If Synergy Energy Corp

question 139

Multiple Choice

If Synergy Energy Corp.hires attorneys to keep it informed about new regulations,their salaries represent

• A)Administrative costs.
• B)Compliance costs.
• C)Capital costs.
• D)Efficiency costs.

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Definitions:

Formalization

The extent to which rules, procedures, and standards are written and explicitly articulated within an organization, leading to consistency and predictability in behaviors and processes.

Formalization

The extent to which rules, procedures, and standards are written and explicitly articulated within an organization to guide behaviors and operations.

Centralization

Refers to the degree to which decision-making is concentrated at a single point in an organization, often at the top leadership levels.

Bureaucratic

Characterized by rigid adherence to rules, procedures, and hierarchical structures, often at the expense of efficiency and flexibility.