In the Problem Discussed in Your Workbook, the Cost of Capturing

question 35

Multiple Choice

In the problem discussed in your workbook, the cost of capturing a cockatoo and transporting him to the United States is about $40 per bird.Cockatoos are drugged and smuggled in suitcases to the United States.Half of the smuggled cockatoos die in transit.Each smuggled cockatoo has a 10% probability of being discovered, in which case the smuggler is fined.If the fine imposed for each smuggled cockatoo is increased to $1,100, then the equilibrium price of cockatoos in the United States will be

• A)$333.33.
• B)$150.
• C)$95.
• D)$73.
• E)$244.44.

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Definitions:

Behaviourally Anchored Rating Scale

A performance appraisal method that uses specific descriptions of behaviors to rate various levels of performance.

Behaviour Observation Scale

A tool used in performance management to rate an individual's behavior in a specific context or situation.

Performance Standards

Specific criteria used to measure the efficiency, effectiveness, and quality of an employee's work or an organization’s outputs.

Achievable

Pertains to goals or objectives that can realistically be accomplished within the available resources and constraints.