12th Class Business Studies Organising Question Bank Assertion Reason

  • question_answer
    Read the following statements - Assertion (A) and Reason (R). Choose one of the correct alternatives given below.
    Assertion (A): It promotes independent and quick decision making by subordinates as they are close to the operations
    Reason (R): Decentralisation refers to extending the power of decision-making till the lower level of management.

    A) Both A and R are true and R is the correct explanation of A.

    B) Both A and R are true and R is not the correct explanation of A

    C) A is true but R is false

    D) A is false but R is true

    Correct Answer: A

    Solution :

    [a] A is correct as decentralisation extends the decision-making power to the subordinates R is also a correct statement and it explains A appropriately.


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