Answer:
E. It may encourage a sense of entitlement among employees.
Explanation:
Above the market, compensation in the form of wage strategy in which the organizations initiates high salaries to the employees. High salaries are provided to the employees to attract them and to retain them in the team. This is done to maintain the caliber of the group and for the smooth flow among the team members.
Answer:
Hi the demand for each product for this question is missing, however, i have provided step by step approach to solving the problem below .
Explanation:
First Calculate the contribution per unit of each product
A B C
Sales price $65.50 $57.50 $75.25
Less Total variable cost ($28.85) ($26.50) ($38.95
)
Less Direct material cost ($11.25) ($8.90) ($22.75)
Contribution $25.40 $22.10 $13.25
Calculate the contribution per limiting factor of each product and rank the products
<em>contribution per limiting factor = contribution per unit ÷ quantity per limiting factor per unit</em>
A B C
Contribution $25.40 $22.10 $13.25
Quantity of limiting factor 4.65 6.3 5.9
Contribution per limiting factor 5.46 3.51 2.25
Ranking 1 2 3
Allocate the limiting factor according to the limiting factor
The company will on produce Product A as this is the most profitable.
Contribution = $25.40
Explanation:
This question configures that Teresa works in a globalized company.
Teresa's behavior is justified by the fact that she wants to adapt to the global ethical values of the company and the country with which she will communicate, so that her operating stance in a different country changes so that there is greater understanding through communication and so that there is no ethical conflict related to the culture, behavior or customs of company workers in another country.
Answer:
II. Including human capital in the market portfolio
Explanation:
Beta refers is a measure of systematic risk of a portfolio which is defined as degree of responsiveness of security return with that of the market return.
Market portfolio represents, the rate of return all the securities in the market currently earn. An investor would require excess of market portfolio return over risk free rate of return, based upon the sensitivity of portfolio return to market return i.e beta.
Jagannathan and Wang conducted a study testing capital asset pricing model which was developed by William Sharpe and John Lintner.
Under their study, Jagannath and Wang included human capital beta in the market portfolio. while evaluating returns from a hundred stocks portfolio. They observed, the coefficient of determination i.e 
rose from 2% to 75% upon addition of human capital.
Thus, the method found how beta performance in explaining security returns could be enhanced upon inclusion of human capital.
