Which of the Following Would Not Be Likely to Result

question 32

Multiple Choice

Which of the following would not be likely to result in diseconomies of scale?

• A) Low worker morale
• B) Low productivity
• C) Administration overhead
• D) Specialization of labor
• E) Managerial problems

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Definitions:

Net Income

The total profit of a company after all expenses, including taxes and operating costs, have been deducted from total revenues.

Preferred Dividends

Regular dividends paid out to preferred shareholders before any dividends are paid to common shareholders, typically fixed in amount or percentage.

Accrued Expense

Expenses that have been incurred but not yet paid for, typically recorded through adjusting journal entries.

Stockholders' Equity

The remaining value of a company's assets after all debts are paid off, which reflects the shareholders' stake in the corporation.