Value Is Created When

question 9

Multiple Choice

Value is created when

• A)the price that the customer is willing to pay for a product exceeds the firm's direct cost of production.
• B)the surplus of value is distributed between customers and producers in the industry by the forces of competition.
• C)the value of a product to consumers is more than they paid for it.
• D)the price that the customer is willing to pay for a product exceeds the firm's cost.

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Definitions:

Criterion Deficiency

A situation where a performance evaluation fails to capture all aspects of job performance, leading to an incomplete assessment.

Criterion Contamination

Occurs when performance appraisals or evaluations include factors irrelevant to the actual job performance, leading to inaccurate assessments.

Performance Review

A formal assessment in which the performance of an employee is documented and evaluated, often leading to feedback and development plans.