An Investment Firm Rates Bonds for AardCo Inc

question 109

Multiple Choice

An investment firm rates bonds for AardCo Inc. as "B+," while bonds of Deva Corp. are rated "AA." Which level of measurement would be appropriate for such data?

• A)Nominal
• B)Ordinal
• C)Interval
• D)Ratio

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Definitions:

Management Theory

A collection of ideas and principles that provide a framework for effective management and organization of businesses and other enterprises.

Unity of Command

A principle in management and military strategy that stipulates each individual should report to only one manager to avoid confusion and conflict.

Henri Fayol

A French engineer and management theorist who is best known for developing a general theory of business administration and establishing the 14 principles of management.

Information Overload

A situation where an individual or system is overwhelmed by the amount of information to process, hindering decision-making or understanding.