Kristy, a production manager at Smart Designs, believes that the formation of labor unions may have a negative impact on the performance of a company's stock. Which statement is likely to strengthen Kristy's belief?
A. Workers in unionized organizations tend to exhibit lower levels of productivity than workers in nonunion organizations.
B. The formation of labor unions is likely to lead to conflicts between social and labor union goals.
C. Unionized organizations are often required to pay their workers higher wages and offer them more generous benefits.
D. Studies reveal that unions do not have any positive effects on performance measures, such as productivity, profits, and stock performance.
E. Unions tend to have a positive impact on the self-esteem of their members.
Answer: C
You might also like to view...
AICPA Code of Professional Conduct, Rule 101 Livingston and Associates is a audit firm in Las Vegas, Nevada and it performs the financial statement audit for Smith Plastics, Inc For each non-related situation below, determine if each individual
represented is independent of Smith Plastics and if Livingston and Associates (the Firm) is independent of Smith Plastics: A. Sam Livingston, an audit partner, meets Jill Warner, CFO of Smith Plastics after the engagement begins and they fall in love. Sam and Jill marry in Lake Tahoe, California a short time later. Sam Livingston will not be on the audit engagement team of Smith Plastics. B. The Firm hires Billy Messer as a staff auditor. Billy is aware that his father has a material investment in Smith Plastics. Billy will not work on the Smith Plastics audit. C. Lucy Brown is an audit manager at the Firm. Bob, her high school aged son, owns 1% of the equity of Smith Plastics. The investment is not material to Bob or Lucy's net worth. Lucy is assigned as the audit manager for the Smith Plastics engagement. D. Smith Plastics has paid all but $5,000 of the previous years audit fees. E. Julie Simpson, tax partner at the Firm has a 401k plan with multiple securities making up the balance. One of the securities in the plan is that of Smith Plastics which comprises .05% of the total balance of Julie's 401k. Julie does not have a significant portion of her retirement or savings in this particular plan.
Professionals do not need to be team players
Indicate whether the statement is true or false
You are considering 2 bonds that will be issued tomorrow. Both are rated triple B (BBB, the lowest investment-grade rating), both mature in 20 years, both have a 10% coupon, neither can be called except for sinking fund purposes, and both are offered to you at their $1,000 par values. However, Bond SF has a sinking fund while Bond NSF does not. Under the sinking fund, the company must call and pay off 5% of the bonds at par each year. The yield curve at the time is upward sloping. The bond's prices, being equal, are probably not in equilibrium, as Bond SF, which has the sinking fund, would generally be expected to have a higher yield than Bond NSF.
Answer the following statement true (T) or false (F)
Predatory pricing occurs when a company lowers its prices below cost to drive competitors out of business
Indicate whether the statement is true or false