Edwin Is the HR Manager at a Customer Care Unit

question 6

Multiple Choice

Edwin is the HR manager at a customer care unit with approximately 1,000 employees.He wants to statistically analyze the service data to make the recruitment process more effective by identifying desirable and undesirable qualities of employees.Edwin observes a high positive correlation between the employees' ability to adapt and the turnaround time.However,he decides to avoid using this criterion when recruiting employees.Which of the following,if true,would MOST strengthen this decision to avoid the criterion?

• A)The statistical significance of the correlation was found to be sixty percent.
• B)Another trait,honesty,had a higher correlation coefficient than employees' ability to adapt.
• C)The sample size used by Edwin was significantly larger than what was required.
• D)Multiple regressions were observed among the variables used for the analysis.

---

Definitions:

Rate of Return

The gain or loss of an investment over a specified period, expressed as a percentage of the investment's initial cost.

Equivalent Annual Cost

A financial metric used to compare the cost-efficiency of different investments or projects with different lifespans, by calculating their annual costs.

Present Value

The present day value of an anticipated future amount of money or series of cash receipts, calculated with an established rate of return.

CCA Tax Shield

Refers to the reduction in taxable income for businesses through the deduction of depreciation on long-term assets.