Riskier the Payments Are to Workers, The

question 79

Multiple Choice

riskier the payments are to workers, the:

• A)more a firm must pay on average.(True Answer )Correct
• B)less a firm must pay on average.
• C)more a firm must rely on piece rate pay.
• D)fewer the workers who will take on work.

---

Definitions:

Cash Flow Per Share

A measure of a firm's financial flexibility, calculated as operating cash flow divided by the number of outstanding shares.

Prohibited

Actions or activities that are not permitted or allowed by law, regulation, or policy.

Basic Earnings

Earnings calculated by dividing the net income by the total number of outstanding shares, showing the profit earned per share.

Price/Earnings Ratio

A valuation ratio of a company's current share price compared to its per-share earnings, commonly used by investors to determine stock attractiveness.