Why Did the Growing Use of Ability Tests Come to an Abrupt

question 38

Multiple Choice

Why did the growing use of ability tests come to an abrupt halt during the late 1960s and 1970s?

• A)because ability tests were becoming more costly to administer to large numbers of applicants
• B)because other, more valid predictors of job performance became available
• C)because of EEO laws and early Supreme Court decisions that specifically addressed a few of the most popular of these tests
• D)because research evidence questioned the validity of these tests for predicting job performance

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Definitions:

Liquidity

A measure of a company's ability to pay off its short-term liabilities with its available cash and quick assets.

Current Assets

Assets that are expected to be converted into cash, sold, or consumed within one year or within the business's normal operating cycle if longer.

Operating Cycle

The average period of time it takes for a business to convert its inventory into cash through sales.

Twelve Months

A term commonly used in finance and business to refer to a full fiscal or calendar year.