In profit centers
a. Managers are difficult to evaluate because there is no simple metric of how well they performed
b. Managers typically have the necessary information to run their division efficiently
c. Managers' decisions rarely affect other divisions
d. Managers typically do not have the incentives to run their division efficiently
b
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The coordination task of any economy that answers the question of how output shall be divided among consumers may best be described as
A. output selection. B. production planning. C. distribution. D. input-output analysis.
Samantha has been working for a law firm and earning an annual salary of $90,000 . She decides to open her own practice. Her annual expenses will include $15,000 for office rent, $3,000 for equipment rental, $1,000 for supplies, $1,200 for utilities, and a $35,000 salary for a secretary/bookkeeper. Samantha will cover her start-up expenses by cashing in a $20,000 certificate of deposit on which
she was earning annual interest of $1,000 . Assuming that there are no additional expenses, Samantha's annual explicit costs will equal a. $55,200 b. $221,400 c. $91,000 d. $146,200 e. $145,200
As the U.S. labor force grows and the nation’s capital stock is augmented by investment, the
A. price level will rise. B. aggregate supply curve shifts inward. C. aggregate supply curve shifts outward. D. aggregate supply curve becomes steeper.
Game theory shows that cartels
A) should be expected B) allow firms to maximize joint profits C) allow firms to overcome the less desired outcome consistent with the prisoner's dilemma D) All of the above