Podcast
Questions and Answers
What is the purpose of the management control process components in an organization?
What is the purpose of the management control process components in an organization?
- To create obstacles for achieving the entity mission
- To assure the achievement of entity mission
- To replace the entity mission with new objectives
- To facilitate the achievement of entity mission (correct)
Which of the following is NOT a component of the management control environment?
Which of the following is NOT a component of the management control environment?
- Empowered Decision Rights
- Leadership development programs (correct)
- Informal controls like group norms
- Organizational structure
What is the primary function of incentives in the context of management control systems?
What is the primary function of incentives in the context of management control systems?
- Create confusion among employees regarding company goals
- Discourage behavior that aligns with the entity's mission
- Encourage behavior aligned with the entity's mission (correct)
- Ensure that employees are not motivated by rewards
How does lack of clarity around decision rights impact organizations?
How does lack of clarity around decision rights impact organizations?
Which type of decision-making involves conscious reasoning and explicit logical thinking?
Which type of decision-making involves conscious reasoning and explicit logical thinking?
What is the term for the tendency to be too certain of the accuracy of our judgments and make overly precise estimates?
What is the term for the tendency to be too certain of the accuracy of our judgments and make overly precise estimates?
Which cognitive bias involves making decisions based on ease-of-recall?
Which cognitive bias involves making decisions based on ease-of-recall?
What is the term for the tendency to start decision-making based on the first piece of information presented?
What is the term for the tendency to start decision-making based on the first piece of information presented?
Which trap involves estimating the likelihood of an event by comparing it to an existing prototype or mental image?
Which trap involves estimating the likelihood of an event by comparing it to an existing prototype or mental image?
What is the term for the tendency to continue investing in a failing course of action despite contrary evidence?
What is the term for the tendency to continue investing in a failing course of action despite contrary evidence?
