From the Perspective of Companies,which of the Following Is a Potential

question 10

Multiple Choice

From the perspective of companies,which of the following is a potential benefit of an unstructured firm?

• A) Companies are more certain that they will be able to get the talent they need.
• B) Companies have a workforce with increased sense of loyalty.
• C) Companies find it easier to groom replacement managers and executives.
• D) Companies have clear built-in lines of accountability up and down the chain of command.
• E) Companies can ramp capacity up and down more quickly and with less trauma.

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Definitions:

Loanable Funds

The money available for borrowing, which comes from savings and is demanded by borrowers for investment.

Usury Law

Legal regulations that cap the maximum interest rate that can be charged on loans, intended to protect consumers from excessively high rates.

Maximum Interest Rate

The highest rate of interest that can be charged on loans and credit products, often regulated by law to protect consumers from excessively high rates.

Federal Funds Rate

The interest rate that U.S. banks and other depository institutions charge one another on overnight loans made out of their excess reserves.