Which of the Following Statements Is a Disadvantage for a Company

question 5

Multiple Choice

Which of the following statements is a disadvantage for a company that outsources jobs?

• A) The need to purchase and update computers and related equipment increases substantially.
• B) The potential to groom and hire from within an enculturated workforce decreases.
• C) The work force size within the company increases, thereby increasing its salary budget.
• D) The company's contribution to employee health benefits, retirement, and 401(k) payments increases.

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Definitions:

Fiscal Policy

Government policies related to taxes and spending with the goal of influencing the economy's growth, inflation, and employment levels.

Deflation

A decrease in the general price level of goods and services, leading to an increase in the purchasing power of money.

Foreign Investors

Individuals or entities that invest capital in business ventures in a country other than their own, seeking to earn a return on their investment.

Full Employment GDP

The output level (Gross Domestic Product) achieved by an economy when all available resources are employed, but not beyond sustainable capacity.