When Different Supervisors Define Levels of Performance (Good, Fair, Poor)

question 65

Multiple Choice

When different supervisors define levels of performance (good, fair, poor) differently, unfair appraisals could result due to a problem with ________.

• A) unclear standards
• B) halo effects
• C) complexity
• D) leniency

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Definitions:

Profit-Maximizing

A strategy or process by which a business seeks to generate the highest possible profit from its operations, often by adjusting prices, output, or production methods.

Marginal Cost

The increase in cost resulting from the production of an extra unit of a product or service.

Markup

The difference between the cost of a product or service and its selling price, expressed as a percentage of the cost.

Marginal Cost

The additional total expense incurred from producing one more unit of a product or service.