The TSX Index Had a Return of 12 Percent and Apple

question 28

Multiple Choice

The TSX Index had a return of 12 percent and Apple Inc.had a return of two percent over the same six month period.What can you say about whether your purchase of Apple Inc.was a good decision?

• A)Nothing because the TSX Index is not a relevant comparison for an American company.
• B)Your analysis of Apple was poor.
• C)Apple is always a good company to buy,but this was too short a time to compare.
• D)Comparing returns with an Index is irrelevant.

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Definitions:

Extrinsic Reward

A reward from an external source, often tangible, such as money, grades, or tokens, provided to motivate behavior.

Competencies

The combination of skills, knowledge, and behaviors that are needed to perform a role or task effectively.

Skill-based Pay

A compensation strategy that rewards employees for the skills and knowledge they possess, rather than for their job title or position.

Organization Performance-based

Refers to the concept of evaluating and managing the performance of an organization based on specific outcomes and results rather than solely on processes.