Which of the Following Is Not One of the Top

question 168

Multiple Choice

Which of the following is not one of the top ten reasons companies outsource their operations?

• A)More effective than producing all the components of a product
• B)Provides a cash infusing as freed-up assets are sold
• C)Provides world-class capabilities at lower cost
• D)Transfers a portion of business risk to an outsource provider

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Definitions:

Systematic Risk

The inherent risk associated with the overall market or economy that cannot be eliminated through diversification.

Expected Return

The anticipated return on an investment, calculated as the weighted average of all possible returns with the probabilities of their occurrence.

Recessionary Period

denotes a time of economic decline when the economy reduces its activities significantly, typically marked by decreases in spending and increases in unemployment.

Economic Boom

A period of significantly increased economic activity characterized by high growth rates in GDP and employment.