Would You Expect the Following to Be High or Low

question 10

Multiple Choice

Would you expect the following to be high or low in a labour-intensive firm: (1) operating leverage, (2) safety margin and (3) profit potential?

• A) low,high,low
• B) low,low,high
• C) high,low,high
• D) high,low,low

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Definitions:

Ordinary Course of Business

Activities and operations that are considered normal, routine, and customary for a particular business or industry.

Void Title

A legal situation where title or ownership of an asset or property is deemed invalid due to certain defects or illegitimacy in the acquisition process.

Good Title

A legal term signifying that an owner has rightful ownership of property without any encumbrances such as liens or disputes.

Insurable Interests

A stake or financial interest in something that warrants purchasing insurance to protect against losses or damages to that entity or item.