Which of the following is an advantage of having centralized ownership and responsibility for capital goods?
A)It allows firms to avoid the depreciation cost of capital equipment.
B)It increases the capital per worker ratio.
C)It spreads the investment risk associated with acquisition of capital goods.
D)It resolves the problem of continuity.

Question

Quizplus · Accepted Answer

Centralized ownership and responsibility for capital goods can help in resolving the problem of continuity by ensuring that there is a clear, consistent strategy for the maintenance, replacement, and upgrading of capital goods over time. This approach can help avoid disruptions in operations and ensure that the business can continue to function smoothly even as individual pieces of equipment need to be replaced or upgraded.

Which of the Following Is an Advantage of Having Centralized