Which of the Following Is an Example of an Intrinsic

question 80

Multiple Choice

Which of the following is an example of an intrinsic reward that might be received by the leading salesperson in the retail shoe department?

• A)a promotion to assistant manager
• B)a bonus of $50.00
• C)a gift of a new pair of shoes
• D)recognition at the store's holiday party
• E)feeling satisfied at the end of the day

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Definitions:

Preferred Shares

Preferred Shares are a type of stock that grant holders preferential treatment over common stockholders in terms of dividends and assets during liquidation, but usually do not carry voting rights.

Rate of Return

The increase or decrease in the value of an investment, shown as a percentage of the original amount invested, over a given timeframe.

Floatation Costs

Flotation costs are the expenses incurred by a company in issuing new securities, including fees and commissions paid to underwriters, legal fees, and registration fees.

After-Tax Cost of Debt

This refers to the net cost of debt considering the effect of taxes, representing the actual financial cost of debt to a company after tax deductions.