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27) All of the following are disadvantages of decentralization EXCEPT for 27) A) Managers spend time negotiating transfer prices for goods and services transferred between
27) All of the following are disadvantages of decentralization EXCEPT for 27) A) Managers spend time negotiating transfer prices for goods and services transferred between divisions and segments. B) Local managers have more authority and greater levels of job satisfaction. C) Local managers make decisions that are not in the organization's best interests. D) Local managers duplicate services. TRUE/FALSE. Write 'T' if the statement is true and 'F if the statement is false. 28) Decentralization is more popular in nonprofit organizations than in profit-seeking organizations. 28) MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 29) If a selling segment has excess capacity, the opportunity cost of selling a product internally equals 29) A) the variable costs plus the avoidable fixed costs of producing the product B) the variable costs of producing the product C) the contribution margin the producing segment could have received from selling in the external market rather than the internal market D) zero 30) The following information pertains to a segment of the Marian Company. Invested capital is 30) defined as total assets. The weighted average cost of capital is 10%. The ROI of the segment before the project is 20%. The ROI of the segment after the project is 18%. The manager is evaluated based on the segment's economic profit. A project earning a ROI of 12% should be _ A) accepted B) rejected C) compared to the company's residual income D) compared to the company's ROI
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