Jake Is Taking a Creativity Test in Which He Is

question 306

Essay

Jake is taking a creativity test in which he is asked to list as many uses for a rubber band as possible. He receives a high score on the aspect of creativity measured by the number of times he shifted from one class of possible uses to another, which is called __________.

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Definitions:

Investment Turnover

A measure of a company's efficiency in using its assets to generate sales revenue; calculated as sales divided by the investment in assets.

Return on Investments

A metric for assessing how effectively an investment generates returns in comparison to its expense.

Controllable Revenues

Revenues over which a manager or department has influence or direct control, often used in performance evaluation and budgeting.

Residual Income

The net income an entity generates above its cost of capital, a measure of profitability that calculates the surplus after accounting for the cost of capital.