Use the following information of the Toro division of Hondo Corporation to answer the next question(s):
Total divisional assets are $800,000. The firm's minimum required rate of return is 10%.
-Decentralization is most successful when
A) segment autonomy does not exist.
B) established in nonprofit organizations.
C) there is frequent transferring of products between segments.
D) an organization's segments are relatively independent of one another.

Question

Use the following information of the Toro division of Hondo Corporation to answer the next question(s):
  Total divisional assets are $800,000. The firm's minimum required rate of return is 10%.
-Decentralization is most successful when
A) segment autonomy does not exist. 
B) established in nonprofit organizations. 
C) there is frequent transferring of products between segments. 
D) an organization's segments are relatively independent of one another.

Quizplus · Accepted Answer

The Answer is D

Use the Following Information of the Toro Division of Hondo