In business, people often make choices. Opportunity Cost is the value of what must be foregone in order to undertake an activity.
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What is opportunity cost?</h3>
- The economists often refer to this type of cost as the amount or the value of the next highly rated alternative use of one's money or resource.
An example is when a person spend their time and money going to a shop, one cannot spend that time at cooking, and you even did not spend the money on other things.
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Answer:
The correct answer is (d)Research and development costs are expensed when incurred, except when the research and development expenditures result in a successful patent.
Explanation:
Research and development costs must be recognized as an expense within the accounting period in which they are presented, since regardless of whether or not a patent was obtained, the organization incurred costs represented in the research and development process that was executed. When this process generates a patent, it is necessary to recognize said right in an asset, but at no time will it be equal to the expenses incurred in the investigation process, since the company hopes to commercialize that knowledge for its own benefit.
D. All of the above.
Internet allows reaching out candidates from all over the world and at the same time does require you to physically be there for recruitment enabling you to conduct recruitment sessions from office. Further, the resumes and CVs would be sent online requiring no need for physical copies of them.
A. Hindsight bias- also known as the knew-it-all-along phenomenon or creeping determinism, refers to the common tendency for people to perceive events that have already occurred as having been more predictable than they actually were before the events took place.
Answer:
The correct answer is d) Increase the proportion of executive compensation that comes from stock options and reduce the proportion that is paid as cash salaries.
Explanation:
Option D. represents two situations that perfectly describe the interest that the shareholders pursue: the maximization of the profits of the company where they have their resources invested.
The shareholder, on the other hand, is also an investor, since he contributes capital with a view to obtaining a dividend.
Its investment is said to be in equities, given that there is no contract through which the shareholder will receive fixed fees in return for his investment. Their remuneration is through two ways:
- Dividend
- Increase in the price of the company. This is produced by its good progress and its ability to generate future benefits, as well as by the increase in assets through past benefits.
