Why Must Development Programs, Like Overseas Assignments, Be Put on Hold

question 35

Multiple Choice

Why must development programs, like overseas assignments, be put on hold for managers during a merger?

• A) Costs are prohibitive during a merger so deferring overseas assignments is a cost-cutting measure.
• B) Managers may require additional training to manage the reactions of their employees.
• C) Managers cannot hide in another country to avoid being terminated with the merger.
• D) It is important that managers be available to work out incentive and reward schemes.

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Definitions:

Capital Budgeting

The approach of orchestrating and administering a business's enduring investments towards major initiatives or assets.

Straight-Line Depreciation

A scheme for apportioning the cost of a concrete asset over its lifespan in steady yearly payments.

Capital Budgeting

The process of evaluating and selecting long-term investments that are in line with the goal of shareholder value maximization, such as new machinery, replacement of machinery, new plants, and research development projects.

Straight-Line Depreciation

An approach for distributing the cost of a physical property over its useful life in uniform annual sums.