Under the Organizational Model of Decision-Making

question 29

Multiple Choice

Under the organizational model of decision-making:

• A) Decision makers are not constrained by standard operating procedures
• B) Decision makers are constrained to be somewhat predictable but create unpredictable outcomes
• C) Decision makers are constrained by standard operating procedures that tend to make decision outcomes somewhat predictable
• D) Decision makers are constrained to be somewhat predictable and create predictable outcomes

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Definitions:

Shared

Characteristic of something that is used or owned collectively by a group or community.

Product

A good or service that is created, offered, and sold to customers.

Activity-Based Costing

A pricing strategy where the organization's activities are pinpointed, and the costs for these activities are distributed across all products and services based on their respective consumption levels.

Unit Product Cost

The sum of all expenses, such as materials, labor, and overhead, divided by the total units manufactured.