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Question
Which of the following are potential reasons why TRS over short periods of time may not reflect the actual performance of a company and its management?
I. A well-performing company may not deliver a high TRS if the expectations include knowledge of the performance.
II. When TRS is analyzed in its traditional way, it does not show the degree to which improvements in operations produced or increased the TRS.
III. Outside factors such as changing interest rates can affect TRS and be unrelated to the firm’s operations.
IV. TRS is difficult to calculate for short periods of time.
a) II and IV.
b) I and II.
c) II and III.
d) I, II, and III.
Answer
This answer is hidden. It contains 14 characters.
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