In Delegating Certain Decision-Making Powers to Some of the Employees

question 7

Multiple Choice

In delegating certain decision-making powers to some of the employees, the supervisor should:

• A) Be sure to delegate authority consistent with responsibility.
• B) Make it plain that those employees are ultimately responsible for all results.
• C) Leave them alone to succeed or fail on their own.
• D) Delegate only routine, inconsequential decisions.

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Definitions:

Outstanding

An adjective describing something that is still in progress, unsettled, not yet resolved, or in the case of financials, amounts owed that have not yet been paid.

Shares Issued

The total number of shares that a corporation has legally sold to shareholders, including those held by the public and by the company.

Preferred Stock

A class of ownership in a corporation with a higher claim on assets and earnings than common stock, usually with fixed dividends.

Net Income

The total profit or loss of a business after all expenses, including taxes and operating costs, have been deducted from total revenue.