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The FAIR Test Is a Way to Predict How Employees

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The FAIR test is a way to predict how employees will react to a new policy.


Definitions:

Net Working Capital

The difference between a company's current assets and current liabilities, indicating the short-term liquidity and operational efficiency.

Capacity Utilization

The percentage of a firm or country's productive capacity that is being used at a given time.

Fixed Assets

Long-term tangible assets that are used in the operations of a business and are not expected to be consumed or converted into cash within a year.

Percentage of Sales Approach

A forecasting method that estimates future financial outcomes based on a percentage relationship between sales growth and other financial accounts.

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