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If Upper Management Uses a Short Time Frame to Calculate

question 116

True/False

If upper management uses a short time frame to calculate ROI and RI,division managers have an incentive to take actions that will lead to an immediate increase in these measures.


Definitions:

Individual's Estimate

The personal judgment or assessment made by an individual, often based on their own knowledge and experiences.

Specific Task

A particular piece of work or duty that is assigned or expected to be carried out.

Ability

The possession of the skills, talents, or competencies to perform a specific task or set of tasks.

Forethought

Pertains to the mental activity involving planning or thinking ahead before taking action.

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