Centralized or decentralized
Exercise and reference answers
- Questions
- Answer
- Centralized
- Question
- The owner makes all decisions
- Choices
- Centralized
- Decentralized
- Answer
- Decentralized
- Question
- Divided into smaller segments
- Choices
- Decentralized
- Centralized
- Answer
- Centralized
- Question
- Clarity in decision-making
- Choices
- Centralized
- Decentralized
- Answer
- Centralized
- Question
- Higher risk of inflexibility
- Choices
- Centralized
- Decentralized
- Answer
- Decentralized
- Question
- Decision-making is delegated
- Choices
- Decentralized
- Centralized
- Answer
- Decentralized
- Question
- Divisional goals may win out
- Choices
- Decentralized
- Centralized
- Answer
- Centralized
- Question
- Apple is the named example
- Choices
- Centralized
- Decentralized
- Instructions
- Pick the right structure each time. Too many wrong picks and the tower falls.
Explanation
_Source: OpenStax Principles of Accounting Volume 2, Managerial Accounting (CC BY-NC-SA 4.0), Ch 9 'Responsibility Accounting and Decentralization', sections 9.1-9.4_