A Feature of Global Area Division Structures Is That They

question 19

Multiple Choice

A feature of global area division structures is that they:

• A) often ignore research and development (R&D) efforts because they are selling goods that have reached the maturity stage.
• B) fail to focus on goods that are proven winners and now are being marketed conveniently worldwide.
• C) focus on latest technologically superior goods that will win the market in the long run.
• D) are characterized by strong centralized management and control system.

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Definitions:

Equivalent Units

A concept used in cost accounting to express the amount of work done on partially finished goods in terms of fully finished goods, helpful in calculating costs in process costing systems.

Assembly Department

A division within a manufacturing process where parts are assembled to create a final product.

Conversion Cost

The sum of direct labor and overhead costs associated with transforming raw materials into finished goods.

Cooking Department

A segment within a manufacturing or culinary operation where raw materials are prepared, cooked, or processed.