Question 6 of 10

Why should employees be wary of participating in the grapevine in a business

Kaylis [27]

Although the grapevine supplements what formal communication does not provide sometimes, and creates a sense of unity among employees, they should be wary due it carries partial information and it's more based on rumors; so it's not always trustworthy, especially when it comes to business, because important decisions depend on reliable sources to ensure favorable outcomes.

8 0

3 years ago

Philip Morris bought Miller Brewing and launched low-calorie beer, at a time when consumers had the impression that low-calorie

Olenka [21]

Answer: Points of indifference

Explanation: Point of indifference can be defined as that level of EBIT at which two alternative financial plans have same amount of net income. It is used by managers as an evaluating tool, when it comes to choose between two cost structures which are alternative of one other.

In the given case, the company must have build point of indifference before launching of new product, and must have expected higher profits than normal beer.

4 0

3 years ago

Byron is a partner in the Dowdy Group. At the close of the current year, Byron's basis in the partnership is $34,000. At that ti

Kitty [74]

Answer:

$17,000

Explanation:

The partnership takes on/out the basis of contributed/ distributed property; cash is always consider basis as its face value.

The fair market value of property distributed is used to consider contributor’s gain/ loss only.

The basis in the partnership after distribution = current basis in partnership – cash distributed – basis of any other distribution

Thus Bryon’s basis in the partnership after the distribution = $34,000 - $8,000 = $17,000

6 0

3 years ago

An apartment building contains twenty units. Each unit rents for $900 per month. The vacancy rate is 5%. Annual expenses are $17

expeople1 [14]

Answer: 12.48%

Explanation: Rate of Return (RoR) refers to the net profit or loss on an investment over a specified period expressed as a percentage of the investment's initial cost.

Number of apartment = 20

Monthly rental = $900

Vacancy rate = 5%

Annual expenses :

$17,500 - maintenance fee

$7,200 - Insurance

$7,500 - taxes

$6,400 - utilities

$7,500 - mortgage debt

10% of gross effective income- management fee

$1,170,000 - initial investment.

Gross income = 20*$900*12 = $216,000

Vacancy rate = 0.05*$216,000 = $10,800

Effective gross = gross income - Vacancy rate = $205,200

Management fee = 0.1 * $205,200 = $20,520

Total annual expenses = $20,520+$7,500+$7,200+$6,400+$17,500 = $59,120(excluding mortgage debt)

Net profit / loss = effective gross income - total annual expenses.

Net profit /loss = $205,200-$59,120 = $146,080.

RoR = Net profit/loss ÷ initial investment

RoR = ($146,080 ÷ $1,170,000) * 100

0.1248 * 100 = 12.48%

7 0

3 years ago

Resistance to change is a normal everyday aspect in the workplace. Note what happens to the organizational climate when this res

jolli1 [7]

Answer is given below :

Explanation:

Resistance to change occurs when there is a change in the way an organization operates. As the external environment is constantly changing, companies also need to change their strategy and internal environment to deal with the external market.
It is very difficult to understand how an organization’s employees respond to changes in the organization. They may react positively or negatively throughout the changes.
Changes in the organizational environment may involve simple steps such as planning, implementation, monitoring and review. Regular change in the organization is very healthy because it leads to success.
This situation leads to conflict, insecurity and creates a negative organizational environment that hinders employee development and productivity. Resistance to change is usually due to insecurity, fear of job loss, etc. due to the lack of adequate information provided by the employee about the new changes taking place in the organization.
There are actually various strategies to reduce negative perceptions that management employees can understand about the real need for change and the benefits that will occur after the change.

3 0

3 years ago