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One Reason Not to Depend Solely on Historical Records to Set

question 144

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One reason not to depend solely on historical records to set standards is that there may be inefficiencies contained in past costs.


Definitions:

Organizational Goals

The strategic objectives that a company or organization aims to achieve, which guide its operations and strategic planning.

Types

Varieties or classifications among groups, objects, or individuals based on common traits or characteristics.

Portfolio Analysis

A systematic way to analyze the products or services in a company’s portfolio, typically involving the assessment of their performance and strategic fit.

Strategic Business Units

A division of a larger company that operates as its own entity, with its own mission and objectives, often focusing on a specific product or market.

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