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Once this planning has been completed, middle management would be responsible for implementing these plans through (B) tactical planning.
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What is tactical planning?</h3>
- Tactical planning is a method that aids in the creation of short-term and distinct plans that aid in the fulfillment of a business's, organization's, or individual's long-term plans.
- Strategic planning assists businesses in determining and laying out a long-term plan based on corporate objectives.
- There are several components to tactical planning.
- For example, breaking down organizational goals that are longer than two or three years, and establishing a goal-oriented calendar with short-term targets, such as a target for the next three months or six months.
Therefore, once this planning has been completed, middle management would be responsible for implementing these plans through (B) tactical planning.
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The complete question is given below:
Uber’s expansion on the innovation front requires strategic planning by senior management. Once this planning has been completed, middle management would be responsible for implementing these plans through
Multiple Choice:
(A) operational planning.
(B) tactical planning.
(C) operating.
(D) strategic control.
(E) action plans.
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Answer:
d. One defect of the IRR method is that it assumes that the cash flows to be received from a project can be reinvested at the IRR itself, and that assumption is often not valid.
Explanation:
While calculating a project's IRR, that is internal rate of return we calculate the return at which the outflow = inflow. Further it is assumed that the funds will be reinvested at the same rate.
As with change in weights because of amount invested, change in capital structure, the effective rate also changes, and the expected rate of return being IRR is generally not the same.
Accordingly, this is a correct statement that most of the times it is not true that reinvestment will earn the same rate of return as of IRR.