The Contingency Perspective Is Useful Because It Respects That

question 63

Multiple Choice

The contingency perspective is useful because it respects that:

• A) organizations may be rigid.
• B) the scientific method may be limited.
• C) different situations produce different answers.
• D) few managers address personal characteristics.

Identify and apply principles of cost behavior to business scenarios.

Analyze the impact of special orders on operating income.

Determine the minimum acceptable price for special orders and product pricing.

Evaluate make or buy decisions using relevant costing.

---

Definitions:

Demand Curve

A graphical representation showing the relationship between the price of a good and the quantity demanded, usually depicted as downward sloping.

Slopes Downward

Used to describe a graph line that indicates a decrease in one variable as another variable increases, often related to demand curves in economics.

Nondiscriminating Monopolist

A nondiscriminating monopolist refers to a monopolist who charges the same price for each unit of the product sold to all consumers, unlike price discrimination where different prices are charged to different consumers.

Demand Curve

A graph demonstrating how the quantity of a good or service demanded varies with its price, typically downward sloping.