Centralization: The centralization refers to that system in which the main part of an organization is responsible to make the decisions. This means the whole responsibility lies only with the main unit of an organization. Decentralization: The decentralization means that the lower levels of an organization are given freedom to take their decisions. This means the responsibility in an organization is shared or is given to the smaller and subsidiary levels. To explain: Whether the Company BP has a centralized or a decentralized structure.

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Answer 1

Question

Chapter 22, Problem 22.18E

A.

To determine

Centralization:

The centralization refers to that system in which the main part of an organization is responsible to make the decisions. This means the whole responsibility lies only with the main unit of an organization.

Decentralization:

The decentralization means that the lower levels of an organization are given freedom to take their decisions. This means the responsibility in an organization is shared or is given to the smaller and subsidiary levels.

To explain: Whether the Company BP has a centralized or a decentralized structure.

B.

To determine

To explain: Whether the Company EI has a centralized or a decentralized structure and the costs and benefits of that type of structure.

C.

To determine

To explain: The hotels in each chain can be considered as the cost centers, revenue centers, profit centers and investment centers and the way in which the evaluation of property managers can tie to it.

D.

To determine

To explain: The steps the management of HH makes to improve goal congruence between property managers and the larger company.

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Answer 2

Question

Chapter 22, Problem 22.18E

A.

To determine

Centralization:

The centralization refers to that system in which the main part of an organization is responsible to make the decisions. This means the whole responsibility lies only with the main unit of an organization.

Decentralization:

The decentralization means that the lower levels of an organization are given freedom to take their decisions. This means the responsibility in an organization is shared or is given to the smaller and subsidiary levels.

To explain: Whether the Company BP has a centralized or a decentralized structure.

B.

To determine

To explain: Whether the Company EI has a centralized or a decentralized structure and the costs and benefits of that type of structure.

C.

To determine

To explain: The hotels in each chain can be considered as the cost centers, revenue centers, profit centers and investment centers and the way in which the evaluation of property managers can tie to it.

D.

To determine

To explain: The steps the management of HH makes to improve goal congruence between property managers and the larger company.

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Answer 3

Question

Chapter 22, Problem 22.18E

A.

To determine

Centralization:

The centralization refers to that system in which the main part of an organization is responsible to make the decisions. This means the whole responsibility lies only with the main unit of an organization.

Decentralization:

The decentralization means that the lower levels of an organization are given freedom to take their decisions. This means the responsibility in an organization is shared or is given to the smaller and subsidiary levels.

To explain: Whether the Company BP has a centralized or a decentralized structure.

B.

To determine

To explain: Whether the Company EI has a centralized or a decentralized structure and the costs and benefits of that type of structure.

C.

To determine

To explain: The hotels in each chain can be considered as the cost centers, revenue centers, profit centers and investment centers and the way in which the evaluation of property managers can tie to it.

D.

To determine

To explain: The steps the management of HH makes to improve goal congruence between property managers and the larger company.

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Answer 4

Question

Chapter 22, Problem 22.18E

A.

To determine

Centralization:

The centralization refers to that system in which the main part of an organization is responsible to make the decisions. This means the whole responsibility lies only with the main unit of an organization.

Decentralization:

The decentralization means that the lower levels of an organization are given freedom to take their decisions. This means the responsibility in an organization is shared or is given to the smaller and subsidiary levels.

To explain: Whether the Company BP has a centralized or a decentralized structure.

B.

To determine

To explain: Whether the Company EI has a centralized or a decentralized structure and the costs and benefits of that type of structure.

C.

To determine

To explain: The hotels in each chain can be considered as the cost centers, revenue centers, profit centers and investment centers and the way in which the evaluation of property managers can tie to it.

D.

To determine

To explain: The steps the management of HH makes to improve goal congruence between property managers and the larger company.

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Answer 5

Chapter 22, Problem 22.18E

A.

To determine

Centralization:

The centralization refers to that system in which the main part of an organization is responsible to make the decisions. This means the whole responsibility lies only with the main unit of an organization.

Decentralization:

The decentralization means that the lower levels of an organization are given freedom to take their decisions. This means the responsibility in an organization is shared or is given to the smaller and subsidiary levels.

To explain: Whether the Company BP has a centralized or a decentralized structure.

B.

To determine

To explain: Whether the Company EI has a centralized or a decentralized structure and the costs and benefits of that type of structure.

C.

To determine

To explain: The hotels in each chain can be considered as the cost centers, revenue centers, profit centers and investment centers and the way in which the evaluation of property managers can tie to it.

D.

To determine

To explain: The steps the management of HH makes to improve goal congruence between property managers and the larger company.

Answer 6

Chapter 22, Problem 22.18E

A.

To determine

Centralization:

The centralization refers to that system in which the main part of an organization is responsible to make the decisions. This means the whole responsibility lies only with the main unit of an organization.

Decentralization:

The decentralization means that the lower levels of an organization are given freedom to take their decisions. This means the responsibility in an organization is shared or is given to the smaller and subsidiary levels.

To explain: Whether the Company BP has a centralized or a decentralized structure.

Answer 7

Chapter 22, Problem 22.18E

A.

To determine

Centralization:

The centralization refers to that system in which the main part of an organization is responsible to make the decisions. This means the whole responsibility lies only with the main unit of an organization.

Decentralization:

The decentralization means that the lower levels of an organization are given freedom to take their decisions. This means the responsibility in an organization is shared or is given to the smaller and subsidiary levels.

To explain: Whether the Company BP has a centralized or a decentralized structure.

Answer 8

B.

To determine

To explain: Whether the Company EI has a centralized or a decentralized structure and the costs and benefits of that type of structure.

Answer 9

B.

To determine

To explain: Whether the Company EI has a centralized or a decentralized structure and the costs and benefits of that type of structure.

Answer 10

C.

To determine

To explain: The hotels in each chain can be considered as the cost centers, revenue centers, profit centers and investment centers and the way in which the evaluation of property managers can tie to it.

Answer 11

C.

To determine

To explain: The hotels in each chain can be considered as the cost centers, revenue centers, profit centers and investment centers and the way in which the evaluation of property managers can tie to it.

Answer 12

D.

To determine

To explain: The steps the management of HH makes to improve goal congruence between property managers and the larger company.

Answer 13

D.

To determine

To explain: The steps the management of HH makes to improve goal congruence between property managers and the larger company.

Answer 14

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Answer 15

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Answer 16

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Answer 17

Ch. 22 - Prob. 22.1Q Ch. 22 - Describe three criteria you would use to evaluate...Ch. 22 - What is the relationship among motivation, goal...Ch. 22 - Name three benefits and two costs of...Ch. 22 - Organizations typically adopt a consistent...Ch. 22 - Transfer pricing is confined to profit centers. Do...Ch. 22 - What are the three methods for determining...Ch. 22 - What properties should transfer-pricing systems...Ch. 22 - All transfer-pricing methods give the same...Ch. 22 - Prob. 22.10Q

Solution Summary: The author explains that the company BP has a centralized or decentralized structure.

To explain: Whether the Company EI has a centralized or a decentralized structure and the costs and benefits of that type of structure.

To explain: The hotels in each chain can be considered as the cost centers, revenue centers, profit centers and investment centers and the way in which the evaluation of property managers can tie to it.

To explain: The steps the management of HH makes to improve goal congruence between property managers and the larger company.

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Chapter 22 Solutions