Elmo Research & Development Has Been Going Through a Rough

question 27

Multiple Choice

Elmo Research & Development has been going through a rough patch lately.Turnover has been high and employee morale is at an all-time low.Though employees and competitors hold management responsible for the decline,the CEO does not let the managers go or change the management style.Which of the following could explain this attitude?

• A)As the organization has an autocratic management style,the employees are responsible for organizational policies.
• B)The organization has a participative management style and decisions are guided by consensus.
• C)The CEO holds the view that managers have only a limited role in organization success or failure.
• D)The CEO does not have the authority to let the managers go or change the management style.

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Definitions:

Liability

Financial obligations or debts owed by a business to external parties, which must be settled over time through the transfer of economic benefits including money, goods, or services.

Goods

Tangible products or merchandise that are manufactured, bought, and sold in commerce.

Services

The action of helping or doing work for someone, often producing intangible benefits.

Unearned Revenue

Income received by an entity for services or products yet to be delivered or performed.