One of the Best Ways to Speed Up the Process

question 28

Multiple Choice

One of the best ways to speed up the process of financial analysis and arrive at a good decision is to

• A) use estimates of inputs when it appears that finding a very accurate input would take an inordinate amount of time.
• B) use estimates backed up by sensitivity analysis when it appears that finding a very accurate input would take an inordinate amount of time.
• C) use estimates of inputs except when it appears that finding a very accurate input would take an inordinate amount of time.
• D) make sure that every detail is very accurate.
• E) none of the above

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Definitions:

Formal Hierarchy

The explicit, officially designated structure of authority, roles, and communication in an organization, specifying how tasks are divided and coordinated.

Flexibility and Responsiveness

The ability of an organization to adapt quickly to changes and effectively respond to new demands or opportunities.

Divisionalization

The organizational strategy of dividing a company into semi-autonomous units or divisions, each focusing on a particular business sector or product line.

Decentralization

Decentralization refers to the process of distributing or dispersing functions, powers, people, or things away from a central location or authority.