In Order to Understand If the Results of Ratio Calculations

question 96

Multiple Choice

In order to understand if the results of ratio calculations indicate a financially strong company,the results:

• A)Should be compared to other firms in the same industry.
• B)Are compared to same size firms in the same geographic region of the country.
• C)Are compared to the norms established by generally accepted accounting principles.
• D)Are compared to the largest firms in the country.

---

Definitions:

PE Fit

Person-Environment Fit refers to the congruence between an individual's characteristics and the demands of the environment or organization they are in.

Psychological Contract

An unwritten agreement that reflects the mutual beliefs, perceptions, and informal obligations between an employer and an employee.

Reciprocal Obligations

Mutual responsibilities or duties exchanged between parties, where each party has an obligation to the other.

Realistic Job Preview

An accurate presentation of the potential positives and negatives of a job to prospective employees.