A concern that is problematic and compels companies to take action immediately is
A. the quality of merchandise.
B. the quality of service.
C. an employee's lack of courtesy.
D. all of the above.
Answer: D
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If net operating income is $83,000, average operating assets are $415,000, and the minimum required rate of return is 14%, what is the residual income?
A. $24,900 B. $58,100 C. $107,900 D. $33,200
If a firm competes in a capital-intensive industry with excess capacity, all of the following are true except:
a. price increases will be less likely. b. price increases will be more likely. c. companies in competitive industries face high exit barriers. d. companies in competitive industries may experience future price decreases.
In Saudi Arabia v. Nelson, the court held:
a. under the Foreign Sovereign Immunities Act, a foreign state is presumptively under the jurisdiction of the U.S. courts. b. the Foreign Sovereign Immunities Act provides the sole basis for obtaining jurisdiction over a foreign state in the courts of this country. c. whether a state acts in the manner of a private party is a question of motivation. d. in determining whether a state engages in commercial activity, the question is whether the foreign government is motivated by profit.
Free-Flo Pipes & Plumbing Corporation is a private employer in¬volved in an employment discrimination suit under the Civil Rights Act of 1964. Punitive damages may be recovered against Free-Flo only if the employer
a. acted with malice or reckless indifference. b. can easily afford to pay the amount. c. has one hundred or more employees. d. consents.