The Store Managers of Chimbake, a Chain of Bakeries, Are

question 96

Multiple Choice

The store managers of Chimbake, a chain of bakeries, are allowed to come up with new dessert flavors of their choice as long as they do not fall short of the company's quality standards. They are also allowed to come up with effective marketing strategies based on their respective market requirements. In the context of organizational authority, which of the following is best illustrated in this scenario?

• A) Centralization of authority
• B) Decentralization of authority
• C) Staff authority
• D) Concentrated authority

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Definitions:

Manufacturing Businesses

Companies involved in the production of goods by transforming raw materials into finished products.

Net Realisable Value

The estimated selling price of an asset in the ordinary course of business, minus any costs associated with its sale or disposal.

Inventory

The stock of goods or materials held by a company, typically used in production or sold to customers.

Service Costing

The process of determining the total cost involved in providing a service, including direct and indirect costs, to establish pricing and profitability.