Succession Management Depends on Internal and External Candidates

question 35

Multiple Choice

Succession management depends on internal and external candidates.Which of the following is an advantage of internal candidates?

• A)Internal candidates may have better skills to lead the organization through a major transformation.
• B)Internal candidates bring new knowledge acquired through training and development.
• C)Internal candidates prevent the organization from becoming stagnant.
• D)Internal candidates can preserve the corporate culture.

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Definitions:

European Put Options

A type of put option that can only be exercised at the expiration date, allowing the holder to sell the underlying asset at a specified strike price.

American Put Options

Financial instruments that give the holder the right to sell a specified amount of an underlying asset at a set price before the option expires.

Call Option

A financial contract giving the buyer the right, but not the obligation, to purchase an asset or security at a predetermined price within a specific time frame.

In the Money

A term describing an option contract that has intrinsic value, where the strike price is favorable compared to the market price of the underlying asset.