One of the General Principles of Management Suggested by Fayol

question 40

Multiple Choice

One of the general principles of management suggested by Fayol is centralization. What is centralization?

• A) Centralization is increasing the importance of the subordinate role.
• B) Centralization directs that the entire organization should be moving toward a common objective.
• C) Centralization is lowering the importance of the subordinate role.
• D) Centralization directs that all materials and people related to a specific kind of work should be assigned to the same general location.
• E) Centralization directs that the entire organization need not be moving toward a common objective.

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Definitions:

Horizontal Analysis

A financial analysis technique that compares historical data or ratios across different periods to identify trends and growth.

Income Statement

A financial statement that shows a company's revenues, expenses, and net income over a specific period of time.

Sales

The total amount of revenue generated by a company from the sale of goods or services before any expenses are deducted.

Percent Change

A mathematical calculation that indicates the degree of change over time, expressed as a percentage.