Mintzberg identifies several types of political games actors in organizations play. What term does he use to refer to games which the dominant elites play against the lower status participants, in response to the former group’s games?
a. Expertise games
b. Insurgency games
c. Counter insurgency games
d. Game playing
c. Counter insurgency games
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The main purpose of a reduced-market-focus strategy is to ________
A) enter new market-segments B) become more efficient C) increase market share D) develop new markets E) increase customer loyalty
When fixed costs are $18,000 and the contribution margin per unit is $4, the breakeven point is
a. 4,500 units. b. 2,230 units. c. $22,300. d. $72,000.
One of the five techniques of earnings management identified by the Securities and Exchange Commission relates to materiality. Independent auditors have traditionally used arbitrary quantitative benchmarks to define how large an amount must be to be
considered material. During the course of auditing the financial statements of a company, an auditor finds some misstatements in the client's financial statements. When combined, the misstatements, result in a 4% overstatement of net income and a $.02 (4%) overstatement of earnings per share. The auditor's materiality threshold is 5%, that is, an item in the financial statements must be misstated by more than 5% to be considered a material deviation from generally accepted accounting principles. On the basis of the established materiality threshold, the auditor concludes that the deviation from GAAP is immaterial and the accounting is permissible. Define the term "materiality" and explain whether the auditor is justified in the conclusion that the accounting proposed by the client is permissible.
Which of the following is used to resolve a case where the obligee fraudulently makes successive assignments of the same right to a number of assignees?
A) the English rule B) an approval clause C) an anti-assignment clause D) a novation agreement