum of money borrowed to purchase a car that is repaid with interest over a set period of time.

Effective Annual Rate

The interest rate on an investment or loan that is adjusted for compounding over a specified period, showing the true annual return.