Which of the Following Is a Misuse of a Performance

question 28

Multiple Choice

Which of the following is a misuse of a performance appraisal system?

• A) Using it as a motivational tool.
• B) Using it to determine job assignments.
• C) Using it to decide which employees should receive special training.
• D) Using it as a disciplinary device.

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Definitions:

Operating Cash Flow (OCF)

A measure of the cash generated by a company's normal business operations, indicating its ability to cover operational expenses and invest in its business.

Tax Shield Approach

A method used in financial analysis to determine the value of tax deductions, such as interest on debt, which reduces taxable income.

Costs

Expenses incurred in the process of producing or acquiring goods and services, including materials, labor, and overhead.

Depreciation

A method of allocating the cost of a tangible or physical asset over its useful life.