MGMT Exam 4 Questions With 100% Verified Answers.

power - correct answer a person's capacity to influence the behavior and attitudes of others organizational power - correct answer a person's ability to satisfy or deny satisfaction of another's need, based on a formal contractual relationship between an organization and the individual personal power - correct answer a person's ability to satisfy or deny satisfaction of another's need, based on an interpersonal relationship between individuals or on his or her personal characteristics legitimate power - correct answer the influence that comes from a person's formal position in an organization and the authority that accompanies that position management control - correct answer includes all activities an organization undertakes to ensure that its actions lead to achievement of its objectives management control system - correct answer a planned, ordered scheme of management control that allows managers to readily assess where the firm actually is at a point in time relative to where it wants or expects to be internal controls - correct answer processes that are developed to provide assurance that an organization reaches its objectives relating to operational efficiency, accuracy of financial reporting, and regulatory compliance performance standards - correct answer the first step in the control process; targets set by management against which actual performance is compared at a future date organizational control - correct answer a broad-based form of control that guides all organizational activities and oversees the overall functioning of the whole firm bureaucratic control - correct answer attempts to control the firm's overall functioning through formal, mechanistic structural arrangements; sometimes called hierarchical control, tall/centralized clan control - correct answer informal and organic structure, self control, informal group norms, reward system focused on group performance, extensive employee input, flat/decentralized operations control - correct answer regulates one or more individual operating systems within an organization preliminary (feed forward or steering) control - correct answer monitors deviations in the quality and quantity of the firm's resources to try to prevent deviations before they enter the system; its focus is on inputs to the product or service production process screening (yes/no or concurrent) control - correct answer regulates operations to ensure that they are consistent with objectives; the focus is on the transformation process that converts inputs into outputs statistical process control (SPC) - correct answer another form of screening control which employs "control charts" to continuously track performance variation over time feedback (post-action) - correct answer monitors the firm's outputs, the results of the transformation process budgeting - correct answer the principal means of controlling the availability and cost of financial resources budgets - correct answer formal, written plans for future operations in financial terms operating budgeting - correct answer short-term, sales and revenue budget, expense budget, profit budget, including having sufficient cash on hand to cover daily financial obligations such as routine purchases and payroll capital budgeting - correct answer concerned with the intermediate and long-term control of capital acquisitions such as plant and equipment top down budgeting - correct answer top managers establish budgets and hand them down to middle and lower-level managers for review and implementation bottom up budgeting - correct answer flows up from lower levels of an organization for review by top management and involves those more directly engaged in the actual tasks covered by the budget negotiated budgeting - correct answer involves a degree of give and take between upper and lower levels of management to develop the most appropriate form of budgetary control for a given situation zero based budgeting (ZBB) - correct answer a method of budgeting in which managers thoroughly reevaluate organizational activities to determine their true level of importance strategic control - correct answer ensures that the organization effectively understands and responds to the realities of its environments balance sheet - correct answer a snapshot of the organization's financial position at a given moment; indicates what the firm owns and what proportion of its assets are financed with its own or borrowed money income statement - correct answer shows the profitability of an organization over a period of time and helps managers focus on the organization's overall revenues (from sales and investments) and the costs incurred in generating those revenues ratio analysis - correct answer managers take inform