The Key to Organizational Architecture Is

question 10

Multiple Choice

The key to organizational architecture is:

• A) assignment of decision rights, reward structure and evaluation systems
• B) the methods of rewarding (paying) top management
• C) a complicated structure of performance evaluation systems
• D) the initial establishment of golden parachutes for top management

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Definitions:

Return

The fiscal upwards or downwards movement in the value of an investment over a defined period, portrayed as a percentage of the investment’s beginning expense.

Investment

The allocation of resources, usually money, in order to gain profitable returns as interest, income, or appreciation in value.

Present Value

The present worth of a future amount of money, or sequence of cash flows, taking into account a certain return rate, employed in discounting to evaluate investment prospects.

Interest Factor

A multiplier used to calculate the total interest that will accrue on an investment or loan based on the interest rate and time period.