A Manager Needs to Be Called to Sign Off on Every

question 242

True/False

A manager needs to be called to sign off on every return that a cashier performs at Sun and Fun Sportswear. The CEO continues this policy because he wants every manager to "look those customers right in the eye" and "stake their job on taking those items back." Clearly, Sun and Fun empowers its employees to make decisions at their jobs.

Understand the application of activity-based costing in determining product costs and profitability.

Understand the fundamental concepts of centralized and decentralized business organizations.

Recognize the advantages and disadvantages of decentralization.

Distinguish between indirect and direct operating expenses.

---

Definitions:

Litigation

The process of taking legal action in court to enforce or defend rights.

Indemnified

Protected or secured against any loss or damage, often through compensation or insurance.

Ordinary Matters

Refers to standard, routine, or usual issues or tasks, often contrasted with extraordinary or exceptional matters.

Greater-Than-Majority Vote

A voting system where an action or proposal is passed only if it receives more than half of the votes cast, often requiring a significant majority such as two-thirds or three-quarters for approval.