Omar Is a Human Resources Manager for a Large Landscaping

question 90

Multiple Choice

Omar is a human resources manager for a large landscaping and exterior construction company called Northwest Patios.A local news station has just done a story on several dissatisfied customers and their complaints of shoddy work.Omar has had two other media outlets contact him this morning too.Based on research on the effects of such publicity, Omar should expect that

• A)job applications will increase, though rates of candidates accepting job offers will decline.
• B)employee retention will improve.
• C)both rates of candidates accepting job offers and employee retention will slide.
• D)job applications will decrease but employee retention will stay the same.
• E)no substantive changes in applications, offer acceptance or retention will occur.

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Definitions:

Discount Rate

The rate of interest employed to calculate today's value of anticipated future cash streams in discounted cash flow evaluation.

Discount Rate

An interest rate used to discount future cash flows to their present value, often applied in capital budgeting and investment valuation.

Working Capital

A financial metric representing the difference between a company's current assets and current liabilities, indicating its short-term liquidity.

Salvage Value

The calculated leftover value of an asset at the expiry of its service life.