The Theory That Proposes Organizations Can and Do Adapt to Changing

question 15

Multiple Choice

The theory that proposes organizations can and do adapt to changing conditions by imitating other successful organizations is known as

• A) population ecology.
• B) institution theory.
• C) citizenship theory.
• D) strategic theory.
• E) sample theory.

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Definitions:

Goodwill

An intangible asset that arises when a business is acquired for more than the fair value of its net identifiable assets.

Consolidated Financial Statements

These statements combine the financial information of a parent company and its subsidiaries, presenting the financial performance and position as if they were a single entity.

Impairment

The decrease in the recoverable value of an asset below its carrying amount, leading to a write-down value in the balance sheet.

Amortization Expense

Amortization expense is the cost associated with gradually writing off the initial cost of an intangible asset over its useful life.