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A Theory of Abnormal Behaviour

question 8

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A theory of abnormal behaviour

Understand the concept of standing plans and how they differ from single-use plans.
Recognize the relationship and interdependence between strategic plans and operational plans in achieving organizational objectives.
Understand the concept of the "invisible hand" and its relevance to economic theory.
Identify examples of government intervention aimed at improving equality.

Definitions:

Tax Gains

Refers to the profit that is taxable after selling an asset at a price higher than its purchase price.

Unused Debt Capacity

The additional amount a business or individual can borrow without harming creditworthiness, based on current financial obligations.

Spin-off

A corporate action where a company "spins off" a section as a separate business, leading to the creation of a new independent company.

Merger

The combination of two or more companies into a single entity, where one survives and the others cease to exist.

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