All Governments and Not-For-Profit Entities Should Establish Goals and Objectives

question 34

Multiple Choice

All governments and not-for-profit entities should establish goals and objectives.Which of the following is a desirable characteristic of an operational objective?

• A)An operational objective should be open to interpretation.
• B)An operational objective should be measurable.
• C)An operational objective should be a statement of aspirations.
• D)An operational objective should be accomplishable by an unspecified future date.

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Definitions:

Effective Rate

The actual interest rate an individual pays on a loan or earns on an investment, taking into account the effect of compounding.

Quarterly Compounding

A technique in which interest is computed and then compounded to the main amount quarterly.

Nominal Rate

The stated interest rate of a bond or loan, not adjusting for inflation or the compounding of interest.

Monthly Compounding

The monthly interest computation strategy that involves both the starting principal amount and the earned interest from earlier times.