The piece-rate system is based on the assumption that simply paying an employee more money will increase that person's motivation.
Indicate whether the statement is true or false
Question 2 - Jessie, the regional manager of a large electronics firm, is trying to determine whether a new warehouse is a good investment. After discussing with her firm's financial managers, she concludes that the project carries a negative NPV (Net Present Value). What should Jessie do and why?
A) She should invest in the warehouse to increase profits since a negative NPV indicates that the firm needs to generate more funds to stay afloat.
B) She should not invest in the warehouse since a negative NPV means that the present value of the future cash flows does not justify the cost of the warehouse.
C) She should invest in the warehouse since a negative NPV means that the cost of financing the warehouse is within the company's budget for expenses.
D) She should not invest in the warehouse since a negative NPV means that the firm cannot afford the investment.
Question 3 - All not-for-profit corporations rely solely on volunteers to perform services of the organization.
Indicate whether the statement is true or false
Question 4 - The ___ is divided by the average inventory to obtain the inventory turnover.
expenses
A) cost of goods sold
B) revenues
C) liabilities
D) expenses
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