The "Great Man/Person" Trait Definition of Leadership

question 14

Multiple Choice

The "Great Man/Person" trait definition of leadership

• A) Is about the interaction between leaders and followers
• B) Can be learned
• C) Is restricted to those with inborn talent, qualities, or characteristics
• D) Is about developing leadership skills

Understand the concept and impact of business risk on operating performance.

Calculate the breakeven point and understand its significance in business operations.

Interpret and compute financial ratios and leverages such as EPS, DFL, and ROE.

Determine the effects of financial leverage on a firm's financial performance.

---

Definitions:

Interest Rate

The price, in the form of a percentage based on the principal, that a borrower pays to a lender for accessing their assets.

Normal Profit

The minimum level of profit needed for a company to remain competitive in the market, essentially covering the opportunity costs of the business owner.

Entrepreneurial Talent

The unique set of skills, creativity, and innovation that entrepreneurs bring to create and manage new ventures.

Explicit Costs

Explicit costs refer to the direct, out-of-pocket payments made by businesses for the resources they use, such as wages, rent, and materials.