Which of the Following Statements Describes an Advantage of the Systems

question 96

Multiple Choice

Which of the following statements describes an advantage of the systems approach to management?

• A) It simplifies the management process by supporting the principle of unity of command.
• B) It allows managers to reward workers on the basis of their performance.
• C) It allows managers to move comfortably in and out of the various managerial roles.
• D) It forces managers to create coordinated communication.
• E) It forces managers to view their organization as part of a whole.

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Definitions:

Total Revenue

The overall amount of money generated by a firm from selling its goods or services, calculated as the quantity sold multiplied by the price of the goods.

Average Revenue

The amount of income generated per unit of sales or product sold, calculated by dividing total revenue by the number of units sold.

Competitive Firm

A business entity in a market where numerous sellers compete to sell their goods or services, implying no single seller controls the market prices.

Downward Sloping Demand

The economic principle that, all else being equal, demand for a good or service decreases as its price increases.