When Performance Measures Are Deficient or Contaminated, Employees Are Less

question 6

True/False

When performance measures are deficient or contaminated, employees are less likely to feel that their efforts directly influence the performance measures used to determine performance-based pay.

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Definitions:

NPV

Net Present Value represents a technique for assessing the profitability of a project or investment, utilized in the process of capital budgeting.

Cash Flow

The total amount of money being transferred into and out of a business, capturing the company's operational, investing, and financing activities.

Cost Of Capital

The minimum return rate a company needs to achieve on its investments to preserve its market valuation and draw in financing.

Cash Flow

The total sum of cash and cash-like assets moving in and out of a company.