Which of the Following Best Describes Organizational Culture

question 7

Multiple Choice

Which of the following best describes organizational culture?

• A)Organizational culture is easy to change.
• B)Organizational culture is readily identified.
• C)Organizational culture is becoming less important in today's environment (due to factors such as downsizing and outsourcing).
• D)Organizational culture is critical to long-term success.

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Definitions:

Degree of Sensitivity

Refers to the responsiveness measure of how a dependent variable such as demand or price reacts to changes in an independent variable.

Net Present Value

The calculation that compares the value of money today to the value of that same money in the future, taking inflation and returns into account.

Degree of Operating Leverage

A financial ratio that measures the impact of fixed costs on the profitability of a company, indicating how earnings before interest and taxes (EBIT) change with sales volume.

Degree of Operating Leverage

A financial ratio that measures the sensitivity of a company's operating income to its sales, indicating the percentage change in operating income for a one percent change in sales.