11. ORGANIZATION STRUCTURE AND SPAN OF CONTROL
a.
1. Organization structure A.
Advantages include:
The disadvantages include:
2. Management will tightly control a few employees and closely supervise
3. The employee will tend to be more structured, risk averse, and know what
b. 1. Organization structure B
Advantages include:
Disadvantages include:
2. This flexible organizational structure will demand greater employee
3. The employee will be motivated by the increase in responsibility in
c. Factors that should consider when determining the appropriate span of
control include the:
12. ORGANIZATION STRUCTURE AND SPAN OF CONTROL
a. 1. Advantages of the original organizational structure A include:
Disadvantages of the original organizational structure include:
2. The resulting span of control will:
3. As a result of organizational structure A, employees are likely to have a
clear understanding of what is expected of them. However, because of the
b. 1. The advantages of the flat organizational structure B include:
The disadvantages of the flat organizational structure include:
2. The span of control will:
3. As a result of the organizational structure A employees are likely to be
motivated by greater participation as their input has greater value.
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c. The factors that should consider when determining the appropriate span of
control include the:
13. ORGANIZATIONAL STRUCTURE
a.
MCC
b. 1. The benefits Morlot Container Corporation might derive from an
organic structure include:
2. The problems that Alden Computers might encounter from using an
organic structure include:
3. The benefits that could accrue to Alden Computers from the
introduction of a mechanistic structure include:
14. ADAPTED PERFORMANCE MEASURES
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a. General criteria that should be used in selecting performance measures to
evaluate operating managers include the following. The measures should:
b. A major expansion of Star Paper’s plant was completed in April 1990. This
expansion included additions to the production-line machinery and the
replacement of obsolete and fully depreciated equipment. As a result, the
c. Apparent weaknesses in the performance evaluation process at Royal
Industries include the following:
d. Multiple performance evaluation criteria would be appropriate for the
evaluation for the Star Paper Division. The criteria suggested by George
Harris would take into account more of the results of the key decisions
15. ADAPTED RESPONSIBILITY ACCOUNTING
a. 1. Responsibility accounting is a system of accounting that recognizes
various responsibility or decision centers throughout an organization,
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2. The benefits that accrue to a company using responsibility
accounting include the following:
3. The advantages of responsibility accounting to the managers of
a firm include the following:
b. 1. The features of the budget presentation that would make it
attractive to the managers include the following:
2. Recommendations to improve the budget process might
include the following:
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16. MANAGEMENT BY EXCEPTION
a. 1. The characteristics that should be present in a standard cost
system in order to encourage positive employee motivation include:
2. A standard cost system should be implemented to positively
motivate employees by:
b. 1. “Management by exception” is the situation where management’s attention
is focused only on those items that deviate significantly from the standard.
2. The behavioral implications of “management by exception” include
both
positive and negative implications. On the positive side, this
technique
On the negative side, managers tend only to focus on the negative
c. Employee behavior could be adversely affected when “actual to budget”
comparisons are used as the basis for performance evaluation.
1. problems
17. ADAPTED VARIANCE ANALYSIS
a. 1. Departmental income statements are considered a form of
communication because they:
2. The format of the departmental income statements is effective because
it provides:
In order to improve the effectiveness of the departmental income
statements, the format could be changed to include:
b. Positive as well as negative variances can be unfavorable as the absence
of expenditures may indicate that important activities have not been
accomplished. For example, the statement shows a 46.6% positive
c. In order to encourage Daniel Riley to have all significant variances
reviewed, Marie Paige and Jon Franklin could prepare an analysis of all