Which of the following is FALSE?
a. Maximizing division profits can sometimes lead to reducing company-wide profits
b. Managers of profit centers are usually given a lot of discretion in their decision making
c. Profit centers usually require the highest degree of attention by corporate headquarters
d. A manager being rewarded on division revenues has the most incentive to make good decisions for his division
c
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According to your text, which group or organization makes choices?
A) Al Qaeda B) New York City C) The Microsoft Corporation D) The Iraqi Government E) None of the above.
Explain the difference between discretionary and automatic fiscal policy. Provide examples of each
What will be an ideal response?
Why do some firms choose not to file for a patent and instead try to keep the results of their research a trade secret?
A) because firms must disclose information about the product or process being patented in a patent application B) because a patent only gives the inventor exclusive rights to a product or process for 5 years C) because trade secrets provide the same exclusive legal rights to a product as a patent does D) because trade secrets are never divulged
In economics, the term "free market" refers to a market where products are traded but not sold
Indicate whether the statement is true or false