Every Summer, University Administrators Attempt to Estimate How Many Students

question 50

Essay

Every summer, university administrators attempt to estimate how many students will show up in the fall. When August arrives, they hire part-time instructors and reassign faculty to teach the courses students want. In the spring, administrators often go on a retreat to consider how to do things differently next year. What phase of the strategic planning process do they engage in during each of the three seasons (summer, fall, and spring)?

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Definitions:

Expected Rate Of Profit

The anticipated return on an investment, taking into account the risk and time value of money.

Classical Theory

Refers to an economic theory that asserts that the economy is self-regulating, markets are best left alone without government intervention, and supply creates its own demand.

Interest Rate

The fee that a lender imposes on a borrower for the usage of assets, represented as a proportion of the principal amount.

Savings And Investment

The act of setting aside income for future use and the use of those savings for new capital expenditures or financial products.