In Order to Ensure That a Performance Appraisal Is Legally

question 85

True/False

In order to ensure that a performance appraisal is legally defensible, a supervisor should use only one performance appraisal tool.

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Definitions:

Fair Market Value

The price at which an asset would be exchanged between a willing buyer and seller, each having reasonable knowledge of all the relevant facts.

Fair Value Enterprise Method

A valuation technique that estimates the price at which an entire business would change hands, reflecting the present value of future earnings.

Total Assets

represent the summation of everything a company owns, both current and non-current, that can be used for paying debts, investments, or other operations.

Fair Value Enterprise Method

A methodology for valuation that estimates the value of an entire enterprise as if it were traded in the market, based on the fair value of its assets and liabilities.