Which of the Following Steps Would Help Decrease Business Risks

question 11

Multiple Choice

Which of the following steps would help decrease business risks?

• A) Making specific plans for and arrangements to deal with foreseeable events
• B) Assuming employees will follow basic workplace etiquettes without a written code of conduct
• C) Ensuring employees have easy access to valuable assets
• D) Having separate codes of conduct for employees at different tiers of the management

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Definitions:

Backward-Bending

This term describes a situation where, beyond a certain point, higher wages actually lead to a decrease in labor supply because workers prefer leisure over additional work.

Substitution Effect

The economic principle that as the price of one good increases, consumers will replace it with a similar, less expensive good, influencing demand patterns.

Income Effect

The effect of income variations in individuals or economies on the demand levels for goods and services.

Corporate Profit

The financial surplus gained by a corporation after deducting all costs, taxes, and expenses from revenue.