The More the Lower-Level Personnel Provide Input or Are Actually

question 101

Multiple Choice

The more the lower-level personnel provide input or are actually given the discretion to make decisions, the ________ within that organization.

• A) higher is the degree of formalization
• B) lower is the level of empowerment
• C) lower is the degree of work specialization
• D) higher is the degree of departmentalization
• E) higher is the degree of decentralization

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Definitions:

Average Fixed Cost

The total fixed costs of production divided by the quantity of output produced, which decreases as production increases.

Average Total Cost

The total cost of production divided by the number of units produced, representing the average cost per unit of output.

Average Variable Cost

The total variable costs (costs that change with production volume) divided by the quantity of output produced.

Average Total Cost

The sum of all production costs divided by the quantity of output produced, representing the per-unit cost.