Howard Thought His Expense Control Problems Were Resolved When He

question 43

Multiple Choice

Howard thought his expense control problems were resolved when he decided he would hire sales clerks from the local high school,and pay them minimum wage at his profession golf shop.Which of the following statements is most likely to be TRUE of Howard's decision?

• A)He will probably have higher turnover,absenteeism and poor labor productivity.
• B)Young energetic enthusiasm will help Howard's sales.
• C)No one works for minimum wage.
• D)Since high school students are inexperienced,it is justified to pay minimum wage.
• E)It is a good move because of the decreasing workforce.

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Definitions:

Cash Paid for Wages

The amount of money disbursed by a company to its employees as compensation for labor.

Acquire Land

The action or process of obtaining ownership of land, often for business expansion, development, or investment purposes.

Cash Flow Statement

A financial statement detailing the inflows and outflows of cash and cash equivalents, showing how well a company manages its cash position.