Which of the following rationales for pursuing unrelated diversification is likely to increase shareholder value?
A. to chance that market downtrends in some of the company's businesses will be partially offset by cyclical upswings in its other businesses
B. to restructure an underperforming business
C. to provide benefits to managers such as high compensation and reduced unemployment risk
D. to reduce risk by way of spreading the company's investments over a set of truly diverse industries
E. to enable a company to achieve rapid or continuous growth
Answer: B
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Which of the following correctly states the period for which the auditor is responsible for subsequent events?
a. The balance sheet date to the date the audit report is issued. b. The balance sheet date to the end of field work. c. The balance sheet date to the date of subsequent discovery of omitted procedures. d. All of the above.
All else being equal, which of the following would cause the total contribution margin to increase?
A) A decrease in variable costs per unit. B) An increase in sales volume. C) A decrease in fixed costs per unit. D) An increase in the sales price per unit.
With reference to #21, the HOA rules are: A) An example of private law
B) An example of agency regulations. C) Unconstitutional. D) None of the above
Sanjay, the company's human resources manager, serves in a monitoring role by ensuring diversity is effectively managed by
A. serving as a role model and instituting policies and procedures to ensure that diverse members are treated fairly. B. conveying that the effective management of diversity is a valued goal and objective. C. enabling diverse individuals to coordinate their efforts and cooperate with one another. D. allocating resources to support and encourage the effective management of diversity. E. evaluating the extent to which all employees are being treated fairly.