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Top Management Can Preserve the Autonomy of Division Managers and Encourage

Question 144

Multiple Choice

Top management can preserve the autonomy of division managers and encourage an optimal level of internal transactions by


A) selecting performance evaluation measures that are consistent with the achievement of overall corporate goals.
B) selecting division managers who are most concerned about their individual performance.
C) prescribing transfer prices between segments.
D) setting up all organizational units as revenue centers.

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