Asked by Jimmy Batista on Jun 15, 2024
Verified
Which of the following statements describing how owners and shareholders relate to the organization is true?
A) Companies with better HR practices have greater increases in market value/employee.
B) An investor's judgment about the value of a company's intangible assets is based on such things as reputation rankings.
C) Most owners and shareholders invest their money in companies for financial reasons.
D) Intangibles such as how employees feel about their employer can be used by shareholders to predict financial performance.
E) All of the above statements about how owners and shareholders relate to the organization are true.
Intangible Assets
Non-physical assets possessed by a company, such as intellectual property, goodwill, and brand reputation, which can be as valuable as tangible assets.
Market Value
The current price at which an asset or service can be bought or sold in the marketplace.
Financial Performance
The measure of an organization's profitability, revenue, expenses, and overall financial health over a specific period.
- Apprehend the consequences of actions taken in human resource management on the value in the market and shareholder benefits.
Verified Answer
AS
Archie SandovalJun 17, 2024
Final Answer :
E
Explanation :
All the statements provided offer insights into how owners and shareholders relate to an organization. They highlight the importance of HR practices, the valuation of intangible assets like reputation, the financial motivations behind investments, and the significance of employee sentiment in predicting financial performance.
Learning Objectives
- Apprehend the consequences of actions taken in human resource management on the value in the market and shareholder benefits.