Appointing Managers to Be Responsible for the Performance of Specific

question 1

Multiple Choice

Appointing managers to be responsible for the performance of specific divisions of an entity assists in which of the following?

• A) Freeing up central management time for strategic long-term planning.
• B) Improving the commitment and motivation of managers.
• C) Improving the timeliness of and access to information as a result of localised decision making.
• D) All of the options are ways in which appointing division managers assists an entity.

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Definitions:

Cash Flow

The net amount of cash and cash-equivalents being transferred into and out of a business.

Merchandisers

Businesses that purchase goods for resale at a profit, dealing primarily in tangible products that are marketed to consumers or other businesses.

Credit

An accounting entry that increases a liability or equity account, or decreases an asset or expense account; also refers to the provision of resources based on a trust agreement.

Sales Tax

A tax imposed by governments on the sale of goods and services.