In considering the decision to offshore, which of the following generally is not one of the hidden costs?

A. wage deflation
B. increased inventory and coordination costs
C. total wage costs and indirect costs
D. reduction in intellectual property rights


Answer: A

Business

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Suppose Stan holds a portfolio consisting of a $10,000 investment in each of 8 different common stocks. The portfolio's beta is 1.25. Now suppose Stan decided to sell one of his stocks that has a beta of 1.00 and to use the proceeds to buy a replacement stock with a beta of 1.35. What would the portfolio's new beta be?

A. 1.17 B. 1.23 C. 1.29 D. 1.36 E. 1.43

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Which of the following remedies is used in cases involving illegal wagering contracts?

A. Weekday ratification of contracts B. Enforceability of the contract in such cases C. Forfeiture of excess interest D. No remedies in such cases

Business

Which of the following is TRUE of trading debt investments?

A) They are held for more than two years. B) They are generally recorded as long-term investments. C) They must be adjusted and reported at fair value at the end of each period. D) They are always reported on the balance sheet at their historical cost.

Business

______ is the extent to which members stick together.

a. Group affect b. Group loyalty c. Group cohesiveness d. Group dedication

Business