According to a Study Examining Restructuring's Effects on Profitability and Stock

question 14

Multiple Choice

According to a study examining restructuring's effects on profitability and stock returns of 500 representative companies listed on the NYSE,in terms of profitability,which of the following categories of companies generated lower returns on assets in the year prior to the announcement of layoffs,the year when layoffs occurred,and in the two subsequent years on a relative basis?

• A) Asset upsizers
• B) Stable employers
• C) Downsizers
• D) Upsizers

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Definitions:

Conscious Awareness

The state of being awake and aware of one's thoughts, feelings, sensations, and environment.

Difference Threshold

The minimum difference in stimulation that a person can detect 50% of the time, also known as just noticeable difference (JND).

Stereo

A method of sound reproduction that creates an illusion of multi-directional audible perspective, typically using two or more independent audio channels.

Differentiate

The process of distinguishing or discriminating between two or more things, or the process of becoming distinct or specialized in structure or function.