When would hiring a new employee be a smart move for a small business?

A If the employer does not have to pay for benefits

B If the owner would like to do less work

C If the income gained from new business is more than the cost of the employee

D If all relevant economic indicators suggest that the national economy is getting

better

Question

Juliette Wells

Business

4 June, 08:34

When would hiring a new employee be a smart move for a small business?

A If the employer does not have to pay for benefits

B If the owner would like to do less work

C If the income gained from new business is more than the cost of the employee

D If all relevant economic indicators suggest that the national economy is getting

better

+2

Answers (2)

Know the Answer?

Hadassah Lozano · Answer 1

C. If the income gained from new business is more than the cost of the employee

Explanation:

Aside from the consistency of earnings that must be considered, a small business owner should also consider employing staffs when the the gain from the business is more than the cost of employee.

The business owner also have to consider the current and future company revenue, the opportunity cost of money going to employees; only when all these are satisfied, should the business owner consider employing else the business will run at lost.