The Situation in Which an Employee Prefers to Exert Less

question 44

Multiple Choice

The situation in which an employee prefers to exert less effort compared with the effort desired by the owner because the employee's effort CANNOT accurately be monitored and enforced is known as a(n) :

• A)incentive
• B)moral hazard
• C)objective
• D)imputed cost

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Definitions:

Allocate Resources

The act of distributing available assets, such as time, money, and manpower, among various projects or departments to achieve organizational goals.

Strategic Management

The formulation, implementation, and evaluation of actions and decisions that will enable an organization to achieve its long-term objectives.

Environmental Scanning

Environmental scanning is the process of systematically gathering, analyzing, and managing external information about factors that could impact an organization's ability to succeed.

Competitive Advantage

An attribute or combination of attributes that allows an organization to outperform its competitors, achieved through cost leadership, differentiation, or focus strategies.