Which of the Following Statements Is True About Turnover

question 50

Multiple Choice

Which of the following statements is true about turnover?

• A) It is illegal for an employer to continue to hire new employees while laying off other employees.
• B) When key individuals leave the firm, the turnover is often functional because they no longer act as a brake on the introduction of new technology and new work processes.
• C) The turnover of poor performers is considered functional.
• D) Organizations have little control over involuntary turnover.

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Definitions:

Constant Growth Model

A model used to estimate the value of a stock assuming that dividends grow at a constant rate indefinitely.

Required Return

The basic yearly rate of return essential for inducing companies or individuals to invest money into a specific project or security.

Annual Dividend

The total dividend payment a shareholder will receive from a company in a single year, per share owned.

Rate Of Return

The success or failure of an investment over a tailored period, represented in terms of the percentage of the investment's cost price.