c22 - MULTIPLE CHOICE 21. Which of the following is NOT a...

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of a management control system? a. It aids and coordinates the process of making decisions. b. It encourages short-term profitability. c. It motivates individuals throughout the organization to act in concert. d. It coordinates forecasting sales and cost-driver activities, budgeting, and measuring and evaluating performance. Answer: 22. b Difficulty: 2 Objective: 1 Stock price information would be an example of management control information at the a. total organization level. b. customer/market level. c. individual-facility level. d. individual-activity level. Answer: a Difficulty: 1 Objective: 1 23. Cost of competitors' products information would be an example of management control information at the a. total organization level. b. customer/market level. c. individual-facility level. d. individual-activity level. Answer: b Difficulty: 1 Objective: 1 24. Employee absenteeism information would be an example of management control information at the a. total organization level. b. customer/market level. c. individual-facility level. d. individual- activity level. Answer: c Difficulty: 1 Objective: 1 25. Labor costs information would be an example of management control information at the a. total organization level. b. customer/market level. c. individual- facility level. d. individual-activity level. Answer: c Difficulty: 2 Objective: 1 Chapter 22 Page 4 26. A report which contains both financial and nonfinancial management control information is referred to as the a. total-organization report. b. unified management information system report. c. balanced scorecard. d. none of the above. Answer: c Difficulty: 1 Objective: 1 27. The formal management control system includes a. performance measures. b. mutual commitments. c. incentive plans. d. both (a) and (c). Answer: d Difficulty: 1 Objective: 1 28. Exertion towards a goal is a. motivation. b. effort. c. goal congruence. d. incentive. Answer: b Difficulty: 1 Objective: 1 29. The degree of freedom to make decisions is a. decentralization. b. autonomy. c. centralization. d. motivation. Answer: b Difficulty: 1 Objective: 1 30. An advantage of decentralization is that it a. creates greater responsiveness to local needs. b. focuses manager's attention on the organization as a whole. c. does not result in a duplication of activities. d. reduces the cost of gathering information. Answer: a Difficulty: 1 Objective: 2 31. A disadvantage of decentralization is that it a. creates greater responsiveness to local needs. b. focuses manager's attention on the organization as a whole. c. does not result in a duplication of activities. d. encourages suboptimal decision making. Answer: d Difficulty: Chapter 22 1 Page 5 Objective: 2 32. All of the following are benefits of decentralization EXCEPT that a. it creates greater responsiveness to local needs. b. it decreases management and worker morale. c. it leads to quicker decision making. d. it sharpens the focus of managers. Answer: b Difficulty: 2 Objective: 2 33. What is the term used to
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c22 - MULTIPLE CHOICE 21. Which of the following is NOT a...

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