The Organisation for Economic Co-Operation and Development (OECD, 2017) Study

question 4

Multiple Choice

The Organisation for Economic Co-operation and Development (OECD, 2017) study found that when examining teamwork,

• A) all children viewed teamwork as important.
• B) disadvantaged children felt that teamwork was more important than advantaged children did.
• C) advantaged children felt that teamwork was more important than disadvantaged children did.
• D) teamwork was not viewed as important in problem solving, as individual strengths was deemed most important.

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Definitions:

Cash Break-even Point

The point at which a business's cash inflows equal its cash outflows, excluding financing.

Degree of Operating Leverage

A ratio that quantifies the sensitivity of a company's operating income to its sales, demonstrating the impact of fixed and variable costs on profitability.

Fixed Costs

Fixed costs that stay the same no matter how much is manufactured or sold, including expenses for rent, employee salaries, and insurance charges.

Hard Rationing

A situation where companies cannot obtain funds for projects despite having positive net present values due to external financing constraints.