In a resource allocation scenario, if a company decides to allocate more funds t
Practice Questions
Q1
In a resource allocation scenario, if a company decides to allocate more funds to marketing rather than research and development, this is an example of: (2023)
Budget reallocation.
Resource optimization.
Opportunity cost.
Strategic planning.
Questions & Step-by-Step Solutions
In a resource allocation scenario, if a company decides to allocate more funds to marketing rather than research and development, this is an example of: (2023)
Step 1: Understand what resource allocation means. It is how a company decides to use its money and resources.
Step 2: Identify the two areas mentioned: marketing and research and development (R&D).
Step 3: Notice that the company is choosing to give more money to marketing.
Step 4: Recognize that this means they are taking money away from R&D.
Step 5: Understand that shifting funds from one area to another is called budget reallocation.
Step 6: Conclude that this decision is an example of budget reallocation.
