What managerial logic might lie behind a stock split or a stock dividend?
What will be an ideal response?
A logic behind a stock split or a stock dividend could be based on the informational content of the dividend-split
announcement. Stock dividends and splits have generally been associated with companies that have growing earnings.
The announcement of a stock dividend or split has therefore been perceived as favorable news. The empirical
evidence, however, fails to verify these conclusions. Most studies indicate that investors are perceptive in identifying
the true meaning of such a distribution. If the stock dividend or split is not accompanied by a positive trend in earnings
and increases in cash dividends, price increases surrounding the stock dividend or split are insignificant. Therefore, we
should be suspicious of the assertion that a stock dividend or split can help increase investors' net worth.
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Companies are reducing their inventory costs by treating inventory items differently, positioning them according to risk and opportunity. High-risk, low-opportunity items are known as ________
A) nuisance items B) bottleneck items C) variable items D) critical items E) commodities
Name and explain the characteristics of an ethical speaker.
What will be an ideal response?
Mr. Xavier has an HO-3 contract with $100,000 dwelling coverage, $50,000 personal property coverage, and a $500 deductible. The dwelling is 50% depreciated
Sewage backs up into the basement and destroys the furnace, which will cost $8,000 to replace. The policy will pay: A) nothing because of the water damage exclusion B) nothing because the property is not covered C) $7,500 because of replacement cost coverage D) $3,500 because of actual cash value and the deductible
Answer the following statement(s) true (T) or false (F)
1. With the proactive managerial influence tactic of apprising, there is an appeal to feelings of loyalty and friendship. 2. Supervisors and instructors signal positive expectations by giving adequate time to employees and students, holding appointments in pleasant surroundings, sitting or standing close to workers or class members, nodding and smiling, making frequent eye contact, and using a warm tone of voice. 3. According to Kassing’s five strategies, threatening resignation means taking dissent to someone above the immediate supervisor. 4. According to Kassing’s research, of all the five strategies, threatening resignation does the most relational damage. 5. Those tagged as low performers are given more opportunities to speak, to offer their opinions, and to disagree.