Explain the "free-rider" problem associated with group compensation systems.
What will be an ideal response?
Group compensation systems suffer from what is called the "free-rider" problem where at least one person doesn't carry his or her share of the load. Top-performing employees quickly grow disenchanted with having to carry free riders and leave.
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If state laws specify minimum wages, in addition to the federal level, employees are entitled to receive whichever rate is higher.
Answer the following statement true (T) or false (F)
Which of the following is not a remedy for violation of the American's with Disabilities Act (ADA)?
A) Injunctive relief B) Reinstatement C) Triple back pay D) Compensatory and punitive damages
Johnson's Diner has an adjusted WACC of 10.08%. The company has a capital structure consisting of 70% equity and 30% debt, a cost of equity of 12.00%, a before-tax cost of debt of 8.00%, and a tax rate of 30%
Johnson is considering expanding by building a new diner in a distant city and considers the project to be riskier than his current operation. He estimates his existing beta to be 1.0, the required return on the market portfolio to be 12.00%, the risk-free rate to be 3.00%, and the beta for the new project to be 1.40. Given this information, and assuming the cost of debt will not change if Johnson undertakes the new project, what adjusted WACC should he use in his decision-making? A) 10.08% B) 12.60% C) 13.32% D) 14.16%
When keying names in legal documents, you need to be very precise and use the name the client chooses even if it is a nickname
Indicate whether the statement is true or false.