A Fully-Owned Subsidiary of a Multinational Firm Reports Return on Investment

question 64

Multiple Choice

A fully-owned subsidiary of a multinational firm reports return on investment four times a year.This is an example of:

• A)a revenue center.
• B)a cost center.
• C)an investment center.
• D)a profit center.

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Definitions:

Centralized Organizations

Organizations where decision-making authority is concentrated at higher levels of management, leading to a more controlled and uniform operational approach.

Decentralized Organizations

Organizations where the decision-making authority is distributed among various levels rather than being concentrated at a single point.

Decision Making

The cognitive process of selecting a course of action from among multiple alternatives.

Spans Of Control

The number of subordinates or units that a manager or leader can directly oversee effectively.