Under Which Circumstances Is "Hiring Success Gain" Likely to Be

question 58

Multiple Choice

Under which circumstances is "hiring success gain" likely to be optimal?

• A) Low selection ratio, low base rate, high validity
• B) High selection ratio, high base rate, high validity
• C) High selection ratio, low base rate, high validity
• D) High selection ratio, low base rate, low validity

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Definitions:

Equity Method

An accounting technique used to assess the profits earned by investments in other companies, reflecting the profit in proportion to shares held.

Comprehensive Income

The total change in equity for a reporting period other than transactions from owners, encompassing all realized and unrealized gains and losses.

Cost Method

An accounting method used for investments, where the investment is recorded at cost and adjustments are made only for dividends received and permanent declines in value.

Retained Earnings

The portion of a company's profits that is kept or retained and not paid out as dividends to shareholders, often used for reinvestment in the business or to pay down debt.