What Type of Error Is Evidenced When an Employee Receives

question 97

Multiple Choice

What type of error is evidenced when an employee receives the same rating on each factor?

• A) Leniency error
• B) Recency error
• C) Halo error
• D) Central tendency error

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Definitions:

Income Statement

An income statement is a financial report that shows a company's revenues, expenses, and profits over a specific period.

Balance Sheet

A financial statement that provides a snapshot of a company’s assets, liabilities, and equity at a specific point in time.

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations or those due within one year.

Acid-test Ratio

A financial metric used to evaluate a company's short-term liquidity position by comparing its most liquid assets (excluding inventory) to its current liabilities.