Which Organization Below Would Be Most Impacted If a Labor

question 13

Multiple Choice

Which organization below would be most impacted if a labor shortage would occur?

• A) An organization with 1200 employees who is short 10 employees
• B) An organization with 50 employees who is short 1 employee
• C) An organization with 620 employees who is short 40 employees
• D) An organization with 11,000 employees who is short 375 employees
• E) An organization with 35 employees who is short 4 employees

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Definitions:

Accounts Receivable

Unpaid amounts from customers for goods or services that a business has already provided.

Net Income

The total earnings of a company after subtracting all expenses, taxes, and costs from total revenue.

Depreciation Expense

The allocated amount of the cost of an asset, spread out over the time it is expected to be used, reflecting its consumption, wear and tear, or obsolescence.

Indirect Method

In cash flow calculation, this method adjusts net income for non-cash transactions and changes in working capital to arrive at net cash provided by operating activities.