A Sub-Unit of an Organization Is Evaluated on the Basis

question 183

Multiple Choice

A sub-unit of an organization is evaluated on the basis of its ROI.If this sub-unit's sales and expenses both increase by $30,000,how will the following measures be affected?

• A)increase increase increase
• B)indeterminate increase decrease
• C)no change increase decrease
• D)no change decrease no change

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Definitions:

Milgram

Refers to Stanley Milgram, a psychologist known for conducting experiments on obedience to authority figures.

Obedience

The act of following orders or directions from a figure of authority, often without question.

Conducted

The process through which something such as electricity, heat, or sound is transmitted or guided along a path.

Lowball Procedure

A technique used in sales and negotiation that involves initially quoting a lower price and then raising it after the buyer has accepted the offer.