According to the Principle of Unity of Command, ________

question 3

Multiple Choice

According to the principle of unity of command, ________.

• A) managers should oversee 1-4 employees on average
• B) an individual should be directly responsible to only one supervisor
• C) managers should limit their oversight to a maximum of 12 employees
• D) an organization should be departmentalized on the basis of functions
• E) employees should report directly to two supervisors to maintain task balance

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Definitions:

Note Proceeds

The amount of money generated from issuing a note payable, which is a written promise to pay a specified sum of money at a future date.

Interest-bearing Note

A debt instrument in which the borrower agrees to pay back the principal sum along with interest on a specified date.

Total Payment

The sum amount paid over the lifetime of an agreement, including principal, interest, and any applicable fees.

Interest Expense

A cost incurred by an entity for borrowed funds, often reflected in the income statement as a non-operating expense.