Research on Diversity in Groups Indicates That ____

question 49

Multiple Choice

Research on diversity in groups indicates that ____.

• A) diverse groups suffer from poor communication and are less creative and flexible than homogeneous groups
• B) diverse groups are more creative and flexible than homogeneous groups, and tend to perform better than other groups
• C) diverse groups are capable of being more creative and flexible than homogeneous groups, but tend to suffer from poor communication and perform worse than other groups
• D) diverse groups are far more communicative with one another than homogeneous groups, but tend to be less creative and flexible

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Definitions:

Financial Distress

A situation where a company cannot meet or has difficulty paying off its financial obligations to creditors.

Involuntary Bankruptcy

A legal process initiated by creditors seeking to recover debts from a debtor who has stopped making payments.

M&M Proposition II

A theory in corporate finance that suggests a company's cost of equity capital is a linear function of its capital structure, under a no-tax scenario.