When Making Decisions,managers Often Have to Decide Between Doing What

question 56

Multiple Choice

When making decisions,managers often have to decide between doing what is beneficial for them (and possibly the firm) in the short run,and doing what is right and beneficial for the firm and for society in the long run.To address this conflict,a firm

• A) must evaluate its quarterly profit statement from an ethics standpoint.
• B) must state its long-term goals in general terms,so as to not interfere with managers' short-term goals.
• C) must always put society's needs ahead of the firm's needs.
• D) must ensure that long-term goals of the firm are aligned with the short-term goals of each individual within the firm.
• E) should adhere rigidly to legal standards in its industry.

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Definitions:

Autoregressive Model

A type of statistical model that predicts future values based on past values of the variable, often used in time series analysis.

First-order

Typically refers to the simplest form of a mathematical model or differential equation, indicating that it involves only the first derivatives or linear terms.

Stock Sales

The process or activity of selling shares of a company on the stock market.

Quadratic Trend Analysis

A statistical method used to determine if a quadratic relationship exists between a dependent variable and an independent variable.