Which of the Following Statements Is FALSE

question 93

Multiple Choice

Which of the following statements is FALSE?

• A) A centralized structure does not empower employees to handle customer complaints directly.
• B) A decentralized structure forces top management to lose some control over the organization.
• C) Decentralization slows responsiveness to local needs for decision making.
• D) Decentralization can increase motivation by allowing managers to exercise greater individual initiative.

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Definitions:

Debit Column

A column in accounting ledgers and financial statements used to record increases in asset or expense accounts, and decreases in liability, equity, or revenue accounts.

Credit Column

A column in accounting records or financial statements used to record amounts that reduce balances in asset or expense accounts, or increase balances in liability, equity, or revenue accounts.

Financial Statement

A written record that conveys the financial activities and conditions of a business or individual.

Normal Balance

The side (debit or credit) of an account that increases its value, reflecting the conventional balance based on accounting rules.