In Order to Increase Value, an Organization Must

question 31

Multiple Choice

In order to increase value, an organization must:

• A) increase perceived benefits while decreasing actual benefits.
• B) increase both perceived benefits and price or cost proportionally.
• C) decrease both perceived benefits and price or cost proportionally.
• D) decrease price or cost while holding perceived benefits constant.

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Definitions:

Holder

Someone who legally possesses a negotiable instrument, such as a check or bond, and has the right to enforce it.

Instrument

In legal and financial contexts, a formal document like a contract, will, or negotiable instrument that establishes legal rights and obligations.

Value Requirement

The necessity for something to have worth, importance, or significance in a specific context, often used in legal and financial settings to assess validity or enforceability.

Holder in Due Course

A person who possesses a negotiable instrument for payment in good faith and without knowledge that it is overdue or has been dishonored.