Shadow, Inc

question 28

Multiple Choice

Shadow, Inc. uses a standard application form for most jobs in its organization. One of the questions on this form inquires as to the financial liability record of applicants. Which of the following would help to establish the adverse impact of this question?

• A) The applicant's response had no impact on the chances of being hired.
• B) Minorities are less likely to have financial liability.
• C) Financial liabilities have nothing to do with job performance.
• D) Women would be impacted favorably.
• E) None of these.

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Definitions:

Isocost Line

A graph that shows all combinations of inputs that cost the same total amount for a firm.

Optimal Combination

The most efficient allocation or selection of resources and inputs to maximize output or satisfaction.

Isoquant

A curve that shows all the combinations of inputs that produce the same level of output, used in the study of production theory.

Isocost Line

A graph representing all combinations of a firm's inputs that result in the same total cost.