Paper 2 · November 2010 · Investment Appraisal
Staff turnover in a business is best described as which measure?
AThe speed at which stock is sold and replaced
BThe number of hours each employee works in a week
CThe rate at which staff leave and are replaced
DThe share of the wage bill paid to managers
Explanation
Staff turnover, or labour turnover, is the proportion of a workforce that leaves and has to be replaced over a period. It is a rate, not a headcount, so a firm employing more people is not automatically shown as losing more.
Derived from ZIMSEC Business Studies Paper 2, November 2010, Q1