Gamma Corp

question 26

Multiple Choice

Gamma Corp. is planning to bring in new internal standards for all the products it manufactures. The new standards will ensure better quality and will also help the company gain a competitive advantage. However, the factors that stand in the way of the change are increased workload on employees and the need for skill development among employees. To minimize these factors that hinder the change, Gamma has decided to motivate its employees through a reward system. Which of the following concepts is illustrated in the scenario?

• A) Force-field analysis
• B) Participation
• C) Job deskilling
• D) Specialization
• E) Micromanagement

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Definitions:

Unlevered Cost

The cost of financing a project or investment without the impact of debt, or the cost of capital for a company with no debt.

Cost of Equity

The rate of return a company is expected to pay to its shareholders for their investment in the company's equity, often estimated using the Capital Asset Pricing Model (CAPM).

Pre-Tax Cost

The expense or cost incurred by an entity that has not yet been reduced by considerations for taxes.

Leverage Operations

Financial strategies involving the use of borrowed money to increase the potential return of an investment.