Question : Assertion: Decentralized control is suitable for small organizations with a centralized structure.
Reason: Decentralized control allows for greater autonomy and decision-making at lower levels.
Option 1: Both assertion and reason are true, and the reason correctly explains the assertion.
Option 2: Both assertion and reason are true, but the reason does not correctly explain the assertion.
Option 3: The assertion is true, but the reason is false.
Option 4: The assertion is false, but the reason is true.
Correct Answer: Both assertion and reason are true, and the reason correctly explains the assertion.
Solution : The correct answer is (a) Both assertion and reason are true, and the reason correctly explains the assertion.
This assertion is true. In some cases, small organizations with a centralized structure might choose to implement decentralized control to allow for more flexibility and quicker decision-making at lower levels.
This reason is also true and correctly explains the assertion. Decentralized control indeed involves giving more decision-making authority to lower levels of the organization, which can provide greater autonomy and agility, even in organizations with a centralized structure.