Two Advantages of Decentralization Are That Managers Are Encouraged to Solve

question 67

True/False

Two advantages of decentralization are that managers are encouraged to solve their own problems,and decisions are made more quickly,increasing the organization's flexibility and efficiency.

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Definitions:

Operating at a Loss

A financial status where a business's expenses surpass its revenues over a specific period, indicating negative profitability.

Short Run

A time frame in economics during which at least one input is fixed, limiting the ability of businesses to adjust production levels quickly.

Marginal Cost

The swell in cumulative expenditure due to the manufacture of an additional unit of a product or service.

Total Revenue

Total Revenue refers to the total receipts from sales of goods or services that is calculated by multiplying the price per unit by the number of units sold.