One of the Seven Factors Given to Help Minimize the Chances

question 54

Multiple Choice

One of the seven factors given to help minimize the chances of setting unfair wages and salaries is that

• A) If wages conform with the law, they are fair wages.
• B) A fair wage is whatever an employee is willing to accept.
• C) An employer's financial capabilities affect what constitutes a fair wage scale for that employer's employees.
• D) Avoiding the prevailing wage in the industry and community wage level.

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Definitions:

Present Value

The current value of a future amount of money or stream of cash flows given a specified rate of return.

Cash Inflows

The total amount of money entering a company, typically from operations, financing, and investing activities.

Rate of Return

A measure of the profitability of an investment, indicating the percentage of invested money gained or lost relative to its initial cost.

Capital Budgeting Technique

Methods used to evaluate and select long-term investments based on potential for profit and alignment with strategic goals, such as NPV or IRR.