Eileen Is on a Five-Person Team in Her Business Strategy

question 48

Multiple Choice

Eileen is on a five-person team in her business strategy class. The team is responsible for participating in a 10-week simulation of a firm in the airline industry. Eileen contributes frequently in discussions in the twice-weekly team meetings. She is exhibiting the ______ style of listening.

• A) Active
• B) Involved
• C) Passive
• D) Detached
• E) Immediate

---

Definitions:

Capital Budgeting Analysis

Capital budgeting analysis is the process of evaluating and selecting long-term investments that are in alignment with the goal of a company's shareholders' wealth maximization.

Opportunity Cost

The cost of choosing one option over another, representing the benefits an individual, investor, or business misses out on when choosing one alternative over another.

Stand-Alone Principle

A method of evaluating a project or investment by analyzing its viability and potential profitability as if it were the only project the company is undertaking.

Incremental Costs

Additional costs that a company incurs when increasing production or undertaking new projects.