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Which of Henry Fayol's Principles Indicates That the Right to Give

question 14

Multiple Choice

Which of Henry Fayol's principles indicates that the right to give orders must accompany responsibility?


Definitions:

Real Rate

The rate of interest an investor expects to receive after allowing for inflation.

Inflationary Premium

The part of the nominal interest rate on a loan or investment that represents compensation for the expected loss of purchasing power due to inflation.

Economic Efficiency

A state in which resources are allocated in the most effective way possible to meet consumers' needs and wants, maximizing output without wasting any resources.

Capital

Resources, including financial assets, equipment, and buildings, used to produce goods and services.

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