As the Grapevine Is a Source of Information for Employees

question 88

Multiple Choice

As the grapevine is a source of information for employees, supervisors should

• A) use it as the primary way to communicate with their employees.
• B) ensure that they are the primary source of all the information that flows through the grapevine.
• C) expect that employees sometimes have information before they have delivered it.
• D) be careful not to use lateral forms of communication.

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Definitions:

Foreign Subsidiary

A company that is partially or wholly owned but is located in a different country than the parent company, subject to the laws and regulations of the country in which it operates.

Currency Exchange Rates

The value of one currency for the purpose of conversion to another currency.

Remeasurement

The process of adjusting the book value of a foreign currency transaction or a company's foreign operations to reflect changes in exchange rates or fair value.

Foreign Currency Transactions

Deals or exchanges that involve the use of currency other than the domestic currency of the entities involved.