In nonroutine situations, managers must identify the type of decision to be made. Which of the following is not an example of a nonroutine operating decision?
A) Make or buy
B) Special order pricing
C) Budgeting
D) Managing limited resources

Question

Quizplus · Accepted Answer

Budgeting is a routine operating decision as it is a regular process that involves allocating resources and planning expenses for the upcoming period. A nonroutine operating decision involves a unique circumstance or a problem that requires an unusual solution, such as deciding whether to make or buy a product, setting a special order price, or managing limited resources in a crisis situation.

In Nonroutine Situations, Managers Must Identify the Type of Decision