(Terminology) Match the following lettered terms on the left with the appropriate numbered description on the right.
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a. Centralized organization |
1. Situation in which buying division charged a price that differs from that credited to the selling division |
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b. Cost center |
2. Structure in which most decisions are made by segment managers |
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c. Decentralized organization |
3. Situations in which decisions are made that are sometimes not in the best interest of whole firm |
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d. Dual pricing arrangement |
4. Segment whose manager is responsible primarily for costs |
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e. Goal congruence |
5. Segment whose manager is responsible primarily for revenues, expenses, and assets |
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f. Investment center |
6. Segment whose manager is responsible for both revenues and expenses |
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g. Profit center |
7. Segment whose manager is primarily responsible for revenues |
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h. Revenue center |
8. Structure in which most decisions are made by top management |
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i. Suboptimization |
9. An internal exchange price |
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j. Transfer price |
10. Situation in which mutual support exists among goals of individual managers and the organization |