Which of the Following Is True of the Planning Process

question 32

Multiple Choice

Which of the following is true of the planning process in an organization with an innovative culture?

• A)It encourages lower-level managers to participate in the process.
• B)It rarely takes risks involving the development of new products.
• C)It emphasizes formal top-down planning.
• D)It subjects the suggestions from lower-level managers to a formal review process that significantly slows decision making.
• E)It creates a well-defined hierarchy of authority and establishes clear reporting relationships so that employees know exactly whom to report to.

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Definitions:

Cash Receipts

Money received by a business, often recorded in the period it is received.

Cash Sales

Revenue received from transactions where payment is made immediately in cash.

Collections

The process of pursuing and receiving payments on outstanding accounts receivable from customers.

Payments

The act of transferring money or money's worth from one party to another as a settlement for a transaction or an obligation.