Abdul Was Listening to a Radio Talk Show and Heard

question 71

Multiple Choice

Abdul was listening to a radio talk show and heard the announcer talk about "a high correlation between crime and poverty." The announcer then proceeded to say since there was a high correlation,poverty causes crime.Abdul is taking psychology,and is skeptical of what he just heard.He knows that:

• A) correlation does not indicate cause-and-effect relationships
• B) to properly evaluate the statement, he needs to know the magnitude of the correlation
• C) poverty is difficult to measure
• D) the research indicates that crime causes poverty, not vice versa

Identify the responsibilities and performance measures of investment centers.

Apply concepts of residual income in evaluating business performance.

Distinguish between cost centers, profit centers, and investment centers in organizational structures.

Utilize financial ratios and formulas to assess business operations.

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Definitions:

Laws

The system of rules that are recognized as regulating the actions of a country's or community's members and enforced by the imposition of penalties.

Forces of Competition

Forces of competition pertain to the external pressures in a marketplace from other firms that affect a company's ability to compete, often described in Porter’s Five Forces model.

Industry

A group of companies that operate in a specific sector of the economy, producing or supplying goods, services, or related technologies.

Strategic Plans

Long-term goals and the actionable steps designed to achieve an organization's objectives.