The ____________________ Principle Says That Assets of a Company Are

question 173

Short Answer

The ____________________ principle says that assets of a company are initially recorded at their original cost.

Know how to organize and structure messages conveying bad news to different stakeholders.

Gain insights into the proper use of technology and social media in communicating negative messages.

Understand legal and psychological implications of layoffs and how to communicate such decisions.

Identify phrases to avoid in negative messages.

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Definitions:

Least-cost Combination

An optimal mix of inputs that minimizes the cost of production while yielding a given level of output.

Net Gain

The difference between total revenues and total expenses, indicating the financial profitability of a transaction or activity.

Allocative Efficiency

A state of resource allocation where it is impossible to make any one individual better off without making at least one individual worse off, typically achieved when the economy effectively allocates resources to where they are most valued.

Productive Efficiency

A scenario where goods or services are produced at the lowest possible cost, often involving optimal utilization of resources.