An internal auditor is considering a client's organizational structure as it affects the ethical climate established by company management. Each of the following considerations is valid in this regard, except:
a. The appropriateness of an entity's organizational structure depends in part on the nature of its activities.
b. A company that is highly centralized will have a more diverse ethical culture than a company that is decentralized.
c. A highly structured organization with formal reporting lines may be appropriate regardless of entity size.
d. A decentralized environment may increase the risk that unethical decisions could be made by unit managers.
Answer: B