Decentralization Is More Likely to Occur When

question 113

Multiple Choice

Decentralization is more likely to occur when:

• A)an organization becomes so complex that senior executives cannot process all the decisions that significantly influence the business.
• B)corporate leaders want more consistent decisions across all work units.
• C)corporate leaders want to increase consistency and reduce costs across the organization.
• D)all of these occur.
• E)none of these occur.

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Definitions:

Total Assets

The sum of all assets owned by an entity, including cash, investments, property, and other tangible and intangible assets, reflecting the company's overall value.

Equity Trusts

Investment funds that pool money from investors to purchase a diversified portfolio of equities, or stocks, managed by a professional fund manager.

Mortgage Trusts

Investment vehicles that pool mortgage loans and issue shares to investors, who receive dividends from the interest and principal payments made by borrowers.

REITs

Real Estate Investment Trusts, companies that own, operate, or finance income-generating real estate, allowing investors to invest in large-scale real estate properties.