All of the following statements about the effects of downsizing are true EXCEPT:

A. downsizing efforts eliminate people who turn out to be irreplaceable assets.
B. short-term cost savings often turn negative in the long term.
C. downsizing efforts guarantee an increase in organization competitiveness.
D. employees who survive downsizing often become narrow-minded and risk-averse.


Ans: C. downsizing efforts guarantee an increase in organization competitiveness.

Business

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Which of the following statements is true regarding an automatic premium loan provision?

A) Its purpose is to prevent a policy from lapsing because of nonpayment of premium. B) Interest does not have to be paid on an automatic premium loan. C) If the provision is used, the insured must show evidence of insurability to resume regular premium payments. D) An automatic premium loan, unlike a regular policy loan, is forgiven if the insured dies before the loan is repaid.

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The issue in the Kruser v. Bank of America case involved A) lost credit cards

B) unauthorized withdrawls. C) unfair interest rates. D) privacy.

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Intuitive decision making occurs due to all of the following except:

A. Having no history or past experience to draw upon B. A lack of time pressure C. High levels of uncertainty D. An excessive number of alternatives

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