Which of the Following Is an Assumption of the Multiple

question 30

Multiple Choice

Which of the following is an assumption of the multiple regression selection decision making model?

• A)Predictors are not additive or compensatory.
• B)The composite profile of successful employees is different from the composite profile of unsuccessful employees.
• C)A minimum amount of each KSA is necessary for successful job performance.
• D)The predictors are linearly related to the criterion.

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Definitions:

Merger Premium

The additional amount that a company pays over the current market value of a target company during an acquisition, reflecting the anticipated synergy value.

Incremental Value

The additional value created by a new investment or project, compared to the scenario without it.

Equity-Financed

A method of raising capital whereby a company issues new shares of stock and receives fresh capital in return but does not incur debt.

Value Per Share

The amount of money that would be received for each share of stock if all of a company’s assets were sold at their exact book value.