A Decentralized Organization Is One in Which

question 101

Multiple Choice

A decentralized organization is one in which:

• A) each employee in the organization is given permission to make decisions about their company.
• B) only top-level management is given decision-making authority.
• C) managers at various levels throughout the organization are given decision-making authority.
• D) each stockholder is given decision-making authority.

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Definitions:

Utility Function

A mathematical representation of how consumers rank different bundles of goods according to the level of satisfaction or utility those bundles provide.

Risk Averse

describes a preference for avoiding risk, where individuals opt for the option with the least uncertainty in outcomes or potential losses.

Subjective Measure

A type of data collection or evaluation based on personal opinions, interpretations, points of view, emotions, and judgment.

Present Value

The present value is the current worth of a future sum of money or stream of cash flows given a specified rate of return.