The Advantage of Attrition as a Means of Reducing an Employee

question 16

Multiple Choice

The advantage of attrition as a means of reducing an employee surplus is that:

• A) it is a fast process
• B) it guarantees the loss of the most expendable employees
• C) it does not involve resignation or retirement
• D) it usually presents the fewest problems to the organization
• E) it does not include employees who die at work

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Definitions:

Valued

Considered to hold importance, worth, or usefulness in a particular context.

Discount Rate

The rate applied in discounted cash flow analysis for the assessment of the current value of future expected cash flows.

Present Value

Today's valuation of a future money sum or sequence of cash payments, given a specific rate of return.

Received

Refers to the act of obtaining or taking possession of something, often used in financial transactions.