An Organization's Mission States That It "Is Committed to Reducing

question 74

Multiple Choice

An organization's mission states that it "is committed to reducing its environmental footprint"; but its facilities do not comply with statutory environmental regulations. This is an instance of how ________.

• A) strategic goals help shape financial goals
• B) long-term goals differ from short-term goals
• C) an organizations stated goals need not be its real goals
• D) a company's real goals are derived from its mission statement

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Definitions:

Security Selection

Choice of specific securities within a given asset class.

Planning Phase

The initial stage in a project or strategic process where objectives are defined, strategies are developed, and tasks and schedules are planned.

Optimal Asset Allocation

The mix of assets that is expected to provide the highest return for a given level of risk or the lowest risk for a given level of expected return.

Security Selection

The process of choosing individual securities for investment in order to achieve the best possible return.