The Ability to Adapt to Change Is Critical to an Organization

question 46

Multiple Choice

The ability to adapt to change is critical to an organization because _____.

• A)reliance on one management style may not be appropriate as circumstances change
• B)society is placing new demands for social responsibility on business
• C)technological and environmental change is increasing
• D)all of the above
• E)none of the above

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Definitions:

Direct Costing

A method in managerial accounting that includes variable costs directly attributable to the production of a product in the cost of goods sold, excluding fixed costs.

Full Costing

An accounting method that includes all direct and indirect costs in the price of a product or service.

Carrying Cost

The total costs associated with holding inventory or assets, including storage, insurance, and taxes.

Administrative Costs

Expenses related to the general operation of a business, including salaries of executive officers, legal and clerical salaries, and other general expenses.