The IS Department of a Large Organization Decides to Sell

question 66

Multiple Choice

The IS department of a large organization decides to sell its information to the other divisions in order to better track profits. This is called ________.

• A) transfer pricing
• B) multidivisional matrix
• C) a communication problem
• D) an integrating mechanism

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Definitions:

Department 1

A nonspecific term that may refer to the first sector, division, or segment within an organization, requiring further context for a precise definition.

Applied Factory Overhead

The allocation of manufacturing overhead costs to actual production, based on a predetermined rate or formula.

Continuous Process

A production process that operates continuously without interruption to manufacture products or process materials in an unending flow.

Work In Process

The cost of unfinished goods in the manufacturing process at a given time, including labor, material, and overhead.