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A Private University Is Made Up of Various "Schools," Such

question 97

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A private university is made up of various "schools," such as the School of Journalism, the School of Business, the School of Law, the School of Arts and Sciences, and so forth. The university is experiencing some financial problems and the top administration has decided to have each school of the university become a profit center. This scheme is somewhat parallel to the organizational ____ structure.


Definitions:

Present Value

The today's value of money to be received in the future or continuous cash inflows, adjusted for a certain interest rate.

Market Rate

The prevailing price or interest rate for goods or services or loans in an open market.

Natural Gas Reserve

Quantities of natural gas that are discovered and are recoverable under current economic and operating conditions.

Present Value

The value at present of future monetary amounts or streams of cash, when calculated with an agreed-upon rate of profit.

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