Hobart Is at the Point in His New Venture That

question 99

Multiple Choice

Hobart is at the point in his new venture that he needs to hire more people. He comes to you for advice on the type of candidate he should seek. You tell him, "________."

• A) Find someone who can be groomed to take over the business when you are ready to retire
• B) Offer each candidate a stake in the business and hire the one who accepts the offer
• C) The important thing is to get people on board whose strengths complement your weaknesses
• D) Look for people who are exceptionally capable and fit well with the entrepreneurial culture

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Definitions:

AGI

The total income earned by an individual, subtracting specific deductions, used to calculate how much income tax is owed.

Deductible Contribution

An investment into a qualified account, such as an IRA or 401(k), that can be subtracted from gross income to reduce taxable income.

Highly Compensated Employees

Employees who receive compensation above a specific threshold set by the IRS, subject to certain retirement plan rules.

Pension Plan

A savings strategy for retirement that mandates employers contribute to a fund reserved for an employee's future benefits.