If a Firm Has an Option to Alter Operating Scale

question 33

Multiple Choice

If a firm has an option to alter operating scale and decides that the operating scale should be altered,either positively or negatively,that decision may be thought of as the:

• A)first step toward the eventual abandonment of the project.
• B)investment of additional funds to increase or decrease production.
• C)decision that must be made at the highest level of the firm.
• D)exercise of the option to alter operating scale.

---

Definitions:

Interpersonal Skills

The skills used by a person to interact with others effectively, including communication, listening, empathy, and conflict resolution.

Planned Change

Change resulting from a deliberate decision to alter the organization.

Deliberate Decision

A decision-making process where all options are carefully considered and evaluated before making a choice.

Alter An Organization

The act of making changes to an organization's strategy, structure, practices, or culture to adapt to internal or external influences.