Consider the Following Two FIs: Company a Has $500 Million

question 36

Multiple Choice

Consider the following two FIs: Company A has $500 million in total assets and total costs equal to $200 million. Company B has $60 million in total assets and total costs equal to $24 million.
What are average costs for each FI?

• A) 0.40 for A and 2.50 for B.
• B) 2.50 for both A and B.
• C) 2.50 for A and 0.40 for B.
• D) 0.40 for both A and B.
• E) Insufficient information.

Recognize the significance of leadership substitutes and their impact on leadership necessity.

Know the importance of clear task roles and the involvement of followers in the leadership process.

Understand different leadership decision-making styles as per the Vroom-Jago model.

Distinguish between directive, supportive, participative, and achievement-oriented leadership styles.

---

Definitions:

Elastic

Describes a situation where a change in one variable, such as price, leads to a significant change in another variable, such as demand.

Price Elasticity of Demand

An indicator of consumer sensitivity to price fluctuations, represented by the degree to which the demand for a product varies in response to alterations in its price.

Absolute Value

The distance of a number from zero on a number line, without considering its direction; always a positive number or zero.

Cookies

Small files stored on a user's computer or device by a website, containing data about the user's browsing activities.