Which of the Following Statements About Countervailing Power in Organizational

question 69

Multiple Choice

Which of the following statements about countervailing power in organizational relationships is true?

• A)Countervailing power prevents anyone else from having any power over you.
• B)Countervailing power is used by the stronger party to prevent the weaker party from leaving the relationship.
• C)Countervailing power is the weaker party's power to maintain the stronger party's continued participation in the relationship.
• D)Countervailing power is one of the ways that people gain power by coping with uncertainty.
• E)Countervailing power is a personality characteristic of people who crave power.

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Definitions:

Recognizes Gain or Loss

Refers to the process of recording in the financial statements the income or expense resulting from a transaction or event.

Intercompany Transactions

Transactions that occur between two different entities within the same corporate group.

Joint Venture

A business arrangement where two or more parties agree to pool their resources for accomplishing a specific task or project.

After Tax Profit

The net income a company earns after all taxes have been deducted from total revenue.