One of the Advantages of Decentralization Is That Delegating Authority

question 165

True/False

One of the advantages of decentralization is that delegating authority to managers closest to the operation always results in better decisions.

---

Definitions:

Purchasing Department

The division within an organization responsible for acquiring goods, services, and equipment necessary for its operations.

Weighted Average Cost Flow Assumption

An inventory valuation method that calculates the cost of goods sold and ending inventory based on the average cost of all similar items available during the period.

LIFO

Last In, First Out, an inventory valuation method where the most recently produced items are recorded as sold first.

FIFO

An inventory valuation method where the first items produced or purchased are the first used or sold.