At the Annual Shareholders' Meeting, the CEO Gave a Speech

question 95

Multiple Choice

At the annual shareholders' meeting, the CEO gave a speech that was described as compelling, eloquent, thoughtful, and challenging. Everyone present felt an emotional connection to the CEO's seemingly unattainable sales goal for the next year. Though some thought the odds of hitting a sales goal that high are maybe 70 percent, the majority of the employees left the meeting very inspired. The CEO's performance matches what characteristic of charismatic leadership?

• A) vision
• B) superb communication skills
• C) self-confidence and moral conviction
• D) ability to inspire trust
• E) high risk orientation
• F) high energy and action orientation
• G) relational power base
• H) minimum internal conflict
• I) ability to empower others
• J) self-promoting personality

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Definitions:

Accounting Break-Even

The point at which total revenues equal total expenses, resulting in no net loss or gain for a business.

PI

An irrational number approximately equal to 3.14159, representing the ratio of a circle's circumference to its diameter. If intended as "Profitability Index," then it is a financial metric used to assess the attractiveness of an investment's potential return compared to its cost.

Financial Basis

Refers to the underlying support or foundation for an economic claim or accounting method, often related to how financial statements are prepared.

Cash Basis

An accounting method in which revenues and expenses are recorded only when cash is received or paid out.