Which of the Following Statements Explains the Unity of Command

question 272

Multiple Choice

Which of the following statements explains the unity of command principle of management?

• A) All workers must share the same goal.
• B) Every firm has one strong leader, and everyone should support that individual.
• C) Workers can become frustrated and confused if they have more than one boss.
• D) All authority should rest with top management, since only top managers carry the responsibility of bad decisions.

Apply economic principles to determine optimal plant size and output levels for firms.

Identify the impact of technological innovations on production costs and economies of scale.

Recognize the implications of scale economies on industry structure and market competition.

Distinguish between short-run and long-run production and cost functions.

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Definitions:

Net Present Value

An economic metric that evaluates the gap between the present value of cash inflows and outflows across a designated period.

Cash Flow Estimates

Projected amounts of cash inflows and outflows over a certain period that help businesses plan for investments, operational needs, and debt repayment.

Payback Rule

A capital budgeting technique that calculates the time required to recoup the cost of an investment, focusing on cash flows without considering the time value of money.

Future Cash Flows

Projected cash receipts and payments over a future period.