At a Company with Different Business Units, Individual Managers Can

question 3

Multiple Choice

At a company with different business units, individual managers can modify various assumptions of their budget in order to determine how the modifications would affect the operational and financial results. This is an example of:

• A)financial statement analysis.
• B)sensitivity analysis.
• C)responsibility accounting.
• D)zero- based budgeting.

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Definitions:

Operating Employees

Workers who are directly involved in the day-to-day operations of an organization, typically responsible for executing tasks and processes.

External Environment

All outside factors and influences that impact an organization's decision-making process and overall success, including economic, legal, and technological changes.

Overpromotion Syndrome

The situation that occurs when an employee is promoted beyond their level of competence, often leading to stress and performance issues.

Employee Morale

A rephrased version of Morale Building that focuses on the confidence, enthusiasm, and satisfaction levels of individuals within an organization, significantly impacting productivity and retention.