Which of the Following Characteristics Could Indicate High Risk

question 418

Multiple Choice

Which of the following characteristics could indicate high risk?

• A) Management decisions are made by a committee of mid to higher level management personnel.
• B) The company is not in a rapidly growing industry.
• C) The company's profitability is lower than the industry norm.
• D) Management turnover has been very low.

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Definitions:

Expand

To expand an algebraic expression means to simplify the expression by distributing multiplication over addition or subtraction and combining like terms.

Binomial Theorem

A principle in algebra that describes the algebraic expansion of powers of a binomial.

Expand

To express a mathematical expression in an extended form by removing parentheses or factoring, usually by applying the distributive property.

Binomial Theorem

A formula for expressing the powers of sums, which identifies the expansion of a binomial raised to any positive integer power.