The Performance Appraisal Process in Organizations Is

question 19

Multiple Choice

The performance appraisal process in organizations is:

• A) a rational and objective process.
• B) often heavily influenced by perceptual bias.
• C) unaffected by the impression management process.
• D) a fair process based on cognitive and behavioral objectives, free of bias.

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Definitions:

Sustainable Growth Rate

The maximum rate at which a company can grow its revenues and profits without increasing its financial leverage or debt.

Net Income

Represents the company's total earnings, reflecting the company's profit after all costs and taxes have been subtracted from revenues.

Cash Dividends Paid

The total amount of cash distributed by a company to its shareholders as dividends during a specific period.

Retention Ratio

The share of net income that remains in the business instead of being paid out to shareholders in the form of dividends.